The news: Even as the majority of podcasters (71%) use video, per Sounds Profitable, video podcast ads are falling short of driving purchases compared with audio ads.
- YouTube’s video podcast ads are 18% to 25% less effective than audio downloads at driving users to purchase, according to an Oxford Road and Podscribe study.
- Based on the findings, the companies determined that brands spending $1 million on YouTube podcast impressions would be losing up to $250,000 in conversion value.
- 50% of respondents said limitations in accessing their full performance data, such as a lack of visibility in measurement, were a blocker to growing investment in podcasting, particularly on YouTube.
Why audio wins: Listening-only formats outperform for a few likely reasons.
- Per the study, podcast listening represents an “intentional lean-in” choice, whereas YouTube videos are often recommended by a discovery algorithm. Audio podcast fans are often repeat listeners with more loyalty to the podcast host.