When you have a podcast, you can earn extra revenue by advertising products, services, and brands on your episodes. If you’re a company, you can reach more customers by urging podcasters to advertise your offerings. These partnerships are a great way to make a profit for both parties, but navigating these types of transactions can be tricky.
To ensure that everyone performs their responsibilities and receives what they’ve been promised, you’ll need a podcast advertising contract. But, what is it, and what are the advantages of having it? Here’s all you need to know.
What Is an Advertising Contract for Podcasts?
In general, an advertising contract is a document that outlines the extent of a relationship between two parties: the business that wants to advertise and the place where the ad will be placed or shown. In the case of podcast advertising contracts, it’s the platform where the advertisement will be heard. That’s the podcaster’s channel and episode.
A podcast advertising contract usually covers the responsibilities and expectations of both the podcaster and the business. It also outlines how many minutes of airtime is dedicated to the advert, goal engagements, and how copyright is approached. These are just a few things the contract can contain.
What Should Be in a Podcast Advertising Contract?
Here are a few important parts that a podcast advertising contract should have. Keep in mind that you can add more clauses as you require.
- Names of the Parties and Date: This details who is placing the ad and who is airing it on their podcast.
- Scope of Advertising Work: For this section, you’ll define the kind of advertising work that needs to be delivered as well as the responsibilities of each party.
- Costs and Expenses: This section outlines all payment details for the transaction, such as amounts and timeframes.
- Copyright and Intellectual Property: In this part, each party will define all matters revolving around assets and intellectual property related to the advertising work.
- Timeline: This clause provides the timeline of the advertising work, especially if it’s an open-ended transaction or a month-to-month campaign.
Benefits of Having a Podcast Advertising Contract
1. Protects All Parties
Whether it’s fraud or leaks of confidential information, an advertising contract is a great way to protect both parties from various issues. If either one does something that’s illegal or deceitful, this binding legal agreement will be there to hold them liable.
2. Work Within a Budget and Timeline
Having a contract that clearly outlines the budget and timeframe for the advertising work helps all parties. This is a way to align schedules and set expectations for both business and podcasters.
3. Formalizes Relationships
As a podcaster, you might do a favor for a friend and advertise their new startup or product. This can get tricky if you agree with only a handshake or a simple verbal exchange. A contract helps make things more “official” in some sense. For business, it’s how you can build strong partnerships within this niche and reach a new type of audience.
4. Helps You Increase Your Revenue
If you’re a podcaster with a strong following or a big channel, then a contract is a great opportunity to negotiate your rates. You’ll have a bigger sway on how much you’re compensated for a few seconds or minutes of advertising work on your episodes.
5. Prevents Any Disputes
Since all aspects revolving around the transaction are clearly outlined in the outline, any disputes between the two parties can be easily resolved just by checking the document.
6. Helps Ensure Confidentiality
There are many types of information shared between podcasters and businesses that can be considered highly confidential. A contract is one way to guarantee that sensitive information won’t get leaked during the course of the agreement.
Get Your Own Podcast Advertising Contract Template
Small businesses and podcasters may not have the time nor skills to draft their own podcast advertising contracts. In addition, there’s a lot of legal jargon involved. Thankfully, at Drafted Legal, we’re here to make it easier.
We offer legal template bundles for podcasters, which include a podcast advertising contract template that has all the basic things you need to ensure that your next advertising work is free of any issues. With it, you can podcast or advertise without any fear. Contact us today for more information about our offerings.