Tag: Ads

Looking Back at Spotify’s Greatest Hits in 2021

December 13, 2021

In an all-around unforgettable year, 2021 was an especially notable one for Spotify. We’re excited about what we’ve delivered for creators and listeners alike across new features, innovations, and collaborations. As the year comes to a close, we are taking a moment to look back on some of the advances we’ve made over the past 365 days. 

More listeners in more places

We have more listeners than ever. As we announced in our Q3 2021 earnings, as of September 2021, Spotify had increased the number of monthly active users and subscribers on the platform by 19% compared to 2020*. This year, we also doubled our global footprint by expanding into 92 new markets, bringing our total to 184 markets globally. New countries on our roster include South Korea, Bangladesh, Pakistan, and many more across Asia, Africa, the Caribbean, Europe, and Latin America. This continued expansion means that the music and voices of more people, places, and cultures can be shared with listeners around the world.

Podcasting for all

At Spotify, we believe that podcasting provides a massive opportunity for creators to entertain, inspire, and inform people across the globe. According to Edison Research and our own internal data, we recently surpassed both Apple and YouTube in the U.S.—the largest podcast market globally—to become the number one podcast platform listeners say they use the most.

The appetite for podcasts has grown among listeners, and we are answering that demand with a catalog that includes 3.2 million titles*. That’s 68% more podcasts (as of September 2021) than were on the platform in 2020. Through November of this year, we launched over 400 new O&E podcasts globally, and throughout the year we signed numerous podcast deals and entered into podcast partnerships with some of the world’s biggest creators and beloved entertainment brands like Dax Shepard’s Armchair Expert, The Joe Rogan Experience (the number one podcast in the world), and Bad Robot. But our passion for podcasts isn’t limited to the U.S. This year, we expanded podcasts into more than 80 markets, including Russia, Egypt, and Saudi Arabia.

Expanding the possibilities for advertising

When we reported earnings in October, we announced that ad revenue had increased 75% year over year. And in November, we surpassed 1 billion euro in annual ad revenue for the first time. New opportunities were created for advertisers with the launch of the Spotify Audience Network, our first-of-its-kind audio advertising marketplace that enables advertisers to connect with listeners enjoying a broad range of music and podcast content. Advertisers now have a way to reach and target audiences listening to Spotify Original & Exclusive podcasts, as well as third-party podcasts from enterprise publishers via Megaphone and Anchor creators. We’ve also introduced podcast ad buying to Spotify Ad Studio, our self-serve ad channel that makes it easy for advertisers of all sizes to reach podcast listeners.

Supporting both established and breakthrough artists

With over 380 million listeners on the platform, there’s a large audience for artists to share their new releases with. The increase in subscribers has led to many major artists, like Drake and Adele, across various genres breaking Spotify records throughout the year. 

Spotify has also continued efforts to support up-and-coming artists. We expanded our exclusive offerings with Spotify Singles (including Pride, BNA, Latinx Heritage Month, Are & Be, mint, and Holiday programs) and Spotify x Electric Lady live EPs. We’re supporting artists at all levels through programs like Fresh Finds (for independent artists), RADAR (for global emerging artists), EQUAL (which fosters equity for women in music globally) and Billions Club.

But those aren’t the only ways we are pushing the industry when it comes to artists. We also launched Loud & Clear to increase transparency by sharing new data on the global streaming economy. And we expanded our Charts feature to include artist, genre, and local charts. This allows artists and listeners to dive even deeper into the data.

Inspiring and enabling creation

In order to be the best audio network, we know we need to provide the best-in-class experience and content for our listeners. This means new features and new opportunities for creators to connect with their fans. We launched Spotify Greenroom, adding live audio as part of Spotify’s ecosystem and providing yet another opportunity for creators of all types to connect with their fans more deeply and meaningfully. In November we announced the acquisition of Findaway, the global leader in digital audiobook distribution, to accelerate our presence in the audiobook space. We also introduced Spotify Open Access, which allows listeners to hear third-party content on Spotify. Finally, we partnered with beloved brands like Peloton, Netflix, and Delta to bring exclusive experiences and curated playlists to our listeners.

How Millennials and Gen Zs Are Redefining Digital Audio

July 12, 2021

Every year, Spotify embarks on a journey to learn more about some of our most influential listeners and creators: Gen Zs and millennials. The result is Culture Next, Spotify Advertising’s annual study into the listening habits and preferences of these groups, aged 15-25 and 26-40, respectively. 

This year, we learned that Gen Z and millennial creators and listeners are as obsessed with digital audio (and Spotify, of course) . . . as we are with them. And while these generations’ differences have launched a million memes (middle part vs. side part, anyone?), their similarities speak volumes as they navigate a common challenge: rebuilding culture from the ground up.

Check it out:

To create this issue of Culture Next, Spotify conducted a combination of qualitative, quantitative, and first-party data analysis. We surveyed 9,000 Gen Z and millennial respondents in April 2021 across the U.S., Canada, Mexico, Brazil, Spain, Italy, France, Germany, the U.K, India, Indonesia, Singapore, the Philippines, Japan, Australia, the U.A.E., Thailand, and Malaysia. 

We also partnered with youth culture agency Archrival to conduct Zoom focus groups featuring 40 in-depth interviews and a dozen ethnographies with more than four dozen respondents in 16 markets. We combined these with conversations with artists, podcasters, and advertising industry thought leaders, as well as with Spotify’s own unique Streaming Intelligence and first-party data. 

To read the report in full and dive into more findings—including recommendations for marketers looking to connect with Gen Z and millennial listeners—visit ads.spotify.com.

Sustainable Sonics: Carbon-Neutral Advertising Takes Root on Spotify

April 22, 2021

Digital audio consumption has taken off in recent years as consumers spend more time listening to music and podcasts as part of their daily routines. From Songs to Sing in the Shower to help pump you up for the day, to an episode of Crime Junkie to zone out with on your morning walk, time spent with digital audio increased 8.3% in 2020, with the average consumer streaming 1 hour and 29 minutes per day (eMarketer). Advertisers have taken notice and have tapped into Spotify and our streaming intelligence to reach these highly engaged audiences. 

As Spotify’s reach with advertisers continues to grow, we’ve started to examine ways we can offset the environmental footprint of our ads. One of Spotify Advertising’s teams, the Creative Collective, was formed earlier this year to cultivate some of these new opportunities for advertisers. Amanda Hoyle, a Creative Strategist on the team, dug into her own lifelong passion and interest around sustainability and environmentalism to help lead the charge in creating Spotify’s newest ad offering: Sustainable Sonics. 

Sustainable Sonics enables brands to make their music and podcast advertising fully carbon neutral (or in other words, to have net-zero carbon impact by balancing out the carbon emissions by funding an equivalent amount of carbon savings elsewhere in the world) on Spotify for one year. 

For the Record grabbed time with Amanda to learn more about her role in creating the offering, how it works, and the larger opportunity around environmentally conscious options in the audio advertising world.  

What is the role of the Creative Collective advertising team at Spotify?

We essentially work with advertisers to unlock, create, celebrate, and inspire ideas worth listening to—and that’s really our guiding principle and mission statement. The Creative Collective team is a network of strategists around the world focusing on creative excellence in advertising, with a particular interest in audio. The way we see it, the creative potential of audio is endless, and we’ve only just scratched the surface so far. 

A New Era for Podcast Advertising

February 22, 2021

Over the last year, Spotify has made significant moves to modernize audio advertising. From the launch of Streaming Ad Insertion to the expansion of our self-serve ad platform, Ad Studio, to the acquisition of Megaphone, we’re committed to ensuring this industry reaches its full potential.

Today, we announced an exciting leap forward for audio advertising, creating a path for creators to earn more for their work while delivering greater impact for advertisers.

We believe that this space is primed for innovation as digital audio becomes an integral part of consumers’ daily routines worldwide. According to eMarketer, in the U.S., mobile time spent listening to audio content is now outpacing time spent on social media, video, and gaming.

It’s no secret that podcasts have played a pivotal role in the rise in audio consumption. Their intimate nature makes them an ideal medium for advertisers looking to connect with engaged listeners who are ready to learn, discover, or be entertained. Read on to learn about how we’re powering the next era of innovation for the entire audio advertising ecosystem.

Introducing the Spotify Audience Network

The Spotify Audience Network is a first-of-its-kind audio advertising marketplace in which advertisers of all sizes will be able to connect with listeners consuming a broad range of content. These include Spotify’s Originals & Exclusives, podcasts via Megaphone and Anchor, and ad-supported music. We’ll leverage our medium-defining technology to give advertisers the ability to reach our audience of hundreds of millions of listeners—at scale—both on and off Spotify. We are in the early stages of developing this offering and look forward to sharing more in the coming months.

 

Unlocking new features on Streaming Ad Insertion 

At the top of 2020, we unveiled Streaming Ad Insertion (SAI), which delivers the intimacy and quality of traditional podcast advertising with the precision and transparency of modern-day digital marketing. SAI introduced an entirely new set of data-driven insights to podcast advertising, including a full digital suite of planning, reporting, and measurement solutions. SAI is available in the U.S., Canada, Germany, and the UK, and we plan to launch in additional markets later this year. 

Over the past year, we have been refining SAI with our Originals & Exclusive content and now are ready to scale our innovation. We’re unlocking more product features, like audience-based buying, native ad placements, and reporting on creative performance, all of which play a key part in powering the Spotify Audience Network. Later this year, we’ll start to make this technology available to Megaphone podcast publishers and leading Anchor creators.

Simplifying podcast advertising with Spotify Ad Studio

The best way for advertisers to get started with Spotify Advertising is through our self-serve platform Spotify Ad Studio. Spotify Ad Studio makes streaming audio advertising accessible to advertisers of all sizes, from Fortune 500 brands to artist teams to local coffee shops. Through Spotify Ad Studio, advertisers have the power to reach our audience of hundreds of millions of listeners and leverage our streaming intelligence to ensure their message is heard by the right listeners, at the right moment.

Today, we’ll begin beta testing podcast ad buying on Spotify Ad Studio in the U.S. The introduction of podcasts to Spotify Ad Studio makes it simple for any advertiser to connect with engaged listeners at scale, whether they’re streaming their favorite podcast or discovering a new playlist.

These advancements—the Spotify Audience Network, Streaming Ad Insertion, and podcast buying via Spotify Ad Studio—will benefit creators, advertisers and listeners for years to come. We spoke to HBO Max’s Vice President of Growth Marketing, Katie Soo, to get her thoughts about how the streaming platform is leveraging Spotify as part of its marketing mix. 

“During the launch of HBO Max, our strategy was to expand our reach and align with digital audio to find entertainment seekers. We turned to Spotify, given its audio-first strategy, scale and cutting-edge technology, to address both of these key pillars,” noted Soo. “Our early campaigns have been successful, and we plan to continue partnering with Spotify to explore what’s possible in this growing medium.”

To learn more about these paradigm-shifting innovations, head over to Ads.Spotify.com.