The Big Impression: Spotify’s Brian Berner on the ‘Untapped’ Potential of Audio

Date: August 27, 2025
Podcast: The Big Impression
Host: Damian Fowler (A)
Guest: Brian Berner (B), Global Head of Ad Sales at Spotify

Episode Overview

This episode explores Spotify's evolution from a music streaming platform to a multifaceted media and advertising powerhouse. Damian Fowler interviews Brian Berner about the launch of Spotify’s Ad Exchange (SAX), the growth and innovation of Spotify’s ad business, the untapped value of audio for brands, and the expanding role of generative AI and video content. The conversation details strategy insights, use cases, and Brian’s vision for the future opportunities in audio and programmatic advertising.

Key Discussion Points and Insights

1. SAX (Spotify Ad Exchange): Accelerating Programmatic Audio

[01:13]

• Launch Timing & Motivation:
  • SAX was officially launched in April after years of development, driven by the growing demand from advertisers for agility, flexibility, and the integration of first-party data and measurement tools.
  • “As brands are partnering with us, we want to be able to just make it easier for them to create, buy and measure.” — Brian Berner [02:36]
• Integration & Scale:
  • SAX opens up all Spotify inventory and signals to over 39 DSPs worldwide, streamlining the audience targeting and cross-format buying process.
  • Over 5,000 advertisers leaned into SAX in its launch year, confirming strong market demand.
  • The real value comes from matching Spotify’s logged-in, first-party data with advertiser data for highly targeted campaigns.

2. Growth Drivers in Spotify’s Ad Revenue

[04:22]

• Revenue Milestone:
  • Spotify closed its most profitable year; ad revenue has increased 114% since 2020.
  • Core products remain foundational, but future growth is expected to accelerate through programmatic and automation thanks to new tools.
• Brand Use Cases:
  • Brands like Kona and Budweiser leverage both automation and Spotify’s AUX (music consulting and brand/artist activation) to create contextually-aligned campaigns at scale.
  • “We look at the brand attributes...and then you can really break down even to sub genres that align with brand attributes.” [06:35]

3. Bringing Cultural Moments to Scale

[07:55]

• Unique Audience Alignment:
  • Spotify blends streaming intelligence (listening data) to enable brands to reach super-targeted audiences — much deeper than simple demographics, enabling “magic” connections at festivals and beyond.
• Amplifying Offline Events:
  • Example: “Fans First” program creates intimate, memorable fan events for super-listeners, relying on social amplification and custom scalable media to reach broader audiences.

4. The Untapped Potential and Value of Audio

[10:06], [13:20]

• Attention Economy:
  • Audio platforms average over two hours per user per day, usually in dedicated, mood-enhancing engagement (not “doom scrolling”).
  • Major gap: Audio garners over 1/3 of consumer time, but only about 1% of ad budgets from brands.
  • “There is a massive disconnect between, you know, how marketers are thinking about audio versus where, you know, they're investing.” — Brian Berner [10:52]
• Solidarity in the Industry:
  • Audio industry—Spotify and competitors—are united in advocating for greater advertiser investment in audio due to its growing dominance and innovation potential.

5. AI-Powered Creative: Generative Audio Ad Production

[14:40]

• Adoption & Scale:
  • Generative AI audio ads have rolled out in the US, Canada, and most recently the UK, with over 1,500 advertisers creating 7,000+ unique spots in four months.
• Workflow Benefits:
  • Brands input text describing their product; AI generates ads with chosen voice parameters in minutes, drastically reducing production time.
  • “First time users on average can create an audio spot in under 17 minutes…and under nine minutes...when people get going.” — Brian Berner [15:07]
  • Enables cost-saving, creative A/B testing, and localization at scale.
• Performance:
  • The main differential is speed and operational efficiency, not necessarily creative quality differences.

6. Beyond Audio: Full-Funnel Media and Video Podcasts

[17:07]

• Evolving Product Offering:
  • Spotify responds to audience signals by expanding into video — especially among younger users, where “watching” and “listening” seamlessly blend.
  • 500,000 video podcast episodes uploaded this year signals rapid uptake.
  • “Brands really need to think through what is your audio, you know, video and, and even display, you know, look like.” [18:54]
• Omnichannel Brand Storytelling:
  • Brands should prepare for consumers who want to engage with both audio and visual experience, and optimize for the right moment and platform format.

7. The Future: Investment vs. Opportunity, Measurement, and Innovation

[21:06]

• Audio Opportunity:
  • Persistent underinvestment in audio vs. consumer usage drives Brian’s focus.
  • “There is a lot of untapped opportunity that is still out there for us to innovate with brands together.” [21:23]
• Programmatic’s Next Chapter:
  • The future is about better measurement and omnichannel insights.
  • “I have never had so many consistent discussions around measurement…I think in programmatic, you know, continued evolution of measurement, maybe even omnichannel…” [21:44]

Notable Quotes & Memorable Moments

• On Audio’s Unique Value:
  "I've never gotten off of Spotify and, and felt worse about myself." — Brian Berner [10:52]

• On Brand Alignment:
  "That's like how you make magic. One plus one equals three." — Brian Berner [07:41]

• On AI Audio Creative:
  "First time users on average can create an audio spot in under 17 minutes...when people get going...under nine minutes." — Brian Berner [15:07]

• On Audio Investment Gap:
  “Over one third of consumers days are spent engaging with audio. Right. Yet audio as an entire vertical is 1% of, you know, budget.” — Brian Berner [10:52]

• On Changing User Habits:
  “There are moments when I'm commuting on the train into Manhattan and I'm watching my video podcast and then I jump off...I click a button and it switches to audio.” — Brian Berner [18:29]

Key Timestamps for Major Segments

• SAX Launch & Programmatic Vision: [01:13]–[03:12]
• Ad Revenue Growth & Future Drivers: [04:22]–[05:19]
• Brand Use Cases & Cultural Events: [05:26]–[09:53]
• Audio’s Untapped Value & Market Solidarity: [10:06]–[14:35]
• AI-Generated Audio Ads: [14:40]–[16:46]
• Spotify’s Full-Funnel, Multi-Format Strategy: [17:07]–[20:47]
• Quick Fire: The Future, Measurement, and Personal Listening Habits: [21:06]–[23:36]

Tone & Language

Brian Berner speaks in an informally knowledgeable, enthusiastic, and pragmatic tone, emphasizing innovation, user focus, and the significant opportunity still ahead for audio as an advertising medium.

For Listeners Who Haven’t Tuned In

This episode is a crash course in how Spotify is reshaping the audio—and now video—advertising landscape, arming brands with powerful data, programmatic tools, and creative AI to reach consumers wherever they listen or watch. Brian Berner makes the case that audio is a critical but underexploited frontier, and hints that brand innovation and smarter measurement will be Spotify’s double-down focus for years to come.