The Latest: BBC Studios invests in Pocket Casts
By: Tesnim Zekeria
Tags: Journalism, Media, Podcast, Audio, The Latest

The Latest: BBC Studios invests in Pocket Casts

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THE NEWS

Last week, Australian podcasting platform Pocket Casts received a new investment from BBC Studios that will be used to cover operational costs. The podcast player also received new funding from three of its existing owners: NPR, WNYC Studios, and WBEZ Chicago.

SO WHAT?

The podcasting platform space is crowded and competitive. Whereas Apple once dominated the space with over 80% of the market share, its market share dropped to 60% in 2019 according to Libsyn. This drop was driven by 1) audio platforms moving into the podcast space and 2) an increase in podcast player apps like Pocket Casts. (The barriers to entry to building a podcast platform have always been low, as most shows are distributed openly via RSS.)

Today, listeners are noting differences in podcast players, such as unique features, availability on their devices, exclusive content, and familiarity with their parent platform. That said, these differentiators are not mutually exclusive — a podcast player like Spotify can offer both exclusive content and rely on user familiarity with its platform to attract listeners.

Feature-focused podcast players

Pocket Casts is a featured-focused platform. Users can add playback effects, trim silence, and set filters to discover new shows — among many other features. CastBox, another feature-focused player, offers users the ability to conduct in-audio searches. Listeners can search for relevant content without having to rely on title descriptions or channel tags. While these kinds of features may be unnecessary for new podcast listeners, feature-heavy podcast players are likely more appealing to veteran podcast listeners who may have more specific needs.

Not all features are limited to the listening experience itself and may center on revenue models or social sharing. Some podcast players such as RadioPublic are attracting listeners with in-app tipping functions, allowing users to support their favorite shows and hosts. Other platforms have community features: Castbox, for example, launched a social feed on its app last Spring called for listeners and creators. Meanwhile, apps like Breaker and Swoot allow their users to keep up with what their friends are listening to.

Device-based podcast players

For many first-time podcast listeners, device-based podcast players such as Apple Podcasts and Google Podcasts are a more convenient option. When Apple launched its podcast app in 2012, smartphones quickly replaced desktop computers as the most common way to consume podcasts. In 2018, Google launched its standalone podcast app, which now comes pre-installed in every Android phone.

Content-specific podcast players

Some podcasting platforms, such as Luminary and Stitcher, differentiate themselves with exclusive content offerings. In exchange for a subscription fee, users can access premium podcasts from the platform’s network. Other podcasting platforms only offer podcasts within specific verticals: Leela Kids and Pinna, for example, are podcast apps designed exclusively for kids.

Podcast players on existing platforms

Other podcast players have been built on existing platforms such as Pandora and Audible and thus are positioned to draw listeners from the platform’s existing user base. Spotify is perhaps the most prominent example of this, having increased its share of listening to nearly 12% according to Libsyn. Since launching podcasts in 2015, the company has invested heavily in podcasting as part of a strategy to become the “World’s №1 audio platform.” As is the case with device-based podcast players, podcast players that are born out of existing platforms are a convenient option for users who are new to podcasts but familiar with the platform.

Broadcast podcast players such as BBC Sounds, CBC Listen, and the upcoming new NPR app are also leveraging their companies’ historically radio-focused platforms to bring listeners to their podcast offerings. Designed to offer both regular podcasts as well as live radio stations, these apps seek to draw podcast listeners from existing radio audiences.

LOOK FOR

Which platforms will capture the most podcast listening growth. As mainstream platforms such as Apple podcasts and Spotify popularize podcast listening, listeners that started on those platforms may find themselves venturing towards other platforms in pursuit of advanced features. While this places independent podcast players in a unique position, larger platforms like Spotify and Pandora — which are still relatively new to podcasting but perhaps best positioned to draw net new listeners to podcasting — may begin taking cues from smaller podcast players to retain listeners onto their platforms.