The news: Spotify announced another subscription increase in the US—its third price hike in three years. Individual Premium and Student plans increased $1 per month to $12.99 and $6.99, respectively, and Duo and Family tiers both went up by $2 per month, per Variety.

“Occasional updates to pricing across our markets reflect the value that Spotify delivers, enabling us to continue offering the best possible experience and benefit artists,” the company wrote in a blog post.

The change comes after a busy week for Spotify, including announcements of a new video-first podcasting studio and Partner Program changes that open the door for more podcast creators to monetize their content.

Looking ahead: Spotify could be leaning more heavily on subscribers to fund product expansion that aims to make its platform a more visual-first, personalized experience. It’s pressing into audiobooks, video features, and AI-powered recommendations tools, and those take time and money to develop.

Why it matters: Consumers are broadly feeling overwhelmed by subscription price hikes and economic uncertainty. Forty-two percent of paying streamers worldwide think they spend too much on subscriptions, per Simon-Kucher.

Price hikes could also exacerbate some user frustrations around decisions made by outgoing CEO Daniel Ek and backlash over recruitment ads for US Immigration and Customs Enforcement (ICE), per SFGate.

Implications for brands: As the potential for price fatigue rises, brands can’t rely on habit alone. Offering clear value through exclusive features, bundles, and personalization matters more than ever. Customers are sensitive to pricing, and brands need to earn users' loyalty rather than expect it.

Separately, price hikes could push premium subscribers toward ad-supported tiers, expanding the audience for ads and giving brands greater visibility and reach.

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