Spotify Sponsored Song spots in testing on playlists

Spotify is working on a Sponsored Song slot that will feature at the top of playlists on the music streaming program, TechCrunch reports.

Images have surfaced of the promotional format in action with a NEIKED song called “Call Me” suggested on top of a personal playlist from Liam Thomas Maloney. The settings section has been updated on some app instances where users can opt out of Sponsored Songs. The company confirmed that it is performing “a product test for labels to promote singles on the free tier,” meaning that paying subscribers won’t see this feature.

The Swedish company is extending monetization beyond ad banners, wholesale playlist sponsorships, a developing Hi-Fi tier and a new exclusivity model. It is working towards a direct listing on the New York Stock Exchange. While it’s not clear how the company will determine rates for promoters, — plays, playlist subscribers, impressions, etc. — it is clear that it will be able to leverage premiums to compensate for labels’ streaming rights.

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Jules Wang
Jules Wang is News Editor for Pocketnow and one of the hosts of the Pocketnow Weekly Podcast. He came onto the team in 2014 as an intern editing and producing videos and the podcast while he was studying journalism at Emerson College. He graduated the year after and entered into his current position at Pocketnow, full-time.