Website Closers® presents an eCommerce business that’s done exceptionally well in the highly profitable field of podcasting, a service now enjoyed by more than 155 million Americans.
Providing outsourced podcast production services to clients that range from individuals to large businesses, the company has found itself facing very limited competition in this niche field, at a time when the global podcasting industry is now worth $11 billion and growing fast.
In the past 4 years, the company’s client base has not only increased but served as their main marketing source, providing the company with a steady stream of word-of-mouth referrals that have enabled them to budget exactly zero for their marketing.
However, the introduction of an advanced digital marketing plan would clearly send this company’s profitability soaring, since podcasting has become enormously popular in a multitude of ways, including among people eager to learn something new, businesses who view it as a potent new marketing tool, and schools that use podcasts to teach students. The technology behind podcasting is only becoming more and more advanced each year, something this company has demonstrated through its work.
So how did this company rise up so quickly, to the point where they are now averaging 55% net margins and have a Customer Lifetime Value of $18,000+? The company’s history is connected to the recent growth of the podcasting industry, which soared during the start of the pandemic in 2020 as more people were spending time at home, and has only become even more popular since then.
Their services appeal to a wide audience. The company provides its clients with a podcast production done remotely so it can be recorded anywhere by this brand’s USA-based production crew, and clients can choose between an audio or video podcast. They also get assigned a producer to review their show and provide them with a recording schedule.
This has proven to be popular with a wide cross section of clients. They include CEOs of top companies and podcast influencers. In addition, their services have attracted non-profit agencies, business executives, athletes, and motivational speakers.
Since many podcasts earn their revenue through subscription fees, this brand has done the same, creating a recurring revenue model for clients who stay on long term.
This is a particularly appealing business model because this turn key operation has steady cash flows each month with very low expenses. The current owner spends just 1-3 hours per week operating this business, focusing mainly on business strategizing, negotiating with vendors, and getting updates from the management team that includes a director of operations, supervising producer, podcast producer, and sales and talent producer, who are handling all daily tasks.
They generate strong long-term contracts. Sales are generated mainly from this brand’s podcasting production service, although they are starting to attract a higher percentage of revenue from additional services, including booking guests for podcasts, social media distribution, and editing and postproduction work on the individual episodes.
Their podcast production services range in price from $1,5000 to $7,000 per month, depending on how many episodes they produce and how long each episode is. With the average lifetime value of their client base now exceeding $18,000+, they are growing steadily each month, and more and more clients opt to continue their services.
Many are choosing their $2,500 per month package, and as more do, that will increase their ALV in the coming months.
Only one or two employees are needed for each production.
This business is ready to scale fast. This is an operation with all the processes in place for it to scale into a much larger organization.
Their marketing has been quite effective and requires no budgeting. The company now has plenty of video testimonials from satisfied clients, and those referrals (posted on their website) are providing the company with strong word-of-mouth referrals that are driving sales higher. Today 20% of their new clients come from referrals.
The company also has an effective email marketing campaign, with a newsletter that gets sent out to the 2,000+ subscribers in their email database.
That gives the company enormous opportunities to scale. That could include hiring a sales team, making regular appearances at trade shows and other industry events, and boosting their digital marketing plan.
Contact Website Closers today to find out how this company is ready to broadcast its success to a much wider international audience. While the company now posts regularly on LinkedIn, there are opportunities on plenty of additional social media sites to help them connect with a larger audience, particularly since there’s so much interest in podcasting today.
The company has a major option though an international expansion. Any country would be accessible to their podcasting services, as long as the foreign client has the staff in place to support their podcasting work.
The company additionally benefits by having very low competition. They provide a specialized service in a fast-growing vertical. For a buyer, this is a golden opportunity to take over a business at the tipping point of significant growth.
