How fandom drives performance on Spotify

Live concerts are fueled by the infectious energy that swells between artists and fans—they just wouldn’t be the same without countless voices belting out lyrics in unison. But the home of modern fandom extends beyond stadiums and social feeds—it’s in the rituals fans cultivate and celebrate every day.

Those rituals thrive on Spotify. We provide the soundtrack for the morning commute; the deep-focus playlist for the workday; the podcast to wind down to in the evening. This everyday and continuous role makes Spotify a unique environment—one built on trust and positivity. In fact, 68% of users say their time on Spotify feels more positive than on social media.¹

This powerful and positive fan connection is what makes Spotify an effective platform for brands. The question we get from advertisers is how can we harness these powerful fan communities to drive great performance? The answer? Combining that positive fan environment with automated flexible buying and full-funnel measurement and optimization.

Improve your efficiency with Spotify Ad Exchange

Spotify is constantly evolving to be better—for fans, for creators, and for brands. Earlier this year we launched the Spotify Ad Exchange, and advertisers are already driving better results by adding Spotify to their programmatic, omnichannel strategies. In fact, brands that run campaigns on The Trade Desk inclusive of Spotify see an 8.7% lower cost per household and a 44% lower cost per action.² As our first-to-market partner, The Trade Desk has been able to improve both reach and performance by helping their clients add more to their media mix with Spotify.

Today, we’re making it even easier for brands to access these same formats and inventory through the Spotify Ad Exchange. Now, advertisers can:

1. Reach Spotify audiences with audio and video ads through the Amazon DSP
2. Unlock display leaderboard ads through our new, direct integration with Yahoo DSP
3. Expand into video and podcasts across 30+ DSPs
4. Leverage ID5's enhanced privacy-forward identity solution for greater addressability on programmatic campaigns across Europe

Driving full-funnel performance in Spotify Ads Manager

Inside Spotify Ads Manager, we’re continuing to roll out new tools to help you optimize campaigns and drive results. We’ll soon be adding split testing to help you trial different creative elements and uncover what resonates most with your audience.

All of this joins our suite of optimizations that’s already delivering powerful outcomes, including a 103% higher page view rate for campaigns that ran Ads Manager’s Web Traffic objective (vs. brand awareness campaigns), and a 4.3x higher install rate for those that ran the App Install objective (vs. non-optimized campaigns).³

Expand your reach

Spotify connects you with valuable audiences you may be missing elsewhere.

Your ticket to performance

Think about the greatest live performance you’ve ever witnessed—what made it so special? Maybe it’s hard to put your finger on it, but everything just came together perfectly, right? That’s the experience we’re creating for our advertisers— helping them unlock performance that’s unforgettably great. Here are three essential tips that can help you make that leap…

1. Use your backstage pass.

Leverage our 1P insights and advanced targeting to reach people during key moments throughout their day—from standard demographic and interest targeting, to contextual targeting options including emerging genres like emo and K-pop.

2. Diversify your set list.

Go beyond audio to reach fans in both screenless and in-focus moments. Running audio, video and display together is proven to increase incremental sales by 90%⁶ and drives a 1.8x higher add-to-cart conversion rate⁷, compared to audio alone.

3. Design a dynamic show.

A campaign is only as good as its creative. When it comes to video, don’t hesitate to repurpose what you’ve used on other platforms—recent research shows that using existing creator-led videos actually drives higher aided awareness (+3%) and search intent (+5%) on Spotify vs. social media platforms.⁸

Let fandom fuel great performance

Too often, advertisers face a dilemma: align your brand with cultural moments, or drive measurable performance. Our message today is that you don’t have to choose—because on Spotify, one organically drives the other. So harness the power of fandom and help your campaign performance level up from good to great, when you add Spotify to your media mix.