Now that Apple Music has launched, competing streaming service Spotify is urging users to stop paying for a subscription through the auto-renew feature in the App Store.
When users do that, Spotify will only charge $9.99 per month for a premium subscription. Anyone who orders through iTunes is charged $12.99 monthly as a result of Apple taking a 30 percent cut of all subscriptions purchased from the App Store.
Here’s more from the email:
We like the way you are. Don’t change. Ever.
But if you want to change how much you pay for Spotify Premium, we’re here to help. In case you didn’t know, the normal Premium price is only $9.99, but Apple charges 30 percent on all payments made through iTunes. If you switch your payments to Spotify.com, there are no transaction costs and you’ll save money.
You can get the same exact Spotify for $9.99 per month, and it’s super simple. Check this out.
Back in May, Spotify openly complained about the 30 percent “tax” charged to Apple users, calling it anticompetitive. The same 30 percent also applies to other subscription services purchased through the App Store like Rdio and Tidal.
And the timing of this new email is far from a coincidence. Even though Apple Music is still in it’s “honeymoon” phase with a three-month free trial period, Spotify is planning ahead. Whenever users are forced to pony up and select just one service, Spotify wants to be on the same playing field as Apple, which will also charge $9.99 per month.
As for me, I think Spotify is taking the right tact to help move users over to a cheaper option. I have no problem with the 30 percent fee Apple charges for App Store subscriptions, especially since the same fee applies to all competitors as well. If Spotify was so worried, it could always eat the extra cost and not pass the fee on to customers.