Top 10 Ways to Earn Money Podcasting (Small Audience)

Can You Earn Money Podcasting?

Is it really possible to earn money podcasting? If you’re hoping to cover your costs or earn a full-time income from your podcast, there are multiple revenue streams for you to choose from.

However, there’s no one-size-fits-all approach to making money podcasting, and I’ll tell you upfront that traditional sponsorship isn’t all it’s hyped up to be.

So today, I’m going to run through the top 10 ways you can earn money through your podcast, even if you’re just getting started with a small audience.

Introduction

Today, I’m excited to talk about earning money as a podcast host because I think there are a few big misconceptions out there about the best ways to monetize your show.

But first, let me say this: it won’t happen overnight, but you can absolutely earn part- or full-time income as a podcast host.

Where people go wrong is jumping right ahead, assuming that earning money podcasting equals finding and pitching sponsors, which just isn’t true.

So, before we get into some of my favorite income streams, I want to differentiate between two key terms: direct monetization and indirect monetization.

Direct vs. Indirect Monetization

Direct monetization means that your podcast itself is the source of revenue. Whether it’s sponsors paying to advertise or you’re earning money from patrons supporting your show, these strategies rely on you monetizing your actual podcast content or audience.

Indirect monetization, on the other hand, means that something other than the podcast is the product. As we’ll cover in a bit, these indirect revenue streams open doors because you’re essentially selling something else to your listeners.

I’m about to cover strategies in both categories, and I think once you start to see the options, the difference will become clearer.

But bigger picture, this starts to pose the question: are you hosting a podcast that earns money, or running a business that has a podcast?

Which Type of Podcast Are You?

For example, Joe Rogan’s podcast is a media company that happens to have a podcast. Although they both share the same name, I see the business as the big-picture umbrella for everything.

This includes the podcast, a YouTube channel, digital courses, and I’m sure it will evolve as the business grows.

You don’t need to have your answer yet, but it’s something to keep in mind as we start to go through the other income streams.

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10 Ways to Monetize Your Podcast:

1. Sponsorship

Let’s kick off our list with the most well-known strategy: sponsorship.

Podcast sponsors will pay you upfront to advertise their products or services to your audience.

You’ll earn money based on how many thousands of listeners you have per episode, in a metric called cost per thousand or CPM.

Common Ad Placements

• Pre-roll: Plays within the first two minutes of your episode, typically at the very beginning or right after the intro.
• Mid-roll: Plays roughly in the middle of an episode.

Depending on your sponsor agreement, they may choose to book one spot (pre-roll or mid-roll) or both within the same episode.

Podcast listeners are generally receptive to ads and are often willing to make buying decisions. This makes it crucial to be picky about which sponsors make sense for your podcast.

You’re essentially endorsing another business, so make sure it’s a company you believe in and one that aligns with your audience.

Important Considerations:

• Only recommend sponsors if you have a larger audience. Your earning potential is tied directly to how many listeners you have.
• Be selective with sponsorships; only promote products or services that resonate with your audience.

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2. Donations

Another straightforward way to earn money podcasting is by asking your listeners for donations. While this strategy is popular, it’s not one I typically recommend unless your podcast is tied to a cause, like a non-profit.

Why Donations May Not Work for Most Podcasts?

Psychologically, people are more likely to pay if they get something in return. Instead of just asking for donations to support your podcast, many profitable podcasters turn to the next strategy instead.

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3. Paid Subscriptions

Paid subscriptions offer your listeners the opportunity to pay a small recurring fee, usually monthly, to unlock additional benefits. Often, there are tiered options, so subscribers could pay as little as $1 per month or up to hundreds for higher tiers.

Examples of Subscription Benefits:

• Extra episodes
• Ad-free episodes
• Live chats or hangouts
• Access to a private community
• Merchandise

While some perks may not be a good fit for smaller audiences (like starting a community with just 10 members), content-based bonuses can work at any audience size.

Popular Tools for Paid Subscriptions:

• Patreon: The gold standard for podcasters.
• Buy Me a Coffee: Another option, although Patreon tends to see higher conversions.

In 2021, podcast platforms like Apple and Spotify introduced their own paid subscriptions. However, I don’t recommend these tools for most independent podcast creators.

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4. Private Community

One great option for indirect monetization is to create a private paid community for your podcast listeners. Your audience likely shares common interests, so connecting them in a private community where they can meet like-minded people is valuable.

Communities can also help your podcast grow since listeners can interact without relying solely on you.

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5. Private Paid Podcast

With a private paid podcast, you have two options:

1. Make some episodes of your regular podcast paid.
2. Offer a fully paid podcast.

Though less common, this strategy works well if the content is valuable enough. For example, podcasts offering regular meditations or a course curriculum could be a great fit.

Consider offering a few free sample episodes to entice new listeners.

Alternatively, you could put older episodes behind a paywall after a few months, making them available only to paying listeners.

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6. Merchandise

Who doesn’t love merchandise?

Selling fun merch like stickers, mugs, or T-shirts is a great way to engage your audience and earn extra income.

While it may not provide a full-time income, it can help cover podcasting costs.

What’s nice about merch is that it can also serve as a marketing tool for you. If someone sees another listener with your branded item, it can spark conversations about your podcast.

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7. Sell Your Own Products and Services

The final strategy is selling your own products and services, my personal favorite.

The beauty of selling your own products and services is that you have full control over the process.

You’re not relying on external sponsors or platforms, and you keep all of the revenue (aside from processing fees).

You can experiment with pricing, packages, and even bundle products to see what resonates best with your listeners.

Here are a few ideas for products and services that work well for podcasters:

• Online courses: Teach something you’re an expert in.
• Consultations or coaching: Offer 1:1 guidance or group coaching for your listeners.
• E-books or digital guides: Package your knowledge into a downloadable product.
• Workshops or webinars: Host live events or recorded training sessions.

If you’re considering this route, a good tip is to test your ideas by creating free content first.

Maybe start with a free webinar or a downloadable guide. Once you gauge the interest, you can scale up to paid offerings.

8. Affiliate Marketing

Next on our list is affiliate marketing, which is a great indirect monetization strategy.

With affiliate marketing, you earn a commission for recommending products or services to your audience. You typically share a special link to the product or service, and if someone buys through your link, you get a percentage of the sale.

This strategy works well because it doesn’t require you to create your own products, and you can still earn money by recommending things you love and trust.

Many podcasters choose to promote tools, services, or products that they personally use and believe their audience will benefit from.

A few tips to succeed in affiliate marketing:

• Choose products that align with your niche: Make sure the products or services you promote are relevant to your podcast and your audience.
• Be transparent: Always disclose when you’re using an affiliate link. Your audience will appreciate your honesty.
• Create compelling content: Instead of just throwing out a link, try to create a valuable discussion around the product or service you’re promoting. Share your personal experiences, pros and cons, and explain why your listeners should consider it.

Common platforms for affiliate marketing include Amazon Associates, ShareASale, and specific affiliate programs offered by businesses in your niche.

9. Speaking Engagements

If you’re knowledgeable in your niche and have a podcast with an engaged audience, you may find that speaking opportunities start to open up for you.

Whether it’s live events, conferences, or virtual summits, public speaking can be a lucrative revenue stream for podcasters.

Here’s how you can start with speaking engagements:

• Leverage your podcast: Mention on your show that you’re available for speaking gigs.
• Create a speaker’s page on your website: Showcase your expertise, past speaking engagements, and topics you can cover.
• Reach out to event organizers: Don’t be afraid to pitch yourself to conferences or online summits in your niche.

Speaking can lead to direct income from paid engagements or indirect opportunities such as networking, which could result in new clients, sponsors, or collaborations.

10. Crowdfunding Campaigns

Last on our list is crowdfunding campaigns. While it might not be a common monetization method for every podcaster, it can work incredibly well for specific types of shows—especially those with a passionate and loyal fanbase.

With crowdfunding, you set up a campaign (usually through platforms like Kickstarter or Indiegogo) and ask your audience to support a specific project or initiative.

This could be used for something like launching a new season, creating a special series, or funding a live tour.

A key to success here is to offer compelling rewards for your backers.

These could include early access to episodes, exclusive behind-the-scenes content, or even shout-outs in your podcast.

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Conclusion

There you have it—the top 10 ways to earn money podcasting in 2023, even with a small audience. If you’re just getting started or already have a growing listener base, there are multiple avenues to explore when it comes to monetizing your show.

The key takeaway is that you don’t need a massive audience to start earning money. From sponsorships and paid subscriptions to selling your own products and leveraging affiliate marketing, there’s a strategy for every podcaster out there.

Remember, the best approach for you will depend on your niche, your audience, and your goals.