Nt1310 Unit 3 Case Study

Spotify provides a lot of benefits to the artists and music industry: reduce illegal download, expend the life span of music, and provide the listeners the opportunities to consume music in the legal ways. Nevertheless, there are huge disputes between Spotify and top artists over royalty issues. Some of top artists like Taylor Swift and Adele against Spotify: Adele acknowledges that streaming is the future of music industry but she wants to show that “it’s not the only way to consume music” (Adele). Swift against Spotify another reason, during an interview with Time Subscribe, Swift states, “Music is art, and art is important and rare. Important, rare things are valuable. Valuable things should be paid for...music should not be free.” She argues that the valuable things like the music should be paid.

Personally, I am not up on the ITunes as I really am not an apple person I truly just listen to the radio for music. I believe though that ITunes has paved away for music to be purchased and distributed without even leaving the comfort of our homes. It has also paved the way for competition as there are many apps that offer music for free with ads or for a small fee and would be ad free. I believe having music avaible at a digital level is a huge advantage as the music that an individual desires to hear can be taken with them anywhere they go. Nowadays, everyone has a smartphone and pretty much has it with them 99% of the time so permitting music to be purchased through devices like ITunes was a very smart marketing move. Another great factor in my opinion is an individual does not have to purchase an entire CD for just a couple of songs that they enjoy. I recall being a teenager and doing just that and being let down by most of the album but, it worked and in that time we paid for it as there was no other way. As far as disadvantages go I feel it would hurt those in business, if less CD's or albums are physically selling there would be less stores up and running and the ones that were it may cost them a bit more than it had in the past to stay in business.

As a company they need to prove that they can attract artist outside their inner circle. The company needs to make enhancement in the usability of its mobile app. Currently, customers pay a monthly fee greater than their rival like Spotify and Apple. Reducing the monthly fee, will render its users to become paying customers, beyond the trail period. Critics feared the high price of Tidal, and the popularity of co-owners could, consequently result in crippling the music industry and increase piracy. Paul Smernicki, who was head of digital at Universal Records said: “The value of reliability, convenience and accessibility to an enormous catalogue of songs for a small cost now trumps illegally downloading a song free,” he said. “Spotify and Apple Music are now simply better than any hassle of an illegal download service and come without the risk, so people are willing to invest” (para 9).

Through a renovated design to their interface, which was once a free streaming listening policy, except for three countries, United States, United Kingdom, and Germany, they began charging three euros per month. In 2014, Last.Fm partenered with Spotify, and YouTube, cancelling their streaming services and focusing solely on the end-users needs and scrobbling more songs for them. Moving along to Spottify, which is a commercial streaming service, providing restricted rights to major recording labels including Sony. In, 2008 Spotify was started by a Swedish group by 2010, Spotify had grown to 10 million users. Lastly, Sound Cloud which is another Swedish started company, that is based in Germany is a n online music distribution platform that enables its users to share and promote their own songs. This company attracts more than 175 million monthly users and about 12 hours of audio is uploaded per minute! With that being said, all of the music social networking sites are just that. Platforms used to create music, promote it, or just listening to favourite tunes, Jukebox App is available for its users to find their favourite songs and listen to it during their time in a store. Making

There are a lot of thing that is wrong with steaming music,It allows people to stream music without really owning the album. This is really bad because they don't pay money because then the artist don't get any money. They only get payed a penny for every time there song is played. They could have the song played 500 times and only have 5 dollars.That's not good. They are going to end up having to depend on there products. Like perfume, tee-shirts, Concerts and thing like that

Furthermore, their competitive advantages include; free marketing tools for artists such as allowing them to monitor their sales progress, overall social media presence and being able to send clients’ music to YouTube, Spotify and

Spotify was started to provide commercial music streaming services with facilities to search and browse music as well as download. Spotify has various opportunities in increasing the size of the company to a wide area. There are also opportunities in creating interactive websites and providing the customers with extra games and offers. However, there are various challenges to meet these opportunities which may include investments and customer issues. There are two recommendations for Spotify, first is to develop a mobile application for smart phones and second is to create new offers along with online gaming. This will foster growth in the Spotify’s reputation in the market.

The service: An online, accessible music service offering music streaming on demand. Spotify is promoted both as a premium monthly subscription service, and a version which is free for consumers to use, but sustained by streamed advertising. Consumers will also have the option to purchase a day pass that gives access to Spotify without advertising.

Spotify’s mission is to connect millions of people with their favorite songs and create a service that people love to use. They believe that music should be easily accessible for everyone, as listening to music may enrich peoples lives. They want to make a win-win solution for both the people who are creating the music and the people who wish to listen to the music.

Spotify is a revolutionary software which allows its users to stream millions of songs on demand. Users can access music on computers, mobiles, tablets, cars and gaming consoles. Spotify was launched in 2008 by the Swedish entrepreneur Daniel Ek. Since its launch in 2008 Spotify has grew rapidly, available in 58 markets, upwards of 75 million active users of which over 20 million are paying subscribers, all with access to over 30 million songs. Subscribed users pay a fee of £9.99 a month which allows for ad free listening, highest quality audio and it allows the user to create and download playlists for offline listening.

The internet changed music in many ways, but one important way is music streaming. Music streaming means listening to music in “real time”, instead of downloading a file to your computer or device and listening to it later. Many artists believe that music streaming services such as Spotify or Pandora don’t reward them enough for the right to play their music. Artists want people to purchase songs and albums through traditional ways, this includes stores or iTunes or anywhere else (Alexander 2015).

Customers no longer feel obliged to pay for music they do not want and individually purchase tracks or even listen to music online without making any purchase.

Spotify is not a publishing platform; but rather a streaming music service heavily integrated with social sharing. Spotify is the most successful music service for paying subscribers (all 10 million

Since Spotify was the first of its kind to emerge in the music streaming industry, unfortunately the brand has received lots of grievances along the way. The greatest controversy the music streaming service has faced is that it takes away from artist record sales. Results of a recent survey have found that streaming doesn’t hurt or help record sales, it actually helps artists break even (“Does Spotify Hurt…” par. 3). It should also be noted that before streaming services like Spotify came along, the music business was suffering for almost two decades thanks to piracy and failing sales (“The Music Industry…” par.

Spotify uses two different revenue models. The most popular version of Spotify is the ad-based free version, which is used by over 95% of users. In this version, streamed music is interrupted by 30 second ads at regular intervals. The other revenue model used by Spotify is one based on subscriptions and where the customers do not have to listen to advertisements between the songs. For this version of Spotify, called Spotify Premium/Unlimited, the customers have to pay SEK 99/49 or about $13/6 per month. In mid March 2010 Spotify was estimated to have approximately seven million users and about 320,000 of these are paying for Spotify Premium. The number of Premium users in January the same year was reported as 250,000 users. According to Spotify’s UK marketing director Paul Brown, 20000 users are subscribing to the Premium service every week. The increase in premium users can be attributed to several factors. One possible reason could be