Joe Rogan Isn't Spotify's Biggest Problem. It's Having an Identity Crisis

Although most headlines appear to suggest Spotify's biggest issue is whether or not to drop The Joe Rogan Experience podcast series, the bigger problem for the audio brand is that it has crossed a divide into publishing. Spotify has found itself in the same gray area of other platform giants-turned-media companies like Facebook and YouTube. The launch of its formal podcast operation in July 2020 marked Spotify's transition from a place to listen to music into a publisher. Unlike music, which is tied to musicians' own ideologies, podcasts fall into the realm of information and editorial. Therefore, for better or worse, when a platform like Spotify agrees to an exclusive $100 million deal to run a podcast like Rogan's, it aligns the audio brand with those views as well. “They will need to redefine their value proposition for the artistic community and listeners: Is Spotify a distribution channel, a publisher or a content creator?” said Daniella Bianchi, executive director of branding consultancy Interbrand. “From the moment they decide to be more than a distribution channel, inexorably, they will be charged as responsible for the content.” As the sole partner for The Joe Rogan Experience, which reaches 11 million subscribers, Spotify is viewed as uniquely responsible for that content. As more platforms seek to differentiate themselves by offering bespoke content, Spotify's apprehension over its role as a publisher is the start of a wider tech provider identity crisis. Up to now, the deal to distribute The Joe Rogan Experience appeared to prove its worth to the audio brand. In Spotify's first year hosting podcasts, Rogan's show was crowned the No. 1 program on the platform. Data from an internal newsletter obtained by Business Insider last year showed that The Joe Rogan Experience accounted for 4.5% of all podcast listening in September 2020, with users spending 14.9 million hours total listening to the show in that month. Brands Want Celebrity Spokespeople to Be Political Now Crossing the divide Spotify still maintains its identity as a platform for all things audio. But it is venturing into unclear territory where it must balance its own brand purpose and association with Rogan—especially once musical icons Neil Young and Joni Mitchell got involved. The pair amplified the criticism against the platform when they responded to accusations that Rogan was spreading misinformation about Covid-19 vaccines by demanding their record companies pull their work off the platform in protest. That's when things are starting to get tricky for Spotify as its brand identity became newly tied with Rogan's. "They knew what they were getting with him, and they paid a premium for it," said David Berkowitz, svp corporate marketing and communications of omnichannel platform Mediaocean and founder of the Serial Marketers community. The accusations of coronavirus-related misinformation was not a one-time incident. Rogan previously made assertions casting doubt about the effectiveness of Covid-19 vaccines as well as his support of ivermectin as an alternative treatment. For Young, the last straw came when Rogan brought virologist Dr. Robert Malone, who has been banned from Twitter and YouTube over reportedly making false claims about vaccines, onto his podcast in January. "Spotify has recently become a very damaging force via its public misinformation and lies about Covid," Young wrote in a statement on his website on Jan. 24. "I realized I could not continue to support Spotify's life-threatening misinformation to the music-loving public." While artists pulling their music from the platform isn't great press, it's media buyers that Spotify should be worried about. Buyers will surely be keeping an ear on what's being released and how their clients intend to spend on Spotify. "The biggest challenge for Spotify is that a lot of the media-savvy people following the Rogan controversy aren't the consumers; rather, it's the buyers," Berkowitz said. "They're probably not the typical Rogan listener." Feeling like deja vu This isn't the first time that Spotify has dealt with controversial creators in an inconsistent way. In May 2018, Spotify announced its Hate Content and Hateful Conduct policy, promising to remove music from artists such as R. Kelly and hip-hop rapper XXXTentacion. However, the policy drew criticism for being vague and seeming to only target Black men who had not yet been convicted of any crimes. The policy was also regarded as a barrier to entry for some emerging artists. Spotify reneged on the policy three weeks later, saying in a statement: "That’s not what Spotify is about. We don’t aim to play judge and jury. … Across all genres, our role is not to regulate artists." Now, four years later, these words ring true once again as it attempts to set a precedent on how it'll deal with Covid misinformation in its podcasts. As of publication, Spotify had not removed any of Rogan's Covid-related podcast episodes. After saying it didn't want to be cast in the role of "censor"—a line Facebook used two years ago at a U.S. Senate hearing on tech and misinformation—Spotify implemented a health and science hub featuring Covid-related podcasts from any creator, providing users with more information on the virus. "They applied some Band-Aids. Making Rogan their franchise player is going to invite more scrutiny if he doubles down on spreading misinformation," Berkowitz said. 113 episodes have recently been removed for other reasons, including Rogan's use of a racial slur. He apologized in an Instagram video. Spotify co-founder and CEO Daniel Ek wrote a memo to staffers saying the company has had conversations with Rogan and his team, adding, "I do not believe that silencing Joe is the answer. We should have clear lines around content and take action when they are crossed, but canceling voices is a slippery slope." Ek reiterated that the brand was not a publisher but that it was perceived as a publisher because it has exclusivity over Rogan’s podcast. "What other publishers can learn is that you must take responsibility when you give visibility to a certain point of view. No publisher is neutral," Bianchi said. "This is a well-known maxim in traditional media that unfortunately has yet to be understood by the new publishers." Spotify did not respond to a request for comment. Digging in the heels Looking to past examples with YouTube and Facebook, Spotify is learning the hard lesson that trying to appeal to everyone isn't sustainable. According to Berkowitz, Spotify needs to pinpoint who its audience is when making these decisions in the future. "Do they want 'shock jock fans,' or do they want NPR listeners?" he posed. Spotify has not yet seen any massive change in user numbers. But the negative signs of a diminished brand value are surging. Searches for "how to cancel Spotify" and "alternatives to Spotify" increased 2,500% and 1,600%, respectively, according to mar-tech firm Conductor. There have been no instances of brands pulling advertising from the platform. Overall, it isn't something that Ek seemed heavily concerned with in a Feb. 2 earnings call. "It’s too early to know what the impact may be. And usually when we’ve had controversies in the past, those are measured in months and not days. But I feel good about where we are in relation to that, and obviously top-line trends looks very healthy, still." In the call, Ek also doubled down on the brand not changing its policies: "We don’t change our policies based on one creator nor do we change it based on any media cycle, or calls from anyone else." As Spotify continues expanding its podcast arm, the audio brand will eventually need to reckon with its status as a publisher. "The ultimate issue is related to the lack of a clear positioning as Spotify expanded its promise from a music provider to a creative content provider," Bianchi said. 5 Ways Podcasts Are Redefining Black Representation