Spotify Acquires Subscriber Analytics Firm Preact

From Billboard:

Spotify has purchased Preact, a four-year-old startup that utilizes machine learnings and audience behavior metrics via social media to draw and retain subscribers. Preact’s web site describes its service as having the ability to “identif[y] which of your customers are likely to churn, renew or upgrade by analyzing product usage patterns and operational data using big data, behavioral science and machine learning technologies.”

Spotify, the worldwide subscription leader in streaming with 100 million monthly users and 40 million paid subscribers (as of September), has had little trouble in beefing up its paying customer base as of late, having added 10 million of them since March. But as the company continues to build out product features — it has been continuously tweaking its playlist functions while beta testing new advertising products and tweaking its video strategy — a company like Preact would theoretically help guide which avenues its subscribers and potential new customers would gravitate towards and value most.