Until recently, podcasting was simple.
But, last week, Apple added a new option: paid subscriptions, exclusive to Apples Podcasts app.
Now,Spotify has added a similar option, only with way better terms for podcast creators.
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It looks like the gloves are coming off.
Apple maintained an open podcast directory that became the de-facto standard, but did nothing to monetize podcasting.
And yet, the space has remained open and accessible.
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There is no YouTube of podcasts.
But that may be about to change.
Creators must provide their original audio, to which Apple adds its own DRM layer to prevent copying.
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Apple inserts itself between the podcaster and the listener, cutting off any direct relationship between the two.
Spotifys new paid subscription plan lets podcasters charge $2.99, $4.99, or $7.99 per month.
Spotify takes no money for the first two years, and then takes 5%.
But then it gets complicated.
Thats almost certainly because Apple takes a cut of any purchases made inside iPhone apps.
Valuable and Unexploited
Podcasting is so valuable, partly because it remains underexploited.
Theres much more money to be made, especially for whoever monopolizes the market, YouTube-style.
“The appeal is clear,” says Bossig.
Equally underexploited is the listener.
But we can listen to podcasts while we do other tasks.
These spaces are impossible to reach with words-and-pictures-based social media.
Its virgin territory, ripe for exploitation.
“Podcasting really is an innovation from radio.
Wiser Creators
At the same time, podcast creators are savvier.
“Two major things have happened in the past 12 months,” says Stewart.
Podcasting really is an innovation from radio.
It’s something we can have on at home and even multitask to.
This puts creators in a strong position for now.
Services like Patreon, Memberful, and Substack let users pay creators directly for their work.
And, notably, both Apple and Spotify have tailored their paid subscription plans around the creator.
