Free Assessment: How does your inbound marketing measure up?

Get Started
Close

Free Assessment:

How does your inbound marketing measure up?
Take this free, 5-minute assessment and learn what you can start doing today to boost traffic, leads, and sales.
Get Started
inbound-marketing-strategy-playbook-cover

Free Assessment:

Spotify Adds Ability to Target Ads Based on Podcast Preferences

By Iris Hearn

Spotify Adds Ability to Target Ads Based on Podcast Preferences

This week, audio streaming platform Spotify announced plans to expand its ad capabilities with “podcast listener targeting.”

The new ad format will enable advertisers to target ads to Spotify’s free-tier (ad-supported) users, based on what type of podcasts they stream.

This is a shift from Spotify’s previous advertising model, where users could only be targeted based on the types of music or playlists they listened to.  

MarketingLand reported that select markets will be able to narrow their campaigns even further — targeting ads to appear in certain podcast categories, like “comedy,” “lifestyle/health,” or “business/tech.”

Spotify’s plans signify yet another step the platform is taking to make podcasting a bigger part of its overall business model.  

In doing so, the platform is capitalizing on the rising popularity of podcast content, while also offering more options for advertisers to better target this group of listeners.

Why Podcasting?

Over the last year, Spotify has made significant investments to make its podcast content more valuable to users.

Its recent acquisition of Gimlet and Anchor, along with its efforts to build a collection of exclusive podcast series, is aligned with Spotify’s larger goal of becoming "the leading platform for podcast creators around the world and the leading producer of podcasts,” according to founder and CEO Daniel Elk.

The platform also recently rolled out a redesign for its paid users that better separates music and podcast content into respective sections, keeping podcasting top of mind, even for users who may not have previously considered listening.

spotify-podcast-redesign

That being said, Spotify is not trying to “start” the podcasting trend — rather, it's trying to make itself the go-to source of podcast streaming.

By crafting exclusive series and offering a better user experience, Spotify aims to become the preferred podcast platform for listeners, which will, in turn, attract the advertisers looking to reach them.

Podcast advertising revenue grew 53% in 2018, suggesting that advertisers are quickly realizing the value of reaching this audience.

Not only is the medium becoming more popular, but research suggests that podcast ads are more effective than other digital advertising formats. A study by Neilsen found that podcast ads generate up to 4.4 times better brand recall compared to standard display ads.

I can speak to the effectiveness from personal experience. Just last week, I purchased a subscription to Daily Harvest after hearing an ad about it in a podcast. It was a no-brainer; by nature, listening to a podcast requires more active listening, so when the host talked about a product I’d truly benefit from (and offered a discount code), it only makes sense I’d be more receptive and open to purchasing.  

(And also, if you were wondering, Daily Harvest is a meal subscription service — and after trying it out, I can confirm it’s great! Highly recommend!)

Typically, an advertiser would have to go through the podcast show host directly (or company, in the case of bigger content companies), in order to run ads.  However, Spotify’s new model allows advertisers to cast the net a bit wider and reach podcast show listeners they may not have otherwise considered targeting.

However, it’s currently unclear if Spotify’s exclusive podcast shows will have the hosts read the ad copy like a typical podcast ad, or if Spotify will pause the show to run a previously recorded ad as it does with music — and I do think there is a huge value difference in the two. Hearing an ad read by the host avoids listeners tuning out.

Currently, the podcast targeting option is being beta tested by select brands such as Samsung and 3M, so we’ll find out more about the formatting, ad options, and listener experience as the beta test progresses.

Final Thoughts

As people are actively looking for engaging content while on-the-go, podcasting will only continue to grow.

Marketers can utilize this trend in a variety of ways. From hosting your own original content that educates your audience on industry topics to running ads on programs where your audience is tuning in, podcasting offers a unique, immersive way to bring your brand into the conversation.

As Spotify continues to fine-tune the podcasting side of its platform, marketers should pay attention to not only what ad opportunities are available, but also what topics are effectively engaging its audience.

Those insights can shed light on new types of content marketers can be creating that will attract new visitors and engage existing ones.

Free Assessment:

How does your inbound marketing measure up?
Take this free, 5-minute assessment and learn what you can start doing today to boost traffic, leads, and sales.

Topics:

Content Marketing
News
Published on June 21, 2019

Recent Articles

How to Write a Persuasive Case Study That Converts (w/ free template)
June 1, 2023 • 7 min read
Top 10 Must-Have Qualities To Look For in a Content Manager
April 20, 2023 • 4 min read
Why You Need a Content Manager (and How to Hire the Right One)
April 13, 2023 • 6 min read
Your Content Initiative Can't Succeed Without Help From The Sales Team
March 22, 2023 • 5 min read
How to Ghostwrite Content for a Subject Matter Expert
March 20, 2023 • 4 min read
5 Smart Ways to Combat Common Buyer Questions With Content
February 27, 2023 • 7 min read
How To Skillfully Write About Competitors On Your Blog
February 20, 2023 • 8 min read
4 Ways Marketing Can Help Buyers 'Sell' Themselves
February 9, 2023 • 7 min read
6 Signs You're Being Neglected by Your Marketing Agency
February 1, 2023 • 5 min read
Never Chase Trends At the Expense of Your Brand
January 12, 2023 • 5 min read
Insourcing vs. Outsourcing Content: Which is Better for Your Business?
January 9, 2023 • 10 min read
Content Marketing in 2023: Principles, Platforms, and Content Distribution
January 4, 2023 • 5 min read
7 Content Marketing Trends You Can’t Ignore in 2023
January 2, 2023 • 8 min read
How To Set Content Marketing Goals for Growth
December 29, 2022 • 6 min read
What is Quality Content? (Updated for 2023)
December 15, 2022 • 7 min read
Outsourcing Is Broken: Rethinking the Relationship Between Client and Agency
December 14, 2022 • 5 min read
7 Big Reasons Your Content Marketing Is Failing (And How To Fix Them)
November 3, 2022 • 8 min read
The Epidemic of Half-hearted Content Marketing
November 2, 2022 • 4 min read
22 Best Content Marketing Tools and Apps for 2023
October 29, 2022 • 14 min read
7 Inbound Marketing Strategy Mistakes that Will Cost You in 2023
October 19, 2022 • 8 min read
The Big 5: 3 Simple Steps for Creating Great “Problems” Content (+ Examples)
September 1, 2022 • 6 min read
The Big 5: Best Business Blog Topics to Drive Traffic, Leads, and Sales
August 29, 2022 • 10 min read
What is a Content Strategy? (Definition + Templates)
August 25, 2022 • 12 min read
Content Marketing for Small Business (Tips for Growing Your Business Online)
August 22, 2022 • 13 min read
How To Create Sales Enablement Content Your Sales Team Will Love
August 15, 2022 • 8 min read