You can create your own playlist and aren't reliant on the whims of some program director. Spotify is one step better than the radio, however. They are already used to listening to ad-supported music. Most people will, at some time, have listened to the radio, where they hear ads between the songs. Spotify has one advantage over many apps. This leaves people who accept that they will hear ads as the "price" of receiving their favorite music streaming for free. Those who actively hate ads willingly pay for a subscription to the Premium service. They opened Spotify Ad Studio in 2017 to streamline the advertising process and provide a range of options to potential advertisers.īecause most people are now used to the freemium model, Spotify's free users are expecting ads with their listening. This makes advertising on Spotify a simple process. Like Facebook and Instagram, Spotify has a formal advertising marketplace. Streaming accounts for 62% of the world's music salesnow, and that's just the Premium subscribers – the people who stream music for free (and thus have to listen or watch ads) don't even factor into the equation. And don't underestimate the power of audio streaming. It is, without a doubt, the world's number one audio streaming platform nowadays. Spotify's greatest strength is its enormous reach. From history, we know that MAU growth tends to be a leading indicator of future subscriber additions, which is then followed by revenue gains in both premium and ad-supported users.” "We are enthusiastic about the underlying trends in the business. Spotify is clearly passionate about the future success of their platform. Perhaps more importantly, advertising revenue jumped a solid 27% from the previous quarter, compared to a smaller 5% increase in revenue from Premium subscribers. Although the bulk of their revenue comes from Premium subscriptions (€1,638 million), the €217 million Spotify received from advertising is still a sizable amount. Another way to look at the importance of advertising on Spotify is to look at their financials for Q4 2019.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. Archives
June 2023
Categories |