Spotify Introduces Music Sharing and Chat Feature, But at a Cost

Swift Summary

• Spotify is re-introducing a messaging feature for free and Premium subscribers aged 16+, allowing users to chat and share music with contacts they’ve interacted with on the platform.
• The messaging feature was removed in 2017 due to low engagement but is being revived following growth in subscriber numbers.
• Spotify reported having 696 million monthly active users in Q2, aiming to reach 1 billion while expanding features like video content library monetisation options for podcast creators.
• In India,Spotify recently raised its premium subscription prices by around 17%,with individual plans now costing ₹139/month,Duo plan at ₹179/month,and student plan at ₹69/month. The company cited the price hike as essential for product innovation and improving user experiance.
• Competitors include Apple Music, Amazon Music, and YouTube.

!Spotify’s Q3 turnaround

indian opinion Analysis

The return of Spotify’s messaging feature highlights its strategy to create a more interactive platform amid fierce competition from global tech giants like Apple Music and YouTube. By combining social functionality with music sharing capabilities,Spotify seeks to differentiate itself further while retaining its focus on expanding user growth alongside revenue generation through targeted price increases.

In India’s context, where cost sensitivity often factors into digital subscriptions’ success, a 17% price increase might require compelling justification through enhanced offerings or exclusive features for local users. While India has untapped streaming potential due to growing internet penetration among youth demographics, balancing affordability against elevated service quality remains vital for sustaining subscriber loyalty amidst competition.

Read More: Spotify Introduces Messaging Feature