Spotify announced that they have reached 10 million paying subscribers with 40 million active users across 56 markets. That’s one of four users paying a monthly subscription fee. Slightly more than a year ago, Spotify announced 6 million paying subscribers globally. Spotify founder Daniel Ek attributes the sharp increase in subscribers to opening up mobile devices to the free version of Spotify – “This shows that our conversion rate is working. We’re proving the more people play, the more they’ll pay,” he said.
One very specific difference between Beats Music and Spotify, to over-simplify it, is their business model. Beats Music does not offer a free service (you must subscribe after a trial period) while Spotify offers a free ad-supported service which ultimately tries to convert users into paying subscribers. We’ll see if Beats Music experiments with a free offering as a tool to increase the potential amount of paying subscribers.
To mark the occasion, Spotify offered up a guitar shaped infographic – Upon zooming in for a look, here’s what I found:
“On average across the world, the busiest time of day for playing music on Spotify is on Thursday afternoons from 4 – 5 PM.”