Subject category:
Knowledge, Information and Communication Systems Management
Published by:
IBS Center for Management Research
Length: 16 pages
Data source: Published sources
Abstract
The case is about the Swedish audio streaming and media services provider Spotify and its use of big data to enhance customer experience. Launched in 2008, Spotify, the largest on-demand music service in the world, had more than 381 million active users in the third quarter of 2021. Its success is credited to its data-driven approach, where the company gathered data generated by millions of active users based on the tracks they are downloading, listening to, and sharing. Spotify used this data to generate suggested curated playlists like Discover Weekly, which have become highly popular and made Spotify a brand to reckon with in the online music industry. Spotify has also created several more curated playlists. Apart from playlists, Spotify used data to come up with analytics for artists, whereby the artists can get to know where their fans are located and what kind of tracks they are listening to. Further, the data is used to come up with targeted ads and for running ad campaigns. As Spotify continues to expand to more locations and keeps adding new users, it only means more data and better recommendations and predictions.
Teaching and learning
This item is suitable for postgraduate and executive education courses.Time period
The events covered by this case took place in 2006-21.Geographical setting
Region:
World/global
Country:
Sweden
Featured company
Spotify
Employees:
10000+
Turnover:
EUR 2.60 billion (2021)
Type:
Public company
Industry:
Leisure & entertainment
Featured protagonist
- Daniel Ek (male), CEO & Co-Founder
About
Abstract
The case is about the Swedish audio streaming and media services provider Spotify and its use of big data to enhance customer experience. Launched in 2008, Spotify, the largest on-demand music service in the world, had more than 381 million active users in the third quarter of 2021. Its success is credited to its data-driven approach, where the company gathered data generated by millions of active users based on the tracks they are downloading, listening to, and sharing. Spotify used this data to generate suggested curated playlists like Discover Weekly, which have become highly popular and made Spotify a brand to reckon with in the online music industry. Spotify has also created several more curated playlists. Apart from playlists, Spotify used data to come up with analytics for artists, whereby the artists can get to know where their fans are located and what kind of tracks they are listening to. Further, the data is used to come up with targeted ads and for running ad campaigns. As Spotify continues to expand to more locations and keeps adding new users, it only means more data and better recommendations and predictions.
Teaching and learning
This item is suitable for postgraduate and executive education courses.Settings
Time period
The events covered by this case took place in 2006-21.Geographical setting
Region:
World/global
Country:
Sweden
Featured company
Spotify
Employees:
10000+
Turnover:
EUR 2.60 billion (2021)
Type:
Public company
Industry:
Leisure & entertainment
Featured protagonist
- Daniel Ek (male), CEO & Co-Founder