Surprise: Spotify’s Price Hike Is Unpopular With Consumers—But Will They Unsubscribe?

Spotify's price hike unpopular with consumers online comments about unsubscribing
  • Save

Spotify's price hike unpopular with consumers online comments about unsubscribing
  • Save
Photo Credit: Pankaj Patel

Spotify quietly raised prices on all of its subscription offerings this month. Spotify Premium for individuals now starts at $11.99 per month, while Duo plans jump $2 and Family Plans are up $3.

With the new price increases, some of Spotify’s subscription offerings are no longer as lucrative as they once were for consumers. The Spotify Duo subscription has increased 30% since last year’s price hike. Meanwhile the Spotify Family plan has increased by 25% in price. Spotify Premium for individuals saw a 20% increase.

Where does this leave price conscious consumers? While several threads lamenting the price hike on social media arose as the email made its rounds—are these people likely to unsubscribe?

The sentiment surrounding Spotify is an interesting one from a consumer standpoint. They care little about the Spotify bundling scheme that sees songwriters and publishers paid fewer royalties. All they see is the price of their monthly subscription to a music service rising—and they’re pissed.

“And yet simultaneously the app continues to get worse every year,” reads one comment on reddit that was the top-voted comment on the news in the r/Music subreddit. “I’ve already got Bandcamp and I think I might switch to YouTube Red or whatever it’s called now,” the poster continues.

“I hate Spotify but I love music and to be honest, I get the most out of Spotify,” says another top comment in the same thread. “From learning new stuff to listening to an album a bunch before deciding if I want a copy on vinyl. Absolutely hate that they’re exploiting their platform like every other corporation these days.”

Other commenters chimed in to recommend competing music streaming providers like Tidal, or suggestions to make Spotify’s offerings more appealing to them. While the general public is blissfully unaware of Spotify’s bundling scheme to lower royalties it pays—they recognize bloat when they see it.

“Can we have options on what we want to pay for?” reads another comment. “Because I don’t listen to podcasts on Spotify (have a better app for that). I don’t listen to audiobook on Spotify. And I don’t want courses. So why am I paying for things that I have no use for?”

Another commenter laments the price hike for his family, but says the $3 price increase isn’t enough to cancel. “Family Plan here with three users. I am not happy about the hike but it’s not enough to cancel. I feel like I’ve been stealing from Spotify for the last nine years. I’ve spent that long curating playlists for every occasion and mood.”

So while the general sentiment online seems to be to grumble about the double-digit percentage increases in price over the last year—Spotify won’t see many unsubscribe. Entrenchment in Spotify’s playlist generation and AI DJ are just some of the features to keep consumers interested in the Spotify ecosystem for music rather than looking at alternatives.