Spotify installs increased 25%. What are reasons this might have happened? Give at least four.

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Spotify installs increased 25%. What are reasons this might have happened? Give at least four.

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Abhinav Chitre · Answer 1 · 2020-06-27T12:05:59+0000

Spotify installs increased 25% — what are reasons this might have happened?

I am assuming each time a user is installing the app.. it is counted as an install.

Clarifying Questions : -

Does it mean new installs or people reinstalling the app?

Do we know of a product feature which has launched recently which has tipped the scales in favour of Spotify vs the competition?

Have there been any marketing campaigns of Spotify in different regions of the world?

Any major sporting event that is happening or going to happen?

High Level Reasons

Technical issue with new updates forcing the users to reinstall the app
New product feature which is a hit among users and lots of users are referring to it on social media. Word of mouth is making people to download the app and install it.
Some artist has launched a new track or a new celebrity podcast has been released which is exclusively available on Spotify and people are installing the app to listen to it.
Marketing campaign or some offer is running providing Spotify premium services cheaper than usual..
Competition ran into some legal issue or increased prices.

Digging Deeper

Time

Is the increase sudden or gradual?

Sudden increase would indicate a technical bug with an update - which is making users reinstall the app. We can check if it is old users reinstalling the app or new users installing the app.
People switching to new phones installing the app. Some much awaited phones have released.

Regional - if it is specific to region

Some promotional offer or marketing campaign running in a specific region

Spotify partnering with another brand to run a successful marketing campaign leading to increase in new installs

Also some regional artist has released some tracks ( in a Regional language) which are available only on Spotify.

Other features / product

Any new feature which has launched which is being liked by users and users are referring it to other users via social media. People spreading the news about the new feature via word of mouth also. This is making people install the app.

Platform

Is it platform specific? Is it on iOS or Android?

Again there could a technical bug specific to a platform which is making users reinstall the app.

New phone has been launched by iPhone which is being widely being bought. So users are reinstall the app on their new phones.
Same can happen in case of Android.

Other reasons / Competition related

A competitor app is some specific region ran into some major issue due to copyrights etc. The users immediately switched to Spotify.
A competitor app increased price for their streaming services making users switch to free or premium Spotify service.
Some new track has released from a famous artists which has gone viral and which users are sharing across the social networks via Spotify - making users install the Spotify app.
New track or Podcast released exclusively on Spotify which is making users install the app.
Reduction in prices for Spotify Premium worldwide
A worldwide marketing campaign associated with a major sporting or music event.

Tushar · Answer 2 · 2020-12-13T15:27:50+0000

Spotify is the music streaming platform that enables consumers to listen to their favorite music over the internet via web and mobile.

Clarify:

Spotify is used by artists and music companies to publish their music. It is then used by consumers who want to listen to their fav music. As most of the traffic is generated by consumers I assume the increase is on the consumer side. Is that a reasonable assumption? IVR: Yes
Is this a gradual increase or a sudden increase? IVR: Sudden
Seasonality: Did we see any increase pattern same time during last year? IVR: No
Is this increase in app installs on mobile? IVR: Yes
Did we see a similar increase in the no. of singups. I assume that consumers who are installing the app are also new users coming to spotify. Is that reasonable. IVR: Yes.
Anything changed the way we measure the metric IVR: No
The increase is seen all across the globe or US IVR: US only
Any special category - regular, premium, family plan that is specific to this increase. IVR: All

Thanks for clarifying. I think I have enough info to explore the potential causes.

Goal: Spotify consumer app installation suddenly increased by 25% that has never been seen before to that extent. We need to explore the potential reasons that may have caused it.

Reasons:

Promotional Campaign: Any new promotions offered as part of marketing that is providing
1. $X coupon code for say walmart if you sign up for spotify.
2. Ad-free music for first $X months if you sign up for spotify
3. Free google home device if you sign up for spotify
4. Aggressive advertising: TV and online
5. New Consumes will get paid if they listen to X number of hours / week
Pricing change or bundling:
1. Any price reduction as part of the plans.
2. Any bundling discounts that if you bundle spotify with Disney+, you get 50% off. In this case we should also see a similar increase in Disney+ and the metrics would suggest the offers that have been redeemed
Major event: Music Partnership or IPO
1. New partnership with sony and warner music that enables consumers to listen to music from the studios under sony and warner umbrella
2. Top of the charts artists music is now available on Spotify
3. Spotify went with IPO increasing awareness funnel and thus installs
4. Exclusive partnership with new flagship android phones where spotify comes pre-installed and so people who buy these phones also signed up for spotify
5. COVID 19- People stuck at home, and exploring more music
New feature launched:
1. Offline in-app download of music that does not need internet
2. Live stream of music parties
3. Listen together
4. Create your own playlist
5. New voice enabled integrations launched with google home/ alexa
Competitor:
1. Promotions ends on Soundcloud or other competitors
2. Artists or influences moved from Soundcloud to spotify
3. BAD PR for soundcloud/amazon music/apple/you tube music
4. Technical glitch at competitors end pushing people to spotify
5. Gov. Regulations against competitor

I would look at the reasons in that order 1>5>3>4>2.

Total time: 30 mins. Please provide feedback. Thank you!