Spotify, an Online Music Platform, is showing a tremendous amount of growth in India. With the help of aggressive marketing campaigns in India, America, and Western Europe, Spotify has added 25 million monthly active users for the last quarter of the year 2020. Music streaming platform is near to 350 million monthly active users as well.
Spotify Monthly Users and Quarterly Revenue Report
As per the December ET report, Spotify has started its mini premium services in India. Under the offering, Spotify is providing daily and weekly plans of Rs 7 and Rs 25 respectively. Under these plans, a user can enjoy a music stream without ads. Other than that, 30 songs can also be downloaded on a single device(phone or tablet).
In the year 2020, the music platform welcomed 74 million new users that is 10 million more than the 64 million users addition in 2019.
Overall, 345 million monthly users enjoy the Spotify platform. Among these users, 155 million users hold premium accounts. Premium users are increasing at the rate of 24% every year. 30 million paid users joined the Spotify platform in 2020. 28 million premium users joined the platform in 2019. Q4 saw a surge in the number of paid users.
There is 15% Year on Year,(YoY) revenue growth from the premium services whereas Ads revenue YoY growth is 29%. Overall, in 2020, premium services helped in collecting a revenue of $2.27 billion whereas ads revenue stands strong with a total value of approximately 338 million. Totally, both services helped in getting revenue of $2.61 billion with 17% YoY growth.
Marketing Campaigns and Podcast Services by Spotify
Sponsored campaigns requested by the artists and music companies increased 50% in 2020. New releases and music albums are promoted through these campaigns. These campaigns helped Spotify in getting additional revenue.
The company saw a surge in per-user consumption in Europe and North America, whereas the rest of the world is showing signs of improvement.
Except music streaming, Spotify is also known for its podcast services. Joe Rogan Signs A Multiyear Deal Worth $100 Million With Spotify. 25% of monthly users consume podcast contents in quarter 4, whereas 22% active monthly users accessed podcast in Q3. At the end of Q4, Spotify has 2.2 million podcasts on its platform.
“We continue to see strong growth in podcast consumption, with consumption hours in Q4 nearly doubling since Q4 2019. Based on the behavior we see when users first join Spotify, we are confident that podcast usage has been a factor in the accelerated net additions,” the company said in the letter.
Recently, Spotify launched 57 new original podcasts internationally including a podcast in the Telugu language.
Spotify holds the maximum share in the music market worldwide. In India, Times Internet’s Gaana, Reliance Industries-owned JioSaavn, YouTube Music, Amazon Prime Music, Bytedance’s Resso, and Hungama are the major competitors of Spotify.. With approximately 185 million monthly users, Gaana ranks first in the Indian Market of online music platforms.
