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Spotify purchased Chartable and Podsights podcasting companies to attract more creators to the platform.

These companies are well-known for their ability to track pixels that allow marketers, advertisers, and podcasters see ratings for their shows.

Chartable and Podsights are vital to Spotify in order to show advertisers how effective their podcast marketing is.

Two Companies are acquired by Spotify for its Podcast

According to 9to5Mac, Spotify said that it would add Podsights technology to its audio ads in music, display ads and video ads.

Sean Creely, CEO of Podsights, stated that the company’s team believes that there will be no changes in the future and that Spotify would only improve its technology.

Chartable’s fate is not as clear. Megaphone will integrate its technology, including SmartLinks and SmartPromos marketing technology. The blog of the company regarding the future status of the team was not updated.

Ashley Carman, The Verge’s Ashley Carman, noted that Spotify’s acquisition of the two companies places them in a strong position as they will now be able to see which shows are doing well, regardless of whether they are hosted on their own platform or viewed on their app.

This could pose a problem for large networks. They should start to think about whether it is better for them to trust Spotify or build their trackers to protect their data.

Spotify may require podcasters to host on their platform to attribute ads. This is not ideal for Amazon, which has its own hosting platform.

According to Erin Styles (Spotify’s spokesperson), Chartable’s tools will only be available to Megaphone customers, but not to paying customers.

Spotify may also see opportunity and profit in catering to advertisers across the globe, regardless of where their customers are from or where they are hosted.

Spotify was able to compete with YouTube through these purchases, particularly in terms of YouTube’s analytics. AdSense and its extensive analytics allow video creators to publish their content on YouTube.

These analytics allow someone to upload a video and get more information about the viewers, such as their gender and age. They also provide data like which moments were most popular.

Spotify bought podcast platform Podz last year for easier podcast discovery.

Future Acquisitions

According to Sky News both Spotify and Amazon are looking at rival takeover strategies for Audioboom. This podcasting group has seen its revenue and share prices rise during the pandemic.

The two tech giants have been looking into bids for the London-listed podcasting company. They may decide to make formal offers in the next month.

According to Amazon, it has been in contact with JP Morgan’s investment bankers regarding its interest for Audioboom. A proposal from Spotify or Amazon was likely at a substantial premium to the closing share prices of PS17.60 and $23.97.

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