Spotify has announced that it is increasing the price of its premium packages, confirming reports that began to emerge over the weekend. The music giant, which claims some 500 million users worldwide, 40% of whom are premium subscribers, has revealed that its ad-free subscription plan will drop from $9.99 per month to $10.99 in the US, while its Duo plan is increasing from $2 to $14.99. The family plan, meanwhile, is increasing by $1 to $16.99 and the student plan is increasing by a dollar, to $5.99 per month. The increase in subscriptions is not limited to the US market, and Spotify confirms that it will raise prices in many markets, including most of the European Union (EU), the United Kingdom, and parts of South and Central America, Asia, and Oceania. The company has not released the price for the sales, saying that those affected will start receiving emails from today confirming their new price. However, updated prices have started appearing on their local landing pages.
It seems that Eurozone customers will see an increase of one euro in each premium plan, although the price will vary across the region, so the new price will depend on where you live - in Finland, for example, it increases from €1 to €11.99 per month, while in France it increases to €10.99. On the other hand, Germany seems to stay the same at €9.99 per month. In the UK, premium subscribers will pay £1 more at £10.99 per month. Earned income The price increase is notable because this is the first time Spotify has changed its basic pricing strategy in many of its markets, including the US and most of Europe while streaming partners such as Netflix have been updating their pricing regularly for years. It is also worth noting that today's announcement comes a day before Spotify releases its second-quarter results for 2023, and the high price is a clear way for the Swedish company to increase its revenue in its pursuit of sustainable profitability - and keep its owners happy.
