Spotify on social media, to increase the possibility

Spotify has always been promoting itself as the main service for music; Spotify’s main strength is the service itself, they offer the same 20 million songs available, regardless whether or not users subscribe. Another Spotify’s strength is its pricing strategy, divided into Premium Users and Non – Premium users. Non – Premium users have advertisements and do not have the access to skip to the next song, while Premium users have the ability to listen music in offline mode, therefore even when they are not connected to the internet. This strategic pricing gives the consumer a “preview” of the service for free for instance the service give the possibility to the users to listen to music without adverts for 30 minutes, obviously if one then becomes loyal to the service it will eventually, turn from Non-premium User to a Premium user.Moreover, Spotify does not only play a major role on the music market but also on social media, to increase the possibility to enhance their brand image and attract new customers. For instance, in 2011 Spotify joined Facebook, and this act had an even larger impact and surely stimulated their growth, and within a year Spotify users doubled from 10 to 20 million. This deal gives the opportunity for users to share and send playlists or songs. Spotify does not use social media just to attract new customers but also to interact and provide more personal experiences.Spotify also gives more than 20 million original songs, this mean the service it is retained as high quality service, because Spotify bought artist’s’  Intellectual Property of all the artist which are listened on Spotify. WeaknessesEven though the pricing strategy can be an advantage for the service, many non-premium users can perceive advertisements annoying, this will lead customers to change music service, since there are other digital streaming services that allow business to listen music freely without interruptions. Moreover, for non-premium users the access to listen to music on offline model is not given, therefore for a free user the Spotify service can be useless and this would again lead to move to another music service which satisfy the customer need,  rather than Spotify. The extended media playlist offered by Spotify could also be considered a weakness, the service does not have no solution for recommending new songs or artists to users, so they have to discover their own music by themselves. OpportunitiesSpotify is available in 64 countries worldwide, this means that by now Spotify is huge in its market but it will only see a continue rise in customers as it becomes available in new countries. Furthermore, Spotify is succeeding to end piracy, the act to download files or music illegally; this is an opportunity for the whole music industry, not just Spotify. It introduced an algorithm which gives the solution from the past: recommendations for new music, this algorithm consists of a playlist which has a fairly week discovery tool. Plus, Spotify also took the possibility to work directly with artists. For instance, the new service BandPage, which consists of selling merchandise directly to the listener, it is an area not completely efficient but a great opportunity to increase revenue which benefits both the artist and the listener.ThreatsPiracy even though it is on decline, it is still a major problem for the music industry. Music companies including Spotify will fight this threat until users have other opportunities besides illegal download. Probably the major threat is competition with other companies such as Beats Music or Deezer which offer same type of service as Spotify. Another threat for Spotify are the artists many of them expressed dissatisfaction with Spotify, for example Taylor Swift stated: On Spotify, they don’t have settings, or any qualifications for who gets what music.’ , ‘It’s my opinion that music should not be free, and my prediction is that individual artists and their labels will someday decide what an album’s price point is’. Comments from artists will surely affect the brand image, users cannot find releases of particular artists. This will cause Spotify to have less users.

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