This week on the Sounds Profitable Deep Dive, Bryan Barletta is joined by Veritonic Client Success Engineer Chase Bernhardt to tour the Veritonic Attribution platform. Tune in to see how Veritonic Attribution allows clients to measure success, improve upon, and find the best fits for their campaigns.
Earlier this year, the Audio Publishers Association released the results of their annual consumer survey, something I have been privileged to work on for the last decade. Among the key findings were the follow spicy meatballs:
- The percentage of Americans 18+ who have ever listened to an audiobook is now 45%, up from 44% in 2020.
- Membership in audiobook services increased, with 41% of listeners indicating they subscribe to at least one such service.
- The overall share of time spent listening to audio (Share of Ear) for audiobooks has grown 106% since 2017. Daily audiobook listeners spend more time listening to books than any other form of audio (radio, podcasts, etc.).
- Daily reach of audiobook consumption has grown 94% since 2017.
- Daily audiobook listeners spend 2+ hours more per day listening to audio content than the general population (6:34 vs 4:11).
While the current renaissance of talk/personality driven audio is largely being driven by podcasting, audiobooks are not merely a passenger on this ride – they, too, are an important driver of the total time spent listening to audio (audiobook consumers are among the very best consumers of audio in general) and continued innovation and increasing quality is driving the consumption of both to such an extent that American’s overall audio consumption has shifted from 20% talk/80% music in 2014 to 29% talk today. And the “stickiness” of audiobooks and the time and attention they command is certainly a driver behind Spotify’s interest in the space, which has certainly created a little friction in the process, as the New York Times reported a couple of weeks ago.
This is not a stat to take lightly–most Americans mostly listen to mostly music (say that three times fast) and such grand shifts in behavior aren’t common. With the amount of time we spend listening to audio relatively unchanged over that period of time, that means that it isn’t just that spoken word audio has grown as audio has grown–it’s actually more of a zero-sum game than that. But what we have clearly seen over the last five years is a mix of content innovation AND business model innovation that has led to both audiobooks and podcasting growing in reach and frequency of listening.
There are plenty of people who do one or the other, of course, but there are enough who listen to both to make some interesting observations about their intersection. For many of those people, podcasts are where they turn to learn something new, while audiobooks are what they listen to for relaxation. But does it need to be that way? Is there something endemic to the format of either that dictates these perceptions? I don’t think so. Instead, I think the two mediums will continue to cross-pollinate each other, and maybe even create A Third Thing.
When I was an undergrad at Tufts, I took a course called “The Literature of Chaos,” which was an exploration of existential literature (the works of Camus, Sartre, Beavis, Butthead–you know, the classics.) I can’t say that many of those authors stayed with me over the years, save one: Jorge Luis Borges. I think I was a sophomore with a heavy class load when I took this course, so I probably initially gravitated to Borges because his ficciones were short. Borges wrote what I suppose you would call short stories, but in reality, they were their own dog–a literary vehicle entirely of Borges’ creation. The stories of Borges were not exactly between a short story and a novel, they hovered over them…a Third Thing.
Jorge Luis Borges at his office, Argentine National Library, 1973
The style Borges developed is a great example of the power of constraints, I think. As a child in Argentina, he became extraordinarily well-read in both Spanish and English, and by the time he was a young man he had complete command of the masterworks of both literature and philosophy. He also had horrible eyesight. By the time he hit 30, his myopia and cataracts had become so bad that he was having terrible accidents. After a couple of good whacks to the head from bad falls, he suffered a detached retina in his “good” eye, and that was it–Borges was blind.
His entire career was based upon reading and writing literature, and in the middle of his life, he lost the ability to do either in the same way again. He never learned to read Braille, instead relying on his mother and some hired help to read to him and transcribe his dictated words. And this new constraint contributed to something truly marvelous. Imagine that everything you knew about literature came from reading Shakespeare, or Tolstoy, but then in the middle of your career you had to switch from reading War and Peace, to having it read to you.
Let me tell you–I love audiobooks, and have worked with the Audio Publishers Association, Audible, and others in the space for years. There is no freakin’ way I am listening to 61 hours of War and Peace. Now imagine trying to conceive and write War and Peace without ever putting pen to paper. If Tolstoy had written War and Peace under the same conditions that Borges wrote Ficciones, I highly doubt it would have been 587,287 words long.
Instead of writing the kinds of long novels he had studied as a younger man, he simply imagined that they already existed, and wrote short pieces about “encountering” these imaginary works as if they had, in fact, been written. Not quite short story, and certainly not the CliffsNotes of a book, but an entirely different experience altogether. Borges himself described the process like this:
“The composition of vast books is a laborious and impoverishing extravagance… A better course of procedure is to pretend that these books already exist, and then to offer a resume, a commentary… More reasonable, more inept, more indolent, I have preferred to write notes upon imaginary books.”
My favorite of these short works was the story “Tlön, Uqbar, Orbis Tertius,” which told the story of the lost country of Uqbar, and the fantastical stories of the world of Tlön that made up Uqbar’s mythology. Tolkien would have turned the stories of Tlön into a trilogy of novels and probably six movies, but as dictated by Borges, Tlön, Uqbar, Orbis Tertius was just 5,600 words long (or about twice the length of my average newsletter, which doesn’t say much for my editing prowess.)
I bring Borges up because I am fascinated by “the third thing,” as I am calling it here. I get to work with both podcasting companies AND audiobook publishers, and it’s my job to help each of them understand their audiences. The streams of both industries have been crossing for some time now–I mean, what was S-Town but an audiobook that was brought to you by Blue Apron instead of purchased using a credit on Audible? And just as “Tlön, Uqbar, Orbis Tertius” was not the story of Uqbar, but the story of Borges excavating the story of Uqbar– so too was S-Town the story of its author, Brian Reed, encountering the story of S-Town. You get a similar sense from Audacy/Pineapple Street’s podcast Stay Away From Matthew MaGill, which starts out as the story of Matthew MaGill, but is really the story of Eric Mennel, the journalist excavating MaGill’s life.
We think we know what a podcast is. And we think we know what an audiobook is. Are we sure? I’ve done a lot of qualitative interviews with people who are either new to podcasting, or have only heard of it but not sampled the wares. You know what they tell me a podcast is? That’s right, “an audio enclosure in an RSS feed.” Just kidding. No, to many, a “podcast” is simply someone sharing their opinion about something. That’s the form to which they have been exposed, in some way, and that has informed their received wisdom about the medium. A podcast is just some person with a mic and an opinion. I suppose S-Town and Matthew MaGill are, at their heart, some dude with a mic and an opinion (and a Winnebago full of production staff), but I am sure we can all agree that podcasting continues to push those boundaries. Podcast producers are learning from all sorts of sources–the audiobook industry, the radio industry, even TV–and the medium is continuing to evolve.
The audiobook industry, too, is learning from podcasting. We are starting to see more original, “straight to audio” works. More short audiobooks (under three hours) are being made available and becoming popular. Audible’s production of West Cork sits right at the intersection of everything that the marriage of an audiobook and a podcast could be–the audio design, production, and storytelling “container” of a podcast, but the structure and narrative arc of a great novel. Is it a podcast? An audiobook? Your answer might change depending on where you listen to it, or how it’s monetized.
I think there is still great innovation possible in the audiobook space–potentially disruptive innovation. Audiobooks continue to largely be the narration of art that was made to be read, not heard. We buy audiobooks because we enjoy the convenience of being able to enjoy a book while we are driving or doing chores, because we enjoy the prowess of a great narrator, or even so that we can finish a “book” more quickly by squeezing it in to parts of our day where we couldn’t exactly read.
But a book in its native form was written for the eye, not the ear. Shortly after I finish this newsletter, I will record the podcast version of it, and I will stumble across dozens of things that I wrote, but wouldn’t say. And I will change them, or I won’t, in the moment, which is not a luxury most audiobook narrators have. Sure, go ahead and edit Sue Grafton on the fly, Mr. “N is for Narrator.”
That’s why I think the fact that Malcolm Gladwell has turned into a pretty good podcaster is potentially such an important thing for the audiobook industry–the audio version of The Bomber Mafia, for instance, isn’t simply a book with additional audio interviews. It was written to be spoken, and I hope more writers follow suit and really rethink the audiobook as more than just a narration of their written word. Most writers don’t think, or write, like podcasters. What scanned so well on the page can suddenly feel stilted or turgid when read aloud. Just writing “stilted or turgid” feels stilted and turgid. You can see why Borges just skipped to the good parts in his stories. Traditional exposition just doesn’t work orally any more than it does in TV or the movies.
But it’s nonfiction that I think could spark the most innovation. Personally, I am not a consumer of business audiobooks, for example–my learning preference is text. I am someone who juggles a few books at once, and if I am reading a business book that I have to put down for a while, I can easily pick back up where I left off because I can scan back a little to pick up the context before plowing into a new chapter.
With an audiobook, you can’t do that. You just pick up–mid-sentence, sometimes–and have to immediately contextualize what you are are hearing now with what you can recall from prior listening sessions. But think about what a podcast does with that same content–it’s broken up into chapter-like episodes, yes, but each episode has an intro that catches you up, and also an outro that teases what is to come. Sometimes there are even mid-episode breaks (brought to you by BetterHelp) with more helpful staging and contextualizing. Even if it has been a month between episodes, these mechanics enable the listener to pick up with any episode in the middle of a narrative arc and very quickly be able to get back into the flow. Why couldn’t audiobooks do the same thing?
As far as what podcasting can learn from audiobooks–plenty. Let’s start here: people pay for audiobooks. In a world in which consumers get all-you-can eat movies on Netflix and all-you-can-eat music on Pandora and Spotify, audiobooks have retained their value for publishers and authors. While we can check audiobooks out of public libraries, the latest John Grisham audiobook commands the same list price as the hardcover book, or at the very least one of a finite number of credits from a monthly audiobook subscription service like Audible. In a world where streaming music artists make pennies a song, and podcast industry experts question whether or not any kind of subscription model could work, audiobooks keep chugging along, selling individual titles, and providing value to listeners and creators alike.
And so I come back to the Third Thing: the thing that is crafted with all of the creative force of the novelist or biographer, but designed from the ground up to be heard–not just through sound design, but packaged for easy episodic consumption, and written to be heard, not read. The thing that we can easily listen to like a podcast, but that we pay directly for, like a movie rental. It might be windowed, or even priced differently over time, like movies are. It resists the “lean-forward” bias of the podcast, or the “lean back” perception of the audiobook. The third thing is not the audio version of a book, nor is it the transcription of a podcast. It is the atomic unit of the core idea or story (my wife, Tamsen, would call it The Red Thread) produced from scratch one way for the eye, and another completely different way for the ear.
For example, while I am a heavy consumer of audiobooks, never in a million years would I listen to an audiobook version of my behavioral economics hero, Daniel Kahneman, read Thinking Fast and Slow. That’s just not how I (personally) am going to process that book. But surely a ground-up reimagining of that work for audio consumption could be created that sounds like a podcast, but conveys the full force of Kahneman’s Red Thread in a format more conducive to the oral tradition than simply reading the book aloud. You get the idea.
This is more than listener-driven innovation. It’s idea-driven innovation: the real work of building the Third Thing.
Market Insights with Magellan AI
This week we are highlighting the podcast industry as a whole and comparing how spending rates in Q3 compare to Q2. This is a metric that we publish quarterly in our benchmark report and helps us track the growth of the industry.
Between Q2 and Q3 podcast spending increased by 2.6%. Digging into the numbers a little further we can see that there was a drop off in July, but spending picked back up in August and September. Looking forward to next quarter we expect to see additional growth since overall spending typically peaks in Q4, with many brands running holiday campaigns.
Interested in more insights like this? Download the Q3’22 Podcast Advertising Benchmark Report for a full analysis
Anatomy of an Ad with ThoughtLeaders
Sponsoring brand: Reliefband
Where we caught the ad: Heather Dubrow’s World
Who else has sponsored this podcast? GreenPan, Airmed, ZocDoc, Vegamour
Where else has this brand appeared? The Matt Walsh Show, Welcome to the OC, Bitches!, Behind the Velvet Rope, Relatable with Allie Beth Stuckey
Why it works: We’ve said it once and we’ll say it again – adding a personal anecdote to ad-reads really helps the listener connect with the product. In this case, Heather Dubrow shared that she is sensitive to nausea pills and she was on the market for something that would help with her motion sickness (especially because she travels a lot). The host also mentions that she tried a variety of other products and nothing worked as well as Reliefband’s products. In order to make sure that this ad-read doesn’t only connect with those suffering from chronic nausea, Dubrow adds “quickly relieve and effectively prevent everything from motion sickness, anxiety migraines, hangovers, morning sickness, and chemotherapy.”