« Overall, the business is performing strongly« . Spotify results are once again over expectations, let’s take a quick tour of what’s to remember from this Q3-2019 report.
« Some of the increases in podcast listening are extraordinary, almost too good to be true. Our intuition is […] that we’re onto something special. So expect us to lean into our early success with podcasting and to share more insights ». It seems that the +39% of podcast listeners form Q2 to Q3 triggers data analysts attention! It might help very well to convert music listeners to Premium. And so far, 14% of MAU would be also podcasts listeners – around 35M users.
So far, you can listen to 500k podcasts titles on Spotify. And they’ll add 22 original Spotify series produced in their studios, in NYC. Even Barack and Michelle Obama’s production company Higher Ground signed an exclusive partnership with Spotify for podcast production.
Michael Krause, Managing Director Central Europe at Spotify, says that Spotify for Podcasters is more convenient for podcast producers than other competitors: « On many other platforms, they don’t know how many streams they have, or at what point people stopped listening during the episodes. We have all the analytical tools for partners« .
Also note that Spotify’s daughter company, Soundtrap, launched a dedicated product for Podcasters. Soundtrap for Storytellers offers an awesome combo of features that’ll help producers a lot:
- Audio transcription. Preventing producers to lose hours into the writing of their stories. A very good point when you know that SEO for Podcast is as essential as any other web content.
- Remote interviews. Share a simple link to your interviewee and they’ll join your podcast live!
On major KPIs side, all lights are green: number of MAU soared to the sky up to 248M (+30% over last year) and number of subscribers reached unprecedented level of 113M users. As a reference, note that Apple music was flashed at 60M subscribers in June 2019. They pretend also having a 2x inferior churn than Apple Music – 4.41% users only quit the service within the month!
Duo and student offers
On marketing side, we can expect a Duo offer in Europe quite soon. As the Family plan, they tested the sharing of the Spotify Subscription with 1 person. It was a success. So we might be able to share it with our brother/sister, flatmate or colleague in the coming months. They say that subscribers will even get the first 3 months for free…
Student offer was promoted in September with a « back-to-school » campaign and met its expectations too.
Let’s see how Q4 and Annual report 2019 will wrap up these good news!
Found this inspiring product stance by the way: « Our belief is that a better onboarding experience leads to increased engagement, which leads to better retention, conversion, satisfaction, and ultimately, lifetime value. » #yoda