The Podcasting Market Continues To Grow As Playback Devices and Podcast Sources Have Started To Provide a More Efficient and Simpler Way of Managing and Listening To Podcast Shows and Playlists

 

Podcasts are a series of spoken audio files that support downloading via the internet on playback devices. Podcasts started to become popular in the early 2000s. This audio broadcasting content was accessible on laptops, computers, media players, and iPods with only radio shows getting converted in podcasts. Back then low storage space and slow internet speed used to hinder the growth of the market and users used to struggle to stream podcasts on mobile devices. However, with the advancement in technologies, smartphones were launched with personal digital assistants and high bandwidth. This opened lot of opportunities for the podcasting market. Since then this industry has transformed from niche media to mainstream music mediums. Podcasting services and streaming applications provide an integrated and convenient way to control personal consumption queues across many playback devices and podcast sources.

Market Dynamics

The podcasting market is still in its developing stage although it has experienced tremendous growth in both consumption and production volume over the past few years. A report published in 2017 by the New York City legal body states that New York is the largest epicenter of the podcast industry and has a record of 42 million weekly listeners. The market is adapted to understand and follow modern consumption patterns and it estimated to grow significantly, owing to the high demand for entertainment content, which is readily available.

The main drivers of this market are advancements in smartphone technologies, low-cost internet, and innovative podcast creations. The market has experienced significant growth during the COVID-19 pandemic when listeners from all over the world were spending most of the time at home owing to stringent rules restricting outside mass gathering or work from home policies. This has converted the entire dynamic of the podcast market since the target audience before the pandemic were people listening to podcasts during a commute.

Lack of awareness related to podcasts and slow internet speed are the main factors hindering the growth of the market. Advertisements are the only revenue-generating option for podcasts but listeners are not favoring the idea. This is the main factor hindering the growth of the market. However, companies are trying to develop other strategies to gain revenue without disappointing the audience such as monthly subscriptions and crowd funding.

Competitive Analysis

This market is distributed in five regions that include North America, Europe, Asia-Pacific, Middle East, and Africa, and Latin America.  Among these North America is estimated to own a higher share of the podcasting market and is also expected to retain its dominance, owing to the early adoption of the latest technologies and the presence of a diversified audience base of all age groups.

In Latin America, the market is estimated to witness significant growth in the market owing to the rising popularity of content in the Spanish language.

Major players operating in the global podcasting market include Amazon.com, Inc., Apple, Inc., iHeartMedia, Inc., Pandora Media, Inc. Soundcloud Limited, and Spotify AB.

In February 2020, The Ringer, a podcast service creating content on cultural genres, society, and sports got acquired by Spotify AB to expand the audience engagement and product catalog of Spotify. Likewise in June 2002, Pandora Media Inc. partnered with FOX News Network, an audio streaming platform based in the U.S.