Streaming content to mobile devices is worth $220m to advertisers, with much of it linked to “moods and moments” according to new research.
The findings form part of a a multi-year data and research partnership between GroupM parent WPP and Spotify.
It also found that more than 60% of streaming activity is done via mobile devices. The companies studied streamers in Australia, Canada, France, Germany, the U.S., the U.K. and Sweden.
GroupM expects these streaming mobile activities to translate into entirely new budgets for ad spending.
The company estimates that in the coming few years, ads aimed specifically at people based on the fact that they’re at the gym, in the shower or cooking dinner while listening to music – that is, exhibiting “moods” or engaged in particular “moments” will account for $220 million in new ad revenue in the seven markets surveyed.
The estimate accounts for this type of targeting in all streaming platforms, not just Spotify.
“We’re really trying to illustrate what we think are the new advertising moments, so these aren’t substitutions of one media for another,” said Simeon Duckworth, head of data and analytics strategic development at GroupM. “Moods and moments” is a general targeting opportunity that can be recognized across multiple media, “not just Spotify and not just streaming,” he added.
“The advantage of the WPP partnership with Spotify is that we can access and operationalize the data to realize this opportunity.”
According to the partners’ Streaming State of Mind study, about 53% of mobile music streamers said they listen to music while doing housework, 42% while cooking, 30% while showering, and 20% while running errands.