Spotify —A Case Study

Daniel Williams
11 min readNov 9, 2023

I undertook a comprehensive case study focusing on Spotify, the renowned music streaming platform. With a specific focus on the Nigerian market, my primary goal was to pinpoint and explore untapped opportunities for the platform. I am eager to present my distinctive approach to conceptualizing and implementing new products or features, providing a clear and transparent overview of my methodology.

Understanding Spotify

Upon immersing myself in my favourite artist’s latest album, “Live from San Francisco” by Passenger, I imagined I was a product manager on Spotify’s team entrusted with uncovering new opportunities and amplifying Spotify’s value. To embark on this endeavour, my initial focus was to grasp Spotify’s mission and current standing. Furthermore, I highlighted specific phrases that captured my attention, enabling a more comprehensive exploration of potential strategies.

  • Spotify is on a mission is to unlock the potential of human creativity — by giving a million creative artists the opportunity to live off their art and billions of fans the opportunity to enjoy and be inspired by it.
  • It is mostly free and has a premium subscription that offers user a personalized music experience based on their taste (with no Ads)
  • It is available in 178 markets and has over 406 million monthly active users (MAUs) and 182 million premium subscribers as of March 2023
  • High-Level Features

. Access to millions of songs

–Spotify has a massive library of music, including songs from all genres and decades.

–You can find just about any song you’re looking for, and you can also discover new music based on your listening habits

  • Create and share playlists

–Spotify makes it easy to create and share playlists with your friends.

–You can create playlists based on your mood, genre, or any other criteria you like.

–You can also follow your friends’ playlists to see what they are listening to.

  • Personalized recommendations

–Spotify uses machine learning to recommend songs and playlists that you might like.

–The more you listen, the better Spotify gets at recommending music that you’ll enjoy.

  • Ad-free listening

–Spotify Premium subscribers can listen to music without ads.

–This is a great way to enjoy your music without interruptions.

  • High-quality audio

–Spotify Premium subscribers can listen to music in high-quality audio.

–This gives you the best possible listening experience.

  • Download music for offline listening

–Spotify Premium subscribers can download music to their devices for offline listening.

–This is great for listening to music when you don’t have an internet connection.

  • Spotify Connect

–Spotify Connect allows you to control Spotify from any device.

–You can start a song on your phone and then continue listening to it on your computer or TV.

Opportunity Focus

This case study focuses on the Nigerian online streaming market:

On February 23, 2021, the world’s largest streaming service announced that it had launched in Africa’s largest economy and the world’s most populous black nation, Nigeria.

Statistically, Nigeria is the poverty capital of the world, where the average person lives below $ 1 a day, and access to the internet is costly for Nigerians. Even though internet penetration hit around 62% in Africa in 2020, according to GetdotAfrica Newsletter, it’s still some way off the global benchmark of around 75%. Spotify understands this and has targeted a unique segment in Nigeria; Students across various tertiary institutions in Nigeria.

For the rest of the case study, my primary focus will be on how Spotify can enhance the experience for Student Artists while simultaneously increasing the number of student subscribers. By tailoring unique experiences specifically for Student Artists, Spotify can tap into the untapped potential of upcoming and underground talents within the student community. Moreover, this approach will allow millions of Nigerian students to discover and enjoy exceptional music. I anticipate that Spotify’s revenue could potentially see a significant boost of up to 20%. This growth will be driven by the increased engagement and loyalty of student subscribers and the discovery and promotion of talented Student Artists.

Key Assumptions:

  • Student Artists want more students to listen to them
  • Students support each other
  • Students makeup to 40% of Spotify’s revenue from Nigeria
  • Nigerian students who stream music are open to receiving incentives for streaming

Initial Research

Because I am not working at Spotify(yet), I lack the opportunity to gather insights from other stakeholders and team members, which would greatly enrich this process. However, I recognize the value of external perspectives and have sought alternative sources of insight. To complement my efforts, I engaged in discussions with friends who are avid Spotify users.

Additionally, I had the privilege of conversing with Student Artiste representatives from FUTA, UNILAG, and FUNAAB. As a result, I have formulated a select set of questions to exemplify the areas I aim to address. By doing so, I aim to uncover additional pain points surrounding the focal topic, ultimately enhancing the overall understanding of the subject matter.

How popular is your music across your campus;

  • Student Artists generally have limited popularity on campus initially, with only a few managing to build a strong fan base.
  • Balancing academics with music is often a challenging task for Student artists.
  • Some Student Artistes believe signing with a record label would significantly improve their fan base and overall recognition.

How often do you stream music online?

  • Streaming frequency varies among students, with some opting to download music from third-party sites instead.
  • Limited access to mobile data prevents some students from streaming music online.
  • Many students enjoy streaming music due to the personalized experience it provides.

How often do you subscribe to premium versions of streaming platforms?

  • Inconsistent subscription: Some students may subscribe to premium versions of streaming platforms irregularly.
  • Regular subscription: Other students never miss subscribing and consistently maintain premium memberships.
  • Perceived value: However, there are also students who do not see the value in subscribing to premium versions and may choose not to do so.

Brainstorming Solutions

After gathering additional perspectives, I have thoroughly reviewed all my previous notes to ensure a clear understanding. Now, it is time to engage in a brainstorming session to generate potential solutions.

At this stage, I anticipate these solutions to be high-level and not fully developed, serving as a starting point for further exploration and refinement.

CAMPUS X

  • Campus X is an exciting proposed feature designed to empower student artists on Spotify, the world’s leading music streaming platform. It aims to provide a dedicated space where student musicians can showcase their unreleased songs, connect with their peers, and gain recognition for their talent. Here’s how Campus X would enhance the student artist experience on Spotify:
  • Amplify Your Music: Campus X aligns with Spotify goals that enables artists( student or not) to upload their unreleased songs directly to Spotify, allowing them to reach a global audience and share their music with millions of listeners.
  • Peer Support and Collaboration: Through Campus X, student artists can connect with fellow musicians, exchange feedback, and collaborate on creative projects. This fosters a vibrant community where students can inspire and learn from one another.
  • Upvote and Ranking System: To highlight exceptional talent, Campus X incorporates an upvoting and ranking system. Spotify users, including students and music enthusiasts, can upvote their favorite student artists’ songs, helping them gain visibility and recognition within the Campus X community.
  • Premium Accounts with Exclusive Benefits: Campus X offers premium accounts tailored specifically for student artists. These premium users gain access to advanced features, such as enhanced promotion opportunities, personalized artist profiles, and detailed analytics to track their music’s performance.
  • Showcasing the Best: Campus X periodically features the top-ranked student artists on Spotify’s curated playlists and recommendation algorithms. This exposes their music to a wider audience and increases their chances of discovery by music industry professionals and fans alike.
  • Mentorship from Music Industry Experts: As an additional incentive, Campus X provides the top-performing student artists with exclusive mentorship opportunities. These one-on-one sessions with music industry experts offer guidance, career advice, and networking opportunities, helping students navigate the music industry and take their artistry to new heights.
  • Campus X on Spotify aims to transfrom the way student artists are discovered, supported, and nurtured. By leveraging Spotify’s extensive reach and resources, it provides an invaluable platform for emerging talent to thrive and make their mark in the music industry.

Spotify Coins

Spotify Coins is an exciting feature that aims to gamify the music streaming experience while providing an incentive for non-premium subscribers to upgrade to premium. This initiative rewards premium listeners with virtual currency, called “Spotify Coins,” for listening periods, genre streaks, music quiz and predicting songs that will trend among five random songs generated by an algorithm every month. Here’s how Spotify Coins enhances the streaming experience and encourages subscription upgrades:

  • Gamification of Music Streams: Spotify Coins enhances the music streaming platform by introducing a captivating and interactive element. Through engaging gaming activities, users can embark on a thrilling journey that tests their musical intuition and allows them to compete against fellow listeners, adding an exciting dimension to their overall experience.
  • Rewarding Premium Subscribers: Spotify Coins is exclusively available to premium subscribers, giving them an additional benefit for their subscription. This incentive encourages free users to upgrade their accounts to premium, unlocking a range of exclusive features and privileges.
  • Predicting Trending Songs: Users participating in the Spotify Coins game are presented with five randomly selected songs generated by an algorithm. Their task is to predict which songs are likely to trend based on their knowledge, intuition, and the current music landscape.
  • As music enthusiasts, they are motivated to participate in genre streaks on Spotify Coins, seeking to challenge themselves and explore various music genres. By committing to consecutive days of listening within a specific genre, they aim to broaden their musical horizons and earn rewards for their dedication to maintaining the streak. This experience allows them to delve into different genres, expanding their musical knowledge and appreciation.
  • As music lovers, they derive enjoyment from testing their music knowledge and actively participating in music quizzes available on Spotify Coins. They find excitement in competing against other users, aiming to answer trivia questions correctly and swiftly. By showcasing their accuracy and speed, they strive to earn rewards offered through the quizzes, adding an extra layer of motivation and satisfaction to their music streaming experience.
  • As dedicated listeners, they value recognition for their unwavering engagement on Spotify Coins. They seek to earn rewards for their consistent listening periods, as it serves as an encouragement to continue exploring new music and maintaining an active presence on the platform. By being rewarded for their commitment, they feel motivated to enhance their music discovery journey further and deepen their connection with the vast library of songs available on Spotify.

Next Steps Explained

I prioritize Spotify Coins as a high-impact and cost-effective feature over Campus X due to its minimal dependencies on external factors and network effects. By estimating its potential, I recognize that implementing Spotify Coins can bring significant value to our platform without incurring substantial costs or relying heavily on external factors. Therefore, I consider it a top priority compared to Campus X in terms of delivering an impactful feature to our users.

Spotify Coins brings an exciting game-like dimension to the streaming experience, making it even more engaging and rewarding for premium subscribers. By incentivizing accurate song predictions, this feature encourages non-premium users to upgrade their accounts, unlocking a world of enhanced benefits and exclusive content.

I want to pause for a moment and plan my next steps for implementing Spotify Coins. Firstly, I need to dive deeper into understanding the different users who utilize Spotify. I already have some initial assumptions about the relevant user groups, so I’ll jot down some notes to solidify my understanding. Additionally, I want to develop a clearer persona of the users, especially those who are interested in education or seeking to educate others on the platform.

After gaining a deeper understanding of the users, it’s essential to clarify the product and company goals for this Spotify Coins feature. I’ll also take into account any constraints or limitations that might impact the project.

Once I have a clear direction, I’ll evaluate the potential solutions generated during our brainstorming sessions. I’ll rank these solutions based on factors like difficulty, value, and risk. My objective is to focus on a single solution that enhances the educational features within Spotify and contributes to the growth of the community. This solution will form the basis for a testable hypothesis.

With a defined solution in mind, I want to create a couple of realistic user stories to better understand how users would interact with the Spotify Coins feature. These stories will help me identify the needs, motivations, and expectations of our target users.

Next, I’ll collaborate with a Product Designer or a similar role to outline the requirements for the product. We’ll review the user stories together and translate them into Design Requirements, which will define the look, feel, and functionality of the Spotify Coins feature. If visuals are required, I’ll either work with a designer or rapidly wireframe concepts on my own to visualize how they might play out. I’ll iterate on these wireframes quickly until I have something implementable.

To ensure a smooth implementation, I’ll also consult with an engineering lead to write Technical Requirements that outline the necessary technical specifications.

By following these steps, I can systematically progress from understanding our users and goals to defining clear requirements and visualizing the implementation of the Spotify Coins feature. This iterative approach ensures that I consider various perspectives and continuously refine my ideas, leading to a well-defined and implementable feature.

Conclusion

In conclusion, this case study focused on Spotify, the leading music streaming platform, with a specific focus on the Nigerian market. Throughout the study, I aimed to identify untapped opportunities and propose innovative solutions to enhance the Spotify experience for both student artists and listeners.

By immersing myself in Spotify’s mission and understanding its current features, I gained a comprehensive overview of the platform. Leveraging this knowledge, I explored the potential of two distinct features: Campus X and Spotify Coins.

Campus X is a proposed feature that empowers student artists by providing them with a dedicated space to showcase their music, connect with peers, and gain recognition. With tailored premium accounts, mentorship opportunities, and curated playlists, Campus X aims to nurture and amplify student talent within the Spotify community.

Spotify Coins, on the other hand, introduces gamification to the platform by rewarding premium subscribers with virtual currency for accurately predicting trending songs. This feature adds an interactive element to the streaming experience and incentivises non-premium users to upgrade their accounts, unlocking exclusive benefits.

After a thorough brainstorming session and considering potential solutions, I prioritise Spotify Coins as a high-impact, low-cost feature. Its engaging nature and reward system make it an enticing proposition to increase subscription upgrades and enhance user satisfaction.

Moving forward, my next steps involve understanding the diverse user groups on Spotify, refining the personas, and aligning the feature with product and company goals. I will evaluate potential solutions, define user stories, collaborate with a Product Designer and an engineering lead to outline design and technical requirements, and iterate on wireframes until a viable implementation plan is established.

By following this systematic approach, I ensure that the proposed features align with user needs, company objectives, and technical feasibility. This approach fosters innovation, promotes user engagement, and contributes to the growth of the Spotify platform.

In conclusion, the implementation of features like Campus X and Spotify Coins has the potential to transform the Spotify experience, empower student artists, and drive increased subscriber engagement in the Nigerian market.

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Daniel Williams

I write about products, content, and my experience of mortality.