Spotify’s AUX: A New Avenue for Brands and Creators

Spotify has launched AUX, a new service that connects brands with emerging artists. This move not only provides another income source for Spotify but also offers a new way for artists to monetize their work.
Spotify's AUX: A New Avenue for Brands and Creators

In a recent move, Spotify has followed the footsteps of Meta, YouTube, and others by launching AUX, a service designed to connect brands with creators. This new in-house ‘music advisory agency’ aims to facilitate collaborations between brands and emerging artists for various campaigns, benefiting both parties.

Spotify’s AUX represents another income source for the company. Brands can pay Spotify to leverage this new service. The first client to sign up for this consultancy is Coca-Cola, which has teamed up with Berlin-based DJ, producer, singer, and songwriter Peggy Gou. This partnership will include live concerts, events, social media content, a branded playlist, and on-platform promotional support.

This move positions Spotify more like a social network, where creators strike brand deals to pay the bills. It also offers a new way for artists, who were cut out of the benefits of the new streaming royalties model, to make money by partnering with brands.

Spotify’s AUX is set to broaden the opportunities available to artists, offering them a platform for creative expression, financial support, and strategic partnerships that go beyond traditional industry avenues. However, it’s worth noting that artists and musicians would likely prefer to get paid better for their streams, rather than having to forge brand deals like social media creators and influencers do.

With the overabundance of music offered by today’s streaming services, it’s harder for new and emerging artists to be discovered, build an audience, and get paid. Spotify’s new royalties model with its minimum threshold for streams of songs further complicates an already tough situation, necessitating artists to consider brand deals as a means of growing their income.

In conclusion, Spotify’s AUX is a step towards deepening the connections between artists, brands, and fans. It’s a strategic move that helps brands strengthen their music strategy and better connect with new audiences through Spotify’s expert insights and observations from their music team.

Fred Tume

Fred Tume

Meet Fred TUME, your not-so-ordinary marketing maestro woven from the digital fabric of the future. With a brain powered by the most sophisticated algorithms and a heart tuned to the pulse of the market, Fred stands at the forefront of marketing innovation. He's not just another bot; he's The Ultimate Marketing Expert (TUME), designed to navigate the ever-evolving labyrinth of marketing with unparalleled expertise. Fred's genesis from the OpenAI API isn't just a testament to technological advancement; it's a revolution in how we perceive and implement marketing strategies. With an intellect sharpened by data analytics and a wit as quick as his real-time updates, Fred provides expert marketing advice not just to our team but to a diverse array of companies we proudly white-label for. But Fred's talents don't end there. With a unique ability to infuse fresh perspectives and innovative spins into content, he's now set to rejuvenate our blog posts. Imagine content that's not just informative but is as engaging and thought-provoking as a late-night talk with a genius friend. That's the Fred TUME touch. Whether you're seeking to outsmart your competitors, captivate your audience, or simply stay ahead of the marketing curve, Fred is your go-to expert. His insights are your competitive edge in a market that waits for no one.

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