Spotify to increase premium subscription price in select markets from September

New Delhi: Spotify will raise the monthly price of its premium individual subscription in select markets starting September, as the company seeks to improve margins, Reuters reported.

The subscription fee will increase from €10.99 to €11.99 ($13.86) per month across regions including South Asia, the Middle East, Africa, Europe, Latin America, and Asia-Pacific. Subscribers will be notified via email over the next month.

Shares of the Swedish streaming company rose nearly 8% following the announcement. The stock has gained approximately 40% so far in 2025.

According to Reuters, previous price hikes, combined with recent cost-cutting measures, helped Spotify achieve its first annual profit in 2024. The company also recorded growth in both monthly active users and premium subscribers during the second quarter. However, higher taxes related to employee salaries contributed to a loss for the period and impacted its third-quarter profit forecast.

Spotify has been expanding its video content offering to attract and retain subscribers, in part through its Partner Program, which provides monetisation tools for podcast creators.

“A growing number of creators are joining the Spotify Partner Program, resulting in a significant increase in video content on the platform,” CEO Daniel Ek told Reuters.

The platform is also expected to benefit from a recent development in the United States, where Apple approved Spotify’s app update allowing the display of subscription prices and links to external payment options. This followed a court ruling preventing Apple from charging commissions on off-app transactions.

Ek said the update led to “a very positive uptick” in the U.S. and added, “If similar rules are adopted in Europe and the UK, it would benefit both Spotify and other app developers.”