How Much Does Advertising on Spotify Cost?

In recent years, Spotify has made significant strides in the podcasting industry, surpassing Apple as the most used podcasting platform in the US. The music streaming giant offers two objectives for advertisers: 'Raise Awareness' and 'Promote.' While both objectives share similar setup logic, 'Promote' allows you to target fans of an artist or podcast you're promoting.

To create Spotify ads, follow these steps:

Step 1: Choose Your Objective

Spotify only recently opened its beta program for businesses of all sizes. Before jumping into the world of Spotify ads, it's essential to understand your objectives and how they can help you achieve your marketing goals. The platform offers two primary objectives:

* Raise Awareness: This objective lets you target a broader audience, increasing brand recognition and awareness.

* Promote: With this objective, you can target fans of an artist or podcast, promoting your product or service to a highly engaged and relevant audience.

Spotify's unique offerings make it an attractive option for podcast advertisers. Prior to Spotify's entry into the podcasting space, Apple dominated the industry. However, Spotify CEO Daniel Ek has positioned his company to capture a significant share of the revenue pie with innovative solutions previously unavailable to podcast advertisers.

The global podcast advertising spend across all platforms reached $1.3 billion in 2021 and is expected to double by 2025, reaching $2.74 billion. Despite slowing premium subscriptions, Spotify remains an attractive option for advertisers looking to tap into the growing podcasting market.

In its latest earnings report, Spotify announced that it raked in $450 million in advertising revenue during the fourth quarter of 2021, representing 15% of the company's total revenue – a new high mark for the growing business segment. Despite this impressive growth, Spotify's stock took a hit after the company forecasted slowing premium subscriber growth.

In conclusion, while there are costs associated with advertising on Spotify, the platform offers unique opportunities for businesses to reach their target audience and achieve their marketing objectives. With its beta program open to businesses of all sizes, Spotify is an attractive option for companies looking to tap into the growing podcasting market.

Advertising on spotify cost