YouTube Music A Major Threat To Spotify
Latest research from Roy Morgan asserts YouTube Music is a major threat to Australia’s two most visited radio and music websites – Spotify and SoundCloud – with the potential to significantly shake up the market.
Roy Morgan CEO, Michele Levine, affirms despite Spotify and SoundCloud’s accumulated audience – 2.2 million and 1.3 million respectively – YouTube Music could soon topple their lead:
“… although Spotify and SoundCloud have stolen a march on competitors which include many of Australia’s leading radio stations, the biggest threat to their business model could well be YouTube Music which is set to challenge their leadership in the market head on in the future.”
Research reveals on average 5 million Australians visit radio and music sites every month, however, over 15.2 million visit YouTube in the same period.
“Over 15.2 million Australians visit YouTube in an average four weeks – over three times the size of the combined radio and music site market at present,” adds Levine.
“Unsurprisingly given the size of YouTube’s audience there is a huge cross-over between those who visit YouTube and visitors to leading music and radio sites such as Spotify, SoundCloud, Triple M, Apple Music and Nova FM.”
Over 95% of Spotify’s users also visit YouTube, which further enhances the threat YouTube Music poses. The figure is “well over” 90% for Apple Music and SoundCloud.
As previously reported, its expected Google Play Music will ‘merge’ with the new YouTube Music.
Launched in Australia last week, YouTube Music Premium comes in a free-ad supported version, or an ad-free paid version for $11.99/month. Users benefit from a free three month trial.
A family plan is also available for $17.99/month (up to six members).
Alternatively, YouTube Music Premium is bundled free with ‘YouTube Premium’, for $14.99/month. Users receive access to YouTube Original content plus more.
According to Roy Morgan, Apple Music and Google Play Music currently have under 400,000 visitors per month.