Days after releasing its Q3 earnings, in which revenue and income numbers showed stability, SiriusXM is hoping to expand its usage by lowering the subscription cost for streaming and in-car listening. A new app is in the works, too.
The Pricing
Going forward, that subscription price point is $9.99/month
This decision presents an alluring promotional opportunity in the wake of Spotify’s recent sub-cost raise (RAIN coverage HERE.) In fact, SiriusXM is now offering an industry-wide bargain for cost-sensitive listeners. Below is our August survey of monthly subscription rates:
SiriusXM: $9.99
YouTube Music: $10.99 (+$1.00 in July)
Spotify: $10.99 (+$1.00 in July)
Amazon Music: $9.99 with Prime, $10.99 no Prime (+ $1.00 in April)
Apple Music: $10.99 (+$1.00 in October)
Deezer: $10.99
Pandora: $4.99 (Plus) / $9.99 (Premium)
Tidal: $10.99 (HiFi) / $19.99 (HiFi Plus)
SoundCloud: $4.99 (SoundCloud Go) / $9.99 (SoundCloud Go Plus)
The Gambit
SiriusXM is hoping to attract a “next generation” of subscribers, according to coverage in The Hollywood Reporter. The company aspires to shift perceptions about how SiriusXM’s offerings stack up — the idea is to raise the perceived status of streaming to a side-by-side position with the company’s traditional in-car listening identity.
Under the hood, the renewed SiriusXM listening app mixes algorithms with human curators to make channels and playlists. The app is not here yet; it will launch December 14.
One new channel users can expect to come with the app is devoted to Kelly Clarkson, who appeared live at a NYC event yesterday announcing the app/price reboot. John Mayer will have a channel too, and Ashley Flowers (founder of audiochuck) will take charge of a true crime channel.
