Spotify has spent handsomely on podcast-related acquisitions for content creators The Ringer, Parcast and Gimlet and technology platforms Anchor and Megaphone. In 2021, Spotify’s podcast business left a $103 million negative impact on gross margin. In Spotify’s June 9 investor presentation, Spotify executives said the company can achieve podcast gross margins of 30-35% within three to five years and sees 40-50% as attainable further in the future. As its podcasting business scales, it can improve upon music margins that are surrendered to licensing deals with record labels. Not only can podcasts help attract and retain subscribers, but they can also provide additional advertising revenue. The company sees spoken-word audio as a necessary means to help deliver the growth Spotify’s investors expect. Topping Edison’s podcast network rankings is a notable achievement for a music-first company that is pushing hard to build a broad audio platform. “That was really the difference,” he says. It was enough to allow Spotify to nudge out SXM Media “by a tiny margin.” “SXM had a bunch of shows come out,” such as Exactly Right Media switching from SXM Media to Amazon’s Wondery (taking its flagship podcast, the No. “That’s part of what happened,” says Rosin. That said, Spotify’s lead over SXM Media is tenuous because networks regularly gain and lose shows, which means their market shares are in flux. “That’s kind of what Rogan is to the rest of the field in podcasting,” says Rosin. Rosin compares Rogan to Aaron Judge, whose 57 home runs is 20 more than the next best hitter in major league baseball, and American Idol, which in its prime could have lost half its fifth-season audience and still rank in the top 10 shows on television. 1, but he’s the main reason,” says Edison Research president Larry Rosin.įor all the controversies - from accusations of racism to Neil Young‘s demand that Spotify pull his catalog over Rogan’s comments about COVID-19 - TJRE has delivered an audience like no other podcast. “Rogan is not the only reason they’re no. If Rogan’s role was to help make Spotify a podcast leader, he accomplished his mission. The streaming company has made Rogan’s podcast, The Joe Rogan Experience, a cornerstone in its efforts to expand the audio platform beyond its music roots. Charlie Puth Talks Making 'Charlie' Album 'By Myself' But Also on Social Media: 'It Felt Like I Was…
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