Amazon Music is still relatively new in the music streaming market, but they’re showing incredible growth in their short time around.
The streaming service has only been around since 2016, and while many see them as another Spotify clone, the service has seen huge growth over their competition.
Shortly after Amazon got Taylor Swift, SZA and Dua Lipa to perform in light of their annual Prime Day sale, the Financial Times is reporting the number of subscribers to Amazon Music Unlimited has grown 70 percent in the last year.
In contrast, Spotify currently dominates the market in overall subscribers but their growth rate sits far behind at 25 percent.
While it may seem confusing how Amazon’s streaming service is taking off like it is, it’s not that surprising.
Midia Research music analyst Mark Mulligan told the Financial Times that Amazon Music is the “dark horse” of streaming sites and “people don’t pay as much attention to it [as to Apple and Spotify], but it’s been hugely effective.”
Instead of targeting younger demographics who have already become loyal to either Spotify or Apple Music, they’re headed for an older market.
According to Midia Research, Amazon’s target market of people between the young streamers and record-store generation is where they soar. While only five percent of Spotify’s subscribers are 55 years or older, Amazon Music has 14 percent of their users in this age bracket.
The subscription costs also factor into consumer’s decision to go with Amazon as they are lower than the competition. Prime members only have to drop $8 a month while Echo device users only have to pay $4.
As competitors continue to introduce new features and more detailed interactivity, Amazon executives have outright said that Amazon Music is a “mainstream music-streaming service for the mainstream music fan.”
What do you think of Amazon Music’s subscriber growth? Let us know in the comments below.