The audio app Spotify has announced their Q3 earnings report this month and things are looking good for the audio app.
Spotify is an app that allows users to access their favorite audio music or shows at a price which is one of the ways they make their money. They also make their money through commissions and advertising but their income growth from advertising has been slow this Q3 as it also makes up 13% of it’s business revenue.
Spotify’s CEO Daniel EK said they are going to increase prices for their premium subscription as he made comments to CNBC press:
“We’ve actually done more than 46 price increases in markets around the world. And many of those markets have had way more inflation and way more economic issues than the U.S is currently experiencing and despite all of that, our subs numbers held up way better than expected, we think we have pricing power.”
Spotify’s stock is currently taking a nose dive but with the new changes by the CEO, investors can hope for a better earning report in the next quarter.