Key Takeaways
1. Spotify is raising the price of its Premium service in various regions outside the U.S., with notifications expected next month.
2. The monthly fee may increase from €10.99 to €11.99, but it is unclear if this will apply to all countries in the affected regions.
3. The price hike could position Spotify Premium as one of the more expensive music streaming options compared to competitors like Apple Music and Tidal.
4. Spotify’s streaming quality and song library are limited compared to rivals; it offers 100 million songs and streams at a bitrate of 256 kbit/s.
5. The company is focusing on podcasts and audiobooks to attract users, but the current audiobook offer of 15 hours per month is often insufficient.
Spotify has recently announced in a press release that the cost of its music streaming service will rise in various regions outside the United States. Customers in Europe, South Asia, the Middle East, Africa, Latin America, and Asia-Pacific will receive notifications next month about the upcoming price hike for Spotify Premium. The monthly fee is expected to go up from €10.99 to €11.99, although Spotify has not yet confirmed if this increase will apply to every country in these regions.
Increased Competition
This change will likely make Spotify Premium one of the pricier music streaming options available, as its main competitors—Apple Music, Amazon Music Unlimited, Tidal, and YouTube Music—currently charge €10.99 per month. Additionally, Spotify provides fewer features in many aspects. Although there have been ongoing rumors about a new Spotify HiFi subscription, the existing Spotify Premium service only streams music in a compressed format (AAC) at a bitrate of 256 kbit/s. In contrast, both Apple Music and Tidal offer lossless streaming capabilities of up to 24-bit at 192 kHz.
Catalog Limitations
Moreover, Spotify’s song library falls short compared to its rivals; Spotify Premium has about 100 million songs while Tidal boasts over 110 million. To draw in more users, Spotify is placing greater emphasis on podcasts and audiobooks, but it only provides 15 hours of audiobooks each month with its Premium subscription. Often, this amount is insufficient for completing a single audiobook. The price increase appears to be essential, especially since Spotify reported a net loss of €86 million despite having 696 million active users in the last quarter.
Source:
Link







