On-demand video service Discovery+ is now more expensive in the US.
The platform, which offers a catalog of more than 70,000 “real life” TV shows, will start charging subscribers from today (January 7) $9.99 per month Get an ad-free experience. (Those who are happy to view ads can pay $5.99 per month For ad-supported layers.
Discovery+, part of Warner Bros. Discovery, launching in 2021 $6.99 No advertising price points per month. The price was previously raised in 2023 to $8.99 per month.
These are all related to music industrycertainly. Except…it also kinda looks like that.
we only focus on Spotify One second. this Daniel Eklund The service has been launched in the United States for nearly 14 years Since its launch in July 2011.
However, in the past ten and a half years, point only improved its Senior Individual Twice the price:
- exist 2023the same year Discovery+ raised its price $2 Spotify raises prices every month $1 Monthly – from $9.99 pm arrive $10.99 pm;
- Then, in 2024Spotify further increased this price by $1 $11.99 pm. (This “Premium Individual” tier now includes audiobooks and music, a “bundle” product that Spotify uses to reduce the percentage of revenue it pays mechanical royalties to U.S. songwriters.)
In the TV and movie world, prices for a range of subscription streaming services have risen several times in recent years, fueling subscriber appetite. monthly fee up.
For example: Netflix Increased U.S. subscription prices for its “Standard” streaming tier six times Since its launch in 2011 (the same year Spotify entered the US). Need to spend now $15.49 per month.
In other words, Netflix “standard” subscribers in the U.S. will pay $42 more per year Today than Spotify’s Personal Premium subscription (priced at $11.99 per month).
Also, ad-free Personal Premium monthly subscription Disney+ will make you flinch $15.99 in America today.
that is more than twice price disney The service launched in 2019 for a fee… $6.99 per month.
the following, MBW A chart has been compiled showing the timetable for price increases in different regions on demand video on demand (subscription video on demand) services over the past decade.
You can see how it would make some figures in the music industry speak out Spotify et al. emulate…
exist audiovisual worldthey have a name for the above phenomenon–competitor platforms constantly raise prices, incentivizing competitors to do the same.
they call it flow inflation.
This obviously refers to the elephant in the room: the negative impact of monetary inflation The “real value” of every dollar spent by U.S. consumers.
Case in point: $9.99 You need to pay to subscribe Spotify When it launched in the U.S. in the summer of 2011, it was worth today… $13.96 (Source: U.S. Consumer Price Index.)
Therefore, Spotify’s current “Premium individual” price ($11.99 pm) didn’t keep up at all inflation price since the service launched in the United States.
Will SVOD “Flow Inflation” Increasing trends in service prices, e.g. Discover+ Is Spotify and its music rivals now incentivized to raise prices again in 2025?
I can’t even open my eyes…global music business
