Spotify is the most popular audio streaming service on the planet at the moment, the Swedish company enjoying the trust of tens of millions of people all over the planet. According to some information that appeared during this day, Spotify would like to have no less than 92-96 million paying subscriptions by the end of the year, up to 60 million more than what Apple Music has now.
Spotify also includes in the category of subscribers people who use the service during the 30-day trial period, plus those who are part of a family subscription, although there can be up to 6 people who pay only once. Despite these things, Spotify's revenues increased by 39% during 2017, but for 2018 this increase is expected to be between 20% and 30%, so slightly lower than last year.
Spotify - many subscribers, many pirates and big losses
Spotify had very good revenues in 2017, but it also had very large losses, of no less than 378 million euros, but for 2018 it estimates that the losses will be between 230 and 330 million euros. If this will be true, then in 2018 Spotify will record the first year of decreasing losses compared to the previous year, and this would be a real achievement for the Swedish company in a world with many competitors.
"We define Premium Subscribers as users who have completed registration with Spotify and have activated a payment method for a premium service. Our Premium Subscribers include all registered accounts in our Family Plan. Our Family Plan consists of one primary subscriber and up to five additional sub-accounts, allowing up to six Premium Subscribers per Family Plan subscription. Premium Subscribers include subscribers who are within a grace period of up to 30 days after failing to pay their subscription fee."
Spotify also confirmed that 2 million people use a pirated version of its application to listen to music without paying any subscription and without seeing ads, so completely free. The figure is small if we compare it to the total number of subscribers announced by Spotify, but those 2 million people would generate tens of millions of dollars in revenue and substantially reduce losses, if they paid in the end.
