Spotify - New Player in Music Streaming

Post contributed by Brittany Hood -

What happens when you mix the idea of people who have stopped wanting to buy an album of a particular musician because of the one song they hear on the radio, add in the ease of downloading the song via the internet, then throw in the idea of not having to pay for said song?  Ladies and gentlemen, you get a rise in online music streaming.  Sites like Pandora were the first to successfully utilize online music streaming, but now the idea of steaming music for little to no cost has taken a new form with Spotify.

  Spotify was launched in Sweden in 2008 by Daniel Ek and Martin Lorentzon because they wanted to develop a better, more convenient and legal alternative to music piracy, while also making sure that the artists get a fair deal.  The International Federation of Phonographic Industries (IFPI) reported in April 2011 that Spotify is now the second single largest source of digital music revenue for labels in Europe.  According to Spotify’s website, they have more than 10 million registered users and more than 1.6 million paying subscribers across seven countries in Europe and the United States, which became their eighth territory on July 14, 2011.

  Spotify offers users three different subscription options.  There is Spotify for free; Unlimited Spotify ($4.99 a month), and Premium Spotify ($9.99 a month).  As the price of the subscription increases, so do the perks.  For example, with the free Spotify, one must put up with the constant advertisement intrusion as well a limited amount of access time, which may only be accessed through the user’s computer via the internet; however, with the premium subscription, users get everything, which included access via a mobile device, unlimited streaming access, offline mode for playlists, and no advertisements.

  Being a source of social interacting is one of the key ideas and even a perk that Spotify offers.  With its launch in the United States, Facebook and Spotify decided to create a way that the two could be integrated. Once an individual downloads the Spotify software on their computer, he or she will have the option to either create an account or log into the program via Facebook.  If the latter occurs, then the new user will see a list of his/her Facebook friends and can find other users that are also part of the growing Spotify community, which allows for the sharing of [public] playlists or favorited artists or songs.  Even if an individual has not downloaded the Spotify software, they are able to see Facebook friends that do have it and the music they are listening to on the program; this allows for non-Spotify users to sample and discover new music and more than likely, it will lead them to downloading it and experiencing it for themselves. 

  Another incentive for users to download Spotify is the massive musical library that the program offers.  They have been able to achieve what other media, like Apple’s Ping and Pandora, have not been able to succeed in.  Also, unlike many related sites and programs, Spotify allows users to listen and sample songs in its entirety, as opposed to a thirty-second clip which can be cut from anywhere in a song.  Spotify can do this because they have signed deals with four of the major, international music labels, which are EMI, Warner Music Group, Universal Music Group, and Sony Music Entertainment.  And unlike Pandora, you don’t get cut off after you decide to skip a certain amount of songs that it plays for you.

  Another thing that Spotify has the potential to do is combat musical piracy.  According to Jason Gilbert of the Huffington Post, “Spotify lets you feel good about listening to absurd amounts of new music every week while simultaneously making you feel as though you are supporting the artists somehow.”  As a music lover and as a person looking to enter a career in the music industry, I find this particularly important.

Sources - “7 Reasons I Left iTunes ForSpotify” The Huffington Post:

Spotify’s Official Website: http://www.spotify.com/us/