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Spotify Increases Subscription Prices in the United States

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Spotify Increases Subscription Prices in the United States

Spotify announced it will increase its subscription prices in the US. Starting in July, the company will charge US-based users $11,99 for its Premium tier, $16,99 for its Premium Duo tier, and $19,99 for its Premium Family tier.

Spotify to raise prices for all subscription plans in the US

A few weeks ago, Spotify disclosed that it aims to raise its subscription prices for users in the US, UK, Pakistan, and Australia. Now, the streaming giant announced that all US-based subscribers will soon have to pay $11,99 for its Premium tier, $16,99 for its Premium Duo tier, and $19,99 for its Premium Family tier.The changes go into effect for new customers immediately, while the prices for already existing subscriptions will be updated in July.

Spotify has already raised its prices in 2023, impacting users in over 50 countries. This year, it has also decided to put its song lyrics feature behind a paywall, forcing lyrics users on a free plan to upgrade their subscription plans.

The company explains that such decisions are necessary to “continue to invest in and innovate on our product features and bring users the best experience.” It is “committed to delivering the best audio content around the world,” aiming to bring its subscribers “a highly personalized experience and powerful discovery tools.” The pricing update, it says, will help the company “continue delivering value to fans.”

While artists are hoping to finally receive higher royalty payouts, users are frustrated with the overall rising costs of goods and services. Additionally, many consider Spotify’s new tools, features, and content redundant. For instance, some Reddit users say they find music videos and podcasts unnecessary, while others point out the lack of HiRes audio and dissatisfaction with Spotify’s smart shuffle results. Spotify seemingly decided to respond to such concerns by introducing a new, music-only subscription plan. The ‘Basic’ tier, which costs £10.99/month, is currently exclusively available in the UK.

For now, Spotify is still growing (albeit slower than in previous years) despite being situated in an increasingly saturated market. Within the following months, it should become clear how many users the platform will gain, keep, and lose due to its price increase. However, many say they have been using the platform too long and would not want to lose access to their carefully curated music libraries and playlists. For this reason, it is safe to assume that the company will not lose too many of its existing customers.

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