The company paid $100M for Joe Rogan's show, $60M for Alex Cooper's "Call Her Daddy", and $200M for Bill Simmons' "The Ringer" network. ![]() The best of the best have massive fan bases, and you have to pay up for quality. All-star podcasters are in the same cohort as professional athletes, media personalities, actors, and artists. Spotify has shelled out hundreds of millions to sign top talent to exclusive deals. If you own the content, you own the audience. The platforms with the most popular podcasts will have pricing power in this growing market, and Spotify has positioned itself accordingly. Apple's market share fell from 26% to 22% between July 20, while Spotify's jumped from 15% to 20%. Spotify and Apple ( AAPL) are the dominant players in this sector, and Spotify has been gaining on Apple. The graph below shows how quickly podcasting ad revenue has grown, and PWC estimates that ad revenue will jump from $860M in 2020 to $1.7B by 2024. With a young, expanding consumer base, the podcast market has a massive runway for growth. 47 for radio and 57 for network television, and 49% of 12 - 34 year olds listen to a podcast at least once a month. The average podcast listener is 35 years old vs. ![]() Popular podcasts such as The Joe Rogan Experience and Call Her Daddy have millions of weekly listeners, and their audiences are young, educated, and open to advertisements. There are podcasts for every conceivable topic: investing, foreign language, pop culture, sports, religion. Over the last decade, podcasting has grown from a small audio niche to the premiere destination for education, entertainment, and conversation. With the company posting fantastic engagement numbers and expanding margins, the bull case for Spotify is strong. Spotify bought exclusive rights to several top podcasts, built an environment to help content creators further monetize their shows, and joined the live audio space in the last year. Spotify ( NYSE: SPOT) has long been the king of music streaming, but it is now taking aggressive steps to dominate the podcasting market too. ![]() Sony Alpha User/iStock Editorial via Getty Images Summary Travel the world to capture moments and beautiful photos.
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