STOCKHOLM: Spotify will raise prices as it invests in new features and targets one billion users, the Financial Times reports.
It cited the music streaming provider’s co-president and chief business officer Alex Norstrom. The increases would be accompanied by planned new services and features, the Financial Times cited Norstrom as saying in an interview.
Spotify did not immediately respond to a Reuters request for comment.
Earlier in August, the Swedish firm said it would increase the monthly price of its premium individual subscription in some markets from September, as it looks to improve profit margins.
It said the price will rise to €11.99 (US$14.05) from €10.99 in markets including South Asia, the Middle East, Africa, Europe, Latin America and the Asia-Pacific region. “Price increases and price adjustments and so on, that’s part of our business toolbox and we’ll do it when it makes sense,” Norstrom told the newspaper.
The company recently added a way to customise transitions between tracks on its nearly nine billion user-created playlists.
It has also expanded its services to include audiobooks and podcasts, as well as tools like an artificial intelligence DJ
Price increases combined with cost-cutting efforts in recent years helped Spotify achieve its first annual profit last year. — Agencies
