Spotify has announced that it has reached 100m paying subscribers, growing 32 per cent year-over-year, with its overall user base growing to 217m – thanks to the 117m people making use of its free, ad-supported offering each month.
The world’s biggest music streaming service attributes its premium tier growth to “a better than plan [sic] promotion in the US and Canada and continued strong growth in Family Plan”. The company also points to strong growth from an expansion of its Google Home Mini promotion, as well as the price reduction of its offering alongside Hulu in the US.
Spotify reported revenue of €1.51bn for Q1 2019, up 33 per cent on the same period last year. On this revenue, it made a loss of €47m, which is slightly higher than its €41m loss in Q1 2018 and contrasting to the €94m profit made in Q4 2018.
The company expects to grow its monthly active users to between 222m and 228m, with between 107m and 110m premium subscribers, in Q2 2019. Meanwhile, revenue is forecasted in the range of €1.51bn and €1.71bn with losses in the region of €15m and €95m.