No matter where you go, you are surrounded by a digital world. Technology has impacted and changed everyone’s life. As a person who is always passionate about music, I would like to introduce my new friend, Spotify.There is no doubt to say Spotify has become one of the most influential entertainment industries in this world. Spotify provides digital music service and uses peer-to-peer technology to connect people and share their favorite songs. It was launched in October 2008, and by December 2012, it had reached 20 million members around the world and about 5 million users have purchased a monthly subscription.
Product: In order to satisfy different groups’ need, Spotify splits their product into three categories: free, unlimited, and premium. Free: Users can listen millions of songs with advertisements on their computers (desktop and laptop) Unlimited: Users can listen to unlimited songs without advertisements on their computers online. It costs $4.99/month. Premium: Users can listen on all devices. They can either download music or listen offline. There is no advertisement or commitment. It costs $9.99/month
Promotion: Spotify grows fast and achieves unparalleled success in media entertainment industry because it knows how to apply the right promotions to engage with consumers. For example, it offers 30 days Premium free trail to every Facebook register, which includes enhanced sound quality, offline mode for playlists, taking music abroad, etc. Although it seemed as if they lost profits by giving away a free trail, in fact, they obtained millions of users’ information and marketing intention freely. As a result of its exclusivity, and time limited offer, it made a good impression to users indeed. Besides its basic services, Spotify also draws users’ attention to “social sharing experience.” Unlike Facebook, you can always do “private sharing” with Spotify.
Price: Comparing to other digital music service, $10 per month with unlimited access to millions of songs sounds like a reasonable price for most people.
Place: Just as it said on their website, “with Spotify, it’s easy to find the right music for every moment – on your phone, your computer, your tablet and more.”
Dan Shen's Weekly Insight 