US Advertisers To Increase Spending On Podcasts
A new report from eMarketer forecasts that US spending on podcast advertising will grow nearly fivefold by 2011.
In 2005, advertising spending on podcasting in the US was a mere $3.1 million, rising to $80 million in 2006, according to the online market research group.
Podcast distribution and viewing mechanisms are proliferating, but even the most widely consumed podcasts typically have under 50,000 downloaders, with most having far fewer.
EMarketer says that although the idea of a developing a deep brand relationship with well-targeted consumers makes podcast advertising appealing, the bottom line is that podcast ads are still a niche proposition.
Despite this though, eMarketer predicts that US ad spending on podcasts will reach $400 million by 2011.
A recent report from Outsell said that US advertising will grow 5.8% in 2007 (see US Advertising To Grow 5.8% This Year).