- WPP and Spotify have struck a global partnership that may provide the world’s largest ad-holding group with new levels of access to the audio-streaming platform’s ad products and data, in line with a press release.
- As a part of the pact, Spotify is integrating directly into a few of WPP’s solutions, including its Choreograph first-party data unit. WPP, in turn, will develop integrations that leverage Spotify’s listening insights to assist clients design higher creative and audio campaigns.
- WPP and Spotify are also working to supply training programs, while clients will receive early access to audience trends research conducted by Spotify. One of the primary fruits of the collaboration is a Sonic Science study between Spotify, WPP’s Mindshare and researcher Neuro-Insight that’s tailored to the agency’s client base.
WPP is deepening an existing relationship with Spotify to assist clients refine their digital audio strategies. For Spotify, the new partnership could attract more ad revenue in what has been a depressed market. The audio-streaming platform has added new users at a gentle clip this 12 months but missed analyst expectations on revenue within the second quarter while offering weak guidance.
A serious component of the global pact with WPP centers on data. Spotify is keyed into when and why consumers tune in to music, podcasts and audiobooks, in addition to their receptiveness to ads in those moments. Spotify has 551 million total monthly energetic users, in line with its Q2 earnings statement, including 220 million paid subscribers who receive an ad-free experience.
WPP is getting a peek into Spotify’s first-party “occasions insights” to offer advertisers a greater understanding of aggregated listening patterns and, stemming from that, the flexibility to deploy more practical campaigns. This is the primary time a digital audio platform has directly integrated with WPP’s solutions and products. A key aspect of the collaboration is targeted on WPP’s Choreograph, a gaggle dedicated to first-party data services that formed in 2021 by combining specialist units from GroupM and Wunderman Thompson.
WPP, like other agencies, has been investing heavily in its consumer data know-how ahead of the planned deprecation of cookies next 12 months. Partnerships with large technology platforms are one method to shore up customer data strengths. WPP will post its first-half trading update Friday.
“At WPP, we recognise the ability of audio as a critical component of selling,” said Stephan Pretorius, WPP’s chief technology officer, in a press statement. “The intent of this first-of-its-kind partnership is to integrate Spotify’s insights with the Choreograph platform to create more progressive and relevant ways to attach our clients with their customers.”
WPP and Spotify can even provide agency partners with thought leadership, training programs and industry research across the digital audio market. Studies suggest that audio environments carry a more attentive audience. A recent Lumen report commissioned by Dentsu revealed audio ads generate stronger brand recall metrics than video and other formats.
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