Since 2016, Spotify Wrapped has become a highlight for many customers. It provides the opportunity for millions of users to analyze their favorite songs and genres over the course of the year, along with reminding you of those guilty pleasures you might not want to remember.

But considering the success of Spotify Wrapped, it’s sometimes easy to forget how the music streaming giant compiles your dedicated playlists. Understanding the context of this is a good idea, and we’ll cover that today. You’ll also learn whether this is a problem.

How Does Spotify Curate Spotify Wrapped?

Spotify Wrapped collects data based on your music-listening habits (depending on you listening to a song for at least 30 seconds) throughout the year, though what you see in Wrapped only counts until the end of October. Besides only getting to see what you’ve listened to for ten months of the year, it’s also important to remember that November and December’s information isn’t carried on to the following year either.

In addition to collecting data about the songs you listen to, the podcasts you listen to will also appear in Spotify Wrapped. If you’re new to the podcasting space, you can check out this guide on how to find, follow, and download podcasts on Spotify.

Is It a Problem That Spotify Compiles Wrapped Like This?

While you might love observing your music-listening habits over the course of the year, it’s a good idea to think about the pros and cons of Spotify collecting data for Spotify Wrapped. With this in mind, we’ve outlined both the pros and cons below.

Pro: Spotify Wrapped Is a Valuable Service

The first benefit of Spotify compiling your personal data is that you get a useful and valuable service with Spotify Wrapped. It’s one of the biggest advantages of having a membership with the platform, even though competitors have launched their own versions since Wrapped first came onto the market.

Pro: Engage in Interesting Conversations and Discover New Artists

Spotify Wrapped also allows you to engage in interesting conversations with your friends and family on social media. Another advantage is that, thanks to viewing what others have listened to, you can potentially discover new artists that you otherwise may not have noticed.

Pro: Spotify Has to Comply With Data Regulations

Since the launch of Spotify Wrapped, the online data landscape has also changed significantly. Both the General Data Protection Regulation (GDPR) and California Consumer Privacy Act (CCPA) have come into effect, for example. And since Spotify operates in both the EU and California, it needs to comply with regulations in those markets.

Con: You Can’t Opt Out Only from Spotify Wrapped

Perhaps the biggest drawback of Spotify Wrapped is that you don’t have the choice to opt out only from Wrapped. You either need to withdraw data consent across the board for Spotify or cancel your membership and use another service. So, you don’t have a huge say in how the service operates.

Con: Spotify Has Received Fines for Data Regulation Shortcomings

If you use Spotify, you have to trust that the company will use your data responsibly (though this is also the case for every business you have a membership with). In June 2023, the Swedish Authority for Privacy Protection (IMY) handed Spotify an “administrative fee” of 58 million Swedish Kronor (roughly €5 million/$5.2 million).

The reason behind the penalty was that while the authority felt that Spotify releases personal data when requested by the user, it “does not inform clearly enough about how this data is used by the company”. The report also argued that the Stockholm-headquartered company should be more specific with how users’ data is utilized.

Tying in with the above, it’s also important to remember that not every jurisdiction in which Spotify operates has the same data laws. So, you might need to check and see which of your information is actually being used.

Con: Music Is a Personal Thing for Many of Us

Besides using personal data, another argument some may have against Spotify Wrapped is that it uses quite intimate information. Music is a deeply personal thing for many of us, and even if you choose not to share our Wrapped information on social media, you may also not want to see some of your music choices on a billboard (even if the chances of this occurring are rare).

Spotify Uses Data to Compile Wrapped, But It’s for a Useful Service

Spotify Wrapped is an interesting way to see how our music tastes evolve over time, and it’s often fun to look at your favorite artists and the like. While many of us are fine with the company using our data for this purpose, there may be other people who aren’t—and it’s important to understand both sides of the coin.

You should now have a better idea of how Spotify compiles your annual Wrapped. With that in mind, you can decide whether you’re happy with the company using your information for these means.