Each episode of Favorite Story featured an adaptation of a story selected by a celebrity — purportedly his or her favorite story. The celebrities came from various fields: actors, directors, bandleaders, and athletes, to name but a few. Because they did not appear on the air. Stories presented were adaptations of literary classics, including Alice in Wonderland, Frankenstein, Dr. Jekyll & Mr. Hyde, and Oliver Twist. Not only did prestigious titles add an air of quality, but they had the financial advantage of being in the public domain, so that nothing had to be paid for the rights to broadcast them.

The half-hour time span was better suited to short stories than to novels, but Tim DeForest wrote in his book, Radio by the Book: Adaptations of Literature and Fiction on the Airwaves, "In many cases, Favorite Story managed the incredible feat of jamming a classic novel into half an hour and still giving us a rewarding experience.