Spotify to Increase Prices for Its Premium Subscription
Oct. 30, 2020Theprice hike will be targeted at markets where the company has dominancein the music streaming space. This is mainly driven by the increased value offered to its subscribers through “enhanced content”, which includes exclusive podcast shows like The Michelle Obama Podcast and The Joe Rogan Experience.
Through a data-driven approach, Spotify says it has noticed thatusers are willing to pay more in return for the increased value proposition. In fact, the company recently increased prices in Australia, Belgium, Switzerland, Bolivia, Peru, Ecuador, and Colombia.
“While it’s still early, initial results indicate that in markets where we’ve tested increased prices, our users believe that Spotify remains an exceptional value and they have shown a willingness to pay more for our service.So as a result, you will see us further expand price increases, especially in places where we’re well-positioned against the competition and our value per hour is high,”said Daniel Ek.
Subin writes about consumer tech, software, and security. He secretly misses the headphone jack while pretending he’s better off with the wireless freedom.
