Why are brands jumping ship from traditional platforms to podcasts for factual content?

In an era where information is abundant and attention spans are fleeting, brands are constantly seeking innovative ways to connect with their audiences. Now, brands have increasingly started entering into the world of podcasts, a medium that has swiftly evolved from niche interest to mainstream obsession. But what exactly is driving this shift?

Picture this: A listener tuning in during their morning commute, sipping coffee as they absorb the day's headlines and expert insights, all seamlessly woven into a conversation that feels more like chatting with a friend than consuming news.

Also read: https://www.buzzincontent.com/story/here-single-s-why-podcasts-are-rewriting-the-rules-of-brand-engagement/

In a conversation with BuzzInContent.com, industry leaders remark that podcasting, with its intimate and engaging format, is rewriting the rules of how brands deliver factual content.

According to them, from debunking myths to diving deep into complex topics, podcasts offer a unique blend of entertainment and education that traditional news platforms struggle to match sometimes.

Podcasts vs traditional news platforms

Nisha Sampath

Nisha Sampath, Brand Consultant and Founder, Bright Angles Consulting highlighted that according to a global research, podcasts are considered a highly trusted and authentic source of information compared to other sources. Also, a podcast can be edited to offer a succinct summary or expert opinion, making it easier for viewers to form takeouts. This makes it a better medium to convey factual information.

Amita Srivastava

Amita Srivastava, Vice-President – West, Carat India, said that the cost (of producing podcasts) would be lower than TV and higher than regular digital ad campaigns (depending on what is being used).

“Targeted audiences, with higher engagement and closer connection, would mean a better recall of the brand, and messaging and trust can be built. These are the reasons for using podcasts. Podcasts being digital, we have tons of analytics to measure the performance of the campaign and measure ROI which is becoming one of the key reasons to choose the medium,” he added.

Amit Doshi

On the other hand, Amit Doshi, Head, IVM Podcasts at Pratilipi, said that if it's just the facts, the advantages are minimal but news being in a broadcast medium has to appeal to the widest possible audience, whereas a podcast can talk to a niche.

Vineet Kanabar

Moving on, Vineet Kanabar, host of Story Tellers and Story Sellers, podcast advertising is at par with other digital channels from a CPM point of view. While podcasts are not yet an overnight reach build medium like TV, they provide great stickiness and message retention.

“Having the capability to impact high intention, high time spent audiences with targeted, personalised and engaging messaging make podcasts great for brands that are in high ticket price, high involvement categories. Automobiles, white goods, travel, software, banking are all categories that can benefit from podcasts' high quality audience reach and engagement,” he added.

Samit Sinha

Adding to the conversation, Samit Sinha, Founder and Managing Partner, Alchemist Brand Consulting, believes that podcast is an ‘on demand’ medium, unlike radio and television, which makes it especially attractive. Secondly, news platforms no longer enjoy the same credibility as they once did, as the line between news and propaganda has blurred.

"In this scenario, podcasts come through as better researched as well as more factual and objective. Also, they allow advertisers to more sharply target specific interest groups, who are more engaged and attentive, than say radio or television," he added.

Sreeraman Thiagarajan

Similarly, Sreeraman Thiagarajan, CEO, aawaz.com, stated that traditional news channels run 24/7, and are a firehose of information. Whereas podcasts are 20-30 mins long, and provide a highly curated summary of all the news that matters.

Devarshi Shah

Building upon this, Devarshi Shah, SVP and Business Head, Global Creator Network, OML, said that podcasts allow for healthy discussions and different perspectives, encouraging new ways of thinking instead towards a left or right perspective. One has the time and space to speak about a subject in depth in order to fully explain their way of thinking.

“The medium of podcasts allows for flexibility and accessibility, encouraging listeners to tune in on their own time and choose what they would like to listen to. In fact, this paves the way for the proliferation of discourse on topics that wouldn’t always be covered by the mainstream and develop communities around niche subjects,” he added.

Indraneel Gawde

Striking a similar tone, Indraneel Gawde, National Head of Business, Schbang, emphasised that podcasts present a compelling advantage over traditional news platforms by facilitating in-depth conversations that establish credibility and provide nuanced context to factual information.

“The conversational format enables guests to delve into their expertise, dispelling misconceptions and building trust among listeners. This depth of engagement elevates the credibility and impact of the content, making podcasts a preferred choice for delivering factual information in today's dynamic media landscape,” he added.

Pravin Shiriyannavar

Meanwhile, Pravin Shiriyannavar, COO, brand-comm, highlighted that in the past, advertising on TV channels required waiting for a designated time slot, even if you had control over the content. However, a shift occurred when it became possible to distribute content directly to your audience through various channels such as marketing collateral and social media.

“This change was widely accepted by organisations. Today, there's a growing trend where brands and marketers are creating podcasts as an alternative to blogs. This allows them to share their brand and employee stories in a more engaging way. Visual and audio storytelling have become increasingly important as brands recognise the need to convey messages effectively to their audience,” he added.

Arpan Soni

Arpan Soni, Founding member, and VP of Creators Management, IPLIX Media, said that the cost of podcast advertising varies significantly depending on the creator and the type of podcast being sponsored.

“Currently, micro-creators may not have sponsors for their podcasts, and even larger creators may not have long-term committed brands. However, in recent times, brands seeking visibility may opt to pay to be featured as guests on podcasts. This emerging trend presents another monetisation aspect for podcasters,” Soni said.

“Compared to advertising on TV or digital platforms, podcast advertising can be more cost-effective, especially for brands targeting niche audiences. Additionally, podcasts offer a unique opportunity for brands to connect with listeners on a more personal level, fostering stronger relationships and brand loyalty over time. Overall, the flexibility and potential for authentic engagement make podcast advertising a compelling option for brands looking to diversify their marketing strategies,” he added.

Mihir Nair

Mihir Nair - Group Account Manager- Account Planning of SoCheers, remarked that while there are podcasts that talk about everything under the sky, the ones with consistent following or having a good word of mouth score are the ones which are created by experts or brands who have the expertise to take a point of view on a particular topic in culture; this helps tackle a huge problem that news outlets face- Credibility.

"While podcasts have been generally attributed to having a male skewed audience base, we can safely assume that the female base will grow as the sentiment for the medium is that it adds value to one’s time rather than being a distraction. Also, Spotify is investing heavily in original podcasts," Nair said.

“TV/Video has always been the ruler of the premium costs in the marketing pie, and while video will always give you mass reach, the consumer is either skipping your ads or heading to the kitchen to grab a snack when the ad hits. The beauty of podcasts that we don’t get, is that your Podcast listener is there in a far more accepting mindset to listen to what you have to say as a brand,” he added.

Challenges

Sampath said that podcasting is still a nascent and evolving medium in India. There are many podcasters producing great content but with a small audience base.

“Competition is high and discovery remains a challenge. While podcasting remains a great option for brands with a specific or niche segment, it's not leveraged enough. Many brands are still not even considering podcasts, let alone as an alternative to mass media,” she added.

Similarly, Srivastava believes that India's podcasting potential is fair but faces a few hurdles. Overall awareness is low, discovering new shows is difficult and monetisation isn't well-established yet with listeners not used to paying for this type of content.

“The language diversity is vast, but podcast availability isn't, limiting accessibility. Some creators lack resources for high production quality as well. Despite these challenges, India's podcast scene has the potential to thrive as the market matures,” she added.

Soni pointed out that the podcasting landscape in India currently grapples with uncertainty regarding the most effective brand integration strategies. Brands are unsure whether they should opt for call-outs, subtle integrations, or how to navigate this space effectively.

“Similarly, podcasters also lack a clear-cut format for incorporating brand partnerships seamlessly into their content. This ambiguity leaves brands uncertain about how to maximise their returns from podcast advertising. As a result, brands are hesitant to make substantial investments in podcast advertising,” he added.

Sinha stressed that the lack of quality content in local languages is where India lacks at the moment. In a country with low literacy levels podcasts have a huge potential for growth.

According to Kanabar, the outlook for podcasts in India is very favourable. Compared to other markets, India's lack of talk content on radio was a reason for a slow start. Audiences were not familiar with the power of talk or podcast content. This has changed over the past three years as more compelling content has become available.

“Players like Spotify are investing in training creators to make great content. From an industry pov, podcast networks are figuring out sustainable business models and this will lead to even greater adoption,” he added.

Doshi said, "It fundamentally always comes down to size of audience, talent available, and ability to monetise. Though we are growing in all three areas, it's still early days in space and more is needed for this to compete with the traditional media as it currently is."

Meanwhile, Gawde believes that the cost of creating high-quality podcasts, compounded by the dominance of production industry vendors, creates barriers for aspiring creators. Moreover, a lack of accessible platforms and resources for podcast creation and editing further restricts entry into the market.

“Additionally, there is a notable scarcity of education and guidance on platform utilisation and effective monetisation strategies for content creators. Addressing these obstacles is essential to unlocking the full potential of India's burgeoning podcasting industry and fostering sustainable growth in the years ahead. Initiatives such as simplified podcast creation tools, editing platforms, and educational resources akin to Spotify's Auto Pod are crucial to democratising podcasting and empowering a diverse range of voices in the Indian podcasting landscape,” he added.