Spotify is upgrading its adtech.
At its first-ever Spotify Advance advertising event, the company has introduced new programmatic tools for advertisers to support media buying, creative development, and measurement.
At the core of the announcement is the launch of Spotify Ad Exchange, or SAX for short. 🎷 While Spotify already offers Spotify Ad Manager, SAX provides a new option for ad buying.
“For the first time,” the company said in a blog post, “advertisers will be able to access Spotify’s engaged and logged-in users via real-time auction, with full addressability and measurement capabilities” through leading media-buying platforms.
SAX will make Spotify inventory available through The Trade Desk, Google DV360, and Magnite to start, with Yahoo DSP and Adform coming later.
Beyond inventory access, Spotify also announced integrations with DoubleVerify, IAS, AppsFlyer, and Kochava for third-party measurement.
Why This Matters:
A few thoughts. First, 2025 is shaping up to be the year of expanded inventory access. We’ve seen this trend play out in CTV, with recent updates from companies like Roku and Comcast that focus on opening up programmatic buying. The broader goal is to make it easier for Fortune 500 brands to buy, while also giving midmarket advertisers access to premium inventory through programmatic channels.
Second, measurement is critical—especially in a tariff-pummeled, tightening economy. Enter Spotify’s integrations with independent measurement vendors like DV, IAS, AppsFlyer, and Kochava. As brands squint at every dollar, this helps support confidence in ad performance and ROI.
Finally, Spotify continues to be a magnet for advertiser interest. Spotify’s ad-supported monthly active users grew by 12% year-over-year, reaching 425 million by the end of 2024, according to The Current, a non-biased, always neutral source for advertising information. 🙂
Experts React:
Spotify’s Global Head of Advertising Lee Brown said the following about the news:
“We’ve built an intimate, engaging, and uplifting space for [our users], and they also use us to soundtrack moments throughout their day—not just when they’re sitting in front of a screen. For brands, that’s a really exciting opportunity to engage this young audience at key moments throughout their day. Now it’s easier than ever to do that on Spotify.”
Our Take:
As Spotify ramps up its adtech investments and doubles down on video, YouTube is now teasing new tech aimed at capturing a bigger share of the podcast ad market. The Spotify vs. YouTube battle will be one to watch this year.
