Brands Toast Summer: Alcohol And Food Podcast Ads Spike.

After months of slower spending, alcohol advertisers reversed course in May, ramping up investments in podcasts, as they often do, heading into summer. According to new Magellan AI data, alcohol category spending grew from $2.6 million in April to $3.6 million in May — a 38% increase. That was helped by the addition of four new alcohol brands which bought podcast advertising in May.

The ad category’s rebound follows a period of declining investment throughout 2024. Brands like Molson Coors and Truly Hard Seltzer drove much of the growth, leaning on a higher share of host-read ads — about a third — to connect with listeners in a more authentic, conversational style.

The boost in alcohol ad spending aligns with typical seasonal trends. Brands often increase budgets during warm weather months and again for year-end holiday campaigns. CEO Cameron Hendrix noted in a webinar this week that these brands ran campaigns across genres such as society and culture, news, and comedy, but sports — typically a stronghold for alcohol advertising — was less prominent in May.

Food and restaurant brands also contributed significantly to May’s surge in podcast advertising. Spending from this category rose to $19.3 million, a 27% increase from May 2024 and up from $14.6 million in April. Even as 18 new brands joined the podcast advertiser ranks during the month, McDonald’s led the way, spiking to $2.6 million of spending in May after fluctuating between $500,000 and $2 million throughout 2024.

McDonald’s activity was especially noteworthy. The brand appeared on networks such as Spotify, SiriusXM Media and PodcastOne, with ads running across sports, comedy, and TV and film podcasts. The company relied heavily on produced ads — Magellan estimates 96% were recorded spots — suggesting large-scale, programmatic buying. Hendrix said McDonald’s spending patterns have been unpredictable, however. “It’d be interesting to see if they continue to oscillate... or if we will see them scale up,” he said.

Other major food advertisers included HelloFresh, which spent $2.5 million in May, and Uber Eats, which spent $1.4 million. About one-third of ads in this category were host-read, while two-thirds were produced.

Beyond alcohol and food, home goods brands also expanded podcast budgets, spending $5.7 million in May, up from $4.4 million in April. Top advertisers in this segment included Lowe’s, which spent $2.1 million, Wayfair, which spent $1.1 million, and Avocado Green, which spent $492,000.

Female-leaning true crime captured $707,000 of home goods brand spending, but it was sports that got the most — totaling $981,000. Magellan says the vast majority (87%) of home goods ads were pre-produced spots.

Meanwhile, several direct-to-consumer brands maintained or grew their investments. Skylight, for example, spent around $400,000 in May, while Square invested about $375,000 and Ridge Wallet spent roughly $200,000. All three leaned heavily on host-read ads to build brand trust and engage audiences more personally.

Overall, Magellan says the top 15 brands spent a combined $60.2 million on podcast ads during May, which was 16% more than what the biggest brands spent on podcast ads in May. The biggest spender in May was BetterHelp, followed by Amazon and Unilever.