Spotify joins Facebook news feed to expand distribution, starts paid podcast service

News Wireless Global 27 APR 2021
Spotify joins Facebook news feed to expand distribution, starts paid podcast service

Spotify is launching a new partnership with Facebook, so listeners can discover and listen to music directly on the social network. The announcement is part of a wider effort to monetise the streaming platform more, including the launch of paid podcasts and a new advertising marketplace.

In selected countries, Spotify users will be able to listen to songs and podcast episodes using a mini-player inside the Facebook app on iOS and Android. Spotify Premium users can access tracks shared in their Facebook News Feed, with playback provided directly by Spotify. Spotify Free users can enjoy the same experience on Facebook via shuffle mode, with accompanying ads from Spotify. 

Beyond Spotify shares to the news feed, Facebook users can access certain tracks through artists’ posts or user-uploaded videos on Facebook that contain licensed music.

The new integration is rolling out in Argentina, Australia, Bolivia, Brazil, Canada, Chile, Colombia, Costa Rica, Dominican Republic, Ecuador, El Salvador, Guatemala, Honduras, Indonesia, Israel, Japan, Malaysia, Mexico, New Zealand, Nicaragua, Panama, Paraguay, Peru, South Africa, Thailand, Uruguay, and the US, with more countries to follow in the coming months.

No commission on podcasts for two years

The platform for paid podcasts launches first in the US and will also expand to other markets in the coming months. The subscriptions will be displayed the same as no-fee podcasts on the Spotify site. To encourage publishers to use the platform, Spotify is waiving any commission for itself in the first two years, allowing the podcast creators to collect all of the subscription fees.

From 2023, they will pay the company 5 percent of revenues for using its platform. The company said it would also look at allowing publishers with subscribers elsewhere to use its platform for listening only, without having to run subscriptions through the site. The new Spotify Audience Network, to bring its inventory to audio advertisers, is also expected to give podcast makers more ways to earn revenue through advertising. 

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