Image source: Spotify Technology
Spotify Technology has launched its service in Russia, the fastest growing international market for music, and 12 other regions as part of its expansion strategy after breaking into India last year.
Russia is the 17th largest global market for music streaming. Roughly 87% of people stream music online, according to the International Federation of the Phonographic Industry.
Strong growth during the global pandemic persuaded Spotify to move forward with free and subscription services in 13 markets including Albania, Belarus, Bosnia & Herzegovina, Croatia, Kazakhstan, Kosovo, Moldavia, Montenegro, North Macedonia, Serbia, Slovenia and Ukraine.
Spotify Chief Executive Daniel Ek had discussed Spotify’s goal of launching in Russia and South Korea during the company’s first quarter earnings call but did not specify the timing.
The new markets represent 250 million potential customers. Spotify’s Vice President of Markets and Subscriber Growth Gustav Gyllenhammar said in an interview this week, “We can be more local than a global competitor, and at the same time, be more global than local competitors … to really open up a window to the world for both music consumers as well as creators in the industry.”
Gyllenhammar added the company will work with local distributors to be named and has signed partnerships with international record labels to offer artists from their respective regions.
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Source: Equities News
