I see people who think the “Holy Grail” of podcasting is sponsorship. Now I have sponsors on my show, but when I listen to The Feed From Podcast Media Host Libsyn.com that less than 10% of podcasters get 5,000 downloads or more (as of May 2018).
But, what if you did.
An old holdover from the radio is selling advertisements by the download. CPM stands for the price for 10000 downloads. These range from $20-%50. So for this example let’s use $35/1000 downloads. One episode a week (four episodes a month). That means (5000 downloads multiplied by 4 weeks) you have 20,000 downloads per month.
If you multiply 20,000 by .035 (which is $35/1000 to get the price of a single download) and you end up with $700 for the month ($175/episode). Now, this is great if this is a side hustle, but if you’re trying to feed a family making $8,400 a YEAR is an issue.
What makes it worse, is that some “Everybody gets a sponsor” companies that use Dynamic Ad Injection are paying $1.50 for 1000 downloads (and no that is not a typo – more on that in a later episode).
Let’s Look at Two Highly Successful Podcast Income Reports
I decided to look at the breakdown of two highly successful podcasters. John Lee Dumas, and Pat Flynn (who both publish their income reports). I used the latest reports available. For John, that was April 2018. For Pat that was December 2017.
John Lee Dumas April 2017 Podcast Income Report
Pat Flynn December 2017 Podcast Income Report
Combine The Two Reports
My point is that podcast sponsorship should be one of the ways and not THE way to “break out of the 9 to 5 cubical.