Songza to grow ad operations and sales teams

The music streaming service has received $4.7 million, which it will use to scale up its native advertising platform, Branded Moments.
mr clean songza

Songza, a digital and mobile music service that allows users to choose custom-built playlists based on things like the time of day or their moods, has announced it has received $4.7 million in financing.

The financing comes from sources like Amazon.com, talent agency William Morris Endeavor, Lady Gaga manager Troy Carter and Justin Bieber manager Scooter Braun, among others, and will primarily be put towards scaling up the company’s native advertising platform, Branded Moments.

While Songza offers traditional display ad opportunities like boxes and banners, Elias Roman, co-founder and CEO, Songza, tells MiC that its ad platform relies primarily on its native advertising model, which sees the service develop branded playlists that open with 15-second pre-roll ads. For instance Mr. Clean has “Rock out with your Mop out” and Telus has launched sets of “Inspirations” playlists such as “Feel Good Hits,” “Fresh New Discoveries” and “Classic Songs for Great Friends.”

“Native advertising is like a great conversation with someone you just met at a bar, while traditional advertising is transactional, like asking the person for their phone number. But it doesn’t make any sense to do that until you’ve had a great conversation first,” he says.

The financing it receives will see Songza add to its ad operations and sales teams in its offices in Toronto, New York and San Francisco. Songza has also hired its first brand strategist Bryan Lee, who formerly handled brand strategy for New York-based Vayner Media and will be responsible for working with clients to develop strategies and tell their brand stories through Songza life moments. Lee will work out of the New York office.

Songza, whose ad inventory is represented by Oboxmedia in Canada, has worked with Canadian clients like Telus, Mr. Clean, Vitamin Water and Nissan.

The service has 4.7 million monthly active users in North America and reaches an audience that is primarily adults aged 18 to 34 with a slight female skew.