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Industry Report: Podcast Advertising

Key Takeaways:


● Podcast advertising is growing. Revenues are projected to reach $659 million by 2020, compared with $169 million in 2016.
● Measurement difficulties have slowed industry growth — but analytics are improving.
● The audio advertising market will transform from a startup-friendly market to one characterized by high barriers to entry and fewer — but larger — funding rounds.
● The utility of data for advertising has prompted consolidation across content creation, production, and distribution.
● Larger companies, including Apple and Spotify, are poised to make a serious entrance into podcasting and audio advertising.
● Listener engagement may be diluted as advertising increases.


The Big Picture


After almost two decades of dismissing podcasts as a fad, advertisers are finally catching on. Podcast advertising is surging, with revenue in the United States projected to reach $659 million in 2020, almost four times what it was in 2016, PricewaterhouseCoopers estimates.

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