What Spotify Wrapped can teach small businesses about personalisation

At the tail end of every year, millions of Spotify users eagerly await their personalised Spotify Wrapped – a data-driven summary of their year in music that’s as engaging as it is shareable.

This cultural phenomenon resonates for a number of reasons; it gives people a chance to show off their favourite band and/or song, position themselves as music enthusiasts, and feel part of a larger community. It taps into the desire for self-expression and belonging.

Spotify Wrapped is inherently personal, and for small businesses, it presents a powerful lesson: personalisation can captivate customers, build loyalty, and spark engagement. Just as Spotify Wrapped encourages users to reflect and share, small businesses can harness the power of tailored experiences to forge deeper connections with their audience.

The power of personalisation

Spotify Wrapped feels personal because it genuinely is. By tapping into emotions and highlighting unique music tastes, it turns data into engaging, shareable content. This creates a buzz that amplifies Spotify’s visibility and user engagement – a brilliant example of how personalisation can captivate audiences.

Personalised experiences have been shown to drive higher customer engagement, build loyalty, and increase conversion rates. In fact, a study by Twilio found that 80% of business owners report that consumers are more likely to spend more when interactions are personalised.

The best part? You don’t need a Spotify-level budget to tap into the power of personalisation. Creativity, combined with a consistent focus on your customers, is the key to delivering meaningful experiences that resonate, engage, and encourage loyalty.

Three key lessons for small businesses

Spotify Wrapped’s success lies in its ability to create meaningful, personalised experiences. Small businesses can adapt three key strategies from this approach to connect with their customers:

Leverage customer data

Spotify Wrapped only exists because of data. Small businesses can apply the same principle by collecting and analysing customer data such as purchase history, feedback, and preferences. By using CRM systems or email platforms to segment your customers based on their behaviour, you’ll be able to send tailored offers and content, ensuring people are hit with the right message at the right time.

Tell a story

While Spotify Wrapped tells a year-long story through data, small businesses can create stories in a more accessible way. Instead of relying solely on individual customer data, businesses can weave a broader narrative that resonates with their entire customer base. For example, you could highlight how customers have supported your business over the year, showing how their purchases helped achieve a milestone or contributed to a collective cause.

You could also offer a glimpse behind the scenes by sharing the journey of how your products are developed, or by highlighting the unique perspectives of your team. These stories don’t have to be personalised to each customer, but they should emphasise the role your customers play in your success. By making them feel part of a larger narrative, you can build a sense of community and strengthen their emotional connection to your brand.

Celebrate the individual

Spotify Wrapped celebrates individuality by highlighting each listener’s distinct preferences. Small businesses can, if they have access to the right data, take a similar approach by showcasing their customers' unique business-centric contributions. For instance, you could celebrate milestones like anniversaries or repeat purchases. By highlighting how each customer has helped your business thrive, you can create a personal connection that strengthens loyalty and fosters a sense of belonging.

How to deliver personalised content

There are various tools small businesses can use if they want to take a more personalised approach. Email marketing platforms like Mailchimp and Klaviyo, for example, allow you to segment your audience and send tailored campaigns based on customer preferences, while tools such as Canva can help you create visually appealing, shareable content that resonates with your audience.

Additionally, analytics tools like Google Analytics and HubSpot can help you track customer behaviour, gain insights into what resonates with your audience, and identify areas for improvement. By understanding what your customers are engaging with, you can refine — and continually improve — your marketing efforts.

It’s also worth noting that you shouldn’t feel as though you need to go all in from the outset. Start small by sending thank-you emails or offering personalised discounts and build up from there. These small steps can, ultimately, make a major impact when it comes to nurturing deeper customer relationships.

To wrap up

Spotify Wrapped is a masterclass in the power of personalisation, showcasing how leveraging data, storytelling, and individuality can engage audiences and create meaningful connections. It’s a reminder that impactful marketing isn’t always about scale – it’s about creativity and understanding your audience.

For small businesses, the key takeaway is clear: personalisation can build loyalty and drive engagement. By starting small, whether with a tailored thank-you email or a simple data-driven campaign, businesses can create customer experiences that resonate deeply.