Spotify is set to increase subscription prices for users outside the U.S., particularly in Europe and Latin America, as part of its global pricing strategy. This move comes amid slower growth in the music streaming industry, with global revenue growth projected to halve in 2024.
The price hikes, likely to take effect by June, are expected to raise individual subscription fees by approximately $1 in several European and Latin American countries. Although the company has not publicly confirmed these increases, some European nations, including the Netherlands and Luxembourg, have already seen price adjustments.
In contrast, Spotify has no immediate plans to raise subscription fees in the U.S. following a recent price hike to $11.99 monthly in July 2024. However, reports suggest the company is exploring a “super-premium” tier for U.S. users, priced an additional $6 above the standard $11 monthly fee.
Spotify has experienced significant growth in Africa, particularly in Nigeria. In 2024, Nigerian artists earned over $74.36 million in royalties, and global streaming hours for Nigerian music surged. Despite this success, there are no plans to raise subscription fees for African users in the near future.
Spotify offers lower fees in developing markets, including 39 African countries, reflecting the region’s economic conditions. The monthly premium subscription in Nigeria costs around $1; in South Africa, users pay more at $3. This tiered pricing approach demonstrates Spotify’s efforts to cater to regional differences in purchasing power while maintaining its global presence.
