With Spotify recently entering the foray of music streaming apps in the country, players such as Apple Music and Google Play Music have got a prominent new contender. Since Spotify offers one of the largest music libraries of the lot and the best personalized suggestions based on your preference, the others are having a tough time keeping up. With this in mind, Apple has slashed the price of Apple Music streaming app in India by 18%, similar to a tactic that Gaana and JioSaavn resorted to last month.
India has emerged as music's 'sleeping giant' with the world's second-largest smartphone market with cheapest data rates. Owing to this, Apple's decision to slash prices could be intended to keep pace in the competition especially with the recent Spotify and YouTube Music launches in the country.
To compete with the international brands that are expanding foot-print in India, the country's own music streaming giants, JioSaavn and Gaana recently dropped their annual fee from ₹999 and ₹1,098 (respectively) to ₹299, which is also a tactic to keep the subscriber rate high.
However, both Indian services left the pricing for monthly subscriptions untouched at ₹99, which may have helped Apple Music decide the threshold of their price slash to retain its position in India. Since Apple Music now has the same price point, it could lead users to shift preferences.
However, with Apple Music's new per month plan, the iPhone-maker has become cheaper than Spotify, that charges ₹119 for a month's subscription in India. Also, in a recent survey, it was revealed that though Spotify is now in the country, Gaana remains the most popular such service in the country.
At any rate, we are happy about the price cut and since it has become more affordable, we expect the user base to expand as well.