Spotify Technology SA (NYSE: SPOT) is the leading on-demand music streaming company today, with more than 1 billion app downloads on Google Play alone. The Sweden-based company was founded in 2006 by Daniel Ek and Martin Lorentzon, and has seen remarkable growth in the past few years as it expands across the globe.
Although it dominates the music streaming industry, Spotify faces tough competition when it comes to attracting, engaging and retaining users. The Sweden-based company’s top global competitors include Apple Inc. (NASDAQ: AAPL), Amazon Inc. (NASDAQ: AMZN) and Alphabet Inc. (NASDAQ: GOOGL)’s Google, all of which are leveraging their extensive reach and financial muscle to carve a bigger chunk of the market from Spotify.
However, 40+ Spotify statistics suggest further growth and potential for greater revenue and market performance could see the company continue to dominate the industry.
Find out more in this article, starting with our pick of the top Spotify facts and statistics 2022 below.
Spotify facts and stats – Editor’s pick
- Spotify is the number one music streaming site, with more than 1 billion app downloads on Google Play.
- There were 456 million monthly active users on Spotify as of September 2022, with growth expected to push MAUs to over 479 million by the end of 2022.
- SPOT stock went live on the New York Stock Exchange on 3 April 2018 via a Direct Listing. The IPO share price of $165.90 valued the company at $29.5 billion
- Companiesmarketcap currently ranks Spotify as the 1,050th most valuable company in the world with a market cap just above $15 billion as of December 2022.
- The Spotify stock hit an all-time high of $364.5 per share in February 2021, and an all-time low of $69.28 in November 2022.
- Spotify makes about 4.52 euros, or $4.71 from each premium account user in 2022, up from an average of €4.25 ($4.43) in 2021.
Spotify company overview, facts and trends
1. Spotify Technologies SA was founded in 2006
Daniel Ek and Martin Lorentzon founded Spotify in 2006 in Sweden. Despite the early threat to the business from established names such as Apple and Amazon, the music streaming company has grown to command nearly a third of the market share as of 2022.
2. Spotify is available in more than 180 countries
Expansion efforts, including across more than 80 new markets in early 2020 has seen Spotify reach users in 184 countries.
3. Over 9,800 people are employed by Spotify as of 2022
Spotify employees’ total count shot up by over 81% in 2021 to reach 6,617 and then grew to over 8,000 by March 2022. As of 30 September 2022, the company’s employee number worldwide was 9,808, despite plans to slow down on hiring by 25% as revealed in June.
4. Spotify has a leading 31% market share in music streaming
Spotify is the #1 music app on App Store and takes up 31% of the music and video streaming market worldwide. The app leads Apple Music (15%), Amazon Music (13%), Tencent Music (13%), and YouTube Music (8%). The Spotify: Music, Podcasts, Lit app first released in May 2014 has seen over a billion downloads on Google Play.
5. There are more than 82 million tracks on Spotify
As the number one music streaming app in the world, Spotify has seen the number of songs uploaded increase rapidly over the last few years. As of November 2022, there were more than 82 million tracks on the platform.
6. An average of 1.8 million songs are uploaded on Spotify every month
Over 1,800,000 songs are uploaded to Spotify every month, with an average of 60,000 sent to the streaming giant every single day.
7. There are over 4 billion playlists on Spotify
Spotify has over 4 billion playlists, variously curated to suit user preferences based on factors like age, gender, and theme. Spotify offers all types of songs, making it suitable for all kinds of users.
8. There are over 4.7 million podcasts on Spotify
There were more than 4.7 million podcasts on the Spotify podcast in 2022, with the increasing monthly active users and popularity of podcasting seeing a double-digit jump in creators.
9. Spotify has raised $2.1 billion over 18 rounds
Spotify closed its latest funding round on 25 February, with the Sweden-based company’s total funding rising to $2.1 billion over 18 financing rounds.
10. Spotify has acquired 27 companies/platforms
The last few years have seen Spotify consolidate its presence in the music streaming market with critical acquisitions. So far, the company has completed deals for 24 different companies and platforms within the industry, including Anchor FM for $166.3 million, Gimlet Media for $201.3 million, Megaphone for $238.44 million and Whooshkaa for $235 million. The latest acquisition was Kinzen, which was completed on 5 October 2022.
11. FC Barcelona agreed a €280 million deal with Spotify in 2022
Spanish soccer giants FC Barcelona signed a €280 ($309) million sponsorship deal with Spotify. The multi-year deal saw Spotify become FC Barcelona’s main shirt sponsor and gave the audio streaming giant the naming rights for the legendary Camp Nou stadium.
Spotify stock market statistics
12. Spotify’s stock debut in April 2018 was the first ever Direct Listing on the NYSE
Spotify Technology SA made its stock market debut via a direct listing. The company’s shares were listed for trading on the New York Stock Exchange on 3 April, 2018 at the share price of $ $165.90 for a valuation of $29.5 billion. Following Spotify’s successful IPO in 2018, Slack went public via Direct Listing in 2019. ZipRecruiter Inc. (NYSE: ZIP) and Roblox Corporation (NYSE: RBLX) also took the same approach.
13. Spotify has a market cap of $15.2 billion
As of 27 December 2022, Spotify has a market capitalization of $15.2 billion, which ranks the company as the world’s 1050th largest by market cap according to Companiesmarketcap. The Sweden-based company’s market cap was around $23 billion in March 2022 with Spotify ranked the world’s 759th most valuable company by market cap.
14. 30 million shares were traded on Spotify’s first trading session
A highly anticipated SPOT stock debut saw nearly 30 million shares change hands during Spotify’s first trading session. At the time, around 178 million, or about 91% of Spotify shares were tradable on the first day, a greater percentage than what’s seen during typical traditional IPOs.
15. Spotify has 192,948,032 shares outstanding as of 2022
As per Spotify’s latest financial reports, the total shares outstanding as of December 2022 was 193,077,334. The company’s total shares outstanding was put at 192,948,032 by the end of 2022.
16. The Spotify stock price rose to an all-time high of $364.5 in 2021
On February 19, 2021, Spotify stock price rose to an all-time high of $364.5 amid a bull market that also saw the S&P 500 rise to an all-time high. However, the bear market of 2022 has decimated stocks, and one can now buy Spotify shares at around $78 as of December 2022.
17. Spotify’s stock price has declined 68% year-to-date
After a brutal bear market for stocks, the SPOT price has declined nearly 68% as of 27 December 2022. At current prices, Spotify shares are more than 46% down since its IPO in April 2018.
18. The Spotify stock touched the all-time low of $69.28 on 4 November 2022
The SPOT share price closed at $71.05 on 4 November 2022, after briefly falling to a 52-week low of $69.28 in intraday action. Despite this, a bear rally for the stock market in November helped push the Spotify stock price to highs of $85.11 on 15 November. The stock’s price is however more than 46% down on its debut closing price in April 2018.
Spotify revenue statistics
Spotify offers its service across two models: a premium membership where subscribers pay a fee to access uninterrupted content and an ad-supported model where content is punctuated with ads or commercials. Advertiser’s pay to reach users, more like on traditional radio. The largest percentage of Spotify’s revenue is from premium subscriptions.
19. Spotify’s generated more than $11 billion in revenue in 2021
Spotify generated 9.668 billion euros ($11.23 billion) in revenue in 2021, up from 7.880 billion euros ($9.15 billion) in 2020 and 6.764 billion euros ($7.56 billion) in 2019. According to the company’s latest financial documents, the company’s revenue for the nine months ending September 30, 2022 was 8.561 billion euros (about $8.92 billion), while trailing twelve month revenue stood at $11.99 billion (as of 27 December 2022).
20. Spotify generated $3.16 billion in Q3 2022
In Q3 2022, Spotify generated just over 3 billion euros (approximately $3.16), compared to 2.5 billion euros ($2.6 billion) during the same quarter in 2021. In this, premium revenue accounted for 2.7 billion euros while Ad-supported revenue made up 385 million euros. The largest segment in the ads revenue section was Podcasting.
21. 88% of Spotify revenue is from premium subscription
Most of Spotify’s revenue comes from its premium subscribers, with the latest financial records showing premium revenue accounted for 88% of total revenue as of September 30, 2022. Premium revenue increased 22% or by €1.36 billion (roughly $1.43 billion) in the nine months ending September 30, 2022. Total premium revenue by end of Q3 was 7.534 billion euros (about $7.85 billion) compared to 6.165 billion euros ($6.42 billion) in the nine months to the corresponding quarter a year ago.
22. Spotify generated $1.26 billion from ads in 2021
In 2021, ad-supported users helped generate €1.208 billion ($1.26 billion) for Spotify, up from €745 million ($775 million) in 2020.
23. More than 38% of Spotify’s 2021 revenue was generated in the US
According to Spotify financial records for 2021, the company generated €3.692 billion (over $3.8 billion) in the United States. With Spotify revenue in 2021 at €9.668 billion, the US market accounted for over 38% of total revenue.
24. Spotify has averaged €200 million in positive Free Cash Flow for the past three years
Although the range of Free Cash Flow fluctuates from quarter to quarter, Spotify has averaged more than €200 million ($208 million) of positive Free Cash Flow on a trailing twelve month period since 2019.
25. Spotify made €4.52 from each Premium user in 2022
Spotify’s average revenue per user (ARPU) in Q3 was €4.63 ($4.82), an amount the company made from each premium account. According to the company, premium ARPU over the nine months ending September 30, 2022 was €4.52 ($4.71), up from €4.25 ($4.43) in 2021.
Spotify user statistics
26. Spotify has more than 195 million premium subscribers worldwide
Spotify makes most of its money from its premium subscribers and as of Q3 2022, the platform’s premium user base had increased to 195 million premium. The total premium user number increased by 1 million more than projected, illustrating the potential for further growth – particularly in LATAM.
27. Spotify had 456 million monthly active users (MAUs) as of October 2022
Monthly active users (MAUs) is a key performance indicator for Spotify and is the total count of the audience who engage with the service over the month. MAUs include both Ad-supported users and premium subscribers who access content for more than zero milliseconds in the indicated thirty days. As of September 30, there were 456 million monthly active users on Spotify, with the figure representing a 20% Y/Y growth from 381 million in Q3 2021.
28. Spotify added a record 23 million monthly active users in Q3 2022, despite exiting Russia earlier in the year
23 million more users accessed Spotify in the three months ending September 30, 2022, the largest quarterly increase over the quarter in Spotify’s history. This came even with the company’s exit from Russia following sanctions over Russia’s invasion of Ukraine.
29. Spotify’s monthly active users were projected to hit 479 million by end of 2022
As well as Q3 2022, Spotify projected a net growth of 23 million in its monthly active users in Q4 2022. That forecast put the total MAUs at 479 million at the end of December 31, 2022.
30. 273 million of Spotify users are ad-supported
Spotify’s ad-supported user base grew by 24% in 2022 to 273 million, up from 220 million in 2021. Therefore, Spotify added 50 million more ad-supported users in the past year.
31. Spotify’s premium users are expected to grow by 7 million to 202 million by end of 2022
While Spotify reported 195 premium subscribers in its Q3 financial report, the company expects the number to grow another 7 million to 202 million by the end of 2022. Comparably, premium users grew 13% year-on-year in Q3 2022 to 195 million, up from 172 million.
32. An average of 15 million people access Spotify every day
Spotify records an average of 15 million users every day, with 44% of users using the streaming service at least once every day. Across regions, North America leads, with second-highest average daily usage in Europe.
33. Spotify users streamed 110 billion hours of content in 2021 despite COVID-19 disruption
The COVID-19 pandemic disruption did not impact Spotify users shown in the company’s financial records filed in earlier 2022. As of 31 December 2021, both premium and ad-supported users had streamed over 110 billion hours of content, up 20% on total hours streamed in 2020.
34. 56% of Spotify users are male
A slight majority of Spotify users are male, with data showing males account for 56% of users. As of December 2022, females accounted for 44% of the user base.
35. Europe accounts for 33% of Spotify’s monthly active listeners
Europe has 136 million Spotify monthly active users, accounting for 33% of MAUs globally. North America, in this case the United States and Canada, has the second-highest number of monthly active users at 23% share while Latin America and the rest of the world account for 21% and 22% respectively.
36. About 39% of Spotify’s premium users are from Europe
Like the monthly active users, Europe accounts for the highest percentage of premium subscribers. According to the latest details, 39% of premium users were from Europe. North America consisted of 28%, Latin America comprised 21% and the rest of the world accounted for 12%.
37. Millennials account for 29% of Spotify users
While people from all ages use Spotify, data shows that the biggest chunk is millennials. According to the latest statistics, 29% of the platform’s users are within the 25-34 year age bracket while 26% fall in the 18-24 years age group.
Spotify artist facts and stats
38. The Spotify app supports more than 11 million artists
Popularity has seen most of the world’s most celebrated music artists put their songs on Spotify. Currently, the platform has an estimated 11 million artists worldwide.
39. Ed Sheeran’s “Shape of You” has hit 3.3 billion streams, currently the most streamed song on Spotify
Ed Sheeran’s “Shape of You” hit has been streamed more than 3.3 billion times as of December 2022, ranking as the all-time most streamed track on Spotify. Ed Sheeran is also currently the most followed artist on Spotify at over 105 million users and tops the list of most followed artists on Spotify ahead of Ariana Grande (over 85 million), Billie Eilish (72 million) Drake (69 million) and Justin Bieber (67 million).
40. Spotify paid over $7 billion in royalties to artists in 2021
The music streaming giant paid a staggering $7 billion to artists in 2021, the most a music streaming platform has ever paid in a single year. According to Spotify, every song that plays on the platform earns its rightsholder royalties – be it from the premium or ad-supported service. As of the end of 2021, Spotify had paid more than 28.7 billion euros ($30 billion) in royalties since its launch.
41. Artists earn $0.003-$0.005 per stream on Spotify
The pay per stream on Spotify was between $0.003 and $0.005 per stream, with artists earning an average of $3.00 to $5.40 per 1000 streams.
42. More than 1,000 artists earned $1M or more from Spotify royalties in 2021
The number of artists who earned money from royalties on Spotify grew in 2021, with more than 1000 pocketing over $1 million in 2021. The number who earned more than $10,000 also grew to 50,000 artists in that bumper year.
Spotify statistics: Conclusion
Spotify’s music streaming service currently ranks ahead of Apple, Amazon and Tencent – all services from global companies. Despite the competition, Spotify has seen its user base grow significantly over the past year. Monthly active users surpassed 456 million and premium subscribers hit 195 million in Q3, 2022, while revenue rose to over 3 billion euros in the same quarter for a 21% year-on-year growth.
In the market, the Spotify stock has traded lower amid the 2022 bear market. As of 2nd December, the Spotify stock is trading around $79.45, which puts its price nearly 68% down year-to-date. However, the SPOT share price climbed more than 5% in November and is likely to be attractive to investors going into 2023 given Spotify’s growth outlook.
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