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BREAKING DOWN SPOTIFY’S SUBSCRIBER COUNT…


Digital Music News:

When it comes to services like Spotify, there are two types of users: (1) those who are paying, and (2) those who aren’t. And, Spotify just dumped a large number of (2), thanks to some recently-implemented restrictions designed to get more of (1).

In fact, according to internal documents obtained by Music Ally, a monstrous 1.6 million non-paying users either ditched their accounts or started a premium relationship between March and July of this year. And, most importantly, Spotify added 520,000 paying subscribers in that period, a 51 percent surge. By July 1st, Spotify counted 1.54 million premium subscribers, all before setting foot in the US…

Music Ally:

Music Ally can reveal that between March and June this year, Spotify lost 1.6 million free users, but gained 644,000 520,000 paying subscribers.

Here’s how that breaks down: In March, the company had 4.73 million free users and 1.02 million paying subscribers, with a total active user base of 5.75 million, of whom 17.8% were paying. Then the restrictions were announced in mid-April and implemented on 1 May. By June, the leaked report reveals that Spotify had only 3.13 million free users, but 1.54 million paying subscribers: 32.9% of its 4.67 million active users.

The figures for free users may seem a little on the low side. In early March, Spotify Spotify CEO Daniel Ek revealed that the service had passed one million subscribers, and that this was 15% of its active user base – implying total active users of around 6.7 million, and thus around 5.7 million free users…