One of the main secrets lies in the fact that the founders and inspirers of the platform, Daniel Ek and Martin Laurentson, were already more than successful people by the time they launched their startup. Both businessmen did not initially perceive the project as a source of income, they decided to invest their souls in it, therefore:
- always honest with partners;
- do not spare money for development, including research and development;
- try to adhere to a loyal pricing policy for users.
Now imagine that such an approach to doing business is combined with an exact hit in the audience’s requests! Objectively, the site is singled out for ten key advantages over competitors:
- Huge media library.
- Amazingly accurate track recommendations.
- Work on all known smart devices.
- Large selection of thematic playlists.
- Great radio (you can even set up your own radio station).
- Large global community with excellent musical taste.
- Seamless Spotify Connect sync.
- Integration with Facebook, Twitter, Telegram, Skype, Instagram.
- Convenient desktop client with a thoughtful and innovative interface.
- Lack of intrusive and aggressive advertising.
The platform was born in 2006 – at this time the world began to look for new sources of music, films and other content that is preferable to receive via the Internet. At that time, iTunes (Apple) was already working, but the Swedes offered more interesting conditions – at least their development was cheaper for the consumer (the Americans charged $0.99 per song). In addition, it is not necessary to use Apple products and software to listen to tracks – Spotify initially worked on any devices and operating systems.
In other words, although there were competitors, they did not pose a particular threat – Ek and Laurentson “got into the wave” – their idea became a godsend for their time, in addition, it gave the performers the opportunity to earn money. The combination of these factors made the project doomed to success.
The late 1990s and early 2000s were a time of massive change in the industry, and not to the benefit of singers and songwriters. At this time, audio cassettes and CDs began to intensively “die off” – music began to “flow” into the online format. Steve Jobs himself contributed to this with his iTunes – if earlier it was difficult to get a selection of any works on the network (despite the existence of primitive analogues like Napster), now it was possible to buy individual tracks from albums coming out from the pen of composers and singers.
The result is not very pleasant – this state of affairs allowed the audio pirates to act quickly and brazenly. They registered domains, created simple websites, and distributed music through them, without having the right to do so, but receiving huge income from Internet advertising placed on pirated pages.
It all ended with the fact that by 2004 the income of artists around the world had fallen sharply – the whole industry was under threat. Just during this period, there are serious creative crises of many eminent performers – the reason lies precisely in the mass theft of music.
This is what Ek and Laurentson were talking about during a walk in mid-2005. To begin with, they spoke with an unkind word about the Swedish pirate “nest” The Pirate Bay, then complained about the difficult times for the musicians. And they expressed the hope that people for the most part do not support theft and copyright infringement, it’s just that the modern market cannot give them anything financially affordable that allows them to listen to their favorite music 24/7.
In 2006, the Spotify.com domain was registered, and negotiations with influential recording studios immediately began.