![]() In the meantime, Apple's happy to sit back and collect a take of the premium market while locking in its users to more Apple products.īoth companies are playing to their strengths. And that can produce meaningful high-margin revenue for the company that generated just 2 billion euros in gross profit in 2020. IHeartRadio had the highest pay-per-stream rate for Keating in 2019, at 0. Spotify has the potential to not only take a share of the market but also accelerate its growth with its technology. Podcast advertising is already a $1 billion industry in the U.S. In other words, it's an opportunity for Spotify to grow its share of podcast advertising revenue. Moreover, it presents an opportunity for Spotify to grow adoption of its streaming ad insertion technology, which enables more targeted dynamic ads in podcasts. More creators using anchor means more podcasts for Spotify listeners - both free and premium. How much does Spotify pay per stream Historically. And if someone is considering starting a podcast, the optionality of using Spotify's subscription tools makes Anchor an even more attractive option for getting started. The free version contains ads between groups of songs, whereas Spotify Premium is completely ad-free. While it'll eventually take a cut of subscription revenue, its main goal appears to be to attract top-quality podcasters to Anchor. Spotify's strategy is less straightforward.
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