Spotify announced today that it now has 172 million paying subscribers and 381 millions monthly active users. This is an increase of 165 million subscribers and 365 millions monthly active users, which was 19 percent more than last quarter. These numbers are similar to what Spotify expected for this quarter.
Spotify is the largest music streaming service worldwide thanks to its growth. Music Ally figures show that Apple Music and Amazon Music don't release their subscribers numbers often, but Music Ally has compiled figures which put their respective subscriber counts at 55 million and 60 million. Spotify anticipates that it will have more than 400 million active monthly users and more than 177 million premium subscribers by the end of this year, in line with previous projections.
Spotify's average revenue per user increased to 4.34 (around $5.03) in this quarter. This is an increase of 4 percentage year-over-year from 4.29 (around 4.98). The company's overall profit was 2 million, compared to 101 million losses in the same quarter last year. These figures are unusual for Spotify given its focus on growth and not quarterly profits or revenue. The company's price hikes over the past year have helped to increase average revenue per user.
Edison Research and our internal data show that we have become the number one platform for podcasts used by Americans. We also launched podcasts in other markets. Find more information about $SPOT Q3 2021 here: https://t.co/BV6CqbCLC3 pic.twitter.com/Xa7DgYh4Qu Spotify News (@SpotifyNews) October 27, 2021
According to The Wall Street Journal, podcast advertising accounted for 10 to 13 percent of total revenue. This helped boost earnings. Spotify claims that its users are increasingly engaging with podcasts, and that podcast shares of total consumption hours have reached an all-time high. Spotify now has 3.2 million podcasts, up from 2.9million at the end the previous quarter. Spotify claims that it is now the top platform for podcasts US listeners use most. This claim is based on its own data and Edison Research's report.
These figures are coming at the end a quiet quarter for Spotify. It has not seen any major launches or acquisitions. Spotify HiFi, which was announced by Spotify in February and is expected to launch at the end of this year, has not been launched.
The company instead made minor adjustments to its service, such as allowing podcasters to add interactive polls to their shows, releasing an app for Wear OS that supports offline playback and introducing Enhance, which automatically adds songs from users' pre-existing playlists.
Updated October 27, 2006, 06:39 ET: Spotify added a tweet claiming that Spotify is now the #1 podcasting platform in America.
