Streaming music has caused many people to throw away their discs and music players, this is the phenomenon that Spotify generates, also offers where people with the same musical tastes can connect. A whole revolution of the music market.

This application was launched in 2006 by Swedes Daniel Ek and Martin Lorentzon and is available for operating systems such as Windows, Android, Linux and iOS. It works under a Freemiun modality: those who use the free service can listen to music but with interspersed advertising and those who pay for the service can enjoy their songs without commercials.

Currently, Spotify has more than 140 million users, of which 60 million pay for this service. This application contains a musical repertoire of more than 30 million songs in around 60 countries. One of its main competences is Deezer from a French company, but although it operates in 180 countries, it only has 16 million users, of which 6 million pay for the service.

The Reason Of Spotify Success 1

It took time for Spotify to have the popularity it has. His success did not come by chance, it was the sum of several successful strategies.

Strategic allies

For music reproduction the company signed with labels such as Universal Music, EMI Music, Warner Music, among others. This attracted the attention of other artists and independent discographies. Now, any musician can have his project on the streaming platform. This has also been a way to fight against illegal downloads and defend copyright rights.

But they are not limited to signing with pure labels, they are also reaching agreements with other companies, as it is in the case of Spain where they are forming alliances with Movistar and Yoigo to give rebates to Premium users in the country.

The Reason Of Spotify Success 2

Take advantage of social networks

The developers recognize the importance of interaction in the digital world, especially in this era. That’s why the application allows comparitr playlists on other social networks like Twitter and Facebook. Internally, it also serves as a social network for music lovers, since users can create their own playlists where other people can subscribe or follow.

This advantage allows massive diffusion of the same application without having to resort to large investments. This practice increases little by little the amount of downloads of the app.

The Reason Of Spotify Success 3

The value of patience

Many businesses that are built with time, Spotify is one of them. This company has had an accelerated growth due to the number of paid subscribers, which in 2012 were 33% and in 2016 they were 42%. This process was given thanks to innovative ideas and the philosophy of trial and error. This is how the market works.

In fact, Jorge Iván Gómez, to explain the reason for the success of Spotify, makes an analogy with the passage of the Greek mythology of the ship of Theseus, a ship that was being built while sailing on the high seas.

Therefore, a good strategist, as he navigates, rectifies the course according to the conditions of wind and sea and, above all, recognizes that the road is not linear and, on the contrary, will find storms and other alternative roads for get to port.

The Reason Of Spotify Success 4

Spotify reformed the way to listen to music, now the playlists replaced the compact discs and for people it is much easier to share the music that they like the most through technology. It has created an empire where young people can connect or meet new people through this art. That is the magic of Spotify.

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Spotify, renewing the music market.