Spotify this afternoon announced that it has hit a new milestone, reaching a total of 50 million paying subscribers. That’s up from 40 million in September, suggesting Spotify is growing at a rapid pace despite the surging popularity of Apple Music.
I wonder where all of these people are coming from. Are the Tidal and Pandora users or are they new users that have never used streaming services before? Clearly, there’s still a lot of growth in the streaming business.
Network effects? As more people signup, it’s more likely that a given person will know someone streaming music and be exposed to the advantages.
Aggressive bundling deals?
My cell phone plan includes a Spotify Premium membership. I don’t pay for it directly, but maybe it still counts as “paid”?
Yup. from http://www.technarratives.com: “See, for example, its recent partnership with the New York Times and many more and larger partnerships with mobile carriers. Those subscribers are all paying a lot less than the standard $10 per month rate Spotify charges standalone subscribers.”