Previously, many firms considered radio an important part of their advertising expenditure. Most individuals listened to the radio at some time in their day, particularly in the morning or on their commute to and from work. Times have changed, nonetheless, and many individuals prefer to design their own playlists and then stream them through Spotify.
However, brands can still reach viewers with their message on Spotify, just like they’ve always been able to do on radio. Whereas many Spotify customers pay for an ad-free experience, the bulk prefers to listen to some adverts in return for a free streaming experience. This provides many opportunities for firms to put adverts between the Spotify tracks. And Spotify adverts don’t essentially cost you as much as you suppose they would. Spotify provides a self-serve advertising platform where the prices vary depending on demand for any slot.
Brands have a few choices for the kinds of adverts they can feature on Spotify. Spotify provides audio, video, and display adverts on its platform. Audio adverts are obvious – they play between songs in customers’ playlists. These also feature a clickable link that may send customers to a landing page of your selection. Although video adverts could seem counterintuitive on an audio streaming platform, you can use them in multiple methods, equivalent to sponsored periods, video takeovers, or branded moments. Spotify rewards any user who spends their time to watch your video with thirty minutes of uninterrupted music. The third sort of promoting on Spotify is display advertising, giving you a chance to create a visual advert for things like homepage banners, or mobile or desktop overlays.
Typical Spotify Advertising Costs
It was a case of “only big brands apply” when it came to Spotify advertising. Certainly, at one point, the minimum advertising price for a Spotify campaign was $250,000, solely viable for firms with deep pockets. Nonetheless, that has modified over the last year, with the opening of Spotify’s self-serve advertising platform.
Spotify’s self-serve advertising platform was in beta for a while but is officially now live in selected regions. The minimum you may commit to an advertising campaign is $250. As Spotify adverts, like their Facebook and Google counterparts, your adverts will vary in price each time, relying on the competition in your viewers. However, you’re likely to pay $0.015-$0.025 per advert served.
Types of Spotify Ad Formats
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Though audio adverts could seem the most logical on a music streaming platform, Spotify provides a range of advert formats. These include:
- Audio Everywhere (all platforms) – this package permits you to reach your target audience on any gadget, in any environment, during any moment of the day. Audio adverts are served between songs during active periods, ensuring your brand achieves 100% SOV. In addition to an audio spot, it provides your model ownership of a clickable display unit and letting you extend your campaign and drive traffic to a URL destination.
- Sponsored Session – this lets you offer your user 30 minutes of uninterrupted listening in exchange for watching your model’s video. Customers receive your brand’s Sponsored Session provide only if the app is in view, firstly of mobile sessions. After the video message starts, a clickable display unit appears, inviting additional engagement and initiating the thirsty minutes of uninterrupted listening.
- Video Takeover – this lets you tell your story confidently in a rich, immersive canvas. It provides your brand access to a premium app experience where all adverts are delivered to logged-in customers when they’re engaged, and the app is in view. Your video message is served to users between videos during commercial ad breaks and includes a clickable unit for campaign extension.
- Overlay (mobile and desktop) – Overlay is a sort of display advertising on Spotify. It’s delivered when the consumer returns to the Spotify app, ensuring maximum brand influence. Its’ display unit is clickable and drives traffic to your model’s URL destination.
- Homepage Takeover – another type of display ad that puts your model at center stage on the front of Spotify’s Homepage for 24 hours. It is clickable and assists rich media, enabling models to include interactive parts to capture attention further.
- Leaderboard – that is a display form that lets you extend your campaign reach with 100% SOV on-screen – your message will be the only message shown for 30 seconds. Its’ display units are clickable and only served when Spotify is the top app on the screen.
- Sponsored playlists – these permit your brand to maximize awareness by exclusively sponsoring Spotify’s top real estate. Your model connects with users on their favorite playlists. Spotify helps you select which one greatest aligns with your target audience. Along with premium brand placement, your model surrounds users with music, video, and display adverts as they stream the playlist.
Options for Streaming Radio Ads: Pandora vs. Spotify Advertising
In their Q1 2020 press release, Spotify highlights its many successes. Some of the statistics it highlights are:
- 271 million monthly active viewers
- 152 million ad-supported monthly active customers
- 79 markets
- 50M+ songs
- 500K+ podcast titles
- 3B+ playlists
They consider they’re the preferred global audio streaming subscription service. However, it is important to keep in mind – they aren’t the only audio streaming subscription service.