Today, we’re excited to share the news that Spotify has surpassed 140 million global monthly active users. On the eve of Cannes Lions 2017, the advertising Festival of Creativity, this is a particularly meaningful development, as our brand partners now have a bigger opportunity than ever to activate Spotify’s free user base.
Spotify’s high-velocity audience growth cements our place as the leading media platform for music, fans and brands. As our global monthly active user number continues to climb, more consumers engage with us across their day and devices. Through this engagement, we are constantly learning about our audience through streaming intelligence–our rich, first-party data. We believe these differentiated insights create innovative experiences for our audience, personalized to their wants and need states. Spotify is leading the way in this new era of personalization, and now we can do more than ever to connect brands with their target audiences.
Spotify’s streaming intelligence provides psychographic and behavioral audience insights which go way beyond traditional demographics. Through billions of hours of on-demand, mobile-first listening on the Spotify platform, we’ve learned that music reflects people’s real-time moods and activities and captures unique understanding of moments in their lives. Think about how you soundtrack your day. Do you listen when you run? When you commute? Cook dinner? I’d imagine that no two days of listening sound exactly alike, and we know through our differentiated data sets that no two streamers are alike. We’re starting to connect these streaming behaviors to real-world behaviors. We use this data to help brands understand their own audiences, how they stream on Spotify, and how to reach them with the right message, in the right context. We’ve recently launched our new research, Understanding People Through Music, with early findings about how streaming intelligence connects to specific consumer attributes and behaviors.
We are just beginning to explore what these amazing insights can do for brands. It’s an exciting time for our Spotify global advertising business. We launched our free, ad-supported tier on mobile three years ago, and the business is still growing fast with more than 50% year over year growth in 2016.*
Our experiences aren’t just highly personalized thanks to streaming intelligence. They’re also delivered within our premium environment, at scale. Spotify delivers multimedia video, audio, and display solutions, in an environment that our audience loves. All of our content is either licensed or created by our in-house team. If a brand is looking to make more authentic connections, rest assured that the same data fueling our personalization also brings that message to the right audience, in a safe environment.
As brands are catching on, I’m really excited about the creative opportunity. Brands can mine new audience insights for inspiration and explore dynamic, innovative messaging. When you pair the emotional power of music, podcasts, and videos with engaging ad formats, the creative terrain is rife with possibility. This coming week, let’s celebrate what Cannes Lions has always been about…the creativity that fuels and powers this industry at its best. Then, let’s move forward with our audience in mind, thinking about how we can surprise, inspire, and engage them in exciting new ways.
Brian Benedik is the Global Head of Advertising Sales at Spotify
*Advertising sales revenues from 2015 to 2016 grew by 50.3% YoY