Let’s write about the next service while listening to some good music… on Spotify. For all of you, one of the new top music picks: Jerry, by Boy Azooga. Works perfectly with the below explanation 🙂
In 2006 Spotify was founded in Sweden, with the motto to make all music available for everyone. Via Spotify music can be listened to via a music stream. The algorithm of Spotify is designed to continuously provide you with new music, to spot music and identify. Spotify’s database is enormous; users can select from millions of different songs.
These days Spotify has around 157 million global active users. These users can be divided into two different types of users; the free and the paid premium users. Around 71 million are premium subscribers. The big difference between these two groups is that the free version is subject to advertising. Therefore, when the free users are listening to their favorite music, they might be interrupted by ads.
To these ad-supported Spotify listeners, advertisers can serve audio, display and video advertising. Via different targeting techniques the advertiser can use to target free listeners on mobile and/or desktop; by age, gender location, musical taste, and activity. Spotify is also working on new ad formats, including podcast partnerships, sponsored playlists, skippable audio ads and are even looking into new ways to serve ads via programmatic buying.
Next to these advertising innovations, this year, Spotify launched its own self-service advertising platform: Ad Studio. This is a platform where anyone can make an audio campaign in only 10 minutes. Here the advertiser can build an audio campaign, create an ad with some help from Spotify, set the budget and campaign dates, forecast impressions and track and use Spotify insights to track and manage the campaign’s success. The great thing about this new Ad Studio is that you can already build a campaign with a ¢250 budget.
songs are in the Spotify music database.
songs are added every day on Spotify.
is the average amount of daily listeners for cross-platform Spotify users.
Next to this Ad Studio, it is only possible to set up campaigns via the Spotify account managers. This means that we do not press the buttons and manage the controls ourselves, but have to leave this to the Spotify account team. However, we do have the knowledge to make the best possible plan for you, that we can discuss directly with our contacts at Spotify.
The different targeting techniques come with different prices, and the Cost per Impression (CPM) also differs a lot per ad format. It is therefore important to make sure you pick those options, that really work for your campaign objectives. We can help you in deciding on the best possible mix, that fits your campaign objectives and budget.
We believe that Spotify is best to use when you are looking for ways to expand your reach and in order to increase your brand awareness. To use these tools to the maximum of its potential it is important to come up with strong creatives, for you to reach and activate your audience. In case you feel like expanding your audience via this music streaming service. Feel free to contact us, so we can tell you more about it!