Everything is an algorithm. We like to think that we’re all special and different, when, in fact, we are all predictable. Spotify is using Big Data in order to predict nearby events that its specific customers might find interesting. Recently, I received an email from Spotify suggesting some concerts nearby. I think this is genius because Spotify is leveraging Big Data and location services to expand its product offering.
First, Spotify uses Big Data to group users’ musical tastes in order to suggest similar artists to other users. This encourages the Spotify user to continue to use the service as it takes the effort out of finding new music. The service can do it for you based on the music that you have already listened to. (I will dare to say that the similar music algorithm that Spotify is using is pretty accurate. While under Bebe Rexha it says “Because you listened to similar artists”, I do actually listen to Bebe Rexha. I simply haven’t done so since I’ve opened a Spotify account and thus Spotify does not know it.) Then, Spotify cross-references all of the artists that you are and that you may be interested in with your location to suggest possible concerts in your area that you may enjoy.
By sending this email, Spotify has accomplished several goals. First, it has served its users a reminder marketing piece to get them back on the service. Second, it has extended its service offering; on top of providing new music suggestions in the app, Spotify has provided suggestions for real-live music experiences. Third, Spotify is likely gaining ad revenue based on the number of clicks that the email earns.
Have you ever received a similar email? Did you think the product offering extension made sense with the current product offerings?