Promising Statistics as Spotify Seals Deal With Facebook Inc (NASDAQ:FB)

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Promising Statistics as Spotify Seals Deal With Facebook Inc (NASDAQ:FB)

The deal between Spotify and Facebook Inc (NASDAQ:FB) by current statistics seems favorable to both. Value chain generation reports “that the new releases music sharing platform have had a positive outcome mainly to Spotify.”

The new integrated feature will allow Facebook users to stream and share music from the social media platform without having to open the App. The interesting twist means that Facebook Messenger users can share their music content on the two platforms

However, according to value chain and Hollywood reports, “playlists sharing and Apple songs, the need for log in, makes this development enticing to Spotify.” Though this feature was initially available, its integration to the delight of the vast following of the two platforms lacked.

The effects of the deal have come out with Facebook reporting “over 4 million new users to the Spotify App data.” In fact, according to information on the Facebook blog, the number could be even higher than this.

Spotify strong online portfolio

The Spotify app marketing strategy and design allow for linking of content and sharing it over platforms. However, there is consensus that “the capacity of Spotify to ignite other users to come on board makes a game changer.”

In spite of the fact that Facebook controls a large percentage of social media, the power of Spotify arises from its viral nature. They began with the use of the platform for free and gradually became a paid music content source with downloads.

While the deal focuses more on users, it also focuses on the nature and manner of its use. For instance, the short clips on the Facebook platform ensure interest on the next, leveraging on the vast user base.

On the Facebook end, the ease of use of the sharing platform reduces its operating costs regarding annual royalty fees they pay to Spotify each year. The Facebook blog reports that the primary benefit is reducing competition.

Research on the real effects is ongoing. It remains a mirage whether this partnership will last. But if the past associations are to go by, it is sealed to last.