Slow uptake, but podcasts still growing

Podcasting is set for growth, despite the fact that the market has not yet attracted a significant number of users.
According to a report from eMarketer, podcast advertising spend rose from $3.1 billion in 2005 to $80 million in 2006 - despite the fact that even the most popular podcasts rarely achieve more than 500,000 downloads.

"Despite an incessant buzz about the medium, regular podcast users are still rare. As such, podcasting is a niche marketing channel. It may be the right niche for some marketers, but it´s still a niche," senior analyst at eMarketer and report author James Belcher.

Although the number of people who has downloaded a podcast at least once is increasing, the lack of frequency and the large quantity of podcasts on the web - 90,000 - mean that the medium is unlikely to become widespread in the near future.

"In spite of efforts by podcast networks and measurement firms to give it mass marketing appeal, podcasting will remain a niche medium for the foreseeable future," Mr Belcher added.

Despite this, eMarketer forecast recently that investment in podcast advertising will reach $400 million by 2011.
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