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Is This the End of Freemium for Spotify?

Photo by M-SUR via Shutterstock

This article originally appeared on musicindustryblog.wordpress.com.

 

"Leaked" Spotify numbers emerged recently indicating that the streaming service has just hit 37 million subscribers, which puts more clear water between it and second-placed Apple Music, despite the latter’s recent growth. It also means that Spotify is now nearly 10 times bigger than Tidal and probably Deezer (which hasn’t reported numbers since its France Telecom bundle partnership ended). It's beginning to look suspiciously like a two-horse race.

But there's a more important story here: Spotify’s accelerated growth in Q2 2016 was driven by widespread use of its $0.99-for-three-months promotional offer. Which itself comes on the back of similar offers having supercharged Spotify’s subscriber growth for the last 18 months or so. In short, $9.99 needs to stop being $9.99 in order to appeal to consumers. Which is another way of saying that $9.99 just isn’t a mainstream price point.

7 Types of Releases You Should Put on Spotify (Other Than Albums)

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Having a Spotify profile that appears to be bursting at the seams with music is a good idea, as it shows that you're productive and prodigious, even if you’re still new to the music industry. If you only have one full album up there, it doesn't give people a lot to choose from, and options are always welcome. It’s difficult if you only focus on 10- or 12-song collections, because those only come along every so often, and they’re expensive to create!

Between full-length releases, there's a lot you can do to keep people coming to your profile and listening. Here are seven ideas for what you can upload to Spotify aside from your next album.

How Much Do Music Aficionados Actually Spend on Music Now? [Infographic]

Photo by Björn Olsson via Flickr / CC BY 2.0

It's obvious that the way we consume music has changed drastically within the last few years. Music streaming services allow us to listen to nearly any song at any given moment for free or for a small fee. As a result of these changes, the ways in which people buy music is also affected. But has streaming changed the habits of music superfans or, rather, "music aficionados"?

What Movies Got Right About Streaming is Everything Music Got Wrong [Opinion]

All images via haulixdaily.com

This article originally appeared on Haulix Daily.

 

Before I dive too deep into this piece, I want to stress that I am a huge supporter of streaming services in general. The age of streaming has made it possible for artists at every level to continue making money on older releases long after consumer interest in purchasing those titles has been depleted.

We can argue all day about whether or not the royalty rate is acceptable (it’s not), but that is another conversation for another time. Streaming provides a steady stream of income for artists even when they have nothing new to promote, which in turn makes it possible for more artists to continue creating even when their latest release is less than well received by the general public.

Okay? Okay.

The more I think about the digital age and how it has impacted the entertainment industry as a whole, the more I realize that the film industry may have handled the war against piracy far better than those working in music. Unless a film is being released on VOD (video on demand), those interested in seeing a new title still have to buy a ticket and visit a theater in order to experience the film immediately following its release.

Pandora is Taking Steps to Make Sure Artists Are Paid Fairly and Transparently for Streams

Image via Flickr / CC BY 2.0

Nearly every day, the music industry suggests that music streaming and subscription services are public enemy number one for musicians. We've seen the salaries of the top dogs at these major service providers, and it's no surprise that the CEOs and employees are earning better wages than the artists their platforms stream. By the way headlines frame it, making music and money seems dismal for independent artists. But Pandora's new on-demand subscription service may be the catalyst that starts to change that.

The launch of the internet radio platform's subscription service has been long awaited by music fans, and as Pandora approaches the launch, new goals are being laid out for the service. Pandora is aiming to assure that artists get fair and transparent royalties, unlike some of their predecessors and competitors in the streaming world.