Spotify is a music streaming service developed by Spotify AB in Stockholm, Sweden. Spotify pays royalties based on the number of artists' streams as a proportion of total songs streamed on the service. Spotify is a freemium service, offering basic features for free with advertisements and limited features, and additional features such as improved streaming quality and music downloads by subscription. Below are the pricing schemes of Spotify (Free, Premium, Premium for Family, and Premium for Students) Spotify Free $0.00 Spotly Premium $9.99 Treat the family to Premium. San. BATTED Spotify Premium for Students, now with Hulu. SITETI a. Which mechanism(s) of segmented pricing isfare) used by Spotify? Explain your answer. (10 points) b. Which price sensitivity drivers are addressed in the above pricing scheme? Please elaborate your answer for each price sensitivity drivers. (10 points) Spotify promotes the Premium for Family pricing scheme as seen below. Why get Premium for Family? Save big Individual accounts Super simple bili www menyuman and and Keep your playlists Win you woude, your make and . Why with people who they Based on how the pricing scheme is communicated, which elements of price perception are used? Explain your answer. (10 points). d. Referring to the framework of communication strategies based on relative cost of search and type of benefits, which strategy is used in promoting the Premium for Family pricing? Explain your answer. (10 points) e. There are several ways we can motivate buyers to increase their willingness to pay. Elaborate the meaning of the following motivations and give examples how to apply those tactics if you are asked to increase the willingness to pay for Netflix. (10 points) Shared cost Switching cost Spotify is a music streaming service developed by Spotify AB in Stockholm, Sweden. Spotify pays royalties based on the number of artists' streams as a proportion of total songs streamed on the service. Spotify is a freemium service, offering basic features for free with advertisements and limited features, and additional features such as improved streaming quality and music downloads by subscription. Below are the pricing schemes of Spotify (Free, Premium, Premium for Family, and Premium for Students) Spotify Free $0.00 Spotly Premium $9.99 Treat the family to Premium. San. BATTED Spotify Premium for Students, now with Hulu. SITETI a. Which mechanism(s) of segmented pricing isfare) used by Spotify? Explain your answer. (10 points) b. Which price sensitivity drivers are addressed in the above pricing scheme? Please elaborate your answer for each price sensitivity drivers. (10 points) Spotify promotes the Premium for Family pricing scheme as seen below. Why get Premium for Family? Save big Individual accounts Super simple bili www menyuman and and Keep your playlists Win you woude, your make and . Why with people who they Based on how the pricing scheme is communicated, which elements of price perception are used? Explain your answer. (10 points). d. Referring to the framework of communication strategies based on relative cost of search and type of benefits, which strategy is used in promoting the Premium for Family pricing? Explain your answer. (10 points) e. There are several ways we can motivate buyers to increase their willingness to pay. Elaborate the meaning of the following motivations and give examples how to apply those tactics if you are asked to increase the willingness to pay for Netflix. (10 points) Shared cost Switching cost
