Music streaming giant Spotify has announced the establishment of its first internal creative agency, Creative Lab, to help brands tailor marketing campaigns and begin testing generative AI ads. This move indicates that Spotify is intensifying its efforts to attract advertisers, with the potential draw being the ability to reach Spotify's 615 million listeners.

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Image Source: Spotify

Additionally, Spotify is developing a new AI tool called "Quick Audio" to help advertisers create scripts and voiceovers using generative AI. A company spokesperson revealed that the tool will soon be available on Spotify's ad management platform.

Earlier, Spotify had expressed its intention to use AI for podcast host-read ads. Brands can collaborate with the newly formed Creative Lab team to produce video and audio ads, in-app digital experiences, and other interactive ad formats, such as call-to-action cards. The company spokesperson stated, "Every campaign Creative Lab is involved in is highly customized to meet specific brand and business needs."

Spotify cited client Rockstar Energy Drink as an example, which launched the "Press Play" live concert series within the music streaming app, featuring artists like British rapper Stormzy. Another beverage company, Aperol, will also become a client of Creative Lab.