The service proposed by Spotify is a kind of revolution in the world of music streaming.
It is an impulse for iTunes because even though it has more users (150 m subscribers in the world), Spotify which has a big advantage: it offers the possibility to share your music on Facebook or Twitter!
Spotify face a big issue. While trying to make contract with EMI in order to launch its service in the US, Apple isn’t scared.
It is true that Apple is a very important client for US labels and facing current difficulties in the Music industry they cannot neglect such an actor. So if US labels had to choose between Spotify and iTunes they would be more likely to go on with Apple…
Spotify know when iTunes enter the market it will be a hard competition. However Spotify has won many fans already. But will iTunes’ maniacs let their favorite music platform down for the new generation of music streaming?
Sony has signed already for Spotify’s launch in the US.
I think the entry of Spotify in the market pf digital music is a good point for the music industry and for labels also. Labels could find benefits because it enables them to diversify revenue streams and the industry has a lot to gain because of innovation which can change consumer’s habits concerning the way they consume music.
The tricky question and also a big issue for Spotify’s launch would be: giving U.S. fans 20 hours of free music per month will leave them enough incentive to pay for a subscription?
Don’t forget that Spotify give the chance to people to listen to millions of songs on-demand, without paying anything, for up to 20 hours per month! You only have to pay for the mobile app version that lets you access to the songs and the playlists you’ve created from a smartphone. You can also store music on your computer rather than streaming it and you gain a higher audio quality.
However this free service is only available for a limited period which is, according to Spotify, never long enough to turn free customers into paying customers.
In order to end this article; I think Spotify should work on its subscriptions’ offers to match to US citizens’ expectations and should be careful concerning next iTunes’ steps into music streaming service.
Give your opinion answering the survey next to this article.
Do you really think that Soptify could face Itunes, an Apple product ? (Apple which is considerated as the giant of innovation.)
ReplyDeleteAs you said, Apple is a big company and very strong financially.
ReplyDeleteThe majors need Apple and it is a good asset.
However, I wanted to bring a little hope for Spotify because I think competition is always good, particularly in the Music industry.
Monopolistic industries are boring even though a company such as Apple is innovative. It is more exciting when a competitor comes in the market...
Spotify has just told all its long term free subscribers that they are going to have to start paying up to get full access - if you don't pay you will only be able to play a track 5 times - but since they have a subscription costing £5 a month which will give full access I expect most people will bite the bullet and sign up on the grounds that the cost is incredibly reasonable - you would spend more in just one evening in a bar.
ReplyDeleteI do agree with Linda on one point even if customers have to pay it will be £5 a month, which is nothing compared to apple, when you know that one song cost already 1,29$.
ReplyDeleteOn the other hand I also agreed with Super Caiton, if it's a monopolistic industries they can not fulfill everybody's needs and can't be liked by everybody, I think nowadays consumers have to feel powerful and have choice. Moreover if customers have a stronger bargaining power, in a "perfect world" the companies could have to reduce their price or restructure all their pricing system!