Why Spotify flounders like a limp puppet in America
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| Is Spotify flapping about like this in America? |
The
music streaming service, Spotify, has botched its chance to dominate market
share in the USA, says the US Business Editor of Britain’s influential Daily
Telegraph, Katherine Rushton, from New York. When Spotify’s reclusive Swedish
founder, Daniel Ek, launched his product in 2006, she says, “(Music) industry
veterans and performers threw their support behind the service, hailing it as
revolutionary. Private investors were chomping at the bit to put their money
into the project.
music streaming service, Spotify, has botched its chance to dominate market
share in the USA, says the US Business Editor of Britain’s influential Daily
Telegraph, Katherine Rushton, from New York. When Spotify’s reclusive Swedish
founder, Daniel Ek, launched his product in 2006, she says, “(Music) industry
veterans and performers threw their support behind the service, hailing it as
revolutionary. Private investors were chomping at the bit to put their money
into the project.
“That was the point
when most American start-ups would have gone hell-for-leather, pouring
resources into international expansion; while also hiring a chief executive
with more appetite to be the frontman of the business. Unfortunately, it was
the point when Spotify stalled.”
when most American start-ups would have gone hell-for-leather, pouring
resources into international expansion; while also hiring a chief executive
with more appetite to be the frontman of the business. Unfortunately, it was
the point when Spotify stalled.”
While continuing to
expand into new territories (I use Spotify in London and my son swears by it in
Australia) Rushton says Spotify only dipped a toe rather than launching the
gung-ho marketing campaign needed to establish the service as truly mainstream.
expand into new territories (I use Spotify in London and my son swears by it in
Australia) Rushton says Spotify only dipped a toe rather than launching the
gung-ho marketing campaign needed to establish the service as truly mainstream.
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| Daniel Ek, Spotify’s reclusive founder, right |
“Several years after
launching in the US, the world’s largest music market,” she says, hitting the
nail on the head, “Spotify remains a niche product. Ordinary families in
suburban America are oblivious to its existence.”
launching in the US, the world’s largest music market,” she says, hitting the
nail on the head, “Spotify remains a niche product. Ordinary families in
suburban America are oblivious to its existence.”
Cashed up with almost
unrivalled brand recognition, Apple’s deal with Dr.
Dre and Beats Electronics will ensure Spotify remains a minor player.
unrivalled brand recognition, Apple’s deal with Dr.
Dre and Beats Electronics will ensure Spotify remains a minor player.
Says Rushton, “Compared with Apple, Spotify’s a
limp puppet.
limp puppet.
“Spotify’s best plan of
action is to sell and hope that, for the next brilliant technology platform
incubated in Europe, it can serve as a cautionary tale.”
action is to sell and hope that, for the next brilliant technology platform
incubated in Europe, it can serve as a cautionary tale.”
