The average one-minute podcast ad that sold through Libsyn’s AdvertiseCast last month had a $24.35 CPM rate. That was an increase of 3.7% compared to August’s average of $23.49. While an increase is not surprising coming out of what is typically a slower advertising season during the summer months, Libsyn says the average CPM was also five percent higher than during September 2021.
“We are seeing rates buoyed as we approach the last quarter of the year due to increased demand,” said Dave Hanley, Chief Revenue Officer at Libsyn’s AdvertiseCast. “I also believe there is a flight to quality occurring as brands cut ineffective ad channels and allocate remaining budgets to proven winners like podcast advertising.”
The Technology podcast genre continued to hold the honor of having the highest average CPM. During September it was $28 for inventory sold via AdvertiseCast. That was up from $26 during August. Business podcasts also remained in second place with its average $26 CPM the same in September as a month earlier. And there was a tie for third place between Education and Kids & Family, both with a $24 average CPM.
The age of inflation means everyone is looking for a bargain and Libsyn once again this month shared the podcast genres that are offering some of the best values, CPM-wise. It says advertisers can find “more accessible” rates in the Fiction, Art, and TV categories, each of which averaged in the high teens in September.
AdvertiseCast bases the cost per thousand or CPM from actual sales data from nearly 3,000 podcasts in its marketplace, including more than 225 exclusive podcasts. While there are month-to-month fluctuations, it says the typical one-minute ad has a $25 CPM while a 30-second ad typically has an average $18 CPM. That is the same as a year ago.
According to AdvertiseCast, podcasts with between 1,000 and 9,999 downloads per episode had the highest CPM last month at $26.92, a five percent increase from August. It is the first increase in CPM for shows of this size in five months.
For shows with between 10,000 and 99,999 downloads the average CPM was $24.48 in September, up two cents from August. And for shows with 100,000 downloads or more per episode, the average CPM was $21.64, a six percent increase from a month earlier – and it is the highest CPM in all of 2022 so far.
“Advertisers across categories are increasingly turning to the podcast medium for its efficacy in achieving brand goals — from increasing awareness, ad recall, and engagement to driving recommendations and purchase intent,” said Hanley. “Through AdvertiseCast, we continue to bring valuable capabilities and rich insights, such as automatic ads and CPM transparency, to help advertisers align their sonic spots to the right audience and drive maximum performance outcomes.”
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