Spotify Beats Competitors With 6 Months Of Unlimited Free Access, Will It Work?
There was a bit of confusion this morning about what all of the free Spotify invites that Hypebot, Mashable, Chevrolet and others were offering actually delivered. Are they Premium accounts that include unlimited mobile access or just early invites to the 20 hours monthly free plan that Spotify offers in Europe. The answer is neither.
These special launch accounts offer unlimited streaming to the desktop without the 20 hour per month limit that is imposed in Europe. What's missing is mobile access - which can be purchased for $9.99 a month.
That's a huge - and potentially expensive - offering from Spotify. Competitors like MOG, Rdio, Rhapsody and Napster offer free trials measured in days, not in months. But it's a strategy that might pay off for Spotify. I was given a free desktop press account two years ago; and found it so addicting that I paid to upgrade to Premium that minute that I figured out how to. And once you've built playlists online, the thought of switching services is about as attractive as moving households in the physical realm.
What we don't know is what its costing Spotify or if some rightsholders granted them a discount rate for their launch. Somehow I doubt it....