Spotify to Expand into advertising with CreativeLab and test generative AI ads

TapTechNews June 14th news, TechCrunch reported that Spotify will further step into the advertising field and launch its first internal creative agency, CreativeLab, to help brands create customized marketing campaigns and will start testing generative AI advertising.

Spotify said the beverage company Aperol will be a client of CreativeLab.

A spokesperson for Spotify indicated that they are developing a new AI tool 'QuickAudio' for advertisers, through which they can create scripts and voiceovers using generative AI, and it will be launched soon in Spotify's Ad Manager.

Brands will be able to cooperate with the CreativeLab team to produce video and audio advertisements as well as other interactive advertising formats such as call-to-action (CTA) cards. Spotify said that every campaign touched by CreativeLab is highly customized according to each specific brand and business requirements.

Spotify free users will see advertisements, and users can subscribe to members to remove advertisements and obtain other services. According to TapTechNews' previous report, Spotify increased its price twice in the past 12 months, and the monthly fee increased from $10.99 to $11.99.