Music streaming services 'too expensive for many non-subscribers'

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Robbie WilliamsImage source, PA
Image caption,

Robbie Williams was among the performers at the recent Apple Music Festival in London

Almost half of the people who do not currently subscribe to music streaming services think they are too expensive, a survey suggests.

The poll suggests services like Spotify and Apple Music should "experiment with pricing" to woo the 90% of the British population who are not subscribers.

The research shows the 10% who do subscribe to music streaming services pay an average of £7.07 a month.

More than 2,100 adults were involved in the YouGov and Zuora study.

Revenues from music streaming grew by 49% to £251m in 2015, according to UK Music, external.

Yet the reach of music streaming services in the UK is much less than that of video streaming services, to which 27% of the population subscribe.

The pollsters said there was a huge number of potential customers for service providers that could be accessed "via innovation in pricing and packaging".

"There is a lot more room to grow," said Tien Tzuo, chief executive of Zuora - a firm that sets up and runs subscription billing services.

The research suggests that more than half of the 5.2 million people who subscribe to music streaming services have no plans to purchase a CD again.

The online survey was conducted between 27 April and 4 May 2016.

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