Industry experts gathered in Austin this week to educate and inspire. Here are ARM’s key takeaways.

The podcast ecosystem has grown considerably since the early 2000s, largely fueled by podcast advertising. Today, 100 million Americans listen to podcasts each week.

From its influence on culture to its potential as an advertising channel, the significant impact of podcasting took center stage at SXSW 2025. Across sessions, we witnessed tremendous enthusiasm for new technologies and strategies that support creativity in the medium.

ARM has focused on podcasting for over a decade, and we are thrilled that Gretchen Smith, ARM’s Vice President of Media, was on site to share ARM’s perspective on the future of podcast advertising. Here are three takeaways.

Takeaway #1: Goodbye, Measurement Fears

Since podcast advertising’s inception, marketers have had persistent questions about its reach, efficacy, and safety. By now, however, many brands have seen that ad tech and tools have addressed these qualms. They’ve also witnessed podcast ads’ performance throughout the funnel. Yet, for many others, the measurement question lingers.

Insights from this year’s SXSW showed that those fears are unwarranted. Experts at the event pointed to the ubiquity of pixel-based tracking as producing podcast ad measurement that is just as reliable as ads on Facebook, Google, or other digital channels. Pixel-based attribution now allows for comprehensive tracking, IP matching, real-time data, and full journey monitoring. We also got a sneak peek at a tool from our friends at Magellan that provides detailed audience over-indexing data across shows, enabling a deeper level of targeting. From planning to attribution, podcasts now have accurate, reliable, and comprehensive methods for measuring campaign impact.

Takeaway #2: It’s Time to Diversify

For maximum ROI, brands should be thinking expansively about their podcast ad placements. When they focus only on one or two shows—or limit themselves to traditional podcasts instead of tapping into emerging formats like video podcasts—they miss out on big opportunities.

One area is the once-avoided “third-rail” category of news and politics. "Politics is now culture,” was a message that echoed throughout SXSW, especially at the DailyWire/Pod Save America panel. The lines between news, politics, and general cultural content are blurring. Brands with strict "no news/no politics" rules may struggle to scale as listeners return to this content in droves, a topic we've been discussing with our clients at ARM for some time.

It’s also time for brands to diversify formats and think beyond host-read ads on top shows. While those spots remain important, brands should also leverage data-driven solutions to target audiences via programmatic placements, to find authentic niche creators to partner with, to explore the potential of video podcasts (more on that below!), and to seek out activations including product placement, branding, and even live events.

Based on ARM’s observations from the ground floor of podcast advertising, brands that diversify their buying strategies, content, and ad formats outperform the rest.

Takeaway #3: We’re Watching Podcasts

Sure, podcasts are an audio-first medium, but the possibilities for what a podcast can be have expanded over the last several years. Consumers are receptive, with YouTube recently announcing a new milestone: it now has more than 1 billion monthly viewers for podcast content. In 2024, users tallied 400 million hours of podcast viewing on living room devices, further underlining podcasts' rise to prominence as mainstream entertainment.

Video is a natural complement to audio, allowing creators to give fans a new way to experience their content. Fueled by YouTube’s discovery algorithm and new ad inventory, video podcasts are now an essential piece of any advertising campaign. Savvy brands are taking advantage: Last year, podcast ad campaigns with a visual component increased by 23%.

The Bottom Line

SXSW panels reaffirmed trends that ARM has been monitoring for the last several years. Podcasting continues to increase in popularity, both as a mainstay for consumer entertainment and as a marketing channel. It isn’t a flash in the pan. Podcasting has evolved and changed with culture, establishing itself as essential for the average American moving through their day. Today, podcast advertising is reliably measurable, offers diverse advertising opportunities, and increasingly leverages the power of the visual.

It’s time to embrace a forward-looking podcast ad strategy because one thing is certain: podcasting continues to evolve. The future is bright for brands ready to adapt and innovate alongside the medium.