Spotify‘s Q3 financials tipped to show subscriber growth

While Spotify stocks are at their lowest since the Swedish streaming company went public, the financial markets are confident that they will bounce back up again.

Similarly, the markets are also looking at healthy figures when the company files its Q3 financials overnight.

Analysts expect the company to report revenue of US$1.5 billion with a loss of $0.41 per share.

Subscriber numbers are expected to increase from 85 million to 88 million, and monthly users to 193 million.

These are based on its performance in its last quarter, when figures grew (especially with premium subscribers growing 40%) and monthly active users grew 30% year-over-year driven in Latin America and rest-of-the-world markets.

Spotify also reduced the number of “customer churn” (or cancellations) in the US.

This is important for all streaming services: research conducted by relationship marketing company Optimove found that up to 80% of customers who sign up for subscription-based services will unsubscribe within the first three months.

Analysts remain buoyant as far as Spotify is concerned because I of its strategies to expand in newer markets to boost figures in the future.

The company is also being aggressive in the US market.

It has been successfully working to expand its premium subscribers, where most of its revenue comes from.

It rolled out a $15 a month family plan which had a strong take-up.

This week it rolled out an offer of free Google Home Mini for family plan subscribers.

The device’s voice identification feature can detect the different voices of family members and personalise their music.

Spotify also launched custom playlists in all US states and territories to increase voter turnout for next week’s midterm elections.

New York’s Get Vocal playlist, for example, city natives Cardi B, Nicki Minaj, Jay-Z and Lady Gaga.

Tennessee’s is strong on country from Jason Aldean, Mitchell Tenpenny and Florida Georgia Line.

Virginia’s features songs by Earth, Wind and Fire and The Chainsmokers, while US Virgin Islands’ has Bob Marley and DJ Khaled.

Alaska also has white-noise recordings for those trying to sleep in the midnight sun period.

Each time someone goes into a playlist, they are reminded that Election Day is November 6.

Spotify has also partnered with various groups encouraging vote turn-outs, including the League of Women Voters.