Spotify will incorporate user data to run closely targeted advertising

Spotify has released new tools for podcast advertisers which are set to change the way that creators can use advertising data.

The introduction of Spotify Podcast Ads will offer intimacy and quality of tradition podcast ads, with more precision of modern digital marketing methods.

The new tool is powered by Streaming Ad Insertion, which is set to address challenges that podcast advertising has traditionally faced due to the nature of being downloaded from RSS feeds.

“Today, despite being a digital medium, the podcast industry measures audience, reach, and impact much like you would a full-page ad in a magazine,” said Spotify on its official brands blog.

“Advertisers generally have a sense for who they’re reaching, based on survey data and the magazine’s target audience.”

The announcement goes on to explain “the shift in consumption from downloads to streaming has opened the door for advances in data-driven podcast advertising, and here at Spotify, we’re moving beyond these constraints to reimagine what’s possible for this uniquely powerful and intimate medium.”

Spotify says that Spotify Podcast Ads will help advertisers better reach their audience using data-drive recommendations and insights.

It will also allow advertiers to deliver ads with confidence based on the measurement of real impressions, with reporting on “age, gender, device type, and listening behavior of the audience reached.”

Finally, Spotify Podcast Ads is set to help advertisers better understand the impact of their investment. “With Spotify Podcast Ads, we will be able to tap into our suite of digital measurement capabilities to learn more about how people perceive your brand and take action after hearing your ad.”

“In the past five years, podcasts have become a staple of pop culture. In that time, I’ve spoken to a lot of skeptical brands, and the conversation consistently begins and ends with measurement,” said Spotify’s senior product manager of podcast monetization Joel Withrow.

“I’m excited to continue evolving the medium at Spotify. With our trusted, logged in audience, we can finally prove out the effectiveness of podcasts with the data and insights that digital advertisers expect.”