The collaboration between the streaming service and the automaker is intended to benefit both parties, giving the former additional ad revenue while offering the latter access to millennial listeners

Music streaming service Spotify is using targeted ads to help car buyers during every step of the process. Ford is implementing the ads generated by Oracle, a tech and data company, to tap in to the younger demographic that makes up a large portion of Spotify listeners.

With the combined efforts and data collection of Spotify and Oracle, ads can be designed based on the listeners' past car purchases, where they are in the process of buying a car and their age. Because automotive companies are one of the biggest investors in advertising generally, the streaming service hopes to corner a larger share of that spending with its data-led ad targeting.

While Spotify is still the leading subscription streaming service, it has faced increasing competition from the likes of Apple and Hulu in recent years, making partnering with advertisers more interesting. Furthermore, the streaming service's listeners tend to be digital-first young adults—the most likely candidates to buy or lease a new car, making the partnership with Ford ideal.

Spotify

Ford


Lead image: stock photos from parlanteste/Shutterstock

Music streaming service Spotify is using targeted ads to help car buyers during every step of the process. Ford is implementing the ads generated by Oracle, a tech and data company, to tap in to the younger demographic that makes up a large portion of Spotify listeners.

With the combined efforts and data collection of Spotify and Oracle, ads can be designed based on the listeners' past car purchases, where they are in the process of buying a car and their age. Because automotive companies are one of the biggest investors in advertising generally, the streaming service hopes to corner a larger share of that spending with its data-led ad targeting.