Strategy October 22, 2021
Spotify Partners With Shopify for ‘Virtual Merch Tables’
The new deal allows artists to sell merch directly in app from their profiles.
A new partnership makes it easier to shop for merch while streaming your music.
Spotify is working with e-commerce platform Shopify to allow artists on the service to connect their profiles with their Shopify stores, allowing in-app purchases. Or as Spotify describes it in a blog post, the move turns an artist’s profile into a “virtual merch table.”
Shopify already works with thousands of artists, according to Amir Kabbara, director of product at Shopify. This partnership brings “fans and artists even closer together,” he added in a statement. “Artists today are entrepreneurial. They’re building multifaceted brands and businesses, and now we’re making it easier for them to meet fans where they are. By bringing entrepreneurship to Spotify, we’re empowering artists to think beyond the traditional merch table with new ways to monetize, and to experiment with their brands through commerce.”
Camille Hearst, head of Spotify for Artists, says that for many fans, Spotify is the main venue where they interact with an artist’s music, so the merch integration makes perfect sense. “We want to provide artists with as many resources as possible to help turn listeners into fans, fans into superfans and, ultimately, help artists earn more,” Hearst added.
ok so whatify told you that i can finally clear up all the “Spotify or Shopify” business
— Shopify (@Shopify) October 20, 2021
*clears throat* 🎶
Artists on Spotify can now connect their Shopify store to show off their sweetest merch and hottest drops right on their Spotify profile - just like @remiwolf 👇 pic.twitter.com/u1RiMlqkI5
Selling merch is about both commerce and making a connection with fans, according to Shane Cody, drummer for alternative/indie band Houndmouth. “Merch is a connection to the fans on a tangible level,” he said in Spotify’s blog post. “Our music is the emotional connection, [so] sharing both on Spotify is essential.” The band has a new album dropping in November and plans to feature new merch on their Spotify artist profile to coincide with the release.
Logistically, the services say it will be easy for artists to manage their inventory and control the items that are featured on the profiles. For example, out-of-stock items are automatically removed from a profile. Shopify also notes that its infrastructure can manage high volumes of traffic for an artist with a large following who may see surges when they drop new products.
This isn’t the first time Spotify has teamed up with another company to facilitate merch. The company currently has a deal with Merchbar, a web-based retailer of merch from musical artists. The ability to make in-app purchases is similar to moves from social media brands, trying to keep e-commerce within their own platforms rather than sending users to other sites to complete purchases.