The Rise of Podcasts in Marketing: Trend or Transformative Strategy?

Podcasting has moved well beyond a niche medium and is now firmly in the sights of marketers looking for new ways to engage audiences. But as with any emerging channel, the question remains: is it truly a smart investment in 2025/26, or a trendy gamble? Let’s dig into the numbers and practicalities.

What the data says: strong growth, increasing relevance

Recent statistics show that podcasting is growing rapidly- both in terms of audience and advertising investment.

• In Australia, audio advertising (including podcasts) saw an 18% year-on-year increase in spend up to March 2025, reaching AUD $77.3 million.
• Also in Australia, 79% of agencies reported they plan to increase investment in podcast advertising in 2025.
• The broader global podcast audience is sizable: in 2025 there are approximately 584 million podcast listeners worldwide, and over 4.5 million podcasts available globally.
• In Australia, more than 52% of adults reported listening to a podcast monthly in 2025, placing Australia ahead of the UK and not far behind the US.
• On the advertising side in Australia, a Q2 2025 benchmark report found podcast ad spend grew by 20% year-on-year and that brand-awareness campaigns made up 82% of detected ads in that quarter.

These are strong signs that podcasts are gaining traction as a marketing channel. The growth in audience size + growth in marketer investment suggest a rising platform.

Why this trend is “good” for marketing:

There are several advantages that make podcasts appealing to marketers today:

• Engaged audiences: With over half of Australian adults listening monthly, podcasts offer access to a sizeable, engaged demographic.
• Brand-building potential: The Australian benchmark showed that 82% of podcast ads were for brand awareness rather than pure direct response. This suggests podcasts are being used for storytelling, positioning and deeper brand connection.
• Channel diversification: In an era of increasing competition and rising costs in social media and search, podcasts offer a relatively less crowded avenue for reaching audiences who are listening (in cars, on commutes, while exercising) and thus more receptive.
• Growing advertiser sophistication: The uptick in programmatic audio buying (78% of agencies in 2025 expect to buy digital audio programmatically) shows that podcast advertising is maturing from “hey let’s try this” to a more established channel.

Why it might not be ideal – caveats for marketers:

However, some warning flags need to be considered:

• Attribution & ROI clarity: While investment is rising, clearly connecting a podcast ad to conversions and ROI remains more difficult compared to search or social where tracking is highly advanced.
• Scale issues: The high-growth is promising, but not all podcast placements will have massive audiences. The benchmark found average “ad load” (share of content dedicated to ads) in Australian podcasts rose from 6.79% to 7.53% in one quarter. This means advertiser saturation could become an issue.
• Ad fit and listener experience: Because podcasts are often consumed in personal, intimate settings (cars, earbuds), brand-message and show/audience alignment matter hugely. A mis-matched ad can backfire in listener sentiment.
• Channel maturity vs fragmentation: With millions of shows globally, standing out is harder and audiences are fragmented. For a brand, finding the right show with the right audience remains a challenge.

Verdict: A strategic “yes” – with conditions:

For 2025/26, the rise of podcasts in marketing is a good thing, but only if used strategically. The strong growth in investment and audience size show the channel has entered a more mainstream stage. But the many variables- audience fit, measurement, ad load, show choice- mean it isn’t a guaranteed win.

Brands should ask:

• Does the podcast’s audience match our target demographic?
• Are we investing in the right format (host-read, brand story, sponsorship) rather than just a “slot”?
• How will we track impact and learn from this channel over time?
• Are we mindful of the listener’s experience and avoiding over-commercialisation?

In short: when done well, podcasts in can offer strong brand-building, audience engagement and novelty. Done poorly, they risk cost without clear return. For marketers prepared to adopt a thoughtful, metrics-informed approach, the rise of podcasts represents a timely opportunity rather than hype.

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