Spotify drops it like it’s hot 🔥
Our ears are still ringing from Autumn’s epic line up of throwback concerts. Backstreet Boys, Snoop Dogg and My Chemical Romance are all a treat to the ears of nostalgic millennials and Gen Xers, but a new Spotify (SPOT) feature is on its way to treat our eyes too! 👀
Last week the company dropped their largest makeover in over a decade like it was hot. 🔥 The update delivers a TikTok-like scroll feed and a fresh focus on auto-play videos to grab our attention. Scrolling through playlists will now bring up snippets of videos to help users discover new music. For artists trying to grab the attention of Spotify’s half a billion monthly active users, video could become an essential tool. And that can mean only one thing: Spotify could bring back our love of music videos like they’re baggy jeans from the noughties. 👖
Get ready to say RIP to your mobile data while waiting for your cancelled bus home from work. 🚌 But making it easier to watch music videos and podcasts is another sign of Spotify changing tune from a simple music app towards a wider entertainment platform. Last year the company added to their ensemble by taking on Amazon-owned (AMZN) Audible with the introduction of audio books and launching their own personalised AI DJ. 🎧
That may have helped Spotify grow 14% in the fourth quarter of 2022 to more than 205 million paid subscribers - not far off Netflix’s (NFLX) 231 million subscribers. With around 86% of Spotify’s revenue coming from premium subscriptions, that’ll be music to the ears for investors. It’s also helped to serenade the Spotify share price, which has swooned 49% so far this year, bouncing back alongside shares in Tesla (TSLA) and NVIDIA (NVDA). We want it that way. 🎵
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