Don Emmert/Getty Images
- Be prepared for your Spotify bill to go up this year.
- The streaming service is hiking prices in several markets, including the US, according to Bloomberg.
- The company is also working on a new basic tier and a "supremium" plan, Bloomberg reported.
Spotify is reportedly planning price increases and working on new tier offerings.
The music streaming service plans to raise monthly prices by roughly $1 to $2 in five markets, including the UK, Australia, and Pakistan, by the end of this month, Bloomberg reported, citing people familiar with the matter. In the United States, a price hike will come later this year.
Spotify is also working on new plan offerings. One is a new basic tier that'll include music and podcasts at the current price of $11 a month for an individual premium plan, but users would need to pay extra if they also want audiobooks, according to Bloomberg. The other is a "supremium" plan that would include features like high-fidelity audio, Bloomberg reported.
The efforts are part of Spotify's push toward becoming consistently profitable.
The company has said it pays out $0.70 for every dollar it makes to music owners, and it's shelled out hundreds of millions for podcasts. The "Joe Rogan Experience" podcast alone cost the company at least $200 million for a multi-year deal.
Spotify last raised prices in July, hiking the cost of most plans by $1 a month.
Competitors have also raised prices in recent years. Apple Music's individual plan got $1 more expensive per month in 2022, and YouTube Premium's individual plan rose $2 a month the following year.
Spotify did not immediately respond to a request for comment.