Netflix Bets on Video Podcasts for Creator Growth
Netflix has always been a disruptor, revolutionizing the TV and film industry over the past two decades. Now, as it faces increased competition and the evolving nature of content consumption, the streaming giant is setting its sights on video podcasts—a market dominated by YouTube but rich with potential for both content variety and ad revenue.
The Rise of Video Podcasts
Podcasting has evolved far beyond its audio roots. Today, video podcasts, or "vodcasts," are a major force in content consumption, particularly among younger audiences. Edison Research found that by the end of 2024, 89% of Gen Z podcast listeners watched their podcasts in video form. YouTube has capitalized on this trend, surpassing Spotify and Apple as the leading podcast platform, with 400 million hours of podcast content streamed on TVs in 2024 alone.
Recognizing this shift, Netflix is exploring deals with prominent podcasters to expand its content library. The company previously held discussions with Alex Cooper of Call Her Daddy fame before she signed a massive $125 million deal with SiriusXM. Now, Netflix is looking for other high-profile creators to bring their shows to its platform.
Why Video Podcasts Make Sense for Netflix
Netflix has traditionally focused on scripted and unscripted programming, but producing high-quality TV shows is expensive. In contrast, video podcasts offer several advantages:
- Lower Production Costs – Unlike traditional TV series, podcasts require minimal production expenses, making them an efficient way to generate consistent content.
- Recurring Engagement – Podcast audiences are highly loyal, tuning in regularly for new episodes. This habitual viewing behavior aligns well with Netflix’s goal of maximizing user engagement.
- Advertising Potential – With Netflix expanding its ad-supported subscription tier, video podcasts provide an opportunity to introduce more ad inventory without disrupting premium content.
Jessica Cordova Kramer, cofounder of Lemonada Media, envisions a future where Netflix offers both audio and video podcasts, creating an all-in-one entertainment hub. This move could keep users within the platform longer and attract new subscribers who are already consuming video podcasts elsewhere.
The Competitive Landscape
Netflix isn’t alone in recognizing the power of video podcasting. Other streaming services have already ventured into talk-based digital content:
- ESPN signed Pat McAfee, bringing his sports-focused podcast to its platform.
- Hulu picked up Hot Ones, a YouTube-born interview series featuring celebrities eating spicy wings.
- Max created Smartless: On The Road, based on the popular podcast hosted by Jason Bateman, Will Arnett, and Sean Hayes.
If Netflix successfully integrates video podcasts into its platform, it could start competing with YouTube for creator-driven content—an area where YouTube has long dominated.
What Could a Netflix Video Podcast Strategy Look Like?
Industry insiders suggest multiple approaches Netflix could take:
- Licensing Existing Podcasts – Similar to how Netflix acquired The Amazing Digital Circus from YouTube, it could bring well-known video podcasts onto its platform without exclusivity.
- Exclusive Podcast Shows – Netflix might create original content around top podcast personalities, mirroring Max’s approach with Smartless: On The Road.
- Time-Limited Exclusivity – A hybrid model could see Netflix securing exclusive distribution for a set period before podcasts are made available on YouTube or other platforms.
- Ad-Free Premium Podcasts – To differentiate from YouTube, Netflix could offer an ad-free experience for premium subscribers.
Challenges and Opportunities
One of the biggest hurdles for Netflix is securing top-tier talent. Many of the most popular podcast hosts—like Alex Cooper, Dax Shepard, and the Smartless crew—have already signed exclusive deals with competing platforms. However, Netflix still has opportunities to tap into emerging talent or build its own creator ecosystem.
Additionally, the integration of video podcasts could pave the way for Netflix to introduce a free, ad-supported tier—a move that could significantly expand its audience and compete directly with YouTube’s open-access model.
The Future of Netflix’s Creator-Driven Content
While Netflix isn’t aiming to replace YouTube, it could carve out a unique space by offering high-quality, curated podcast content alongside its existing entertainment library. As more streamers look to secure deals with podcast creators, the industry is poised for a new phase of expansion.
The question is no longer if Netflix will embrace video podcasts, but how aggressively it will pursue this opportunity. If successful, Netflix’s push into podcasting could mark another major shift in the streaming world—just as it did with original series, interactive content, and gaming.
One thing is certain: the competition for digital content dominance is far from over, and Netflix is gearing up for its next big move.
