Evolution and Challenges of Premium Music Streaming Service: A Preliminary Perspective

Nur Idayu Roslan, Siti Zaleha Sahak, Nooraini Mohamad Sheriff


Music streaming represents one of the latest technological advancements that transform the way listeners incorporate music into their lives. Streaming services enable listeners to access a massive library of music for free or for a fixed monthly payment. Hence, the market consists of at least two groups of listeners. The first group is the freemium users: the listeners who use the free service. The second group is listeners who subscribe to premium music screaming; the group is known as the premium users. Online music streaming companies such as Spotify, Joox, iTunes, Google Music, and Apple Music offer freemium and premium streaming services. The reviewed literature indicates that the rise of music streaming and the market demand. However, this comes with an array of challenges that may potentially retard the growth of online music streaming nationwide. Among others are the consumption behavior and attitude towards premium subscriptions followed by an overwhelming use of free basic services that has impacted the industry's profitability. For instance, Spotify has over 60 million active users globally, yet only 15 million subscribed to the premium streaming service. This study will ascertain key challenges that may potentially slow down the growth of online music streaming in this country which otherwise may prove to be a potentially profit generating business for industry players.


Keywords: Music, streaming services, freemium, premium, subscription

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