ABUJA / LAGOS – August 5, 2025 — Spotify has announced that beginning in September 2025, its Premium Individual subscription in Nigeria, along with more than 60 other countries in Africa, South Asia, the Middle East, Europe, Latin America, and the Asia‑Pacific, will rise by €1 per month, increasing from €10.99 to €11.99 (approximately ₦19,344 to ₦21,105 based on current exchange rates) .
📈 Rationale Behind the Price Increase
Spotify justifies the revision as essential for sustaining product innovation, enhancing user experience, and supporting new features such as AI‑powered playlists, expanded audiobook offerings, and improved podcast monetization tools .
Despite strong growth in premium users and revenue, Spotify has continued to struggle with consistent profitability—a key motivator for boosting margins .
🧾 What Users Need to Know
- The adjustment kicks in with the first billing cycle in September. Subscribers will receive notification emails detailing the change during the coming weeks .
- The increase represents an approximate 9.1% hike for Nigerian users, in line with company-wide efforts to raise average revenue per user (ARPU) .
📊 Financial and Market Reaction
Latest reports show Spotify’s stock rose roughly 3% pre-market, contributing to a 40% gain year-to-date as investors responded positively to this move toward improved financial discipline . With premium revenue growing by approximately 16% year-on-year in Q1 2025, the price hike comes amid a strategic pivot toward sustainable monetization .
🌍 Broader Implications
- This is Spotify’s second global price increase since 2023, reinforcing a trend of balancing global subscriber growth with profitability goals.
- The coordinated roll-out across multiple global regions demonstrates Spotify’s push to standardize pricing while considering local economic conditions and competitive pressures from platforms like Apple Music and Amazon Music