Streaming Ad Insertion (SAI): A service that provides Facebook-like targeting of ads of Spotify-exclusive content. Spotify’s “Stream On” highlighted 3 advertising developments: This change allows for the creation of a new advertising framework, which is being boosted by 2 key acquisitions: Anchor (podcast production) and Megaphone (podcast ad platform). In lieu of downloads, Spotify streams the audio file That’s why when a host reads the ad, it’s typically done in a direct response format (e.g., “use code TRUNG for your bullet-proof socks”), which can be easily measured. Static ads: Once a podcast is downloaded, the ad itself can’t be updated to target a particular listener. Measurement problems: Key industry stats like downloads, impressions, and actual listenership are hard to measure and not standardized. This is thanks to a few quirks with the format: Podcast advertising has been hard to scale $1B for podcasts.īased on Spotify’s recent “ Stream On” keynote presentation, though, the podcast ad industry could be headed for huge growth. It was reportedly detailed in a survey conducted by Spotify.While the radio star was supposedly killed by video, he’s been rather resistant to podcasts.Īccording to eMarketer, US ad spend on terrestrial (land-based) radio is forecast to hit $12B this year, vs. For a monthly fee, the podcast service would provide access to original shows and exclusive episodes. The timing of Spotify's announcement likely isn't coincidental, but the service has been rumoured for months to be considering launching a subscription-based podcast offering that does not include access to its premium music subscription. We suspect Apple will take issue with that workaround. Podcasters will be able to set their own prices, and people using Spotify's iOS app will be directed to a website to complete the transaction, thereby avoiding Apple's default share of App Store transactions. Namely, Spotify reportedly won't charge a fee or take a cut of each subscription. 
There will be differences between Apple and Spotify's systems. (Pocket-lint) - Apple recently announced it's getting into paid podcast subscriptions, and now, The Wall Street Journal has claimed Spotify will unveil its own paid podcast subscription platform as soon as "next week".
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