Spotify is re-investing in content by offering video creators up to seven-figure deals to bring their shows to its platform, aiming to expand its video catalog in competition with YouTube.
Key Points:
- Spotify is offering large sums to video creators to add content to its platform, focusing on non-exclusive distribution deals.
- The platform previously focused on podcasting but is now shifting back to investing heavily in video.
- Spotify’s deals with creators vary, some involving marketing support in lieu of direct payments.
- The company aims to attract creators from YouTube to diversify its catalog.
- Spotify is now competing more aggressively in the video advertising space, with its ad inventory improving.
- Challenges exist for podcast creators using dynamically inserted ads, as uploading video to Spotify could disrupt ad revenue models.
- Spotify is one of the largest podcast and video platforms but faces competition from YouTube, which also does not support dynamic ads.
Discussion (1)
They are clearly trying to position themselves as a YouTube competitor now, not just in audio but in video too. Im curious about the “non-exclusive” part of the deals though. Does that mean creators can still post on YouTube? Because if they can, I dont see why a creator would choose Spotify over YouTube unless they’re just looking to diversify income streams.