How to Build Music App: Features, Revenue & Business Model

Are you planning to start music streaming app development, but doesn’t know where to start, you came to the right place.

The techno revolution has changed the way we listen to music. The days are gone when you have to download audio from the internet. Now you can aces to millions of songs by downloading just one app on your smartphone.

Now you are wondering how music streaming apps make money.

The most common way music streaming apps make money via. paid subscription. With paid subscription user can easily avoid Ads interruption and get access to the latest music.

Popular music streaming apps like Spotify, YouTube Music, and Apple Music are dominating the world with millions of users and subscribers. The music streaming 84% of revenue is generated in the US music industry.  And Americans stream music a day for around 75 minutes.

This data is a clear indication, that the music industry is a lucrative segment, and investing in it is the right thing you can do for your business.

In this blog, we will discuss everything related to music apps including:

• What are music apps?
• Types of music apps
• Popular music streaming app
• Essential Features of music streaming app
• The business model of music streaming application : Spotify

So without wasting further time, let’s dive right in!

What are music apps?

The music streaming apps allow the user to listen to music without any interruption. The music app has access to millions of songs and users can play music with just one tap.

Users can access a vast library of music, create playlists and listen to their favourite songs on demand. With music streaming app requires an internet connection and offers a wide range of features such as:

• Personalized recommendations
• Social sharing
• Offline Listening

Popular examples of music streaming apps include Spotify, Apple Music, Tidal, and Google play music.  There are several types of music apps let’s discuss in detail.

Types of music apps

There are several types of music streaming apps that you need to know, in order to develop a music app.

Mainly there are three types of music apps:

• Music streaming apps

Spotify Apple Music and many more streaming apps are ruling the market they are highly popular and widely used music apps.

The only main objective of such apps is to play music in the music service which makes personalized playlists & recommended similar songs.

• Music store apps

The music store apps are a digital marketplace where users can purchase and download music to their devices.  Moreover the apps like Pandora and YouTube music work as music apps and digital marketplace apps.

• Music storage apps

Now as the name implies, the music storage apps are plugged directly into your storage which can be your phone storage or general cloud storage.

Now you know the types you can easily build music apps, but before you invest in the music streaming app development. Let’s look at some of the popular music streaming apps.

Popular music streaming app

When you create your own music streaming app, you check your competitors to check the standards they have set for the market. And by going doing market research on your competitors you will get to know about their loopholes and mistakes. This will save you from doing that in your development stages.

• Spotify

The most popular music streaming app that offers users to get access to a vast library of music from various genres and artists. Moreover, Users can stream music on demand and create custom playlists and discover new music through curated playlists and radio stations.

It has a free version that offers limited features including advertisements between songs and limited skips. And the premium version of Spotify offers ad-free listening, unlimited skips, and high-quality audio streaming.

• Pandora

Pandora was the first top music app that prioritized personalization later many music apps like Spotify, Apple Music adopted it.

It also offers a free and paid subscription service that includes ads and limited skips. While the paid subscription called Pandora Plus offers ad-free listening and unlimited skips. Plus this app is available on multiple platforms, including iOS, Android, and web browsers.

• Apple Music

It allows users to stream millions of songs from a vast library of music on-demand and create their playlists. Plus, it offers exclusive content, such as live concerts, interviews, and documentaries.

It also includes a feature called “connect” that allows artists to share content directly with their fans.

Moreover, it offers a three-month free trial for new subscribers & has both an individual and family subscription plan.  Both plans offer ad-free listening and access to exclusive content.

Essential Features of music streaming app

Features are the most crucial part of a mobile app. The app features are responsible for the app’s success. So choose features wisely because it will affect the cost so before you invest in the media streaming software development. It is recommended to consult the development cost with the music streaming app.

• Large music library

This is the most common feature you will find in a music streaming app that offers a vast collection of songs across different genres and languages.

• Personalized recommendations

Now the app should use algorithms and data analysis to offer personalized song recommendations based on the user listening history, favourites, and other preferences.

• User-friendly interface

If you want your app to be successful your app user interface should be user-friendly. Plus, the app should have a simple and intuitive interface that allows users to search, browse and play songs easily.

• Offline playback

Another feature a music app should offer is an option to download songs for offline playback when the user is not connected to the internet.

• High-Quality audio

The app should offer high-quality audio playback, preferably with options for adjusting the sound quality.

• Social sharing

With the social sharing feature, the app should offer the option to share songs and playlists on social media platforms.

• Integration with other services

Music apps should integrate with other services such as social media platforms, messaging apps, and voice assistants.

• Customization options

Last but not least, the app should offer customization options such as themes, background images, and color schemes to personalize the user experience.

Overall, these are the essential features that you need to include in your music streaming app. Just make sure you choose features according to your app’s needs and requirements. The unnecessary features will increase the cost. Just consult with the music app developer regarding the features.

The business model of the music streaming app: Spotify

Before you create your own music streaming app, let’s look at the business model of a music streaming app.

Spotify is a popular music streaming service which provides access to a vast library of songs, albums, and playlists from all over the world.  It offers a free, ad-supported version of its service as well as a premium subscription service that provides ad-free, unlimited access to its library of music. As well as additional features such as:

• Offline playback
• Higher quality audio
• Personalized recommendations.

Moreover, it has partnered with various companies and brands, such as NIKE, and Uber to integrate its service into their products and services.

The Spotify business model is primarily based on subscription revenue, advertising revenue, and partnerships.

Here are the main elements of Spotify’s business model:

• Premium Subscriptions

Spotify primary revenue stream comes from premium subscriptions. The users can sign up for a premium subscription to access features such as ad-free listening, offline playback, and higher-quality audio. Premium subscribers pay a monthly fee for access to these features.

• Advertising

Spotify also generates revenue through advertising. Free users can access the app features but are shown ads in between songs. It offers various types of ads, including audio, video, and display ads which are targeted based on user data and preferences.

• Partnerships

Spotify has formed partnerships with various companies to generate additional revenue. For example, it has partnered with brands to create sponsored playlists and with telecommunications companies to offer bundled services. Plus generates revenue through affiliate marketing, where it earns a commission when users purchase products or services through links on this platform.

• Data monetization

It has generated revenue through data monetization leveraging the vast amount of data it collects on users listening habits to provide insights and analytics to advertisers and music industry partners.

Overall, develop a music streaming android app inspired by Spotify’s business model. It is designed to create a seamless experience for users while generating revenue through multiple sources.

Plus, it offers a free and premium version; Spotify can cater to a broad user base while generating revenue through subscription and advertising models.

Conclusion

Now you can easily build your own music streaming app. Just make sure to do careful consideration of the features, revenue models, and business strategies that can make it stand out in a crowded market.

With the right strategies, music apps have the potential to become a dominant force in the music industry and provide a compelling listening experience for users worldwide.

FAQs

• What features should a music app have?

 A music app should have features such as

• Personalized recommendations,
•  social sharing,
• robust search capabilities,
• easy navigation,
• Seamless integration with other devices.

• How can a music app generate revenue?

A music app can generate revenue through subscriptions, advertising, partnerships, and data analytics.

• What are the benefits of personalized recommendations in a music app?

Personalized recommendations in a music app can help users discover new music, create a personalized listening experience, and increase engagement and retention rates.

• How can a music app utilize social sharing features?

Social sharing features in a music app can help users share music with friends, increase brand awareness, and generate user-generated content.

• How can partnerships benefit a music app?

 Partnerships can provide a music app with additional revenue streams, increase brand exposure, and provide access to new audiences and markets.

Read more business articles from our guest authors at SugerMint.