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Amazon brings multi-room Spotify to the Echo (AMZN)

Published by Business Insider on Thu, 14 Dec 2017


This story was delivered to BI Intelligence IoT Briefing subscribers. To learn more and subscribe, please click here.Amazon added Spotify and Sirius XM Radio to its Echo smart speakers' multi-room music streaming feature, according toCNBC.Users can now say "Alexa, play music anywhere," to prompt the devices to stream music from either service through multiple Echos throughout a home. Sirius XM Radio support is just available in the US, the only market where the satellite radio service operates, while Spotify support is available in the US, UK, Canada, Germany, and Ireland.The e-commerce titan rolled out the multi-room music streaming feature earlier this year, but initially only allowed users to stream music through Amazon Music Unlimited, TuneIn, iHeartRadio, and Pandora.This latest move is part of Amazon's larger effort to incentivize current Echo users to purchase additional devices for different rooms in their homes.Edison Researchfoundthat 52% of smart speaker owners keep their devices in their common living space, such as the family room or den, while 90% of consumers who own such a device say music streaming was a purchase driver.Adding a popular music streaming service like Spotify, which counts150 millionglobal users as of September, could persuade current owners to buy another device for other rooms in their homes, such as the kitchen or bedroom. Moreover, the move allows Amazon to bring its devices more in line with Google's Home products, which already allow users to play Spotify and Sirius XM across multiple devices.Peter Newman, research analyst for BI Intelligence, has put together a Smart Speaker report thatanalyzes the market potential of the Echo Look, Echo Show, and HomePod.Using exclusive survey data, this report evaluates each device's potential for adoption based on four criteria: awareness, excitement, usefulness, and purchase intent. Finally, the report draws some inferences from our data about the direction the smart speaker market could take from here.Here are some of the key takeaways:Amazon's new Echo Show is the big winnerit has mass-market appeal and looks like it will take off.The combination of usefulness and excitement will drive consumers to buy the Echo Show. The Echo Look, though, seems like it will struggle to attract that same level of interest.Apples HomePod looks likely to find a place in the smart speaker market but wont dominate its space like the iPhone or iPad did.The smart speaker market will evolve rapidly in the next few years, with more devices featuring screens, a variety of more focused productsemerging, and eventually, the voice assistant moving beyond the smart speaker.In full, the report:Showcases exclusive survey data on initial consumer reactions to the Echo Look, Echo Show, and HomePod.Highlights the aims and strategies of major players in the smart speaker market.Provides analysis on the direction this nascent market will take and the opportunity for companies considering a move into the space.Interested in getting the full report' Here are twoways to access it:Subscribe to anAll-Accesspass to BI Intelligence and gain immediate access to this report and over 100 other expertly researched reports. As an added bonus, you'll also gain access to all future reports and daily newsletters to ensureyou stay ahead of the curve and benefit personally and professionally. >> Learn MoreNowPurchase & download the full report fromour research store. >> Purchase & Download NowJoin the conversation about this story
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