Spotify is raising its subscription prices for U.S. users for the second time in less than a year. This follows a price hike for international users announced in May.
Why? Because they can. As the leader in audio streaming, Spotify knows that small price increases are manageable for subscribers and boost their profits.
According to a Spotify blog post, the company wants to continue investing in and improving their product features to offer users the best experience, which sometimes means updating prices.
Here are the new prices that will take effect in the coming weeks:
- Individual ad-free Premium: Increasing from $10.99 to $11.99
- Duo ad-free Premium: Increasing from $14.99 to $16.99
- Family ad-free Premium: Increasing from $16.99 to $19.99
The Student ad-free Premium plan will stay at $5.99.
With 239 million Premium subscribers, this price hike means a significant boost in monthly revenue for Spotify, not including the money they make from ads on their free plans.
Some people are comparing Spotify to Apple Music and suggesting Spotify needs to add bigger features. Fans are eagerly waiting for Spotify’s rumored “Supremium” plan, which may include lossless audio or hi-fi music and other top-tier features.
If you’re a paid Spotify subscriber, expect an email this month explaining the price increase for your specific plan. These new prices are already in effect for new subscribers.
