The DPO of Swedish Spotify has gathered much attention in both Sweden and internationally.
The broad impact in Sweden is partly explained by Swedes’ great interest in digital media services. Mediavision finds that over 60 percent of Swedish households subscribe to at least one service for music or TV streaming. And among the streaming households, almost half subscribe to a music service, a high figure also internationally.
During today’s afternoon, the Swedish music streaming service Spotify is listed on the New York Stock Exchange. The DPO has gathered much interest both domestically and internationally. According to Swedish online stock broker Nordnet, 14 percent of Swedes are interested in investing in the Spotify share.
The great interest in Spotify among Swedes is partly explained by the country’s general interest in digital media. A grand total of 61 percent of Swedish households (15-74 years) subscribe to at least one service for music or TV streaming (Q4, 2017). Among these streaming households, 43 percent subscribe to a music service. Ie, 26 percent of all Swedish households subscribe to at least one music streaming service. This is high compared to other markets. In USA, 11 percent¹ subscribe to a service for streamed music.
At the same time, there are major differences between younger and older consumers. Among 15-34 year olds, approx 40 percent subscribe to streamed music while the equivalent figure is only 10 percent among older (55-74 year olds). It is likely that this pattern is reflected in different groups’ interest in today’s DPO.
“The great consumer interest in Sweden for digital media services naturally supports the interest for the Spotify DPO. Perhaps that’s a good starting point for the Spotify share to attract a broad group of investors domestically. But to become a long-term winner, it’s about how Spotify competes with global giants like Apple and Amazon. Another challenge is to attract more paying customers and especially in older age groups. Mediavision continues to follow the development with excitement,” said Marie Nilsson, CEO Mediavision.