Spotify could increase the price of the subscription to 20.99 euros per month

Spotify could increase the price of the subscription to 20.99 euros per month

Spotify is currently surveying its French users around slightly more expensive subscription offers. The new prices would be between € 10.99 / month and € 20.99 / month.

Spotify poll
Credit: iGen

Spotify has a series of successes with over 144 million Spotify Premium subscribers (out of 322 million total users). But its profitability remains very fragile. The number of free users is growing faster than Premium subscriptions. And in 2019 the platform suffered a net loss of 116 million euros. At the same time, artists have been complaining for some time that they are not making enough money.

The firm is also investing a lot in improving the platform. With for example more options to customize playlists, or the addition of support for MP3 files on Android smartphones. It is therefore in this context that we learn that Spotify will soon increase the prices of its Premium subscriptions.

Also Read: Music Streaming Service Comparison – Spotify, Deezer, YouTube Music, Amazon Music, Which Is Better?

Spotify is testing user reaction to subscriptions between € 10.99 / month and € 20.99 / month

Of catches taken up by the iGen blog show that Spotify is currently surveying French customers to know what they would think ofoffers priced between € 10.99 / month and € 20.99 / month. For now, the price of the standard Premium subscription is € 9.99 / month. Spotify also offers a family subscription that allows you to use up to 6 accounts at € 14.99 / month, and a Duo Premium subscription at € 12.99 / month.

In detail, here is the list of new offers and prices as presented in the survey :

  • Spotify Premium Individual : € 10.99 / month
  • Spotify Premium Family : € 17.99 / month or € 20.99 / month depending on surveys

Note that the difference is not very great on the standard subscription, since the subscription only increases by € 1 per month. Nevertheless, if this were confirmed, Spotify would be the first to break the psychological barrier of 10 € / month, which could be emulated among its competitors. Despite a more significant price increase, the family subscription would remain very attractive provided it is fully exploited.

Even at € 20.99 / month, divided by six, the family subscription would cost just € 3.49 / month per user, compared to € 2.49 / month per user currently. These new prices would allow Spotify to generate more cash inflows without adding too much to the cost of the service for users.

The timetable for the implementation of these new tariffs remains to be seen. Although this is not the first time that Spotify has increased the price of the Premium subscription, it should of course be emphasized that this survey does not amount to an announcement of a price increase. In any case for the moment …

Source: iGen