Starting a podcast with the pure intent of making a lot money isn’t recommended whatsoever. But, I understand why people are curious to know how much podcasters earn.
So, how much money do podcasters make?
How much a podcaster earns depends on many factors, but one of the major ones is how many downloads per episode they get. Depending on what there CPM is, which is the cost per thousand downloads, they could be making anywhere between eighteen dollars to twenty-five dollars ( $18-$25) on average.
But that’s just on average. The top podcasters tend to have much higher CPMs (cost per thousand downloads). Some podcasters can earn much more by diversifying their podcasting platforms. I’m going to mention the top five earning podcasts on Patreon later on in this post, so stay tuned for that!
How much money do podcasters make?
How much money a podcaster makes depends on a lot of factors like what’s their CPM ( cost per thousand downloads) and how many downloads their show gets.
However, there are other factors that play into how much money they make as well. These factors include things like whether they’re sharing their podcast show on multiple platforms, and whether they’re offering any additional services to their listeners.
The average CPM for a podcast ranges between ( $18-$25) eighteen to twenty-five dollars.
So if a podcast’s sponsored episode is receiving ten thousand downloads per month (10K), then they could be making somewhere between one hundred and eighty dollars and two hundred and fifty dollars ($180- 250) per month for that episode alone.
The more monthly downloads a podcast gets, the higher their revenue is. Also, if a podcaster is releasing a new episode every week ( four episodes per month) and all four of them are sponsored, then the gross revenue is going to be much higher.
In this case, a podcast could be making between seven hundred and twenty dollar and one thousand dollars ( $720- $1000) per month. And that is just the start! It is obvious that you will make more money the more people download your episodes, but how can you improve your CPM?
A podcast’s CPM depends on some factors as well. One of these factors is your niche. Some niches get a higher CPM, others get lower CPM.
Also, the duration of how long you play the sponsorship on your episode is another factor as well. The CPM for a thirty second (30 sec) Ad is lower than the CPM of a one minute ( 1 min) Ad!
More established podcasts can even incorporate two to three sponsorships per episode, thus, doubling and tripling their monthly income. But, they also get more perks as well.
Top podcasters who get more than one hundred thousand (100K) downloads per episode get a higher CPM range. Their CPM range could range between twenty-five dollars and one hundred dollars ($25- $100) per thousand episode downloads.
A top podcaster could be making up to ten thousand dollars (10K) per episode per month with such a high CPM and using only one sponsor in their episodes!
But, what about those who make hundreds of thousands of dollars per month from their podcasts. How could they be achieving such a hight gross revenue with these CPMs? Well, they aren’t!
The secret lies in how the diversify the platforms they publish their podcasts on!
How can podcasters diversify their income off of their podcasts?
CPMs and the number of episodes downloaded are only one way to monetize a podcast. There are many other ways, some of which I will briefly discuss today. Don’t worry, though!
I will be posting and in depth, pillar post where I go into great details as I describe how this diversification of revenue occurs. But now, let get the big picture on how that is even possible!
What happens when a singer drops their latest single? It gets listed on many different platforms where people can either purchase it or listen to it for free. The song will be avialbe for purchase on iTunes, Amazon, and even music stores.
People will be able to listen to the song for free on streaming platforms such as Spotify and Deezer for free by listening to some Ads, or by purchasing a monthly membership. The audio version of the song also gets released on YouTube, where Ads could be played.
These Ads are used to pay the artist. Instead of only getting a revenue from the song from one source, the artist now has multiple streams if income coming from one song that they have released. That same analogy could be applied to podcasts. However, there are some differences.
Platforms that you can use to diversify your sources of income for one single episode includes:
- Itunes: Where episodes can be streamed and downloaded.
- Twitch: Where episodes can be broadcasted live
- YouTube: Where the episodes can be uploaded.
- Spotify: Where the episode can be streamed.
- Patreon: Where the episodes can streamed/ watched without Ads.
Like I have previously mentioned, I won’t go into much details about how you can diversify your podcast’s revenue, so stay tuned for the upcoming blog posts.
What are the top five earning podcasts on Patreon?
I have mentioned Patreon as platform that podcasters can use to diversify their revenue, but what is it exactly and what are the top five earning podcasts on Patreon these days. These are all great questions, so let us answer them!
What is Patreon?
Patreon is a crowdfunding, membership based platform that allows your audience to donate to and fund your project on a monthly or a (per final product) bases.
Many podcaster offer upload their podcasts there without and ads or sponsorships for those who want to enjoy their content without any interruptions.
Often, other bonuses and incentives should also be offered, but that is basically Patreon in a nutshell. Like I have previously mentioned, I will go into more details regarding Patreon and the other platforms that you can use to diversify your podcast’s revenue in an upcoming blog post.
Now, let us take a look at the top five earning podcasts on Patreon!
1) The Chapo Trap House podcast
The Chapo Trap House podcast podcast has more than thirty thousand (30K+) patreons backing it up. The podcasters earn about one hundred and thirty thousand dollars ($130K+) per month.
2) The True Crime Obsessed podcast
The True Crime Obsessed podcast has more than fourteen thousand (14K+) patreons backing it up. The podcasters earn at least seventy thousand dollars ($70K+) per month.
3) The Last Podcast on the Left
The Last Podcast on the Left podcast has more than eleven thousand (11K+) patreons backing it up. The podcasters earn about fifty-six thousand dollars ($56K) per month.
4) The Second Captains World Service podcast
The Second Captains World Service podcast has more than eleven thousand (11K+) patreons backing it up. The podcasters earn about fifty-five thousand dollars ($55K) per month.
5) The Tiny Meat Gang podcast
The Tiny Meat Gang podcast has more than ten thousand and five hundred (10.5K+) patreons backing it up. The podcasters earn about fifty-two thousand dollars ($52K) per month.
P.S: These are all gross revenues. Patreon is going to take a cut from that first, so that is not the podcaster’s net revenue.
What does CPM mean?
CPM stands for cost per thousand. If your podcast is getting sponsored, then you will be getting paid per thousand downloaded episodes. If your YouTube channel is monetized, then you will get paid per thousand monetized views.
What’s the average CPM of a podcast vs. a YouTube channel?
The average CPM of podcast ranges between ( $18-$25) eighteen to twenty-five dollars. The average CPM of a YouTube channel ranges between ($0.25-$4) twenty-five cents and four dollars.
What’s the difference between podcasts vs. Youtube?
A podcast is a platform where you to share your message to an audience via audio, while YouTube is a platform where you can share your message to an audience via both audio and video.
Should I start with a podcast or a Youtube channel?
It depends on what your niche you are going to explore. If it is suitable for both, then it is better to start with a podcast cause it requires less equipment and skills to master.
If you want to learn more about why it is recommend to start with a podcast if it is possible, then check out my Podcasts Vs. YouTube: Which Platform to Start With blog post.
Can I upload my podcast on Spotify?
Yes! That is one way to diversify your podcast’s downloads and streaming numbers. I will go into more details about this in future episodes, but for now, I am just going to assure you that this is one hundred percent (100%) possible!
That’s it for today’s post. You should now have an idea on how much money big podcasters roughly make on average. This is going to help you understand how the industry works. I will be publishing more posts on this, so don’t worry.
If this has sparked any questions in your mind, then feel free to drop them in the comments section down below. We’re on this journey of understanding how podcasts work together.
If you have recently started your own podcast, then leave a link to it in the comments down below and tell us a bit about what you discuss on it!