Spotify Brings Video Ads to Its Ad Studio Self-Serve Platform

They will debut in Canada, the U.K., the U.S. and with select advertisers in other test markets

Spotify said video accounts for an average of 25% of its overall ad revenue Spotify
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Spotify Wednesday added video ads to Ad Studio, its self-serve ad platform, in Canada, the U.K. and the U.S.

The update is also available to select advertisers in test markets that Spotify added to Ad Studio in April.

The streaming platform said Ad Studio, which is available in 22 markets across the globe, enables advertisers to upload a script and have Spotify deliver a fully produced audio ad in as little as one hour, although it can take up to 48 hours in some cases.

The company added that 50% of its advertisers used this tool in May, up 11% from March, noting that video accounts for an average of 25% of its overall ad revenue.

Spotify said the addition of video ads to Ad Studio will give brands a visual storytelling opportunity for users’ sound-on, in focus moments, adding that its research with Nielsen Brand Effect showed that combining audio ads with video ads on its platform results in higher brand lift that going solely with video ads—nearly double the ad recall and more than double in brand awareness.

The company said in a statement, “Unlike many other platforms, on Spotify, listeners are already engaging with their sound on, offering a valuable opportunity for a brand’s message to be seen and heard. This multisensory experience can extend a brand’s audio ad strategy, providing another touchpoint to capture listeners’ attention and share messages across all relevant moments.” David Cohen is editor of Adweek's Social Pro Daily.