Commentary: What Is The Spotify Wrapped Controversy About?

Spotify Wrapped had humble beginnings. In 2015, the company released a less-developed version of the campaign called “Music in a Year,” which gained some traction but didn’t quite go viral. It was two years later that Spotify decided to upgrade its marketing quest and finally got what it wanted — a viral moment that provided an abundance of free advertising.

The campaign’s ability to achieve consistent virality has been key to its years-long success, and it’s something worth praising Spotify for from the marketing perspective. When you think about it, Spotify Wrapped has become a social media sensation that has gone viral annually for seven consecutive years. It’s difficult to think of any other trend that would gain the same amount of popularity — if not more — year after year.

Naturally, it wouldn’t be that way if people were not interested in engaging with and sharing a glamorous show that champions how good ‘music listeners’ they are and showcases their favorite artists, songs, albums, and more. It seems that Spotify Wrapped has become not only a staple of modern music consumption but also a defining feature of mainstream culture.

Every year, music blogs and magazines release thousands of articles to report on Spotify Wrapped and cheer on the most successful artists of the year (we’re guilty of this, too).

Another hundreds of articles are then written on how artists can use Spotify Wrapped to promote themselves and thank their fans for their love and support. While any opportunity to endorse their music is wonderful for artists, particularly independent ones, it’s crucial to look at the true purpose of Spotify Wrapped — which is not to promote artists.

At its core, Spotify Wrapped is purely a very effective marketing campaign intended to promote the streaming platform. Year after year, Spotify collects personalized data about listening trends and habits on the platform and crafts a fancy presentation with catchy slogans that users then share on their social media.

It sparks a herd-like behavior, with nearly 160 million people (as of 2022) engaging with the campaign, and contributes to an overall “FOMO effect,” which has encouraged listeners to use Spotify over any other music streaming service. Only last year, Spotify Wrapped arrived with the slogan “Wrapped, Or It Didn’t Happen” — and frankly, who would want to miss out on the opportunity to learn all the fun facts about their music consumption?

So, Spotify runs its Wrapped campaign to promote itself. What’s the issue with that? The problem doesn’t lie in self-promotion but in the lack of accountability towards artists. As the dominant player in the music industry — with an unbelievable 252 million subscribers and roughly 640 million monthly active users — Spotify wields immense influence.

Given that streaming accounts for roughly 32% of all music consumption, Spotify is uniquely positioned to not only endorse artists but also foster an environment where they can thrive. This is especially relevant considering Spotify’s stated mission: “to unlock the potential of human creativity by giving a million creative artists the opportunity to live off their art.”

Yet, Spotify Wrapped is designed primarily for listeners and fans, painting a glossy, idealized picture of the music industry as if it operates solely on a shared love for music. By doing so, Spotify neglects pressing real-life issues such as inadequate pay, financial instability, and limited support for artists — challenges to which Spotify itself contributes.

Unfair artist compensation, in particular, has long been a contentious topic, with prominent artists like Thom Yorke, David Byrne, and Taylor Swift voicing criticism against the platform for years. Ultimately, Wrapped may celebrate fans’ listening habits, but it overlooks the real-world struggles faced by the creators on whom the platform has been built.

Some might argue that Wrapped does offer artists a form of promotion by spotlighting the most-streamed artists, songs, and albums. However, the issue lies in what determines these ‘most-streamed’ rankings — the Spotify algorithm.

In theory, Spotify can be a fantastic platform for discovering music — as long as you like digging and exploring new tracks on your own. In practice, though, many users rely on Spotify’s personalized recommendations and curated playlists to find new music.

These recommendations are heavily influenced by the platform’s algorithm, which, as described in a simple way, tailors suggestions based on a listener’s current listening habits. Author and entrepreneur Eli Paries has described personalized algorithms as systems that create “a unique universe of information for each of us … which fundamentally alters the way we encounter ideas and information.”

When applied to music, Spotify often recommends music similar to what people already enjoy, while ruling out any unproven or unsure music styles and genres. This can, ultimately, trap listeners in their own musical bubble, which limits their exposure to other styles or genres they might potentially like unless they consciously break free.

This raises the question of how much control users really have over their own music discovery on Spotify. Critics have long accused the platform of exerting significant influence over music consumption, implementing policies, and using its algorithm to shape users’ listening habits to favor major artists and heavy streams.

In this context, Spotify Wrapped can be seen as an extension of this strategy, focusing solely on streaming numbers and thus exclusively celebrating musicians that already dominate the charts. This means that the campaign continuously reinforces industry norms and prioritizes major label successes — something that the music business has already done enough of — over smaller and independent artists who want to be heard.

Spotify Wrapped has faced criticism not only from an artist’s perspective but also from listeners. Many media outlets have pointed out the extensive volume of personal data Spotify collects and leverages for free advertising.

Naturally, no one is obliged to share their Wrapped with others, but given that the campaign thrives on social media and users are actively encouraged to broadcast their stats, it is not really intended for private enjoyment.

As Alexis Petridis wrote in a 2023 article for The Guardian, the underlying message of Spotify Wrapped is that "something, somewhere is effectively spying on you, carefully taking note of everything you listen to and when." He further noted that it serves as a reminder that "other companies are doing the same" without users even realizing.

It seems, however, that many users are not concerned about "Spotify’s spying," often reasoning that "it’s just songs" and "not a big deal." Yet, a 2019 study conducted by five researchers revealed that Spotify collects far more than the listening habits and streaming count.

In fact, the study explained that users are, in a way, obliged to have their listening habits turned to "taste profiles” that are "measured using a set of parameters.” While these parameters have never been officially disclosed, it has been discovered that Spotify gathers data such as users’ gender, IP address (and, by extension, location), presumed nationality, and social class.

This further suggests that the platform could deduct other relevant demographics, such as ethnicity, age, or even sexuality. Like other companies, Spotify likely monetizes this data by selling it to other businesses reliant on personal and demographic insights — despite denying such allegations.

Many privacy experts have urged Spotify to strengthen its privacy protection, raising the question of whether the company fully complies with or pushes the limits of various global data privacy laws. Ethical concerns aside, many users appear indifferent to these warnings, despite experts labeling Spotify’s behavior insidious.

In a 2021 Vox article, Kelly Pau wrote that users are often not only aware of companies like Spotify collecting their private data but also eager to see what it reveals about them and enjoy sharing it with others. Ultimately, as Pau suggests, this behavior is often justified through the concept of personal branding, as people use data analysis from these companies to craft their unique online persona.

This perspective has also been shared by Bryan Barletta of Sounds Profitable, the outlet that covers the business of podcasting, who suggests that “people like being able to show who they are through what they experience.”