Read analyzes about the podcast market in Brazil – 03/16/2024 – Market

A Sheet heard scholars, producers, executives and representatives from big techs about the current moment and future of the podcast market in Brazil and around the world.

See below excerpts from some of the interviews that supported the report on the topic.

Carlos Merigo, founder, publisher and editor-in-chief of production company B9

Like everything on the internet, there are moments of foam, lots of people doing/producing, euphoria, promises. We are experiencing a reaccommodation, in which little by little only those who can, who know how to do it, will remain to see what can really work, what is foam and what is quality. Those who started out as fashionistas are seeing this now.

Podcasts have always allowed independents to enter, there will never be any more cheap technology, cell phones, microphones. It is a cheap and democratic media.

A significant part of new Brazilian listeners are actually video viewers of products made to go viral through cuts [edições de pequenos trechos] on social media, especially on Instagram and Tik Tok.

John Sullivan, professor in the Department of Media and Communications at Muhlenberg College (USA) and author of “Podcasting in a Platform Age – From an Amateur to a Professional Medium” (Podcasting in the age of platforms – From an amateur medium to a professional medium)

Digital audio platforms like Spotify, Amazon, Google, and even companies like iHeartMedia, SiriusXM, and BBC are all looking to create app-centric listening experiences for their audiences in order to entice those users to spend more time in a single app, instead. instead of selecting several for different forms of media (one for music, one for podcast, one for video, etc.).

These platforms have emerged as key intermediaries in the podcasting ecosystem, and their ultimate goal is to move away from RSS, the free and transparent distribution mechanism that has driven podcasting since its inception. The platforms also make it easier to track listeners’ consumption behaviors more accurately, which is of great interest to advertisers.

In recent years, Spotify and other companies have invested hundreds of millions of dollars into mergers and obtaining exclusive rights to specific podcast content (like The Joe Rogan Experience). Their goal was to grow podcasting as quickly as possible and ensure that growth was tied to their specific platforms through these exclusive content deals.

Well, the risk never paid off, or to be more specific, the investments didn’t reach profitability fast enough, and this led to layoffs and cancellations of many popular podcasts. I assume the goal of these companies now is to heavily monetize (through targeted advertising) and promote the podcasts that remain to maximize their audiences and, where possible, monetize intellectual property for other media (such as film and television) in an attempt to to achieve profitability.”

Rodrigo Tigre, head of audio at the multinational of digital advertising Adsmovil, former president of the audio committee of the IAB (Interactive Advertising Bureau, which brings together digital advertising companies) and author of the book “Podcast S/A: A revolution in loud and clear”

I see the end of Google Podcasts as part of a strategy to unify all types of RSS audio formats on YouTube. It’s a good move, one that shows YouTube starting to look more at audio.

The good and bad thing about audio at the same time is fragmentation. There is still difficulty in monetizing, but today we already have technologies that help you monetize your program without depending on platforms, such as dynamic ads, a programmatic purchase that allows you to monetize wherever you are without this dependence on platforms.

I see a moment of organization and professionalization of the market through new technologies. Spotify actually spent too much, bought too many companies, and made bets that went wrong. But it doesn’t seem right to me to say that this is why the podcast market is in a bad moment.

We have signs in the opposite direction, such as the increase in the number of podcast listeners in Brazil detected by Kantar Ibope’s Inside Audio 2023 survey or the growth in podcast advertising revenue in the United States revealed in an IAB study.

The segment has a lot to grow, we are halfway there. Amazon is fighting to enter a market in which YouTube and Spotify are more consolidated.

Andreh Jonathas, president of Abpod (Brazilian Podcasters Association)

Since 2018, a new generation of producers has better resolved two issues that were difficult for previous generations: broad dissemination and profitability. This new generation is much better at marketing than the previous one. The necessary caution is so that this does not make the media ephemeral and the startup culture does not trivialize the media, making it unsustainable and irrelevant. In other words, quality content and community building are essential to keep the media strong, along with strengthening financial resources for as many producers as possible.

It is important to highlight that the videocast is extremely important for this new moment in the podcast. At the same time, there is a concern. Many new media consumers and producers define podcasts simply as a setting or format: table, monitor in the center, stylish microphone and LED lighting. This is a mistake and hides the many possibilities of podcasts, such as narrative, analytical, educational, informative, corporate, etc. Informal chat has always been and will continue to be a wild card podcast format, but it is not the only one.

The movements of Spotify and YouTube are part of their business perception to boost their profits, as is natural in the functioning of the market. When it’s not the way they want it, they simply change it. This is why it is important for every producer to have a support plan in case of a drastic change in these platforms. You can’t stay in their hands.

In fact, the podcast has always been sustainable and has lasted this long because it has several hosting options, podcast aggregators/players, formats and themes. It’s more convenient to have everything in one place, but it’s also more risky. See that Anchor (now Spotify for Podcasters) gave everything to the producer (recording, editing, hosting and distribution), but I always insisted that we keep our eyes open to this, because “free” is not. What they don’t give is remuneration to producers, and that’s what keeps the podcast media afloat. A good example to follow is Orelo, which already remunerates its producers in various ways.

Victor Assis, CEO of Podpah
For 2024, our plan is to invest in new content, which is still in the creation phase. Last year, we began a process of internationalization of Podpah, with foreign interviewees, such as actor Chris Hemsworth, film director Zack Snider, among others, and the production of programs abroad such as BC One, in Paris, coverage of sporting events and travel specials.

We will continue with the internationalization of our brand, bringing more ingredients from abroad, without also overlooking what brought us here: amplifying voices from peripheral culture.

As far as Podpah is concerned, the path is precisely the opposite of a supposed reflux in consumption. We were the most listened to podcast in Brazil for two years in a row, on YouTube our audience and subscribers are increasingly robust, our channel has grown in every way. The characteristic of podcasts, the length of time, are inevitable changes, because the reality of the pandemic, thankfully, no longer exists. But the format doesn’t seem to show signs of a reflux.

We have always been more watched than heard. Podpah was born on YouTube, where its main audience and revenue comes from. Spotify is also extremely important for reaching other audiences and a very relevant partner, so much so that we have an exclusivity agreement for audio, in addition to a program broadcast only on Spotify. In my view, the videocast does not cannibalize the audio-only podcast. On the contrary, I believe it expands its reach.

Audio has a very important characteristic, which is the ease of consuming content and doing other things at the same time, such as cooking, cleaning the house, driving. The video is for a more leisure time, where the audience’s focus is only on that. An important fact is that, today, a third of our audience on YouTube comes from televisions, that is, from people who choose, in their leisure time, to consume only Podpah.

Camila Justo, head of podcasts at Spotify in Brazil

We continue to invest in initiatives to identify, support, nurture, amplify and celebrate the many voices of creators. In November last year, we announced the arrival in Brazil of Spotify Audience Networkour audio advertising sales marketplace that allows your podcasts to be monetized based on your audience’s impressions.

In January, Spotify announced the return of RADAR Podcasters, a global program designed to highlight emerging voices in the podcast universe in Brazil. Each month, a content creator will be featured on the cover of the RADAR Podcasters Brasil playlist and will receive major editorial attention on the platform during this period. There will be 12 RADAR Podcasters highlighted by the end of 2024.

In October last year, we opened the first podcast studio for creators in the country. The Seu Espaço studio is fully equipped for recording audio content and can be booked free of charge by creators, whether existing or aspiring podcasters. The Seu Espaço studio is located in the Da Quebrada school restaurant – Gastronomia Periférica, a social business that seeks to transform the lives of people on the outskirts through gastronomy.

Consumption on Spotify has grown more than 1,100% since 2019; more than half a billion people have listened to a podcast on Spotify since we entered the space; and podcast content has increased from 200,000 titles to more than 5 million shows on Spotify, available in more than 170 markets and with more than 100 million listeners. We had the boom and saw the consolidation of podcasts as an entertainment medium.

As a market leader, we remain committed to bringing the best to more people. Today, we see the market maturing and, therefore, we are focusing on monetization and the longevity and independence of each creator.

Youtube (the company sent its answers to questions in the report without personalizing)

YouTube has established itself as a multi-format space, where creators and artists move easily between different video formats, creating an endless stream of combinations to maximize their creativity, reach and revenue. The same applies to podcasts as they are available in video, audio and cuts of the best moments, for example. In addition to being on your cell phone, computer or even on a connected TV.

The Trends Report, released by YouTube in July this year, highlights the impact of multiformat and public preference. Viewers want increasingly personalized experiences, and formats are adapted to different situations

YouTube remains focused on providing the best experience for those who enjoy listening, watching and producing podcasts and videocasts. Therefore, in 2024, investment in podcasts on YouTube Music should be even greater [a empresa não revelou valores]. We are living in the golden age of podcasts.

This year, we will discontinue Google Podcasts and help its users migrate to YouTube Music. Listening to podcasts on YouTube is already a common behavior for Brazilians: according to a survey by Offerwise, 69% of respondents surveyed in the country have YouTube as their main podcast/videocast platform.

Podcasts on YouTube continue to attract millions of viewers around the world and their relevance continues to rise. A quick look at the podcasts tab on YouTube shows the variety of themes, formats, duration and each content creator has the autonomy to identify and adapt what interests their audience most.