Podcasting delivered a standout performance in 2024, growing 26.4% year-over-year to reach $2.43 billion in revenue and outpacing all other measured platforms except social media in the IAB’s 2024 revenue report, signaling renewed advertiser confidence in audio.
Yet there’s still plenty of room for improvement, as podcasts still account for less than 1% of all digital advertising revenue.
The IAB Internet Advertising Revenue Report: Full Year 2024, conducted by PwC, shows that total US internet ad revenue hit $258.6 billion in 2024, a 14.9% increase over 2023 and the highest growth rate since 2021. While search remained the top revenue driver at $102.9 billion, categories like social media, retail media, and digital video also showed notable gains.
Mid-tier publishers, which include many podcast and streaming audio platforms, saw the largest share growth.
Looking ahead, IAB’s report outlines key trends reshaping the media landscape in 2025, with several implications for audio. AI-driven ad automation is evolving from basic tools to generative and autonomous systems capable of managing entire campaigns. Meanwhile, the creator economy is shifting toward long-term partnerships across multiple platforms, including podcasting and newsletters, offering new monetization streams for audio talent.
In the face of increasing regulatory scrutiny, the industry is embracing first-party data and consent-based tools, areas where direct-to-listener services like audio are well-positioned to thrive.
Streaming’s convergence with traditional media continues to impact audio as well. Programmatic connected TV growth parallels advances in self-serve podcast and streaming ad platforms, giving brands greater control and flexibility in audio ad buying.
CTV and OTT sales remain among the strongest areas for radio sellers in 2025, according to BIA Advisory Services. The firm projects $171 billion in local media revenue this year, with traditional AM/FM expected to decline by 1.6%. However, digital ad growth – particularly in OTT and Connected TV – is forecast to rise 21%, surpassing $2.8 billion in U.S. spending and offering a path for radio to recapture revenue.
The full Internet Advertising Revenue Report for 2024 is available via IAB.
I’ve always believed podcasts are one of the most engaging formats out there. Awesome to see ad revenue finally reflecting that! Can’t wait to see how the space evolves with AI and better tools for creators.