The increases of course do not affect the main $9.99 price point, currently apply to a selection of markets and do not address the causes of ARPU deflation (promotional trials, uptake of multi-user plans, emerging markets).
In this context, Spotify’s move is encouraging, but it is not yet enough. Not increasing prices while inflation raises other goods and services means that streaming pricing is deflating in real terms. The fact that streaming pricing has remained locked at $9.99 since the early 2000s is an open wound for streaming, so this news is important – but less so for actual impact than statement of intent.īack in 2019 MIDiA showed that since its launch, Spotify’s $9.99 price point had lost 26% in real terms due to inflation while over the same period Netflix (which increased prices) saw a 63% increase. Price increases are a must, not an option. The increases affect Family, Duo and Student plans. Spotify finally announced a significant price increase, raising prices in the UK and some of Europe, with the US set to follow suit.
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