Spotify to Launch Super Premium Tier with AI-Powered Features and Concert Ticket Access

Spotify is reportedly working on a new super-premium tier called "Music Pro," offering enhanced features and experiences for its most dedicated fans, Bloomberg reports. This move, expected to launch later this year, marks Spotify's first major price differentiation strategy, offering a range of packages and plans tailored to different listener types.

The new Music Pro tier will cost an additional $5.99 per month on top of existing subscriptions. Pricing will vary by geography, with lower costs in less-developed markets. Key features will include higher-quality audio, AI-powered remixing tools, and access to exclusive presale concert tickets and premium seating.

Spotify's decision to introduce this premium tier stems from the company's desire to tap into the growing demand for enhanced features and experiences among its most loyal user base. The move also aligns with a broader industry trend toward more differentiated pricing models for streaming services, driven by slowing growth in major markets like the US.

"Having charged the same price for a large library of music in many major markets for most of its existence, Spotify management sees the opportunity to both raise prices and offer different packages and plans for different kinds of listeners, believing the most-ardent fans will pay more," Bloomberg reports.

While Spotify's core subscription model has remained relatively unchanged, the company has recently introduced price increases for existing subscribers and launched a new audiobook platform. These moves suggest a strategic shift towards a more tiered pricing structure.

Spotify's success in attracting new users from emerging markets, particularly in Asia, Latin America, and the Middle East, further underscores the company's commitment to global expansion and the potential of a premium tier to appeal to a broad audience.

"Streaming services and record labels both see an opportunity to target the most dedicated fans of musicians, consumers who spend on merchandise, concert tickets and fan clubs," Bloomberg notes. "While this more expensive offering won’t appeal to all users, the company believes it will attract millions of customers."

The development of Music Pro follows several years of internal work and negotiations with major music companies to secure necessary rights for new initiatives. The company is currently testing various approaches to selling concert tickets, including presale access and premium seating options.

While competitors like Apple Music and Amazon Music Unlimited already offer higher-quality audio, and services like Tidal and SoundCloud offer some remixing tools, Spotify's dominance in the audio streaming market – boasting 675 million users and over 250 million paying subscribers – positions it to potentially capture a significant portion of the market for premium music experiences.

Spotify plans to roll out Music Pro in phases, progressively adding new features and tools throughout the year. The company is currently experimenting with a variety of options, signaling a flexible and data-driven approach to the development and implementation of its new premium offering.