Reports Music

Spotify Earnings Q3 2019 Up on Most Counts

Report by Mark Mulligan
Cover image for Spotify Earnings Q3 2019
Synopsis PDF PowerPoint Excel

Our clients have full access to all of our reports. Clients can log in to read this report. Click here to become a client or, you can purchase this individual report.

The 20,000 Foot View:         2019 was a quarter of mixed fortunes for Spotify, with its subscriber base showing good, consistent growth, podcasts making a solid early showing, emerging markets demonstrating promise but ad revenue falling short.

Key Insights

  • Spotify hit        million subscribers in        2019, up five million on        2019 and in line with expected growth
  • Spotify added        million monthly average users (MAUs) in        2019 but grew its free user base significantly faster than paid, adding        million ad-supported MAUs
  • Spotify added two million subscribers in North America, one more than it did the prior year, reflecting the continued strength of the US streaming market
  • Rest of World is growing faster in free users than paid: Spotify added        million Rest of World ad-supported MAUs compared to        million subscribers, with the gap widening compared to        2018
  • The paid-to-free ratio was down in both of Spotify’s predominately emerging market regions, due to free user growth creating a wider subscriber acquisition funnel
  • North America and Europe added two million subscribers each, reaching        million and        million respectively
  • Premium revenue grew        year-on-year (YoY) to reach        million in        2019 while gross margin was down from        to       
  •        2019 was a weak quarter for ad-supported revenue, up just        million on        2019, representing        of all revenue, compared to        one year earlier        million Spotify users streamed podcasts on-platform in        2019, generating        million in revenue
  • Spotify churn fell slightly from        in        2019 to        making it the second successive quarter that Spotify has recorded its lowest to-date churn rate
  • MIDiA forecasts Spotify to hit        million subscribers in        2019

Companies and brands mentioned in this report:   Spotify

Unlock critical media insight and intelligence for competitive advantage

Our clients have full access to all of our reports. Become a Client

Already a client? Login to read this report

Or, purchase this individual report

Purchase this report