Spotify is testing a new, more interactive ad format for podcasts: the in-app offering. Instead of asking the listener to remember a voucher code or to visit a specific website address, the in-app offer allows users to redeem an offer at a time that suits them. This is done via a visual reminder in the Spotify app, in which the sponsors are shown on the page of the podcast episode.
Below the podcast and description is a new section titled "Episode Sponsors" where listeners can click on the offer to redeem the voucher or other special offer. This opens the user's browser for immediate redemption on the advertiser's landing page, Spotify says.
“The average podcast listener has heard countless ads that end with promo codes or show-specific websites and have been carefully repeated three times to keep in mind. In-app offerings make it much easier for listeners to redeem offers when they return to the app, and we can all benefit from one less spelling hour from our favorite podcast creators, ”said Joel Withrow, senior product manager of podcast monetization Spotify in a statement.
The product is designed to better match the way users actually listen to podcasts – usually while doing something else, such as: B. Cooking, cleaning, training or driving. This means that they often have to remember the offers that they hear and want to research later. However, this can be a challenge.
The new product is in an early alpha test in the USA with Harrys in the last podcast on the left and in Germany with HelloFresh in men's place settings. There is still no way to register to participate.
The new feature builds on Spotify's existing Streaming Ad Insertion (SAI) technology, which was unveiled at the Consumer Electronics Show in Las Vegas in early 2020. For the first time, SAI technology provides podcasters and advertisers with key data such as ad impressions, frequency, reach as well as anonymized age, gender and device type on Spotify. This type of data was more difficult, if not impossible, to collect through podcasts that only served as downloads from RSS feeds.
The company said at the time of launch that the problem it was trying to solve was on the advertiser's side – it was unknown whether the ad it was buying was consumed by the user or not.
The SAI will be generally available to advertisers in the US this summer and is now available to select advertisers in Germany.
Adding in-app offerings to the Spotify suite comes after the company continues to invest heavily in podcasts, podcast tools, and podcasting ad technology. The company recently announced an exclusive audio partnership with DC & Warner Bros. and the launch of podcast playlists. Spotify has also just signed a podcast contract with Kim Kardashian West, which focuses on criminal justice, and brought the top podcast The Joe Rogan Experience exclusively to his platform.
According to Spotify, podcast consumption on its platform increased three-digit year-on-year, while podcasts generally hit 1 in 3 or 100 million Americans each month.
Spotify has not indicated when the new in-app ad experience will be publicly available.