Podcasts are in trouble

You know how podcasts all seem to have the same sponsors? You know how they’re all those “direct-to-consumer” brands? I’d heard when Casper wanted to go public that at least Casper was in trouble, but it looks like it’s an endemic (?) problem with most DTC brands. 

Why? Venture capital. The investors are demanding huge returns, and that’s moving the companies away from sustainable business models around their original missions and turning them into much more complex - and risky - beasts, with the hope that one of those beasts will be a unicorn. (I’ve railed on venture capital before here.) 

Here’s the most damning quote from an interesting and thorough article on the subject from Medium:

“The economics work better if Casper sent you a mattress for free, stuffed with $300,” jabbed NYU Stern marketing professor and tech doomsayer Scott Galloway. 

That’s not good. They’re hemorrhaging money. And it’s clear Casper isn’t alone. They’re just the one who had to show us their finances. 

And when the venture capitalist marketing cash dries up, I can think of one medium in particular that’s gonna feel it: podcasts. 

Borrowed time, man. You podcasters are on borrowed time.