Amazon’s music streaming service is developing in hypertemps. Recently, the company became one of the leaders in the world market for streaming music.
Amazon is gradually gaining market share and can become the second player after Spotify thanks to the right strategy. While Apple Music fought with Spotify, Amazon Music introduced tariffs, the main task of which is to differ from competitors even to the detriment of simplicity. If Spotify and Apple Music offer all-inclusive subscriptions, Amazon creates exclusive options for different audiences.
Today, Amazon Music holds a share of 15% of the global market, streaming service from Apple – 19%, Spotify – 32%. In 2020, Amazon Music became the fastest growing music service, beating Apple and Spotify – compared to 2019, it grew by 70%.
Amazon understands that it will not be able to defeat Spotify in terms of product quantity and quality, so the company has optimized the marketing strategy of the Amazon Music service wherever it can outplay competitors: subscription costs, Prime subscription options, device-specific plans and lossless audio.
Amazon Music has two basic plans: Amazon Music Free and Prime Music.Amazon Music Free offers free selections of the best playlists and thousands of radio stations. The plan looks like a free Spotify fare. But the user will be annoyed by obsessive advertising, he will not have the opportunity to download music and listen to it offline.
Prime Music tariff is the first difference between this streaming service and competitors. This plan is included in the cost of the entire Amazon Prime subscription, which includes access to additional services on Amazon, discounts and quick delivery of goods purchased on this site.
Prime Music is aimed primarily at Amazon Music Free users who would like to turn off advertising. In addition, they receive all other Prime bonuses. Prime Music customers access 2 million tracks, thousands of playlists and radio stations without advertising.
Amazon Music Unlimited — analog Apple Music и Spotify Premium. All three services cost $9.99 per month, but there is a 20% discount for Prime subscribers. In this case, Music Unlimited will cost up to $7.99 per month. The Unlimited subscription allows you to view a catalog that includes more than 50 million songs.
Here are the main features and features of the application:
• over 50 million songs, as well as playlists and radio stations;
• personalized recommendations;
• daily updating of the background;
• Download entire albums and playlists to listen to them offline
• monthly or annual payment.
• the ability to listen to musical compositions stored in the MP3 format.
The discount is also valid for the annual option for $79 – $20 cheaper than the annual tariff from Apple Music and $40 less than Spotify Premium.
Like other similar services, there is the possibility of a family subscription, within which you can create up to six individual accounts, each of which will be completely autonomous.
It is also important that the company has provided many additional bonuses for subscription holders. In addition to the free delivery of goods, they have the opportunity to get discounts on some categories of goods on Amazon, their applications are considered a priority. Given that Internet commerce shows steady growth every year, and the global pandemic of coronavirus has practically put all business online, the benefits for subscribers become even more obvious.
With this tariff, Amazon is not aimed at Spotify’s extremely receptive young audience. According to statistics for 2020, the 55-year-old audience was 14% of the Amazon Music subscriber base – and only 5% of Spotify. Analysts of the company calculated that the musical priorities and needs of older users today are practically not blocked by anyone, so the service aimed specifically at the senior category of users. It is due to this segment of consumers of Amazon Music services that shows high growth rates.
Today, Apple Music is the main competitor for Amazon Music. Apparently, the company’s main priority in the music market for streaming music is precisely the second place after Spotify.