How Many Listeners Do I Need to Start Making Money Podcasting?

The number of people who listen to podcasts has never been higher. Whether relaxing at home or passing time on their commute, listeners are tuning in and downloading in droves. Podcasting has fast become a popular career choice for aspiring hosts around the globe. With top podcasters rumored to be raking in millions each year, it’s no wonder why. Who wouldn’t want to make $30,000 per episode? We certainly would! The reality is that not many hosts will ever see that kind of money from podcasting.

So how many podcast listeners do you actually need before you can start making money? The short answer is: it depends. There are a few variables that will dictate how much money you can generate from your podcast. One is the type of listener you have. A niche podcast with a loyal following can do well even without big numbers. Another factor is how you go about making money in the first place. So let’s start by looking at the different options.

✴How to Make Money From Your Podcast

There are a number of different ways to generate money from your podcast. Here are the most lucrative:

✴Running Advertisements

Placing ads in your podcast is one of the most effective ways of making money from it. Brands will pay you for a slot either before, during, or at the end of your podcast. This is called CPM advertising and you’ll agree to a price that gets paid out for every 1,000 listens. It stands to reason that the more listeners you have, the more money you’ll make.

✴Affiliate Sponsorships

Affiliate sponsorships are also a form of advertising but depend less on the number of people listening. The way it works is you promote or recommend a product and in return, you receive a commission for any sales generated. Amazon runs an affiliate program called Amazon Associates where you can receive up to 10% commission for qualifying purchases.

✴Partner Affiliate Programs

These work pretty much in the same way as affiliate sponsorships, but on a much bigger scale. Think celebrities advertising a certain brand of makeup or a sports personality recommending a pair of running shoes. Once your podcast is established and pulling in listeners, you can start thinking about the brands or products your podcast might have a synergy with. Commission rates for top partners can be anything up to 50%.

✴Direct donations

Asking your listeners to donate towards your costs and upkeep may feel icky at first. However, it’s one of the most popular ways for hosts to support themselves and their work. You can request direct payments through companies like Venmo and PayPal. And podcast creation software providers are starting to incorporate donation facilities into their models. This makes it easier than ever for your listeners to donate.

✴Patreon

Patreon also sees your podcast listeners making donations to support your work. However, unlike direct donations via PayPal, for example, Patreon users get something extra in return. Hosts might offer exclusives, Q&As, or Google Hangouts for different levels of donation. While this creates more work for you as a host, the incentive for people to pay out is higher.

✴Selling Merch

Can you really make money from sticking your podcast logo on a t-shirt? You can if people are willing to buy it! Along with mugs, bags, and pins. If you find you have a big enough (or loyal enough) following then creating and selling merchandise can be a great earner. And there are lots of websites out there to help you along the way.

✴Which Method Should I Choose For My Audience Level

The number of podcast listeners you have will dictate where you’ll want to concentrate your energy when it comes to making money. Here we break down audience size and look at which methods work best for each:

✴Up to 1,000 Listeners

This category is for those who are just getting established or hosting niche podcasts with a few hundred listeners. At this level, you’re trying to build loyalty with your following and so you’ll want to avoid anything that might turn them off. Ad placements are intrusive and could well slow your growth. Instead, donations are a good way to start making money. Patreon is an excellent option, as it allows you to give something back to your listeners. At this point, you can also sign up for Amazon Associates and start making money from any qualifying purchases your listeners make.

✴Up to 10,000 Listeners

You’re more established at this level and so you can start thinking about running ads in your podcasts. Check out podcasts that are similar in theme to yours and find out who sponsors them. You can then approach those brands or – others in the same industry – about sponsoring your show too. Consider offering an ad-free version to podcast listeners who support you. This adds an extra incentive and may boost your donations even further. Introducing some quality merchandise is definitely worth a shot as well when you’ve reached this stage. The market of potential buyers will be large enough for you to convert some of those loyal followers into valued customers.

✴More Than 10,000 Listeners

Congratulations! You’ve broken the 10,000 listener sound barrier. At this level, you’ll still be able to collect donations and run ads on your podcast as well. For better or worse, this is where a lot of people take their podcasting full time. Partner programs are now something to consider. Choose products or brands that complement your podcast so that promoting them is a natural fit. As a voice of authority in the podcast industry, you might also find other opportunities come your way too. Giving talks to others who are looking to break into podcasting or acting as a consultant are just a couple of the ways big time podcasters can make additional money.

✴Final Thoughts on How Many Listeners You Need

Whether you have 500 or 50,000 podcast listeners, you can make money from your content. The key lies in picking the methods that will work for your current audience level. As we’ve seen, timing is everything. Running ads can be a fantastic source of income once you’re established but may have listeners switching off when you’re just getting started. In general, however, people who listen to podcasts see and appreciate the value in your work. By gradually building up your income streams, you can establish yourself as a respected podcaster and maybe even make it your main source of income one day.

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How Many Listeners Do I Need to Start Making Money Podcasting?