As part of our marketing strategy for the online platform mukken.com, we are testing initial audio formats on Spotify in addition to the usual channels. Find out exactly what our first impression of this Spotify advertising format is here.
First impression
The entire Spotify AD Manager still needs more attention from the development team. In my opinion, the targeting and analysis options are still rather superficial and immature. The lack of targeting options to reach specific target groups in particular made us initially more cautious about investing in this format.
Reference is also made to the "learning" algorithm, but this raises a few questions.
Thoughts on the Spotify AD algorithm
We are talking about an audio ad here. An audio ad is heard rather than seen, one might assume. An audio ad on Spotify cannot be skipped, only reduced in volume. Since the user does not necessarily have to be actively using the device for an audio ad, I assume from the outset that CTR will be relatively low and CPC values high. These KPIs, which are important for an algorithm, are therefore rather vague – so there are only limited data points to capture the user's response, right?
Well, whatever.
Major advantage of the Audio AD format
"You can't skip the audio AD!" (:
When I look at the reach of this ad with a given completion rate, which is currently >98%, the result is an impressive audience pool. The scatter loss will be significant due to the lack of targeting options, but it will improve over time, at least based on initial reactions.
Conclusion
For us as a web agency, this is a very promising format that is sure to develop further. Currently, it is particularly well suited for increasing brand awareness.
What are your experiences? I am always happy to hear from you.
