Spotify has introduced a lossless audio tier in South Africa, marking a significant change in the company’s local subscription offerings. The new Premium Platinum plan costs R179.99 per month and includes features such as lossless audio streaming, AI-assisted playlist creation, and multi-user access for up to three people living in the same household.
The update comes alongside a broader restructuring of Spotify’s plans:
- Premium Lite: R69.99/month, 160 kbps streaming, limited features.
- Premium Standard: R94.99/month, 320 kbps streaming, offline downloads.
- Student Plan: R47.99/month, same features as Standard.
Spotify has discontinued its Duo plan, previously offering discounted access for two users.
The timing of the changes has drawn attention, as this marks the second price increase in four months. Critics note that the new pricing puts Spotify above competitors in South Africa. Apple Music and Tidal both offer lossless streaming for R69.99 per month, highlighting a potential challenge for Spotify in a price-sensitive market.
Spotify is positioning the Premium Platinum tier as a premium experience for users seeking higher sound quality and AI-driven features, including personal AI DJs and enhanced playlist generation. The company is betting that added value from these features will justify the higher price for South African subscribers.
The impact of these changes on user retention remains to be seen, particularly among consumers for whom streaming costs are a key consideration.
