Spotify adds new, discounted option for U.S. listeners
A cheaper option on Spotify has launched for U.S. users, appealing to those who really care about the music – and maybe paying artists more.
Spotify have revealed the launch of a brand new subscription tier for users in the U.S.. Music lovers can now subscribe to the ‘Basic’ plan, which offers their full music library for ad-free streaming without the 15 hours of audiobook listening that comes with Premium Individual.
Spotify Basic comes in at $10.99 a month. This is a dollar less than Premium Individual which Spotify raised by $1 a month in April. The plan removes the 15 hours of audiobook listening which Spotify began to bundle with Premium last year.
Whilst the price change offers music lovers with no interest in audiobooks an appealing discount, it may also increase revenues for musicians. Spotify recently qualified for a bundled rate in mechanical royalty pay-outs. As their Premium subscriptions offer a bundle of audiobooks and music, this means they qualify for paying less to songwriters and collection agencies.
This has spurred a huge backlash from the industry and Spotify currently faces a number of legal battles over the bundling rates. The launch of Spotify’s Basic tier should offer a plan that once again prioritises music and therefore directs the funds generated on the plan to musicians and rightsholders without the bundling discount.
How to switch to Spotify’s music-only subscription: Basic
Spotify customers in both the U.K. and the U.S. can now subscribe to the Basic tier. Existing customers will be able to switch from their Premium plan to Basic from their account management screen.
Reportedly, new subscribers aren’t being offered the option to sign up to Basic. This suggests that users must first sign up to Premium before they can switch down to the discounted Basic tier. However, they may simply have not updated their sign up pages as the offering is new.
Spotify also offer Basic versions of Spotify Duo and Spotify Family.
To switch to Basic, head to your Spotify account settings and select ‘Manage Subscription’ to find and switch to Basic.