Spotify is very keen to imitate Apple Music and also increase its prices!

spotify musicAfter maintaining the same price list since its launch, Apple Music recently announced that the Individual and Family plans are increasing in price every month. This initiative was noticed by the leader in music streaming: Spotify. The company has been trying for a long time to make its offers more profitable and seeing Apple Music opt for this option has revived old projects that had been returned to the boxes.

Soon a price increase at Spotify?

During the announcement of the third quarter financial results, Daniel Ek, founder and CEO of Spotify, took the time to speak with investors on the future from Spotify. The discussions focused on the new features to come, the major changes that will land soon…
Unsurprisingly, investors mentioned the recent evolution of prices at Apple MusicDaniel Ek seemed well aware of Apple’s announcement which disappointed a lot of subscribers.

Ek clearly implied during the phone interview that Spotify may soon follow the same path as Apple Music and increase the subscription prices currently available.

Raising prices in the United States is one of the things that we would like to do, and it is something that we [envisagerons] with our label partners. I feel good about the year ahead and the pricing of our service.

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This potential change follows Spotify’s Q3 2022 earnings announcement. The company’s revenue increased by 21% to reach $3 billion during the quarter. Despite this, slowing advertising growth and high spending led to a decline in 24.7% gross margins. Spotify reported an operating loss of 227.3 million dollars for the quarter.

For the moment, in Daniel Ek’s mind, Spotify’s hypothetical price increase would only target United States, but it’s a safe bet that the deployment of a new price list will take place internationally. Previous Spotify subscription price hikes started in some countries and then expanded all over the world.

After Apple Music which is increasing its subscriptions and YouTube Premium Family (which includes YouTube Music) which is also changing in price, will Spotify go with the flow ? Chances are bad news will come in the next year.

Currently, Spotify Premium is available at the price of 9.99€/monththe Duo package is at 12.99€/month and the Family plan at €15.99/month. If there was a price change, we could expect €1 more on the solo plan and up to €2 on the other two subscriptions.

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