Spotify, the global music streaming giant, has just announced a new subscription tier for US customers called “Basic.” This plan offers an alternative for users who primarily want access to Spotify’s vast music catalog and podcasts, but aren’t interested in audiobooks. The Basic plan is priced at $10.99 per month, a dollar less than the standard Premium plan.
What’s Included (and Not Included) in the Basic Plan
The Basic plan includes most of the features users have come to expect from Spotify Premium: ad-free listening, the ability to play any song on demand, and offline downloads. However, it notably excludes the 15 hours of monthly audiobook access that is now a standard part of the Premium subscription.
Why the Change?
This move comes after Spotify recently raised prices for its Premium individual, Duo, and Family plans in the US. The company cited increasing costs as the reason for the price hike. With the Basic plan, Spotify aims to provide a more cost-effective option for users who don’t utilize the audiobook feature and are sensitive to the price increase.
Who is the Basic Plan For?
The Basic plan is ideal for those who primarily use Spotify for music and podcasts. Students, budget-conscious listeners, and those who already get their audiobooks from other sources may find this plan appealing.
Spotify’s Pricing Strategy
Spotify’s decision to introduce a more affordable plan without audiobooks suggests a tiered approach to subscriptions, catering to users with varying needs and budgets. This strategy could help the company retain users who might have otherwise considered canceling their subscriptions due to the price increase.
How to Get the Basic Plan
The Basic plan is now available for eligible users in the US. To check eligibility and switch to the Basic plan, visit the Spotify website or app.
The Future of Spotify Subscriptions
While the Basic plan addresses affordability concerns for some users, Spotify is also reportedly working on a higher-priced “Platinum” tier. This plan is expected to offer superior audio quality and other premium features, catering to audiophiles and those who desire a more enhanced listening experience.
With the introduction of the Basic plan and the potential upcoming Platinum tier, Spotify is diversifying its subscription offerings. It remains to be seen how these changes will impact the company’s user base and revenue in the long term.
