Spotify confirmed today what it teased in The Wall Street Journal in a Friday afternoon news dump — its Premium plans are getting more expensive. And not just for a single account; the increase is good across the board.
It’s the first price increase for the leading streaming music service and will take effect a month after account holders receive an email noting the change. The price increase brings Spotify in line with its competitors, several of whom also have increased rates in recent months. Here’s how things shake out:
- Spotify Premium Single: $11 a month, an increase of $1
- Spotify Premium Duo: $15 a month, an increase of $2
- Spotify Premium Family: $17 a month, an increase of $1
- Spotify Premium Student: $6 a month, an increase of $1
In a press release announcing the changes, Spotify notes that it’s increasing prices “so that we can keep innovating.” (An FAQ also notes “changing market conditions” and that the higher fees “will help us continue delivering value to fans.”
It’s worth noting that Spotify also is still trying to become a profitable company, and the price increase comes a day before the company announces its second-quarter earnings for 2023. In Spotify’s Q1 earnings call, CEO Daniel Ek all but confirmed price increases were coming at some point, saying “I feel really good about our ability to raise prices over time — that we have that ability. And we have lots of data that backs that up. … When the timing’s right, we will raise [rates], and I think that price increase will go down well because we’re delivering a lot of value for our customers.”
Apparently, the time finally is right.
In its announcement and FAQ, Spotify noted that users currently on trial offers will keep the original price for one month. And gift cards that were purchased with the lower price in mind can still be redeemed.
