Right now you can't go a day without hearing that yet another member of the mainstream media has joined the podcasting train. Whether its BusinessWeek, the Merc, MSNBC, your local radio station or newspaper or favorite trade rag, everyone seems to be getting into this game.
So far, big media podcasts look like a winner. Approximately half of the most popular podcasts on iTunes (as of this writing) are produced by mainstream brands. Consumers get to listen to their favorite shows on the go and enjoy them devoid of any advertising. The media, meanwhile, build brand loyalty by enabling them. Some folks like Frank Barnako are even saying that the incumbents has moved in and killed the indies. The fact is that over the long haul, if they keep shoveling out the same content they do now, podcasting will be a losing game for big media. The key reason is money.
Media companies don't dabble in new technologies just to serve consumers. They make an investment and expect to see a return on it - and quickly. This is how they differ from the vast majority of indies. The latter create podcasts just for the love of it.
As podcast listening becomes more popular, big media will try a few avenues to monetize their investment. Some will eventually try audio ads. However, this will lead many listeners to revolt and unsubscribe. Those who do stick around will certainly fast forward passed the ads. Others will try paid subscriptions. Personally, I doubt anyone will pay for podcasts from the MSM when they can get the same content free through other channels. Would you pay to listen to Ebert and Roper on your iPod or just simply TiVo it and skip the ads?
Big media will need to get creative if they want to monetize their podcasts. For example, I think the Texaco Star Theater approach works here as does product placement. I offer other advice here. A few will get this, but the majority won't. So if you're a little guy, take heart. You have nothing to lose and everything to gain.
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