Music Consumption and Marketing Science: Does Spotify Change Users' Music Consumption?
LinkedIn, April 18, 2018
In a post on LinkedIn, Vice President Rene Befurt and Senior Analyst Liz Neyens of Analysis Group summarize a Marketing Science article that delves into a trove of data to unlock how the advent of streaming services has affected music consumers' behavior. In their introduction, Befurt and Neyens describe how the authors of the article “Changing Their Tune: How Consumers' Adoption of Online Streaming Affects Music Consumption and Discovery” gained access to a rich dataset on users' listening habits and devised an elegant methodology to compare the habits of those who purchased music on platforms such as iTunes and those who adopted the streaming service Spotify. The authors' analysis revealed that streaming users listened to more music, listened to a greater variety of music, and discovered more new music, results that are especially pertinent in light of Spotify's recent IPO.
Dr. Befurt's and Ms. Neyens's commentary is published in Dr. Befurt's role as a Marketing Science Ambassador, an initiative of the INFORMS journal Marketing Science to promote increasing awareness of leading-edge academic research among practitioners.