Sirius-owned Pandora has lengthy retained the highest spot as the preferred music streaming service within the US. But that may be altering quickly.
A brand new report from advertising analyst eMarketer means that Spotify will overtake Pandora as the preferred streaming service within the United States.
The similar advertising agency reported that the transition would occur in 2022 final yr, so that is bumping up the prediction by one yr.
Pandora is estimated to have 72.four million US listeners in 2019, down zero.5% when in comparison with 2018. Pandora has been the preferred music streaming service within the US since 2000, however Spotify has slowly been gaining customers.
Data from 2012 exhibits that Pandora had an estimated 67 million customers, whereas Spotify solely had round 5 million. Data means that Pandora’s consumer base already peaked round 2014, and can proceed to lose new customers to Spotify.
The information additionally signifies that by 2023, Pandora is prone to lose 9% of its present customers.
Analysts say Pandora’s losses are mainly the results of stiff competitors.
Apple has accomplished a superb job of changing iPhone customers to Apple Music, whereas Amazon Music has grown because of its sensible speaker dominance and Prime tie-ins. Spotify’s partnerships with firms like Samsung and Sonos have served to increase its consumer base as nicely.
By 2019, it’s estimated that Spotify can have 65.three million customers within the U.S., a 14% year-over-year progress. 2021 estimates put Spotify’s consumer complete at 73.7 million, which can surpass Pandora’s 72.2 million. Smart audio system and smartphones have been one of many main drivers of progress for Spotify’s platform.
Incidentally, Apple Music has already surpassed Spotify within the all necessary US-based subscriber class. Non-paying customers, against this, are far much less precious and coveted, although they’re nice for bragging rights.
Breaking it down on a state-by-state basis, you may see that Spotify is already the preferred streaming service in most states. Pandora reigns supreme in a lot of the South, Alaska, Hawaii, and a cluster of states up north.
Spotify will seemingly proceed leveraging partnerships with different firms to gasoline their progress. The firm has partnered with Samsung, Amazon, Google, and Hulu for bundled choices.