What you need to know
- A report claims that Spotify is interested in raising the prices of its “basic” by a dollar and its duo plan by $2 in certain markets worldwide.
- Alleged sources state Spotify will also introduce a new basic tier, which will include music and podcasts minus access to audiobooks.
- Spotify’s “supremium” tier is still on the way as a brief mention shows it’s still under development.
A new report suggests Spotify is preparing to increase prices for its streaming services and develop new Premium plans.
A report by Bloomberg states that Spotify is interested in raising the price of its “basic” plan by $1 and its duo service by $2 in certain markets worldwide. Sources claim that the UK, Australia, and Pakistan consumers will see these increases take effect by the end of April.
The U.S. is also participating in the price hike wave, though it will allegedly take place “later this year.”
The report adds that Spotify is also looking into adding more subscription plans for consumers to drive revenue. Those familiar with the matter said the company is preparing a new “basic” tier with music and podcasts but forgo audiobooks. This plan may cost $11, which is the cost of a Premium plan for a single user.
There are more “new pricing options” that Spotify is working on, but nothing further was detailed.
Spotify’s “supremium” plan was briefly mentioned, and it looks like the tier is still under development. Users who grab that subscription would be granted HiFi audio for a steeper price.
Bloomberg states Spotify’s reasoning behind its alleged impending price hike is to “cover the cost of audiobooks.” The audio service launched audiobooks for Premium users in November 2023. The feature came with over 200,000 titles that users could listen to for “free” for 15 hours per month. You would then have to spend an additional $12.99 to give yourself an extra 10 hours of listening if you exceeded the initial cap.
Sources state Spotify has only generated revenue from users who have exceeded the initial allotted time for listening per month. The service then added an “Access” tier that was cheaper for bookworms.
We’ve been waiting on Spotify’s “supremium” plan for a while, as the latest leaks came in October 2023. It was suggested that not only would users receive HiFi (high fidelity) audio, but “Your Sound Capsule,” “Highlights,” and 24-bit lossless audio would join in.
Robert Johnson is a UK-based business writer specializing in finance and entrepreneurship. With an eye for market trends and a keen interest in the corporate world, he offers readers valuable insights into business developments.
