At Symphonic, we proactively explore new technology and programs with our partners to boost the exposure and revenue for our client base. About a year ago, we engaged with Spotify to test their new Discovery Mode program. Here’s everything you need to know…

Using our proprietary business rules and extensive data analysis, our Discovery Mode beta clients enjoyed an average 235% lift in radio and autoplay streams in the past year. 

Discovery Mode queues enrolled tracks to play after a similar track is selected by the listener. In exchange, the track is charged a marketing fee equal to 30% of the per streams payouts in the Discovery Mode context. Now that the beta launch is over, Spotify has turned this feature on for a larger set of tracks. Although the results of which are yet to be seen, but here’s our perspective and go-forward plan:

1. We applaud Spotify for creating this program. Catalog promotion tools are incredibly important. It’s likely we will see other DSPs follow suit and offer their own “discovery” pricing.
2. Symphonic’s sole purpose is to advocate for our clients’ art and financial livelihood. We make a small percentage of the money you make, so our interests are aligned. As such, we will always be open minded about retail programs, but we’ll implement them in a thoughtful way. Without getting into the debate of the financial value of music on a per-stream basis (in short – we want it to be higher just like you), retail programs offering a discounted payout for a product in exchange for “in-store promotion” are nothing new.

• It’s important to note that there is a potential slippery slope phenomenon with these types of promotions. From Economics 101, the more tracks that are in the promotion (supply), the less potential fan engagement for any one track across the board (demand). So we have to point out that it is possible that the 30% marketing fee would cost more than the revenue from the increased exposure through Discovery Mode. But as we said, so far, we’ve seen an average 235% increase in radio and autoplay streams, which is why we’ve invested in a wider launch of Discovery Mode!

You have the ability to opt-out your account from being considered for Discovery Mode by logging into your account and selecting Spotify Discovery Mode within your account dropdown. If you do not opt-out, our team will enroll tracks that we believe are good candidates for Discovery Mode, based on Spotify’s streaming data.

• Symphonic’s technology will give you in depth analytics over how each track is performing when it is opted into Discovery Mode, showing changes in saves, new listeners, and active streams. 
• Symphonic has developed proprietary business rules to ensure tracks that are underperforming and not fully benefiting from the program are removed in the following month.

If you have any questions, visit our help desk here.