Spotify: Podcast Advertising Value Chain
Podcasting Value Chain
Spotify is integrated across the value chain: it owns exclusive podcast shows, Anchor (now Spotify for Podcasters) and Megaphone as hosting platforms, Chartable and Podsights for measurement, a leading podcatcher, a direct sales team and Spotify Audience Network (SPAN) to sell advertising. SiriusXM and iHeart are also integrated across the stack.
In FY 2021, the last financial data reported for podcasts, Spotify generated $200m in podcast advertising revenue at negative $103m gross profit. Executives we interviewed estimate ~80% of SPOT podcast revenue is from Spotify owned and operated (O&O) inventory like JRE and The Ringer and top third-party shows hosted on Megaphone.
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