Is the music videos in Spotify, the most used music platform in 2024, a big revolution? Spotify faces challenges within the music industry, especially concerning licensing and royalties. Bundling audiobooks with music in Premium subscriptions has raised concerns among rights holders, leading to potential legal issues. As Spotify grows its video offerings, it must navigate these complexities. Maintaining strong relationships with artists and content creators will ensure that its growth benefits everyone involved in the ecosystem.
A Global Rollout
Spotify is boldly transforming into a video platform by expanding its music video streaming feature to 85 new markets. The company launched the music video feature in beta earlier this year in 11 countries. Now, it is available to a wider audience, but it remains exclusive to Premium subscribers and currently offers a limited catalog.
Boosting Engagement Through Videos
Spotify’s data indicates that music videos significantly boost engagement. Users are 34% more likely to re-stream a song after watching its video. This expansion allows users to switch seamlessly between the audio and video versions of a song without losing their place. Additionally, users can view videos in full-screen mode by rotating their mobile devices.
Adding Value to Premium Subscriptions
This move aligns with Spotify’s strategy to enhance the value for Premium users and justify potential price hikes. CEO Daniel Ek emphasized that raising prices becomes easier when the platform adds more value. This includes expanding into new formats like podcasts, audiobooks, and now, music videos.
Looking Ahead
Although the U.S. is not part of this rollout, Spotify plans to expand the service to more regions soon. The company aims to enhance the overall streaming experience for its global audience.