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    Music

    Spotify raises subscription prices for millions

    Spotify raises subscription prices for millions

    Spotify, the popular music streaming service, has announced its first price increase for its 200 mn ad-free subscribers in over a decade, reports BBC on July 25. The cost for individual plans in the US will rise from $9.99 to $10.99, and similar price hikes will apply to users in the UK, Canada, Australia, and 49 other territories. The Premium Duo plan in the US will increase from $12.99 to $14.99, the Family plan will go from $15.99 to $16.99, and the Student plan will rise from $4.99 to $5.99.

    Photo: Premium prices will increase from $9.99 to $10.99
    Source: BBC

    Spotify cited the need for innovation and the desire to continue delivering value to fans and artists as the reasons behind the price adjustments. The new prices match the monthly plans of competitors Apple Music and Amazon Music. Subscribers will be given a one-month grace period before the new price becomes effective, giving them the option to cancel during this time.

    This move by Spotify follows similar actions by other streaming services, including Apple Music, Peacock, Netflix, Max, and Paramount+, which have also recently raised subscription prices. The company's CEO, Daniel Ek, had previously mentioned the intention to raise prices in 2023, stating that the price increase would be well-received due to the value provided to customers.

    Despite the price hike, Spotify will continue to offer a free plan that includes advertising. With over 515 mn active users in more than 180 markets, Spotify remains one of the largest music streaming platforms globally. Approximately 40% of its user base are subscribers, highlighting the significant impact these price changes will have on a substantial portion of their customer base.

    Earlier Daryo mentioned that Spotify is seriously contemplating the inclusion of full-length music videos on its app. This strategic move is aimed at enhancing its competitiveness against YouTube and TikTok, both renowned for their vast libraries of music videos.

     

    Follow Daryo's official Instagram and Threads pages to keep up to date on world news.

     

    25.07.2023, 12:05   Comments (0)   1630
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