UM Wins Spotify’s Global Media Agency Review

Brand spends $40 million to $50 million annually

The company sought to streamline its marketing efforts around the world.
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UM recently won a competitive review to handle global media planning and buying duties for Spotify.

An IPG Mediabrands spokesperson deferred to the client for comment, while a Spotify representative confirmed the company is working with UM but declined to elaborate or answer specific questions about the scope of the win.

According to two people close to the matter, however, the agency beat out finalists including Dentsu’s Vizeum and Publicis Groupe’s Zenith Optimedia. While Omnicom’s Hearts & Science was reportedly engaged with Spotify during this process, a spokesperson said today that the agency did not pitch for the business itself. The review began in late 2016 and ended several weeks ago.

Goodstuff had been agency of record in the U.K. since early 2016 but will purportedly no longer work on the account. 360i, which shares a parent company with Vizeum, won the company’s last U.S. review in February 2015.

Research firm COMvergence estimates that Spotify spends $40 million to $50 million on measured media around the world each year. According to the latest numbers from Kantar Media, approximately $16.6 million of that total was for U.S. campaigns last year.

Spotify handles some of the media duties surrounding its marketing internally. Earlier this year, it expanded its own capacity for programmatic audio sales by acquiring recommendation app MightyTV and hiring its founder, Brian Adams, as vp of technology.

On the creative side, the company works with both its in-house team and agency partners, including Wieden + Kennedy.

According to a person who worked on the pitch, Spotify launched the review to streamline its agency roster and establish a single platform for all future global campaigns. Earlier this summer, it also hired two former WPP executives to further develop relationships with agencies and advertisers alike.

Despite persistent rumors, the company has not yet launched an IPO.