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Podcast ads outpacing blog bucks?

Posted by Michael Bloch in web marketing (Thursday April 27, 2006 )

Blog, podcast and RSS advertising spending grew by nearly 200% in 2005, and is projected to grow another 144.9% to $49.8 million in 2006 according to a custom media research firm.

The company also states that podcast advertising is expected to be a bigger market than blog advertising by 2010.

PQ Media, authors of the “Blog, Podcast and RSS Advertising Outlook” which is the first of five instalments of their Alternative Media Research series, state that while blog advertising accounted for 81.4% of ad spending via the three mediums in 2005, blog ads will only make up 39.7% in 2010 – $300.4 million.

PQ media believes that podcast advertising will grow at a compound annual rate of 154.4% to a $327 million spend during 2010; with technology, auto and media categories taking the lion’s share of revenues.

PQ Media’s reasoning is that podcast advertising (as well as blog ads and RSS) has demonstrated the capacity to reach the much coveted younger demographic as well as those with influence, and the mediums are highly engaging. Given that all three mediums were mentioned as sharing these qualities, exactly *why* they believe podcasting advertising spending will outstrip blog ads, I’m not sure.

It becomes particularly curious considering that Forrester research doesn’t paint such a rosy picture for podcasting uptake ; especially when you compare it to other online related activities such as shopping, general surfing, email and IM.

Regardless of which medium pulls ahead, I guess it’s down to how the figures stack up in relation to the number of players getting into the podcast advertising game; i.e. the number of ad networks vs. advertisers.

Compared to other online advertising mediums, it will be a smaller pie overall; but whether the slices for podcast ad networks in terms of revenue will be smaller remains to be seen.

Mayhaps it’s time for more bloggers to start think about grabbing a microphone? ;)


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