Spotify Unveils Reserved Concert Tickets For Subscribers, New UMG Licensing Deal

Spotify is out with a handful of buzzy new initiatives including a new Reserved feature that sets aside a pair of concert tickets for artist’s biggest fans on the platform and a new AI tool with Universal Music Group allowing fans to create covers and remixes of their favorite songs from participating artists and songwriters.

The moves were unveiled during the company’s investor day in New York along with updates on podcasts, audiobooks and advertising. The stock surged, trading up over 17% in midday trade in a rather dour market.

Reserved, for eligible Spotify Premium subscribers (ages 18+), will identify an artist’s most dedicated fans based on metrics from the platform and hold two tour tickets for them. The subscriber will a reserved window, usually about a day, to purchase the tickets before they go on sale to the general public. The feature, in partnership with Live Nation, will start in the U.S. with more markets to follow.

“Spotify has long been where fans discover their next favorite artists, and where artists grow their audiences. Reserved builds on this by helping true fans get to the show. With Reserved, Spotify will be the only audio streaming service where your fandom is rewarded with two tour tickets reserved for fans like you, because real fandom deserves a real seat at the show,” the company said. “We’ll identify real fans based on factors like streams, shares, and other Spotify activity, and will also monitor the activity of Premium users to ensure these are real human fans and not bots.”

The Universal Music licensing deal powered by generative AI technology will open up additional revenue streams and new ways to drive discovery, executives said.

“What we’re building is grounded in consent, credit, and compensation for the artists and songwriters that take part. Through each technological transformation, we have worked together with Sir Lucian and his team to evolve the music ecosystem into a richer, more beneficial experience for fans and a more rewarding outcome for artists and songwriters,” as per co-CEO Alex Norström, referring to Sir Lucian Grainge, UMG’s chairman-CEO.

Grainge called the tool a “pioneering AI-enabled superfan initiative, which is designed to support human artistry, deepen fan relationships, and create additional revenue opportunities for artists and songwriters.”

The investor day started at 10 am ET and is still onoing.

More to come