As more consumers keep flocking to the streaming subscription model of ‘paid music streaming’, the U.S. music industry keeps booming. Recently, Spotify lost its top spot to Apple as the music app with the highest number of subscribers and Apple Music with Spotify hit 51 million users. Although both companies appeared to have a comparable customer base earlier in the year, the recent disclosure of the customer base at Spotify is quite a revelation. From the geographical breakdown, it appears that the second quarter of the year for Spotify led to 25.7 million premium subscribers in Canada and other parts of North America. Altogether, the music-streaming facet in the U.S. recently hit a milestone.
51 million and counting…
In the U.S. alone, the number of music-streaming subscribers as reported by Billboard is about 51 million and counting. Apart from the general figures, there are certain people that have a bundle music service such as Amazon Prime Music or are on free trials. However, the global demographics of the e-commerce giant reaches about tens of millions of people. That said, both Spotify and Apple have about 20 million subscribers each in the U.S.
Again, a whopping 157 million number of users stream music for free while 20 million other users share an account with a paid subscriber. In North America, Spotify has many ad-supported users who are 30.1 million in number. Pandora, a smaller yet similar rival boasts of 6 million subscribers and 65.4 million free users in the U.S. The strong conversation rate in the U.S. of free users turning to paid users is alarming. This pattern is also evident in London as well. Thus, the conversion of the ad-supported users is a great opportunity for service providers to get more money.
From estimations, 2017 marked a year where there was an average of 35.3 million paid subscriptions. However, that was an annual average. For this reason, there will be a higher average for the number of paid subscription by the end of this year.
Growing the market
Nevertheless, there is a firm reason why several users are not keen on joining paid plans. The main package that comes with paid plans is on-demand music, no ads, and an unlimited value proposition. From research, it is evident that the discovery of content does not fuel the increment in the subscription. Nonetheless, Spotify claims that their ‘content discovery’ is their major selling point in the industry against other rivals – such as Apple. Shazam is music recognition of Apple’s need for content discovery. The main reason for the creation, however, is to grow the music market. Owing to this, people should stop focusing on the competition between both companies. Several people have called this argument a misplacement of priorities in the music industry.
Bridging the gap
In this era where a lot of people have the need for such music apps, the opportunity cost of acquiring a device may be high. In London, the rate at which computer rentals are growing is alarming. This conditions someone to be on the lookout for the best site to rent a device to enjoy a great music experience. For any latest Apple Mac, MacBook Pro, and iMac rentals in London, the best e-commerce to find it is on macrentalcompany.co.uk. In the bid to grow the music market of Apple and Spotify, you can get all Apple products at inexpensive rates.