Spotify today officially announced the information that we anticipated a few days ago: its new era of podcast monetization that has new tools for all content creators. Remember from Spotify that the platform has 345 million monthly listeners And now the goal is to take advantage of that opportunity for creators to monetize their work.
It should be remembered that this information arrives the same day that we have learned that This app will not go up in price in Spain although it will in other European countries.
The way to monetize this podcast content, which begins rolling out today, includes paid subscriptions, Spotify's open access platform, and the addition of independent creators to the Spotify Audience Network. Here we explain each of the news.
This paid subscription platform begins today in the United States and "will expand internationally in the coming months." The creators or podcasters, through Anchor, they can mark their episodes as subscriber exclusive and post them to Spotify and other podcast listening platforms.
For the next two years, This program will be free for the creator and this means that these creators will receive 100% of the income from their subscribers (excluding payment transaction fees). The price is predefined by Spotify, so podcasters can choose whether to charge 2.99; $ 4.99 or $ 7.99 per month. As of 2023, Spotify plans to introduce a fee which will mean that these content creators have to pay 5% to use this tool.
Unlike the new subscription system announced by Apple last week, content creators on Spotify will have the possibility of generating more income since the payment by users will go to the creator. In the case of Apple Podcast it is the company that sets the price of the subscriptions and will keep a percentage of those revenues 30% at the beginning and 15% from the first year.
The paid contents can be found and accessible within Spotify in the same way as any other podcast program. For its launch (for now, remember, only in the United States), The first group of participating creators includes 12 independent podcasters who already have a large audience and acquaintances on the platform. These creators will publish additional content for subscribers only on their current podcast channels from now on.
What's more, Spotify begins today to accept proposals from other creators, with the aim of expanding the program to more creators and other countries in the coming months.
Spotify Open Access Platform
Another novelty announced today is the Spotify Open Access Platform (OAP). It is intended for content creators and publishers who have subscribers through another platform. For these cases, Spotify is working on a technology that will allow those listeners to listen to the content on Spotify from these creators using your existing login system.
Therefore, who have subscribers on other platforms may also offer paid content to your audiences through Spotify and monetize this existing audience.
Spotify Audience Network or audience network to earn money for advertising
At the Stream On event last February, where one of the great novelties was the arrival of Spotify HiFi, the company also announced the Spotify Audience Network (SPAN or Spotify Audience Network), a audio ad marketplace where advertisers of all sizes will be able to connect with listeners that consume a wide range of content. Starting May 1, this audience network will be open to select independent creators through Anchor.
This technology is intended to enable more creators to earn income from their podcasts by offering added value to advertisers, beyond existing podcast advertising solutions that use RSS. The objective is insert advertising in the form of audio within the episodes and, in this way, generate more income, beyond the subscription.