Ch. 2 - Strategic Planning for Competitive Advantage

Spotify SWOT Analysis:

Strengths:

- Easily Accessible, and compatibility with almost every modern technological device.
-Intuitive easy to use user interface
-Large and varied collection of music
-Incentivizes listening to new music
-It can be used for free
-International availability

Weaknesses:

-Difficult for independent artists to profit
-Dependence on other technology companies
-Dependence on internet connection
-The company runs on zero profits

Opportunities:

-Potential strategic alliances with mobile carriers, manufacturers or tech companies.
-Higher demand for worldwide music accessibility
-Better use of A.I. to offer a more interesting music recommendations

Threats:

-Negative artist opinions
-Better deals offered by a competitor both for the artist and the listener

Comments

Ch. 18 Social media and Marketing

Being a 21st century brand, Spotify takes full advantage of the most used social media platforms, having a dedicated interface when sharing a playlist or song on Twitter(600 million users) or Facebook(1.6 billion users) tells us how important is for them to provide an engaging way for listeners to share their favorite music. But Spotify can be considered a social media platform in development that could evolve into something bigger, with more social sharing features, and it also it's being used as a marketing medium just like Facebook, with targeted video, audio and visual ads.

Ch.10 - Product Concepts

Since its introduction to the American market in 2011, Spotify has made efforts to adapt in order to look more attractive to their target market, which are millennials. In 2015 Spotify changed the design of their brand, this included, the user interface, the logo, the ads they attempted to create a new brand identity to show that Spotify was as rich and lively as the music culture, rather than simply a technology service that served up songs.

Ch. 6 - Consumer Decision Making

The way music is consumed has changed drastically over the last 120 years, from live shows, to sheet music and piano rolls, to vinyls, to reel-to-reel and cassette tapes, CD, DVD and finally all digital audio file formats available(wav, flac, mp3, etc) but, over the last 25 years digital formats(downloads, streaming dominate the way mainstream music is accessed making up most of the revenue. In the music streaming market, consumers have many to choose from, Apple music, Amazon music, Deezer, Pandora(only in the U.S.), Napster, YouTube music and of course Spotify. One thing these service providers share in common is that all offer a convenient access to a vast library of music, what has made Spotify stand out from the competition has been a strong social media presence since their release in the U.S. in 2011 by partnering with Facebook to acquire enough exposure and users, also Spotify was amongst the first legal streaming service available to challenge the illegal file share s...

Spotify

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