Each event will fall into one of four categories: custom events tied to Spotify playlist franchises, such as RapCaviar or Pop Country; events tied to cultural moments in music, such as the Grammy Awards; events tied to podcasts produced by The Ringer; and events tied to Spotify’s owned and licensed podcasts.
The company produced its first event over the weekend, a two-night showcase of six rising artists from the Chicago area, tied to its Fresh Finds franchise. Samsung sponsored the event, which featured several activations that encouraged attendees to try out features of the newest Samsung phone.
“Samsung has a deep belief that the Galaxy AI ecosystem helps creators turn their passions into professions,” said Jacs Wyatt, Samsung’s head of digital marketing and social commerce, “so Fresh Finds is a great place for the brand because we want to be a part of these artists’ journeys.”
For now, the details of Live Experience sponsorships depend on the brand and its needs, said director of technology and telecommunications sales Brendan O’Donnell.
Except for tentpole moments like Cannes and the Super Bowl, the events will not run on a fixed schedule.
Slim margins and potential conflicts
However, working with advertisers to sponsor events could raise conflicts when it comes to working with certain talent, many of whom have brand deals themselves, said Weiner. Technology platforms often want to be seen as agnostic to any specific interests, as doing so enables them to work with and appeal to as many parties as possible.
And compared with subscriptions, which made up 87% of Spotify’s total revenue in 2023, events have slimmer profit margins and scale less effectively, added Weiner.
Still, events offer sponsors, artists and even Spotify the opportunity to unlock valuable first-party data about attendees.
“We’re at a point where the company recognizes that there’s so much opportunity and appetite from brands to take what we’ve done so well digitally and transform that into an in-person experience,” O’Donnell said.
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