Spotify will add information about its products and the option to buy directly in the app

Within the framework of the definitive entry into force of the Digital Markets Act (DMA) in March of this year in Europe, Spotify has announced that it will implement new forms of communication in the version of the app for iOS, such as the possibility of informing about its products, a “secure and simple” payment method and the option to buy directly in the app, something that could not be done before. offer due to App Store rules.

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The Digital Markets Law is a regulation that seeks to promote a fairer and more competitive technological market. To do this, it establishes new rules for companies in this sector that are considered controllers or gatekeepers, as is the case of Google and Apple. According to these rules, companies must assume a series of obligations and prohibitions that guarantee fair competition in the digital sector.

Thus, this regulation provides that these companies have a series of responsibilities, such as sharing their data, include links in your services that take users to other competitors in the sector and make their services interoperable with other applications from rival companies.

(Photo: Spotify)

Although the DMA began to come into force in May of last year 2023, the companies considered gatekeepers were officially named on September 6, 2023. Then, it was indicated that they had six months to comply with the requirements of this law, which which means that the 6th of March The deadline to adhere to what it stipulates ends.

Within this framework, Spotify has announced some new features that it will begin to implement in its app for iOS devices in the European Union. Among them, direct communication with users about subscription offers and promotions, as well as secure and simple payment methods; a series of options that could not be offered due to the rules imposed on the App Store.

This was shared by the streaming content platform in a press conference to which Europa Press has had access, in which it recalled that it has been in a conflict with Apple for “more than eight years” due to the rules that this company imposes. in its application store, such as the impossibility of offering information to users about subscription forms, prices and offers within the app.

As explained by Spotify, these prohibitions cause unfair competition with respect to competing platforms, such as Apple Music, which causes more difficulties for users to subscribe or use their service.

30% COMMISSION ON THE APP STORE

One of the points that the company denounces is that the App Store has a mandatory fee for some of the applications published in the store – which included Spotify -, of which 30%. That is, for each subscription, the Swedish company had to pay Apple said percentage.

This caused the company to face two scenarios: either increase prices by 30% more “knowing that Apple Music was not paying the rate”, impacting the cost for users, or absorb the cost “totally losing the profit margin”. business”.

Apple Music is the direct competition of Spotify. (Photo: Apple)

Finally, in July 2023, Spotify decided to leave the app free in the Apple App Store and allow paid subscriptions to Spotify Premium outside of the app store. For example, through your website.

PROHIBITION OF COMMUNICATION WITH USERS

As detailed by the streaming music platform, Apple has maintained “for years” restrictions on Spotify’s communication with users. Specifically, it prevented reporting on how to subscribe to Spotify Premiumthe different payment systems, the differences between subscription plans or possible promotions.

“They basically banned us from communicating with any user who came through the App Store. This was an impediment for consumers who were not informed and also for us and the developers,” underlined the director of EU regulatory affairs at Spotify, Olivia Regnier.

Now, the platform has announced that, starting March 7 and with the entry into force of the DMA, they will begin to implement “a new Spotify in the EU”, so it will be able to communicate information to consumers without restrictions and they will have the option to make purchases within the app and have “secure and simple” payment methods.

“NEW SPOTIFY IN THE EU”

With all this, among the new features that Spotify will implement, the company has highlighted the possibility of offering direct communication in the application about subscription offers, updates, product prices and platform promotions.

Spotify. (SOPA Images/)

That is, they will be able to communicate “clearly” with users in the Spotify app about new products for sale, promotional campaigns, superfan clubs and upcoming events, including when items go on sale like audiobooks.

Following this line, they have stressed that “soon” they will be able to offer a “secure and simple” payment method in the application, so that anyone who wants to purchase a Premium subscription or an audiobook, as well as go from an Individual plan to a Family plan , “you can do it with just a couple of clicks.”

In fact, as he has reiterated, currently it is not even possible to say how much the different subscriptions cost or how users can purchase them, something that “for all those who live in the EU this is about to change,” he stated.

In the same way, users will also be able to directly purchase an audiobook from the app. “For the first time you will be able to see the price of an audiobook when searching for it, buy it easily and start listening to it instantly,” added Regnier.

Finally, the company has specified that, thanks to the DMA, they hope that users will be able to download other Spotify applications and services on their iPhone without impediments. For example, offer the possibility of downloading Spotify for Artists or Spotify for Podcasters.

However, although the platform has stressed that using its app “should be this simple for all users everywhere”, for certain markets users will continue to find “frustrating crashes because of Apple.”

“We will continue fighting because freeing ourselves from gatekeepers means more options for consumers and a positive impact for artists, authors, creators and developers around the world,” the directive added.

Source: Elcomercio