Looking at how Apple Music, Amazon Prime Video, and Netflix adjust their price plans based on location also sheds some light on Spotify's success.
Just one week on from its launch in India, Spotify has reportedly accrued one million users, despite legal troubles with Warner Music.One possible reason is the incredibly low pricing — in the US, a Spotify subscription costs $9.99 per month while, in India, it costs just $1.70.
Even though Spotify hit a few speed bumps prior to being launched in India, its strong start could be as a result of its competitive pricing strategy. behind the pricing, according to Music Business Worldwide, is that Spotify charges only what a market can bear, using each country's per capita gross domestic product as a measure.Inside Spotify's new global headquarters — with live concerts, a penthouse bar, and a game room
Taking the library size into consideration it does, according to this Comparitech report, still make India thein terms of cost-per-title among countries where the video streaming service is available according to a report by Comparitech. "We see the typical mix across these three plans that we see in many other countries like the US, which would indicate that we don't have a pricing issue. Because if it was, everyone would be on the lower price plan."
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