Spotify will increase its subscription price again, this time affecting its Premium Individual plan across multiple regions beginning September 2025, Financial Times report.
The monthly fee will move from €10.99 to €11.99 ($14.05), covering South Asia, the Middle East, Africa, Europe, Latin America, and Asia-Pacific.
The change comes less than two years after the company’s last increase. For Spotify, this is part of its goal to expand profitability and drive its initiative towards one billion global users.
The Swedish streaming giant currently counts 696 million monthly active users and 276 million paying subscribers.
Alex Norström, co-president and chief business officer, told the Financial Times: “Price increases and price adjustments and so on, that’s part of our business toolbox and we’ll do it when it makes sense.”
Over the past year, Spotify has tightened operations, cutting costs through layoffs and scaling back on expensive podcast deals. Those decisions, alongside subscription growth, helped the company deliver its first annual profit in 2024 and record a 31.5% gross margin in the second quarter of 2025. Free cash flow now stands at €700 million, a turnaround after years of losses.
Alongside the price rise, Spotify is betting heavily on product innovation. Recent features include AI-powered playlist customisation, a virtual DJ tool, and audiobook integration. These are designed not just to improve listening but also to make users less likely to cancel, even when prices climb.
In Africa, Premium subscriptions will now cost R69.99 per month in South Africa, roughly on par with rivals Apple Music and YouTube Music. Analysts say this alignment in pricing shows Spotify’s intent to defend its market share, especially in mobile-first regions where streaming adoption is still rising quickly.
Spotify already controls about 65% of the global music streaming market and 45% of paid subscriptions outside China and Russia, according to Luminate. Analysts believe the new features and improved personalisation will help absorb the impact of higher costs for subscribers, ensuring Spotify maintains its lead as the dominant global music platform.
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