Monetizing a podcast is challenging, especially for those with a smaller audience. While popular podcasts with millions of listeners can generate significant revenue through sponsorships and advertisements, smaller podcasts often struggle to earn a profit. But, just because a podcast audience is small doesn’t mean it can’t be profitable!
After all, if you’re small, that usually means you’re new on the scene, or you’re in a hyper specific niche.
One of the biggest challenges of monetizing a small podcast is attracting sponsors and advertisers.
Many companies are hesitant to invest in podcasts with a smaller audience. And we can’t fault for them for that, they just want to know they’re getting a good return on their investment. As a result, smaller podcasters need to get creative when it comes to generating revenue.
Before we get into the most important, and valuable, strategy you can put into place for monetizing a small audience, let’s go over the evergreen methods.
Traditional Methods Of Podcasting Profits
Affiliate Marketing
One strategy for monetizing a small podcast is affiliate marketing. Affiliate marketing involves promoting products or services to your audience and earning a commission on any resulting sales. This can be a good option for smaller podcasters as it allows them to monetize their content without relying on sponsorships or advertisements.
Now, affiliate marketing can offer surprisingly high returns, particularly for high-dollar niche-specific products or services.
Let’s say you have a podcast about flipping houses for profit. You could partner with companies that offer mortgages and promote it to your audience. You’ll set up a quick landing page on your podcast website embedded with your affiliate link, and you’ll tell your small, but very interested, audience to go to the site and click for an amazing deal on their next mortgage. They click, and you earn a very generous commission on the sale.
Merchandise
Another strategy for monetizing a small podcast is merchandise sales. Podcasters can create and sell branded merchandise such as t-shirts, mugs, and stickers to their audience.
While this may not generate as much revenue as sponsorships or advertisements, it can be a good way to build a loyal fan base and create a sense of community around your podcast. And, if your items are well-liked and connect with your niche audience, you could generate enough on a quarterly basis to cover your expenses.
As an example, if you have a podcast about 80s pop culture, you could create merchandise with your podcast’s logo or catchphrase on it. For example, you could create t-shirts with a quote from one of your episodes or stickers with your podcast’s logo. You could sell these items on your website or through a third-party platform like Etsy. Give the imagery a noticeable 1980s look and your audience will love them!
Crowdfunding & Premium Content
Crowdfunding is another option for monetizing a small podcast. Platforms like Patreon allow podcasters to offer exclusive content and rewards to subscribers in exchange for a monthly fee. This can be a good way to generate revenue while also building a dedicated community of fans.
Let’s say you have a podcast about personal finance. You could use a platform like Patreon to offer exclusive content, such as bonus episodes or behind-the-scenes access, to subscribers who pay a monthly fee. You could also offer perks like a shoutout on your podcast or a personalized financial plan for subscribers who contribute at a higher level.
With a platform like Patreon (or even Twitch) you could offer premium content to subscribers. Let’s say you have a podcast about true crime. You could create a premium subscription service that offers access to exclusive content, such as extended interviews with experts, behind-the-scenes videos, or bonus episodes.
This technique lets you leverage the power of Patreon or similar platforms to build a community of supporters who are willing to contribute to your podcast on an ongoing basis. They get exclusive content or perks as your diehard supporters, and you get consistent monthly cashflow!
Sponsorships and Advertisements
While this strategy is more difficult for small podcasts, it’s not impossible. Let’s say you have a podcast about mental health. You could reach out to companies that sell products or services related to mental health, such as therapy apps or self-help books, and offer to promote their products on your podcast in exchange for a fee. You could also consider joining a podcast advertising network that connects advertisers with small podcasts.
Now, as a small player in the podcast market, you’ll want to focus on small companies. Approaching a small business and pitching a sponsorship deal can be overwhelming but keep in mind, all businesses have a marketing budget. You simply need to convince the business owner to use some of that budget for marquis placement on your podcast. Talk up the visibility and the backlinks they will get from your site.
The reality is that monetizing a small podcast can be a challenge, but it’s far from impossible. By getting creative with revenue streams, creating compelling content, leveraging social media, and having a long-term plan for growth, podcasters with a smaller audience can build a profitable podcast business.
While it may take time and effort, the rewards of building a successful podcast can be well worth it. And if you’re still not convinced, take a look at the following examples…
“My Favorite Murder”
This true crime comedy podcast hosted by Karen Kilgariff and Georgia Hardstark started out as a small podcast with a cult following but has since grown into a major success with millions of downloads per episode. The hosts engage with their audience through live shows, merchandise sales (see example below), and a loyal fan community.
“The Pitch”
This podcast features startup founders pitching their business ideas to a panel of investors. While it has a relatively small audience compared to other business podcasts, it has gained a strong following among entrepreneurs and investors, and has even helped some of the featured startups secure funding.
“The Minimalists”
This podcast about living a minimalist lifestyle is hosted by Joshua Fields Millburn and Ryan Nicodemus. Despite not having a massive audience, the hosts have built a successful brand around their message of simplicity and minimalism, with a book, a documentary, and a tour to promote their message.
“The Creative Penn”
This podcast about writing, self-publishing, and marketing for authors is hosted by Joanna Penn. While it has a niche audience, it has gained a reputation as a valuable resource for writers looking to build their careers and expand their audience.
These podcasts show that it’s possible to build a successful and profitable podcast business even with a smaller audience. By creating valuable content, engaging with their audience, and using creative monetization strategies, these podcasters have been able to grow their brands and reach a loyal following.
The Best Way To Monetize A Small Podcast Audience
We’ve covered all the traditional ways that even a small podcast can leverage itself to generate revenue, but there’s one that works above all else.
Your podcast may not have many loyal followers yet, but you do have some, and they’ve gotten to know you. To each of them you’re a recognizable part of their week – you’ve become a brand and that puts you in a very lucrative position.
So, what’s the solution? High-Ticket Services!
When you crunch the numbers, the only reliable way to monetize a small podcast is to offer high-end services or products to a small group of loyal fans.
Essentially, this means building a deep relationship with your audience and offering them something of high value that they’re willing to pay for, such as personalized coaching or consulting.
Think about it – you could offer one-on-one coaching relating to your niche (and podcast audience) for $1,500 a month to only five people. With just 5 clients you’ll make $7,500 a month and all you have to do is choose a high-ticket service that compliments your podcast and your own personal brand and talk about it occasionally.
Of course, the key to success with this approach is to focus on building a small but highly engaged fan base.
This involves creating valuable content that speaks directly to your target audience, engaging with them through social media and other channels, and building a strong community around your show.
By focusing on a smaller group of highly engaged fans, you can generate a sustainable income stream and build a loyal fan base at the same time. This approach may take more effort and time than relying on advertising or sponsorships, but the payoff can be significant in terms of both revenue and audience engagement.
Last Thoughts
While sponsorships can be difficult to secure with a small audience, it’s still worth reaching out to potential sponsors and building relationships with them over time. This involves understanding the sponsor’s goals and values and finding ways to align your podcast with their brand and message. That way, when your podcast grows and meets their requirements, a quick email or phone call, and you’ll likely have yourself a new sponsor.
Pay Attention To Your Metrics
Analytics are always important, but when you’re working with constraints like a small audience, the role of data and metrics cannot be ignored.
By closely monitoring metrics such as download numbers, listener engagement, and demographic data, you’ll be able to gain valuable insights into your audience and tailor your approach to monetization accordingly. This could look like offering a high-ticket service to a select few listeners that you never considered, or a new side hustle offering podcast related printables.
Overall, while the strategies for monetizing a small podcast discussed in this article are certainly valuable, it’s important to keep in mind that there is no one “right” approach.
Successful podcast monetization ultimately comes down to a combination of experimentation, audience engagement, and a deep understanding of your show’s unique value proposition. By staying open-minded, persistent, and committed to creating high-quality content that resonates with your audience, podcasters can build a profitable business even with a small audience.
