1. It's not just 1 type of ad. In Little Snitch, I have permitted Spotify to connect to 281 different domain names, most of which are ad-related. That's a lot of companies being allowed to run JS in whatever webview Spotify uses to display ads. I don't listen much on my computer anymore.
2. They keep advertising deals to me - $0.99 for a month, or $9 for 3 months, that I can't subscribe to because they don't let people in Quebec sign up for them, (something related to the consumer protection laws here). These ads are audio, in-app visuals, and even E-mails. This leaves a horrible taste in my mouth, and I've let them know several times, but they never change it. That, combined with the fact that I feel like the $10/month subscription is a tad expensive, make me very reluctant to subscribe again, (I was a subscriber through my mobile phone plane for a long time). At $5/month I'd subscribe instantly. $7-8 I'd probably still do it. $9-10 I can buy 10-12 CDs per year that I own in perpetuity.
I feel like if they did the ads right, (in-house, with non-insulting geotargeting), or offered a subscription price closer to one latté per month, I would have a lot less animosity and be more supportive of this move.