3. » Revenue/Net Profit:
˃ 2012: $573 M/ -$77.4 M
˃ 2011: 246 M/ -$60 M
˃ That is a 128% growth in
from 2011-2012
» Market Share:
˃ 2012: 20.0%
˃ 2011:18.7%
˃ Relative growth (2010-
2011): Spotify grew by just
over 100% while the market
grew at a rate of 63.4 %
4. » Launch
˃ Swedish Startup launched in Oct. 7, 2008
˃ Funding: $283 M
˃ Reports a $4.4 M loss in 2008
» In the beginning
˃ Started offering open, free subscriptions in Feb. 2009
˃ Had 10 M users by September 2010 with 2.5 M being paid users
» US launch
˃ July 14, 2011 Spotify launches its US service
» Social Media Integration
˃ Allowed users to register with Facebook or Twitter accounts
» Going Mobile
˃ April 16, 2013 launched the mobile app for Spotfiy on all three app stores
5. » “Expert Playlists”
˃ Only being released for iOS/Android users
˃ “Playlists for every move and moment” – Press Release
˃ Created by Spotify employees
» Innovating how to discover new music
˃ Send music recommendations to your friends
˃ Algorithms to make personalized suggestions
˃ Three-Dimensional Approach
+ Friends, Personal, and Experts
6. »You pick the song
˃ The User can create playlists with songs
they want instead of a radio algorithm
»Data
˃ They collect data on play counts of songs
˃ Leveraging this knowledge for contracts
with record labels
7. » Google and Apple both announced
releases for apps in the digital streaming
market
˃ Google Play: All Access
˃ iRadio
» Apple’s release
˃ Proved to be very succesful
˃ Used data on the music purchase history of the user
˃ Preloaded in iOS 7
» WHAT WILL THEY DO?
8. The Scary New Players
On-Demand Competition
Global Competition
