Spotify towards a further price increase: what we know

From June, individual subscriptions to Spotify Premium could increase by one euro in Europe and South America. Also in Italy, therefore. This was revealed by the Financial Times, which gathered information from people familiar with the matter and, upon verification, received a 'no comment' from the streaming platform founded by Daniel Ek. The previous price increase, for the European market (from EUR 9.99 to EUR 10.99 monthly), dates back to the summer of 2023, while in the United States, the main market of the former Wall Street-listed start-up, in July last year there was already a move from EUR 10.99 to EUR 11.99 monthly.

We are in the midst of the streaming age, in 2024 the global discography slipped into its tenth consecutive year of growth (follows the Ifpi report), but the majors continue to push for even greater profitability on the various Spotify, Apple Music and the like. Also because, out of the window, there is streaming video (Netflix, Disney+ etc.) that has already raised prices.

In some European countries such as The Netherlands and Luxembourg, according to Ft. reports, Spotify has already intervened on the tariff in recent weeks. The intervention next summer, for the company that by 2024 has paid the discography EUR 10 billion a year, would level the playing field, while central figures in the music business such as Universal Music CEO Lucian Grainge are now openly talking about a 'Streaming 2.0', a concept backed by that of the superfan, i.e. the super fan of this or that artist, willing to make any sacrifice for exclusive opportunities.

Spotify, according to the Ft. reconstruction, is therefore also considering Super Premium packages for the American market which, for an additional USD 6 per month, compared to the current USD 11.9, would offer the possibility of listening to preview tracks. Nor would it exclude the possibility of purchasing tickets for the most coveted concerts on a pre-sale basis. How will subscribers react? We will see.

The fact remains that all of the Swedish company's moves so far have been rewarded by numbers: from the scrutiny of the staff plan to the recalibration of its podcast strategy. And 2024 resulted in the first year in profit for the streaming platform. With the share value more than doubling in one year.