Music Streaming Spotify Expands Ads With Personalized Playlists | GLM

Spotify Expands Ads With Personalized Playlists

Music streaming service Spotify will introduce sponsorship ads to its personalized playlist “On Repeat.” Featuring users’ favorite songs, which will be available in 2019, this playlist will be a personalized playlist with a second sponsorship ad on Spotify. Spotify’s flagship playlist, “Discover Weekly,” is the first to feature ads in 2019.

Sponsorship is possible through Spotify’s Sponsored Playlis advertising product. Advertisers can have an “end-to-end” experience by allowing brands to promote to free Spotify users with audio, video, and display ad messages, Spotify said.

It also offers brands the opportunity to reach Spotify’s most enthusiastic users.

For example, when Discover Weekly was sponsored, Spotify pointed out that users who listened to the playlist streamed more than twice as much as those who didn’t. Similarly, “On Repeat” is a service for users who use Spotify more often because it focuses on the music that users play most often.

Since its launch in September 2019, Spotify says that “On Repeat” playlists have reached 12 billion streams worldwide. Fans also spend 750 million hours playing playlists, with artists such as Bad Bunny, The Weeknd, and Ariana Grande at the top of the “most repeated” playlists.

Spotify currently offers a number of advertised playlists, but personalized playlists were mostly banned, with the exception of “Discover Weekly.” Personalized playlists are a fairly valuable asset, and Spotify directs users to stream collections powered by the company’s algorithms. Spotify keeps those collections organized in the “Made for You” hub, which continues to grow in the app. There, users can move back and forth between “Discover Weekly” and a collection organized by genre, artist, age, new release, favorites, suggestions, and more.

Introducing sponsorship to “On Repeat” will allow brands in 30 global markets, including North America, Europe, South America and Asia Pacific, to own Spotify’s other largest personalized property.

TurboTax was the first US advertiser to take advantage of this sponsorship, citing playlist personalization factors and user engagement as one of the reasons for advertising.

“Like music, taxes have their advantages and disadvantages. Tax payments vary from person to person, and each person’s needs are different,” said Cathleen Ryan, vice president of marketing at TurboTax. “We use Spotify’s connection to enthusiastic listeners to show consumers that we have the expertise we need to file tax returns with TurboTax. Tools provided by TurboTax, Spotify allows you to reach and target the right audience so you can learn about guidance and expertise. ”

Rachel Maga
Rachel Maga is a technology journalist currently working at Globe Live Media agency. She has been in the Technology Journalism field for over 5 years now. Her life's biggest milestone is the inside tour of Tesla Industries, which was gifted to her by the legend Elon Musk himself.