Spotify

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 stores a very diverse collection of sounds from different cultures, music is enjoyed globally and one of Spotify's goal is to become people's main convenient source of Music wherever they go, They had a global vision from the start, in order to become an international recognized service Spotify applies a localization strategy (the process of organizing a business or industry so that its main activities happen in local areas rather than nationally or internationally) for each country. Availability of Spotify in the world

The target market of Spotify consists of the millennial(35 years old and below) generation because according to the company data millennials are connected all day from the moment they wake up.

Ch. 11 - Developing and Managing Products: While the vast majority of music consumption has always been on the go, in the beginning big online libraries of music files (such as Napster) that allowed you to download their content were available to anyone with an internet connection and a desktop computer, but the download speed, risks, industry and artists opposition, laws restricted this methods. Spotify's proposal was to enhance the download speed, eliminate risks, and please labels and artists, beginning with solving the speed problem using peer to peer technology for faster downloads. Released in 2008 Spotify's vision always has been to be the consumer's entire music system, their business relied in ads to make profit(freemium), with the arrival of smartphones, Spotify had to develop an app that could match the functionality of the desktop version, mobile data service wasn't good enough to provide enough speed for streaming so they opted to allow the user to sync u...

Ch. 3 - Ethics and Responsability Spotify was built around the idea that music should be part of everyone's life. Their social impact team worked with a series of nonprofits such as Too Small To Fail, Zero to Three, and Vroom to provide ways for parents to use music to enhance interactive moments with their kids and build social, emotional, and language development.

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

Spotify was founded in Stockholm in 2006 by Daniel Ek and Martin Lorentzon and although the company's head office is now in London, much of its research and development remains in Stockholm. The streaming service launched on October 7, 2008 and the company initially limited the sign-up for free services by making it invite-only. Paid-for subscriptions were made available immediately but despite this, Spotify reported a $4.4 million loss in 2008. By 2012, the company had launched its service on Android smartphones. In 2015, the company updated and rebranded itself, adding music videos and clips to the service. By that point, the service had over 25 billion hours of songs available. Spotify’s mission statement is “ to unlock the potential of human creativity by giving a million creative artists the opportunity to live off their art and billions of fans the opportunity to enjoy and be inspired by these creators .” The mission statement sheds more light on the goals ...