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500 Startups
Used at top MBA programs including
Stanford Graduate School of Business
University of Chicago Booth School of Business
Wharton School of the University of Pennsylvania
Kellogg School of Management at Northwestern University
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Summary
  • Music-streaming giant Spotify surprised analysts with higher-than-expected user growth, revenue and earnings for Q3 2019.
  • On the earnings call, Spotify pointed to the early success of its podcast business (now the 2nd-largest podcasting platform) as a key factor in driving higher engagement and conversion to paid subscriptions, describing the metrics as “almost too good to be true.”
  • Spotify’s vision is to become the world’s #1 audio platform, beyond just music.
  • It is well-positioned to ride the upward trajectory in podcasting, as it assembles a strategic flywheel reminiscent of Amazon’s.
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