Spotify Prioritizes Subscriber Growth Over Price Hikes in Nigeria

Spotify is betting on expanding its user base rather than raising subscription prices to boost revenue in Nigeria. While premium subscriptions currently cost around ₦1,600 ($1.16) in Nigeria – significantly lower than other African markets like South Africa ($4.29), Ghana ($2.07), and Kenya ($3.23) – the company sees greater potential in acquiring more paying users.

According to Jocelyne Muhutu-Remy, Spotify Sub-Saharan Africa Managing Director, “We cannot just say, let us try to meet our benchmark and multiply and increase unreasonably. We need to take into consideration people’s reality.” She emphasized that focusing on building the habit of daily music streaming among Nigerians will drive long-term growth.

This strategy aligns with industry trends, as streaming accounted for 69.6% of global recorded music revenues in 2025 (IFPI). Nigerian artists currently earn roughly ₦1.98 per stream on Spotify, a figure that is expected to evolve with market expansion.

The company’s approach extends beyond simple price adjustments. Spotify is investing in local pricing strategies, partnerships with telecom providers like Orange (offering free music access through mobile subscriptions), and integrating alternative payment methods to increase accessibility across the continent.

While Nigeria’s subscription economics are still developing, the market represents a significant long-term opportunity for Spotify due to its cultural influence. According to Muhutu-Remy, “Nigeria is a superpower from a cultural perspective. It has the foundation to be a commercial superpower because the right conditions are there.” Local listeners also play a crucial role in driving global success through diaspora consumption – with Nigerian fans abroad often subscribing at higher rates.

Spotify currently operates in 184 markets with 761 million active users and nearly 300 million subscribers, demonstrating its commitment to expanding access to music across diverse economic landscapes.