Essay regarding Project Proposal 2

Project Proposal 2


Segmentation & Positioning Technique

Prepared intended for: Trenz Pruca, Title

Made by: Shannon Casey,

13 May 2014



Spotify should make music more accessible simply by breaching the gap between musicians and music audience. By setting up a legal streaming service which usually benefits both the consumer and musicians. The industry is at a period of rapid expansion especially in the way with which people are encountering and being able to access music. When you are a part of this kind of... By determining and examining our customer base we can develop

Spotify aggregates music from right holders, distributes that to buyers through computer's desktop and mobile software platforms and monetises the two through a totally free ad-funded services and a paid registration service. This kind of two tier system focuses on different consumers and overall provides a services which caters to a broad selection.

The purpose of this proposal should be to outline a strategy for focusing on the discovered segment band of 18 - 24 yr olds through service style and proper promotion. 



Music is definitely rapidly changing in the way persons listen to, talk about and encounter it. The region of digital music has greatly transformed the way in which music is found and given away. As music is increasingly becoming digitalised, it is hard for the first distributors to keep up with this changing landscape and stay current, relevant and finally economically viable. In a speedily changing industry determining target market segments and creating a competitive differentiation is crucial.


Digital music syndication services grew out of the unauthorised peer-to-peer file sharing phenomenon of the late 1990s. This caused a great switch in the way music was distributed and paid attention to from piracy and iTunes downloading to on-demand internet streaming from Vimeo and others. When physical music product markets are decreasing rapidly, on the net digital music markets had been rapidly growing, though the majority of these kinds of channels of music usage generate minimal money to get the artists.

Digital music can be broken into two submarkets download and streaming. Digital streaming is actually a rapidly growing market. It at present it holds 10% of digital music revenue, however the progress rate of the streaming marketplace is higher than the growth rate of the digital music download market1. This means it is a rapidly growing marketplace with more folks are using this format to access music.

Spotify can be described as digital music streaming assistance that allows customers to listen legally to music without independently purchasing or downloading every single song. Released in Sweden in October 2008 Spotify currently offers over twenty-four million users, over six million of whom happen to be paying subscribers2. Spotify's style aims to employ listeners to once again appreciate this lost value. By converting all of them from other inadequately monetised programs to spotify - two tier program?.. Reduce price of piracy and allow performers to generate much larger royalties even though giving guests more value per listen and much greater convenience. service can be split into 3 different merchandise strategies... Changing from music as a product to music as a services.

What is their mission affirmation and goal



Manufacturer Diagnosis

Industry Segments

Who may be listening -- target market

Through development and expansion Spotify used geographic segmentation. This is done because each country had different barriers when it comes to licensing and overall popularity of this fresh medium. It is currently available in twenty eight markets while using most recent staying in Latina AmericaВ withВ Mexico, and Asia with Hong Kong, Malaysia, and Singapore3. The largest markets are in Sweden and the US, on the other hand there is significant opportunities in booming growing markets in Asia (China/Japan), India and Africa especially with growing market segments in smart phones and applications.

The target market for Spotify is as...