Spotify Free Stories May 15, 2015

Update: We’ve gotten word from a Spotify spokesperson that the Free model isn’t going anywhere. Director of Communications at Spotify Graham James told me “This is totally false.  Our model is working.” 

Digital Music News is claiming that Spotify is coming under pressure from music labels to end its free, ad-supported service, limiting users to a three-month free trial.

The three-month ‘proposal,’ advanced most principally by major labels Universal Music Group and Sony Music Entertainment, would allow current, free-access, ad-supported (or ‘freemium’) subscribers to continue their plans for 6 months, while new users would be limited to three months only.

Coincidentally or not, Universal Music Group is one of the labels specifically mentioned in two investigations into whether Apple is attempting to stifle competition in the run up to launching its own streaming music service …  expand full story

Spotify Free Stories September 8, 2014

Spotify app to offer 30 mins of ad-free listening if you watch a 15-30 second video ad first

Spotify currently offers you a choice: pay ten bucks a month to listen without ads, or listen for free but have your music interrupted by audio ads. Those using the iOS or Android app will be offered a third option later this year: watch a 15-30 second video ad in return for 30 minutes of ad-free listening.

Known as Sponsored Sessions, the idea is that advertisers get the ability to run video ads for the first time, while the experience is made relatively painless for consumers by guaranteeing 30 minutes of uninterrupted listening afterwards.

Spotify began pitching the option to advertisers back in June, and Ad Age reports that a number of major advertisers have now signed-up.

Spotify will start testing the video ads in the fourth quarter with a limited number of brands and plans to extend them to all advertisers in the first quarter of 2015.

Coca-Cola, Ford, McDonald’s and Universal Pictures have signed on as the ads’ first global buyers. Kraft Foods, Target and Wells Fargo will be the U.S.-only launch advertisers.

The Spotify app is a free download from the App Store.

Via Engadget

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