Spotify

I believed the basic aim of these websites were to digitally respond reasonable to the technological changes of how music was conveyed to drive sales In a positive manner but musician ended up getting a small fraction of the income receive from streaming videos and audio songs as royalties. I can personally testify to this with my personal attitude towards many popular songs I downloaded for free online that I heard for the first time on radio. In his article published in the New York Times on January 2013, Ben Sisario commented on how online streaming has hurt the industry and partially reduced sales. According to him, Many consumers has greatly welcomed this system citing them as a smart way to save money since streaming saves them more money than buying the physical album. This will virtually hurt the artist survival unless they are engaged in an important side business for survival. ( Hartwig Masuch, chief executive officer of BMG rights

This service it’s surly the most Music streaming Service used in the World with over 75 Million active user every month tea qui 15 million user pay the subscription every month. (Adam Shepherd, 2015) http://www.cloudpro.co.uk/leadership/5577/what-is-spotify ) Spotify was funded in April 2006 by Daniel Ek and Martin Lorentzon and it was Lunched in in September 2008 in Sweden. With over 30 million song available to play Spotify has an huge success thanks to the capability of create playlist , Over 20.000 songs are added on Spotify every day, The playlist made on Spotify are 2 billion and 5 million are the playlist that get edited or created every single day. This is surly a stream service that people like to use infact The number average of hours that listen to Spotify is 20 billion

Compared with illegal, free platforms, what are the advantages that prompt Internet users to subscribe to Spotify?

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.

Their service is offered to users as an alternative to the traditional pay-per-track services such as iTunes. The idea is to allow music consumers to listen to on-demand music from a “cloud” on the internet, instead of possessing the digitalized files on a computer.

When speaking economically, the digital music sector of the international music industry is undoubtably the most important sector in the industry. Within the last decade, music has seen cardinal changes in the way both major and independent labels distribute their products. An industry that once relied on Payola 's and mass distribution of physical records and CD 's now relies heavily on the power of the internet. The first instance of mass distribution of music through the internet was by the service Ritmoteca.com in 1998 [1]. Ritmoteca had a library of over 300,000 songs, offering individual songs for 99 cents each and albums for $9.99. After signing distribution deals with many major music labels such as Warner

As a company in the streaming music Industry, it is essential to have a competitive advantage in order to stay in the run. Indeed, a big competition is established between all the companies which are using more or less the same business model. In the streaming music Industry, it is easier for clients to make implicit bargaining. Indeed, the more subscribers a company has, the more music labels will be in

3-4). While these statistics provide a look into the numerical growth of the streaming industry, it is also important to discuss the power that these streaming services have generated—over both the music industry and over established/aspiring artists. Subscriptions are on the rise, having increased significantly over the past ten years, but as is the amount of users streaming music on a free-trial or ad-supported basis—ultimately undercutting the music industry and artists alike. Blewett and Gollogly (2017) elaborate on this point, stating that, by the end of 2016, paid music streaming subscriptions drove a revenue growth of 60.4%—this growth more than offsetting a “20.5% decline in downloads” and a “7.6% decline in physical revenue” (Blewett & Gollogly, 2017, para. 4). Moreover, Borja and Dieringer (2016) explore the concept of streaming even further in their academic article, positing that the decline in paid digital downloads may be a direct result of streaming—as, music streaming can be perceived as a “complement” for music piracy, in which listeners can freely sample music to pirate later on (Borja & Dieringer, 2016, p. 1). The authors also suggest that streaming can provide a “venue for discovering and listening to new releases”; and after completing their 1052 surveys, conclude that streaming increased the likelihood of piracy by

Pandora originally started with a subcription type of business model wherein users must pay $36 per month after they have used up their 10 hours of free access. The original model used was the free trial type. What happened was after the free trial of 10 hours was used up, the customers were unwilling to pay for the subscription fee. Now, the new and current model being used by Pandora is the freemium business model. The new model offered users longer time limit in using their features, which could be used again in the next month and

to allow its users to access Spotify from anywhere through the use of mediums like

Radiohead, one of the most popular and contemporary bands of this period, attempted a significant break from the industry standard of fixed price music. In 2007, Radiohead had planned release of its new album, “In Rainbows”, exclusively as a digital download on the band’s website, with an innovative pricing option of allowing its buyers to decide on how much they wanted to pay for the music. Radiohead’s “name-your-own price” pricing model for its new album generated an intense speculation about the future of recorded music industry. The key issues with Radiohead’s innovative distribution model and my views after an analysis of these issues are as follows:

Downloaded an average of 12 tunes per month, housing libraries between 25 to more than 300,000 songs from the internet

Downloaded an average of 12 tunes per month, housing libraries between 25 to more than 300,000 songs from the internet

The "business side of music is struggling to generate enough revenue because of the new technology" ("How the Internet Changed Music."). "Most of the people who are part of making a record are paid in royalties, and anytime music changes hands without money being involved, those royalties can’t be paid—which is why so much has been done in recent years to try and reduce music piracy"("How The Internet Changed Music."). iTunes and Amazon has helped by offering cheap downloads for single songs, which allows the customer to only purchase songs they like rather than the entire album ("How the Internet Changed Music."). Spotify and Pandora, who offer either ad-based or paid subscription streaming of their music libraries, are Internet radio stations which have also helped with the piracy problem ("How The Internet Changed

Spotify is a product of change. Consumers today are not the same as they were fifty years ago. Businesses like Spotify know this and use it to their advantage. According to industry expert Dave Touve, “people pay more, on average, for