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Vodafone makes tracks with Spotify deal

Source: Roy Morgan Single Source, July 2013 – June 2014, n = 4555 Australian smartphone owners 14+

Half of Australian smartphone owners (14+) play music/mp3s and 13% stream music via their mobile phones, the latest data from Roy Morgan Research shows.

Vodafone this week announced its post-paid mobile customers will soon get music streaming service Spotify Premium included for free in their monthly plan. The partnership gives Vodafone customers free access to millions of songs to play on-demand, without ads. 

Of the three network operators, Vodafone’s customers are already the most likely to have played music/mp3s in an average four weeks in the year to June 2014 (56%) but those with Optus were slightly more likely to have streamed music via their mobile (15%, compared with 14% for Vodafone).

The Vodafone-Spotify system looks to operate the reverse of what Telstra did with MOG, where Telstra mobile customers pay to access the service but get unmetered streaming of song data.

% of smartphone owners by provider who accessed music via mobile in the last four weeks

Source: Roy Morgan Single Source, July 2013 – June 2014, n = 4555 Australian smartphone owners 14+

Tim Martin, General Manager - Media, Roy Morgan Research, says:

“The streaming space is really dynamic at the moment, and we are watching developments in this new industry with interest. Interestingly, when we take a deep dive into our media and telecommunications data, which tracks the consumption and uptake of streaming services by Australian consumers, we find that our data very much supports this deal between Spotify and Vodafone We believe that brands who combine digital services with their core products stand to meet the needs of emerging consumers in innovative ways.

“Other telcos, as well as the other music and radio streaming services including Pandora (which recently did a deal with Ford), TuneIn and Rdio, will no doubt keep a close eye on how this latest partnership develops. We are sure that they will be using a blend of consumer research and their own first party digital data and investigate all sorts of potential new ways to align physical products, media and content services.”

To understand how to identify, understand and reach Australian mobile smartphone owners with different usage habits, contact:

Vaishali Nagaratnam
Telephone: +61 (3) 9224 5309
Vaishali.Nagaratnam@roymorgan.com


About Roy Morgan

Roy Morgan is the largest independent Australian research company, with offices throughout Australia, as well as in Indonesia, the United States and the United Kingdom. A full service research organisation specialising in omnibus and syndicated data, Roy Morgan has over 70 years’ experience in collecting objective, independent information on consumers.

Margin of Error

The margin of error to be allowed for in any estimate depends mainly on the number of interviews on which it is based. Margin of error gives indications of the likely range within which estimates would be 95% likely to fall, expressed as the number of percentage points above or below the actual estimate. Allowance for design effects (such as stratification and weighting) should be made as appropriate.

Sample Size

Percentage Estimate

40%-60%

25% or 75%

10% or 90%

5% or 95%

5,000

±1.4

±1.2

±0.8

±0.6

7,500

±1.1

±1.0

±0.7

±0.5

10,000

±1.0

±0.9

±0.6

±0.4

20,000

±0.7

±0.6

±0.4

±0.3

50,000

±0.4

±0.4

±0.3

±0.2