Spotify will use user data for targeted ads in podcasts

Spotify will serve ads based on surveys and user interactions when users listen to ads after downloading them.

Ads in Spotify will be based on factors such as listening behaviour, age and gender. (Spotify)

Spotify is one of the most popular music streaming apps in the world. It offers its users a diverse range of music and podcasts to choose from. Now, the company is making one small change to its platform. It is introducing targeted ads in podcasts.

The feature called the Spotify Podcast Ads will use a technology called Streaming Ad Insertion or SAI, which according to the company will use its 'full digital suite of planning, reporting, and measurement capabilities'. Simply said, this technology will use the copious amount of data that the company collects from its users to target ads to them as they listen to podcasts on Spotify.

To put into perspective, if you and your best friend are listening to the same podcast about adulting, you won't get to hear the same ads as you do so. Reason? Your device and listening behaviour are different.

Apart from serving ads based on your device and your listening behaviour, Spotify will also stream ads to you based on your age and gender. Essentially, the company will use a combination of these factors to help advertisers target ads to you as you listen to your podcasts.

Now comes the good part. According to a report by The Verge, the company will display targeted ads only when users are live streaming podcasts. Users will not be bombarded with targeted ads if they listen to ads after downloading them. Don't worry, there will still be ads in the podcasts. But, they will be based on the data that these companies have collected via surveys and user interactions.