Releasing new features to cater to the needs and preferences of premium subscribers is a great way for businesses to retain a competitive advantage and attract new users. Recently, music streaming service Spotify rolled out its artificial intelligence-powered DJ feature across 18 countries in Africa, making the feature available for premium South African users.
The new AI DJ feature provides an alternative and more personalized way of listening to music on the platform, using an AI-generated voice that speaks in between songs to provide facts to listeners about the music being played — just like a real DJ. Aside from the AI voice, the feature also uses the user’s listening data to automate playlists and share the relevant details with the listener.
This new AI DJ feature joins other features that have made Spotify a popular go-to and one of the top streaming platforms for music enthusiasts around the world. Spotify is also known for its automatically curated playlists based on user activity, which allows listeners to easily discover new music similar to their tastes.
Spotify’s market growth in Africa
Previously, the global VP for market growth at Spotify spoke about the company’s hopes to expand its growth. Gustav Gyllenhammar, who attended the Africa Tech Festival in 2022, explained that Africa is a key export region for the business’ market growth, citing Africa’s youthful demographic — the continent is home to the largest population of young people in the world — and the strong music culture.
Aside from new features and further investment to expand Spotify’s user base throughout Africa, Spotify debuted the $100,000 (R1.85 million) Africa Podcast Fund, which seeks to bolster the careers of podcast creators on the platform through financial grants, workshops, and networking opportunities. In the next five to ten years, Gyllenhammar is hopeful that Africa will become a significant part of Spotify’s 100 million-plus user base. In the meantime, the platform has invested in establishing a local team with team members from across the continent.
Currently, Africa is host to a wide choice of streaming options, including Google Play Music, Apple Music, Simfy Africa, and Deezer. However, Spotify remains the world’s biggest streaming music company, with more than 70 million paying customers, offering its users a range of music discovery tools.
Will this boost Spotify’s stock price?
Introducing new features can be a significant factor in a platform or business’ stock price movements. However, it’s important to note that stock prices are also affected by many other factors, ranging from market conditions and investor sentiment to other variables.
Recently, Spotify raised its subscription prices in countries around the world for the first time since its launch. The platform’s standard premium plan currently costs as much as its primary competitors — Amazon Music and Apple Music. Spotify’s stock price took a dip after the announcement, but the company is firm that this development will have minimal effect on its growth.
For those actively trading stocks, it can help to keep track of news and updates, such as new features, so that you can monitor price movements or fluctuations — whether a company is in big tech or big pharma. Individual tech stocks can also sometimes be affected by major players like Apple or Netflix. Other crucial updates to keep track of aside from feature roll-outs are company financial announcements. Keeping up with a stock company’s financial reports is essential to protect investments from possible market price gaps that usually occur following these announcements.
Of course, as music fans, it’s also useful to know the latest features on popular music streaming platforms like Spotify. When combined with some stock trading know-how, one might be able to find success in trading stocks to profit from gains and grow their net worth. While not all of us are professionally paid musicians, learning how to participate in the stock market may just lead the way to riches and a higher net worth.
