Spotify, the popular music streaming platform, is once again expanding its reach by bringing audiobooks to U.S. users. Subscribers will now have access to 15 hours of audiobook listening time per month, featuring an extensive catalog of 200,000 titles. This offering builds upon the successful debut of audiobooks in the U.K. and Australia and demonstrates Spotify's commitment to providing diverse and engaging content for its users.
Spotify initially introduced audiobooks to its platform in September 2022, following the acquisition of Findaway, a digital audiobook distributor, in 2021. The catalog started with around 300,000 titles in the U.S. and later expanded to other English-speaking markets, including Canada in early 2023. The expansion into the U.S. market reflects Spotify's strategic vision of tapping into the growing audiobook industry, which has been experiencing 20% year-over-year growth.
Audiobooks currently represent only 6% to 7% of the broader book market, but Spotify recognizes the potential for growth in this segment, especially among Gen Z and millennials, with 72% of 18- to 34-year-olds actively consuming audiobooks.
Spotify has simplified access to its audiobooks by bundling 15 hours with its Premium subscription. This eliminates the need to make separate purchases via the Spotify website, offering a seamless listening experience. Users can now discover and enjoy their chosen titles directly within the Spotify app, removing any extra steps.
Spotify's catalog boasts a wide variety of titles, including recent releases, classics, and works from popular authors and musicians. The collection includes books by bestselling authors such as Britney Spears, Janet Evanovich, John Grisham, Stephen King, Colleen Hoover, and more. Additionally, the catalog spans different genres and includes classic literature like Emily Brontë's "Wuthering Heights."
This expansion aims to make Spotify Premium an even more enticing choice for subscribers. The service already offers access to over 100 million music tracks and more than 5 million podcasts. Now, with 200,000 audiobooks available, Spotify enhances its value proposition and diversifies its content offerings.
Spotify continues to experience significant growth in its user base, with paying subscribers increasing by 16% year-over-year to 226 million and monthly active users growing by 26% to 574 million in its most recent quarter. Additionally, the company reported an 11% year-over-year increase in revenue to €3.4 billion ($3.63 billion USD), partly due to successful price adjustments. Spotify remains committed to expanding its content offerings and enhancing its user experience.