Sounds Profitable Podcasts Are Coming to YouTube Music & 3 Other Stories
Mar 2, 2023
12:29
Manuela: This is The Download from Sounds Profitable, the most important news from this week and why it matters to people in the business of podcasting. I’m Manuela Bedoya. Shreya: And I’m Shreya Sharma.Manuela: The Download is brought to you by Magellan AI. Track the trends in spend, ad load, podcasts on YouTube, and more with Magellan AI's advertising benchmark report for Q4, available now. You can find a link in the description or visit Magellan dot AI.Shreya: This week: Podcasts are coming to YouTube Music, Digiday breaks down the Google antitrust case, Podnews publishes a deep dive on podcasting in Japan, and how marketers are looking at Q2. Let’s get started.Podcasts are coming to YouTube Music
Manuela: Since the release of the YouTube Podcasts webpage last year, there has been little in the way of concrete feature announcements from YouTube, leaving some skeptical of Google’s commitment. After all, podcasting has been burned by companies veering away from podcast support at the 11th hour. Last Thursday, during the Hot Pod Summit at On Air Fest, YouTube Podcast Lead Kai Chuck took to announce YouTube is releasing a beta version of podcasting functionality for YouTube accounts, as well as adding podcasts to YouTube Music in the near future. https://www.hollywoodreporter.com/business/digital/youtube-podcasts-1235332624/: “The message that I would hope folks are taking away is YouTube, at large, independent of YouTube Music, is looking to better support podcasters and [recognizes] that podcasting is generally an audio-first medium.” Once implemented, YouTube Music listeners will likely have a comparable podcast listening experience to current offerings with Spotify and Apple. As reported on the https://blog.youtube/news-and-events/youtube-music-premium-80-million-lyor-cohen/ in August, YouTube Music has a subscriber base of around 80 million users split across YouTube Music and YouTube Premium. Not bad, but it pales in comparison to YouTube’s over two billion users. According to Chuck, there are intentions to bridge the gap between the platforms. https://newsletters.feedbinusercontent.com/60b/60b0be3184899cafee144c595c4fee42eb420187.html: “I don’t expect podcasts to only live on YouTube Music, that’s the only way that people consume podcasts on YouTube,” Chuk said. “We expect there to be kind of a back and forth between the two.”Shapiro then says Google product lead for podcasting Steve McLendon gave an explanation of how the feature would ultimately work, describing seamlessly continuing a podcast episode that had been started on a desktop computer watching YouTube to an audio feed while driving home from work. While not directly related to podcasting, another promising audio feature was announced for YouTube last week: https://variety.com/2023/digital/news/youtube-multilanguage-audio-tracks-mrbeast-supercharges-videos-1235533196/. Currently in beta and piloted by popular content creators like Jimmy “MrBeast” Donaldson, the feature will allow creators to upload alternate audio tracks to dub new and existing videos in different languages. If properly supported and implemented, this could have interesting implementations for podcasting in future.In the https://soundsprofitable.com/guide-and-article/how-google-can-earn-our-trust/, Bryan Barletta detailed several ways Google could win back trust from skeptical podcasters and show they’re committed to integrating with the industry. One way mentioned was a commitment to RSS ingestion and integration. While a step in the right direction, Chuck’s announcement didn’t completely deliver this. A quote from Chan’s presentation: “Definitely support for RSS is something we are looking at. I would say, probably initially, we will leverage RSS to make it easier for podcasters to bring shows to YouTube. In terms of future plans, things like that, we’re sort of exploring what should our goal be.” So podcasts are coming to YouTube. Kind of. As Chuck said, the current vision for RSS integration is less integration and more an automatic import to bring the file into YouTube’s ecosystem. Promising steps are being made towards YouTube integrating into podcasting, instead of YouTube turning podcasters into YouTubers who occasionally upload audio elsewhere, but we’re not out of the woods yet.
WTF is going on with the Google antitrust case? Shreya: Back in late January the Department of Justice filed a lawsuit against Google, alleging the search engine giant had created a monopoly in the ad tech market as well. The 155 page lawsuit argues Google has used a combination of ad tech tools like their ad exchange and publisher ad server to corner the market on programmatic ads. https://digiday.com/marketing/wtf-is-the-justice-departments-ad-tech-antitrust-case-against-google/?utm_medium=email&utm_campaign=digidaydis&utm_source=daily&utm_content=230227 collecting together the first three installments of a series of videos explaining the DoJ’s lawsuit, as well as the basic fundamentals of ad tech needed to understand the situation. In general, the crux of the lawsuit centers around Google having a DSP in the form of Display & Video 360, an ad exchange platform in AdX, and a publisher ad server in Google Ad Manager. A tech stack that, if leveraged a certain way, would give preferential treatment to Google’s interests. A quote from the DoJ lawsuit: “By allowing only its own publisher ad server effective access to important, unique Google Ads’ demand, Google could force publishers to adopt and remain on its publisher ad server; other ad servers could not compete to offer a similar product.” The situation is further exacerbated by Google’s sheer size in the adtech industry. According to the lawsuit’s allegations, Google’s market share for ad servers jumped from 60% in 2008 to 90% in 2015. The DoJ cites a 2016 customer presentation in which Google stressed this 90% market share, describing their publisher ad server as the quote-unquote “defacto” choice. Even now, as alleged by the lawsuit, header bidding can’t escape Google’s first-look clauses. From the lawsuit: “Critically, through dynamic allocation, Google’s ad exchange always received this “lastlook” advantage, essentially a right to buy any impression as long as it had at least one advertiser willing to match the competing bid price from the header bidding auction.” Podcasting as an industry has many paths in front of it right now. If we choose to go down a handful of current options available, we might find ourselves in the same situation Digital found themselves in with Google. Let’s hope podcasting doesn’t get to a point where even header bidding can’t break free of one company’s control. It has been said before on The Download and it will be said again: independent third parties are vital for a healthy industry.
Japan: A Podcasting Deep DiveManuela: The first in a series of https://podnews.net/article/podcast-deep-dive-japan was published last week on Podnews. A sequel to January’s https://podnews.net/article/podcast-in-asia-japan, this deep dive examines the driving factors behind an industry-defining podcast (such as Serial), explores Japan’s existing podcast industry, and explores what could be a podcast category driver in Japan to the point of reaching a similar impact to Serial. It’s an uphill battle in Japan, for sure. A snapshot of podcast listener statistics out of the internet population in several countries shows podcasting’s weekly reach is just four percent of the total population in a country with an 83% internet-connected population. For comparison, the same graph’s data for the US shows 26% weekly reach to the population.Some significant barriers to entry do stand in the way of a thriving Japanese podcast industry. Popular commercial radio syndication apps like Radiko undercut the motivation of radio to repackage segments as podcasts, Japan has far stricter content copyright laws than the US, and most how-to guides built for educating new podcast listeners are only available in English. From the article: “But is it all doom and gloom? Not exactly, TBS - Tokyo Broadcasting Station, the first radio broadcaster in Japan is planning to release a large number of new original podcast programs on all the mainstream podcast outlets - which means that they see value outside of Radiko. Covid also encouraged a surge of creators globally, including Japan which means more people are willing to tackle the complicated copyright laws and more people are willing to explain them to creators.” Global podcasting is growing, and as this deep dive shows, some markets remain full of untapped potential with only a few speed bumps in the way of mainstream adoption.
Mixed outlook for Q2, marketers hold hope for second half
Shreya: This week Digiday’shttps://digiday.com/marketing/marketing-briefing-the-outlook-for-q2-is-mixed-but-marketers-hopes-grow-for-a-better-2nd-half/?utm_medium=email&utm_campaign=digidaydis&utm_source=daily&utm_content=230228
Manuela: Since the release of the YouTube Podcasts webpage last year, there has been little in the way of concrete feature announcements from YouTube, leaving some skeptical of Google’s commitment. After all, podcasting has been burned by companies veering away from podcast support at the 11th hour. Last Thursday, during the Hot Pod Summit at On Air Fest, YouTube Podcast Lead Kai Chuck took to announce YouTube is releasing a beta version of podcasting functionality for YouTube accounts, as well as adding podcasts to YouTube Music in the near future. https://www.hollywoodreporter.com/business/digital/youtube-podcasts-1235332624/: “The message that I would hope folks are taking away is YouTube, at large, independent of YouTube Music, is looking to better support podcasters and [recognizes] that podcasting is generally an audio-first medium.” Once implemented, YouTube Music listeners will likely have a comparable podcast listening experience to current offerings with Spotify and Apple. As reported on the https://blog.youtube/news-and-events/youtube-music-premium-80-million-lyor-cohen/ in August, YouTube Music has a subscriber base of around 80 million users split across YouTube Music and YouTube Premium. Not bad, but it pales in comparison to YouTube’s over two billion users. According to Chuck, there are intentions to bridge the gap between the platforms. https://newsletters.feedbinusercontent.com/60b/60b0be3184899cafee144c595c4fee42eb420187.html: “I don’t expect podcasts to only live on YouTube Music, that’s the only way that people consume podcasts on YouTube,” Chuk said. “We expect there to be kind of a back and forth between the two.”Shapiro then says Google product lead for podcasting Steve McLendon gave an explanation of how the feature would ultimately work, describing seamlessly continuing a podcast episode that had been started on a desktop computer watching YouTube to an audio feed while driving home from work. While not directly related to podcasting, another promising audio feature was announced for YouTube last week: https://variety.com/2023/digital/news/youtube-multilanguage-audio-tracks-mrbeast-supercharges-videos-1235533196/. Currently in beta and piloted by popular content creators like Jimmy “MrBeast” Donaldson, the feature will allow creators to upload alternate audio tracks to dub new and existing videos in different languages. If properly supported and implemented, this could have interesting implementations for podcasting in future.In the https://soundsprofitable.com/guide-and-article/how-google-can-earn-our-trust/, Bryan Barletta detailed several ways Google could win back trust from skeptical podcasters and show they’re committed to integrating with the industry. One way mentioned was a commitment to RSS ingestion and integration. While a step in the right direction, Chuck’s announcement didn’t completely deliver this. A quote from Chan’s presentation: “Definitely support for RSS is something we are looking at. I would say, probably initially, we will leverage RSS to make it easier for podcasters to bring shows to YouTube. In terms of future plans, things like that, we’re sort of exploring what should our goal be.” So podcasts are coming to YouTube. Kind of. As Chuck said, the current vision for RSS integration is less integration and more an automatic import to bring the file into YouTube’s ecosystem. Promising steps are being made towards YouTube integrating into podcasting, instead of YouTube turning podcasters into YouTubers who occasionally upload audio elsewhere, but we’re not out of the woods yet.
WTF is going on with the Google antitrust case? Shreya: Back in late January the Department of Justice filed a lawsuit against Google, alleging the search engine giant had created a monopoly in the ad tech market as well. The 155 page lawsuit argues Google has used a combination of ad tech tools like their ad exchange and publisher ad server to corner the market on programmatic ads. https://digiday.com/marketing/wtf-is-the-justice-departments-ad-tech-antitrust-case-against-google/?utm_medium=email&utm_campaign=digidaydis&utm_source=daily&utm_content=230227 collecting together the first three installments of a series of videos explaining the DoJ’s lawsuit, as well as the basic fundamentals of ad tech needed to understand the situation. In general, the crux of the lawsuit centers around Google having a DSP in the form of Display & Video 360, an ad exchange platform in AdX, and a publisher ad server in Google Ad Manager. A tech stack that, if leveraged a certain way, would give preferential treatment to Google’s interests. A quote from the DoJ lawsuit: “By allowing only its own publisher ad server effective access to important, unique Google Ads’ demand, Google could force publishers to adopt and remain on its publisher ad server; other ad servers could not compete to offer a similar product.” The situation is further exacerbated by Google’s sheer size in the adtech industry. According to the lawsuit’s allegations, Google’s market share for ad servers jumped from 60% in 2008 to 90% in 2015. The DoJ cites a 2016 customer presentation in which Google stressed this 90% market share, describing their publisher ad server as the quote-unquote “defacto” choice. Even now, as alleged by the lawsuit, header bidding can’t escape Google’s first-look clauses. From the lawsuit: “Critically, through dynamic allocation, Google’s ad exchange always received this “lastlook” advantage, essentially a right to buy any impression as long as it had at least one advertiser willing to match the competing bid price from the header bidding auction.” Podcasting as an industry has many paths in front of it right now. If we choose to go down a handful of current options available, we might find ourselves in the same situation Digital found themselves in with Google. Let’s hope podcasting doesn’t get to a point where even header bidding can’t break free of one company’s control. It has been said before on The Download and it will be said again: independent third parties are vital for a healthy industry.
Japan: A Podcasting Deep DiveManuela: The first in a series of https://podnews.net/article/podcast-deep-dive-japan was published last week on Podnews. A sequel to January’s https://podnews.net/article/podcast-in-asia-japan, this deep dive examines the driving factors behind an industry-defining podcast (such as Serial), explores Japan’s existing podcast industry, and explores what could be a podcast category driver in Japan to the point of reaching a similar impact to Serial. It’s an uphill battle in Japan, for sure. A snapshot of podcast listener statistics out of the internet population in several countries shows podcasting’s weekly reach is just four percent of the total population in a country with an 83% internet-connected population. For comparison, the same graph’s data for the US shows 26% weekly reach to the population.Some significant barriers to entry do stand in the way of a thriving Japanese podcast industry. Popular commercial radio syndication apps like Radiko undercut the motivation of radio to repackage segments as podcasts, Japan has far stricter content copyright laws than the US, and most how-to guides built for educating new podcast listeners are only available in English. From the article: “But is it all doom and gloom? Not exactly, TBS - Tokyo Broadcasting Station, the first radio broadcaster in Japan is planning to release a large number of new original podcast programs on all the mainstream podcast outlets - which means that they see value outside of Radiko. Covid also encouraged a surge of creators globally, including Japan which means more people are willing to tackle the complicated copyright laws and more people are willing to explain them to creators.” Global podcasting is growing, and as this deep dive shows, some markets remain full of untapped potential with only a few speed bumps in the way of mainstream adoption.
Mixed outlook for Q2, marketers hold hope for second half
Shreya: This week Digiday’shttps://digiday.com/marketing/marketing-briefing-the-outlook-for-q2-is-mixed-but-marketers-hopes-grow-for-a-better-2nd-half/?utm_medium=email&utm_campaign=digidaydis&utm_source=daily&utm_content=230228