Calculating Podcaster Payouts
How much is this Job Worth? What can I expect to make!?
The million dollar question – “How much can I make on Wildcast?”
The answer – “It Depends.”
Find out how below!
What Does It Depend On?
Wildcast distributes advertising budgets to podcasters in a way that allows ads to reach smaller, niche audiences that typically wouldn’t be the target of a large ad campaign.
Let’s take a look at the key metrics that go into determining how much a podcaster earns during a Wildcast job:
Estimated Reach Tiers
Through the review of Reach Documentation, in combination with a variety of other factors, Wildcast places each Podcast into a set Estimated Reach Tier or range.
This range gives Wildcast a broad idea of how many listeners / impressions a podcast is likely to obtain for a specific ad placement.
CPM or cost per mille is an advertising metric used to calculate the cost per 1,000 impressions an advertisement receives.
Wildcast opportunities come with a CPM offer that a podcaster can use to determine the maximum potential payout for the specific ad offer. The maximum payout a podcaster can obtain is the the CPM value up until the high end of the offered podcast’s Estimated Reach Tier.
Actual Reach is the reported reach metric the podcaster provides 30 days after the submission of their published episode links. This is the number that determines the Multiplier your CPM offer will receive.
Now that you know the metrics at play, lets check out how the calculations work.
How We Calculate Podcaster Payouts
Let’s say the Hosted podcast has an Estimated Reach Tier of 5,000 – 10,000 listeners.
Hosted accepts an opportunity with a CPM offer of $33.
With an estimated reach tier of 5,000 – 10,000 listeners, the maximum payout that Hosted can earn for this opportunity is $330.
See the equation below:
Maximum Payout = (Estimated Reach Max / 1,000) * CPM Offer
$330 = (10,000 / 1,000) * 33
Hosted can place this ad on any amount of episodes before the job’s publishing deadline in an attempt to achieve the highest amount of impressions possible.
The actual payout will be determined using the Actual Reach number achieved through the podcasters reported ad placement reach:
Actual Payout = (Actual Reach / 1,000) * CPM Offer
Check out the example scenarios below to see how the job might play out in different situations:
Scenario 1: Hosted places the Ad on 3 episodes, and receives a combined 18,000 listeners for the advertisement. The podcaster can receive a CPM of $33 up to 10,000 listeners. Hosted earns the full offered amount of $330.
(10,000 / 1,000) * 33 = $330
Scenario 2: Hosted places the Ad on 4 episodes, and receives a combined 7,450 listeners for the advertisement. The podcaster can receive a CPM of $33 up to 10,000 listeners. Hosted will earn a portion of the offered amount, $245.85.
(7,450 / 1,000) * 33 = $245.85
Scenario 3: Hosted places the Ad on 2 episodes, and receives a combined 3,488 listeners for the advertisement. The podcaster can receive a CPM of $33 up to 10,000 listeners. Hosted will earn a portion of the offered amount, $115.10.
(3,488 / 1,000) * 33 = $115.10
Scenario 4: Hosted places the Ad on 1 episode, and receives 945 listeners for the advertisement. The podcaster can receive a CPM of $33 up to 10,000 listeners. Hosted will earn a portion of the offered amount, $21.28.
(945 / 1,000) * 33 = $21.28
Be sure to check out Your First Wildcast Opportunity for more info on how to complete tasks and get the most out of your Wildcast ad placements!
Why We Do It This Way
If we’re being honest, there is a lot that goes in to budget distribution at this scale.
To sum it up, this is the best way for Wildcast to ensure that budget distribution is fair for both the podcaster AND the advertiser.
Advertisers need to see numbers, and podcasters numbers can be fairly unpredictable. Payouts based on actual reach are what will bring podcast advertising up to speed with the rest of the advertising market.
Wildcast aims to facilitate that growth.
Let’s grow podcasting together.