Spotify achieves 4x higher conversion rates with AI-driven programmatic activation

BUSINESS OBJECTIVE 

Extending subscription growth beyond owned media 

During Diwali — one of India’s most culturally significant moments and a peak period for digital engagement — Spotify set out to accelerate subscription growth. The brand wanted to reach high-propensity audiences beyond its owned environments while maintaining efficiency at scale. At the same time, Spotify sought to assess the incremental value programmatic activation could deliver as part of its broader, multi-platform media strategy.

Together with Publicis and The Trade Desk, Spotify used first-party data and AI-driven optimisation to expand reach across the open internet and improve conversion efficiency. 

SOLUTION 

Activating high-intent audiences across the open internet

Spotify and Publicis developed a performance-led activation strategy built around Spotify’s first-party behavioural data and our platform’s AI-powered optimisation capabilities. 

Using Spotify’s consented, anonymised signals such as “time spent on platform” and “time since app installation,” the team created high-intent audience cohorts with a stronger likelihood to convert. These audience cohorts were further segmented based on engagement and app recency, enabling more precise frequency management and more relevant messaging for Spotify’s free-tier users. 

The campaign was designed as part of a coordinated, multi-platform approach. Instead of operating in isolation, it complemented activity running across programmatic display and social channels. This enabled Spotify to reinforce messaging across multiple touchpoints to help guide users along the conversion journey. 

By using our platform, Spotify was able to continuously optimise delivery in real time, analyse engagement and conversion signals to prioritise high-performing placements, and dynamically reallocate spend towards more efficient inventory. 

Throughout the campaign, AI-driven optimisation enabled the team to focus investment on the audiences and environments driving the strongest performance — improving efficiency without sacrificing scale. 

RESULTS 

Driving stronger conversion performance across platforms 

The four-week Diwali campaign delivered measurable impact, demonstrating the value of a multi-platform media strategy that includes programmatic activation.

The campaign achieved:

• 4x higher conversion rates amongst users exposed across multiple platforms, compared with those reached through a single platform 

• 110% of target reach delivered during the campaign period 

• 15% lower CPMs than planned while maintaining performance efficiency 

• 0.6% conversion ratio across the campaign 

The campaign also reinforced the power of pairing first-party data with AI-driven optimisation. By continuously evaluating engagement and conversion signals in real time, Spotify extended reach more efficiently across the open internet while prioritising higher-performing audiences and placements. 

For Spotify and Publicis, the impact of this campaign goes beyond the winning combination of first-party data and AI optimisation. By integrating programmatic into a broader strategy, the team unlocked scalable, more efficient conversion growth while also gaining a clearer understanding of how different channels work together to drive results. 

Ready to learn how programmatic advertising can help your brand reach new customers and drive measurable business results? Contact us or reach out to your account manager at The Trade Desk today.