Spotify raises price on US family premium plan, more plans in UK, Europe

The higher prices go into effect Friday; some current subscribers are getting one more month at the previous rates before a higher bill in June.

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Joan E. Solsman
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Spotify is raising prices on some of its premium subscriptions in the US, the UK and Europe, starting Friday. In the US, premium family plans are the only ones getting pricier, increasing $1 a month to $16 as of Friday. People currently subscribed to a family premium plan may get one additional month at the current $15 price before the increase goes into effect for their June billing cycle. 

In the UK, Spotify is raising the cost of its student, duo and family plans, with other plans going up in price in European countries as well. According to reports, prices are increasing by 1 to 2 British pounds and 1 to 3 euros per month, depending on the plan. 

Spotify confirmed the price increases in the US, the UK and select other markets. The company will report its quarterly earnings early Wednesday morning, when it is likely to address the price increases. 

"We offer a variety of subscription plans tailored to our users' needs, and we occasionally update our prices to reflect local macroeconomic factors and meet market demands while offering an unparalleled service," Spotify said in a statement. 

Spotify, the biggest streaming service by both listeners and subscribers, has a free tier supported by advertising that allows anyone to listen to music and podcasts free with restrictions, like blocking users from selecting specific tracks to hear on its phone app when you're on the go. But Spotify's various premium tiers remove those restrictions, while also stripping away all the ads. 

As the culture at large has shifted to streaming as the most common way people listen to tunes, Spotify and Apple Music emerged as the leaders in a race to dominate subscription music. Though Spotify remains the biggest streaming service by both listeners and subscribers, Apple Music has benefited from the popularity of the iPhone to recruit new members. 

Both price paid subscriptions for individuals at $10 a month -- pricing that has been the standard across the streaming landscape for year. Spotify's increase to its family plan would make it $1 pricier than Apple Music's family-sharing option. Other rivals like Pandora, Amazon Music Unlimited and Tidal all price their family plans at $15 a month, making Spotify the outlier among competitors. 

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