Spotify Technology SA (SPOT) 2018 Q1 法說會逐字稿

Welcome to Spotify's first-quarter 2018 financial results question-and-answer session.

歡迎來到 Spotify 2018 年第一季度財務業績問答環節。

A copy of the Company's shareholder letter issued after the market closed today is available on the investor relations website, investors.

投資者關係網站 investors 提供今天收市後發布的公司股東信的副本。

Spotify.com.

Spotify.com。

This call is being recorded and an archived replay will be available on the IR site after the event concludes.

此通話正在錄製中，活動結束後將在 IR 網站上提供存檔重播。

I will now turn the call over to Paul Vogel, head of Investor Relations and FP&A.

我現在將把電話轉給投資者關係和 FP&A 主管保羅沃格爾。

You may now begin your conference.

您現在可以開始會議了。

Great, thank you.

太好了謝謝。

Good afternoon and welcome to Spotify's first-quarter 2018 earnings conference call.

下午好，歡迎來到 Spotify 2018 年第一季度收益電話會議。

With us today are Daniel Ek, Spotify's CEO and Barry McCarthy, Spotify's CFO.

今天和我們在一起的是 Spotify 的首席執行官 Daniel Ek 和 Spotify 的首席財務官 Barry McCarthy。

Hopefully by now everyone has had a chance to read our shareholder letter.

希望現在每個人都有機會閱讀我們的股東信。

The format of today's call will be an online question-and-answer session.

今天電話會議的形式將是在線問答環節。

Questions can be submitted either through the widget alongside the webcast or by emailing directly to IR@Spotify.com.

可以通過網絡廣播旁邊的小部件或直接發送電子郵件至 IR@Spotify.com 提交問題。

We will get to as many questions as we can.

我們將盡可能多地回答問題。

The call will last approximately 30 minutes.

通話將持續約 30 分鐘。

Before we begin, let me quickly cover the Safe Harbor.

在我們開始之前，讓我快速介紹一下安全港。

During this call, we will make forward-looking statements, including projections or estimates about the future performance of the Company.

在此次電話會議中，我們將做出前瞻性陳述，包括對公司未來業績的預測或估計。

These statements are based on current expectations and assumptions that are subject to risk and uncertainties.

這些陳述基於受風險和不確定因素影響的當前預期和假設。

Actual results could materially differ because of factors discussed on today's call and in our letter to shareholders and filings with the Securities and Exchange Commission.

由於在今天的電話會議和我們致股東的信件以及向美國證券交易委員會提交的文件中討論的因素，實際結果可能存在重大差異。

During this call, we will refer to certain non-IFRS financial measures.

在本次電話會議中，我們將參考某些非 IFRS 財務措施。

Reconciliations between our IFRS and non-IFRS financial measures can be found in our letter to shareholders and on the financial section of the Investor Relations page of our website and also furnished today on Form 6-K and with that, let me turn it over to Daniel for a few brief opening remarks.

我們的 IFRS 和非 IFRS 財務措施之間的對賬可以在我們給股東的信中和我們網站投資者關係頁面的財務部分找到，今天還提供了 6-K 表格，讓我把它交給丹尼爾簡短的開場白。

Thanks, Paul and before we begin with questions, I wanted to start by sharing a few thoughts.

謝謝，保羅，在我們開始提問之前，我想先分享一些想法。

I think it might be helpful to remind everyone how we view long-term value creation here at Spotify.

我認為提醒大家我們如何看待 Spotify 的長期價值創造可能會有所幫助。

And as I said at our Investor Day, there are really three key strengths that are fundamental to our growth today and in the future.

正如我在投資者日所說的那樣，確實存在三個關鍵優勢，它們對我們今天和未來的增長至關重要。

First, it's the freemium offering.

首先，它是免費增值產品。

So our free product drives premium subscription growth and it leads to better personalization and drives use among younger demographics with greater potential lifetime value.

因此，我們的免費產品推動了高級訂閱的增長，它帶來了更好的個性化，並推動了具有更大潛在生命週期價值的年輕人群的使用。

Second, our unique embrace of ubiquity across all platforms.

其次，我們對所有平台無處不在的獨特擁抱。

We see the world dividing into multiple platforms and Spotify is really the only player that works across all of them globally and this makes it easier for us to grow our business in both existing and new markets.

我們看到世界分為多個平台，而 Spotify 確實是唯一一家在全球範圍內與所有平台合作的公司，這使我們更容易在現有市場和新市場發展業務。

And then, thirdly, personalization.

然後，第三，個性化。

This is our ability to deliver a personalized user experience that enables us to build deeper engagements and enable more demand creation.

這是我們提供個性化用戶體驗的能力，使我們能夠建立更深入的參與並創造更多的需求。

These factors allow us to execute on our two-sided marketplace strategy that serves both artists and fans and with that in mind, we will start by taking your questions.

這些因素使我們能夠執行為藝術家和粉絲服務的雙向市場戰略，考慮到這一點，我們將從回答您的問題開始。

Great, thanks, Daniel.

太好了，謝謝，丹尼爾。

Our first question comes from Eric Sheridan at UBS.

我們的第一個問題來自瑞銀的 Eric Sheridan。

How should investors think about the current and future state around advertising and creator services as a driver of revenue growth and gross operating margin expansion?

投資者應如何看待廣告和創作者服務的當前和未來狀態作為收入增長和毛利率擴張的驅動力？

And with respect to creator services as a possible value add layer to the broader music industry business model?

關於創作者服務作為更廣泛的音樂行業商業模式的可能增值層？

Well, let's start with the first premise.

好吧，讓我們從第一個前提開始。

I think radio is a massive business that's now moving online and Spotify has a significant amount of those ears and this, of course, represents a huge opportunity both for Spotify and for the broader music industry as they today get very little of that revenue.

我認為廣播是一項龐大的業務，現在正在轉向在線，而 Spotify 擁有大量的聽眾，當然，這對 Spotify 和更廣泛的音樂行業來說都是一個巨大的機會，因為他們今天獲得的收入很少。

And then when it comes to the second part of the question, creator services, there are really huge inefficiencies in how you break market and distribute apps today and we think we can, with our tools and platform, make the system more efficient, which, of course, will enable labels to sign more artists and obviously over time increase the share that Spotify receives of that.

然後當談到問題的第二部分，即創作者服務時，今天你如何打破市場和分發應用程序確實效率低下，我們認為我們可以使用我們的工具和平台使系統更有效率，這，當然，這將使唱片公司能夠簽下更多的藝術家，並且隨著時間的推移，顯然會增加 Spotify 從中獲得的份額。

Great, thanks.

太謝謝了。

Our next question comes from Matthew Thornton of SunTrust Robinson Humphrey.

我們的下一個問題來自 SunTrust Robinson Humphrey 的 Matthew Thornton。

Regarding the price increase in Norway, any early learnings?

關於挪威的價格上漲，有什麼早期教訓嗎？

What's the pricing strategy overall as it relates to tactical increases?

與戰術性增長相關的總體定價策略是什麼？

Will the incremental revenue come in at a meaningfully higher incremental margin?

增量收入是否會以有意義的更高增量利潤率出現？

Well, first off, we experiment a lot.

好吧，首先，我們做了很多實驗。

So at any given point, there are really hundreds of ongoing tests with products, price points and variations of the product and this test just happened to be a bit more public.

因此，在任何給定時間點，實際上有數百個正在進行的產品、價格點和產品變體測試，而這個測試恰好更公開一些。

And regarding pricing strategy, we really look at price and value ratio and I think it is too early to say what we will learn from this test, but price increases isn't a focus in the near term for us.

關於定價策略，我們真正關注價格和價值比率，我認為現在說我們將從這次測試中學到什麼還為時過早，但價格上漲不是我們近期的重點。

Our next question comes from Mark Mahaney at RBC.

我們的下一個問題來自 RBC 的 Mark Mahaney。

Do you believe you have experienced any impact from the reported recent surge in Apple music subs?

您認為您是否受到最近報導的 Apple 音樂訂閱激增的影響？

It appears that Apple is being more aggressive in terms of promoting its music service on Apple devices.

看來蘋果在蘋果設備上推廣其音樂服務方面更加積極。

Is this having an impact?

這有影響嗎？

When I look at our business, I look at two factors to judge competition.

當我審視我們的業務時，我會看兩個因素來判斷競爭。

One is how we are behaving compared to our own forecast in growth and from that angle, I think we are looking pretty good and the second thing is how we are looking from a churn perspective.

一是與我們自己的增長預測相比，我們的表現如何，從這個角度來看，我認為我們看起來相當不錯，第二件事是我們如何從客戶流失的角度來看。

And as we have stated before and said again, the churn trend line is actually trending downwards.

正如我們之前說過並再次說過的那樣，流失趨勢線實際上呈下降趨勢。

We don't see any kind of meaningful impact of competition.

我們看不到競爭有任何有意義的影響。

In fact, when we look at this, we don't really think this is a winner takes all market.

事實上，當我們看這個時，我們並不真的認為這是一個贏家通吃的市場。

In fact, we think multiple services will exist in the market and we are all kind of in a growing market and we are just focused on growing that market and capturing more market.

事實上，我們認為市場上將存在多種服務，我們都處在一個不斷增長的市場中，我們只是專注於發展該市場並佔領更多市場。

Great.

偉大的。

Next question comes from Rich Greenfield at BTIG.

下一個問題來自 BTIG 的 Rich Greenfield。

Could you explain the ARPU impact from shifting from a 30-day free trial to a 60-day free trial?

您能否解釋從 30 天免費試用轉變為 60 天免費試用對 ARPU 的影響？

How do we think about trial users in a given quarter and how this change impacts ARPU?

我們如何看待給定季度的試用用戶以及這種變化如何影響 ARPU？

Hey, Rich, Barry.

嘿，里奇，巴里。

The 60-day trial was inconsequential in terms of its impact on ARPU and the trend here on ARPU, if this was modeling related, has largely been felt as a result of the rollout of the family plan.

就其對 ARPU 的影響而言，為期 60 天的試用期是無關緊要的，如果與建模相關的話，ARPU 的趨勢在很大程度上是家庭計劃推出的結果。

You will see in our quarterly filing with the SEC tomorrow a breakdown of that impact on a year-over-year basis in the quarter and that will be substantially less on a go-forward basis because, as I said, family plan has already been launched.

您將在我們明天向美國證券交易委員會提交的季度文件中看到該季度同比影響的細目分類，並且在未來的基礎上會大大減少，因為正如我所說，家庭計劃已經推出。

Great.

偉大的。

Our next question comes from Victor Höglund at SEB.

我們的下一個問題來自 SEB 的 Victor Höglund。

On churn, you say the churn is below 5%.

關於流失，您說流失率低於 5%。

Can you maybe give a little bit more color on this?

你能給這個多一點顏色嗎？

Sure.

當然。

A couple things to know though.

不過有幾件事要知道。

There is seasonality to churn, particularly following periods of rapid growth related to promotional campaigns.

客戶流失存在季節性，尤其是在與促銷活動相關的快速增長期之後。

So notwithstanding the overall trend, which, as Daniel pointed out, is downward, there will be periods of time when churn kicks up sequentially on a quarterly basis, but as long as we are seeing that the individual cohorts by month of subscriber life are maintaining the trend line then we can be confident in the overall health of the business.

因此，儘管總體趨勢如丹尼爾所指出的那樣呈下降趨勢，但會有一段時間內客戶流失按季度依次增加，但只要我們看到按訂閱者生命週期劃分的各個群組都在維持趨勢線，那麼我們就可以對業務的整體健康狀況充滿信心。

The average monthly churn for the quarter reached an all-time historical low of 4.7%.

本季度的平均月度流失率達到 4.7% 的歷史新低。

Then we saw a decline in ARPU and so previously, at Investor Day, you heard us speak about the relationship between lifetime value and subscriber acquisition costs and the importance we ascribe to maintaining that ratio.

然後我們看到 ARPU 下降，所以之前，在投資者日，你聽到我們談到生命週期價值和訂戶獲取成本之間的關係，以及我們認為維持該比率的重要性。

So ARPU was down, churn was down substantially and that ratio of 2.7 to 1 has held constant.

因此 ARPU 下降，客戶流失率大幅下降，2.7 比 1 的比率保持不變。

Great.

偉大的。

Next question comes from Heath Terry at Goldman Sachs.

下一個問題來自高盛的希思特里。

First-quarter gross margins have historically been down from 4Q to 1Q.

從歷史上看，第一季度的毛利率從第四季度下降到第一季度。

This quarter they were up and the year-over-year expansion was considerably higher in 1Q than 4Q.

本季度它們有所上升，第一季度的同比擴張遠高於第四季度。

What drove that?

是什麼驅使它？

Should we expect margins to be less seasonal in the future?

我們是否應該預期未來利潤率的季節性會降低？

Well, in our SEC filings and at Investor Day, we spoke about the seasonality of gross margin and we expect it to be down seasonally as a result of promotional campaigns we have run.

好吧，在我們提交給美國證券交易委員會的文件和投資者日，我們談到了毛利率的季節性，我們預計由於我們開展的促銷活動，毛利率會季節性下降。

The downtick happens in Q1 and Q3 and in this particular quarter, we made some adjustments to estimates that related to out-of-period expenses that accounted for about 124 basis points of margin improvement.

下降發生在第一季度和第三季度，在這個特定的季度，我們對與期外費用相關的估計進行了一些調整，這些費用占利潤率提高約 124 個基點。

So on an adjusted basis, it would have been 23.7, down from 25 Q-over-Q.

因此，在調整後的基礎上，它應該是 23.7，低於 25 Q-over-Q。

So on an adjusted basis, we saw the seasonality.

因此，在調整後的基礎上，我們看到了季節性。

Our next question is from Barton Crockett at B. Riley.

我們的下一個問題來自 B. Riley 的 Barton Crockett。

Amazon highlighted voice-activated speakers as a key element of its growth in music.

亞馬遜強調聲控揚聲器是其音樂增長的關鍵因素。

Is that a structural advantage for Amazon that is a pressure point for Spotify?

這是亞馬遜的結構性優勢，也是 Spotify 的壓力點嗎？

We certainly, through our Ubiquity play, view it more as an opportunity.

通過我們的 Ubiquity 遊戲，我們當然將其更多地視為一個機會。

Voice is growing.

聲音越來越大。

There are more and more connected speakers in people's home.

人們家中連接的揚聲器越來越多。

Spotify is an application that is both available on Alexa speakers and Google Home and we are doing fairly well there.

Spotify 是一款可在 Alexa 揚聲器和 Google Home 上使用的應用程序，我們在這方面做得相當好。

So we actually do see our share of voice growing and we view that long term as an opportunity, not a threat.

所以我們確實看到我們的發言權份額在增加，我們認為長期來看這是一個機會，而不是威脅。

Our next question comes from Rob Sanderson at MKM.

我們的下一個問題來自 MKM 的 Rob Sanderson。

Collaboration with music labels to promote new artists, new content seems to be picking up in frequency.

與唱片公司合作推廣新藝人，新內容似乎越來越頻繁。

If labels typically allocate 15% to 20% of revenue to marketing, can this be thought of as a benchmark for sizing a long-term opportunity to Spotify in providing promotional support to the music industry?

如果唱片公司通常將 15% 到 20% 的收入分配給營銷，這是否可以被視為衡量 Spotify 為音樂行業提供促銷支持的長期機會的基準？

As I mentioned previously, we do think that there is huge inefficiencies in the way that apps are being taken to market today and the amount of money that labels and the whole ecosystem have to invest in creating viable artists.

正如我之前提到的，我們確實認為，當今將應用程序推向市場的方式以及唱片公司和整個生態系統必須投資於創造可行藝術家的資金量存在巨大的低效。

Because Spotify already sits on the data, sits on consumers, sit on the preferences, we think we can play a huge role in connecting more artists with more fans and thereby obviously capture a big share of that too.

因為 Spotify 已經掌握了數據、消費者和偏好，我們認為我們可以在將更多藝術家與更多粉絲聯繫起來方面發揮巨大作用，從而顯然也能從中佔據很大份額。

So we are excited about the area.

所以我們對該地區感到興奮。

The next question comes from Jessica Reif at Bank of America Merrill Lynch.

下一個問題來自美銀美林的 Jessica Reif。

Where is the growth in advertising coming from?

廣告的增長來自哪裡？

The US, other markets, global advertisers?

美國、其他市場、全球廣告商？

What are your expectations on programmatic?

您對程序化有何期望？

Yes, yes, superfast growth.

是的，是的，超高速增長。

So programmatic grew I think 94% year-over-year.

所以程序化增長我認為同比增長 94%。

The growth is coming principally from the developed markets; the US is by far and away our largest and most profitable market and we had strong outperformance in the US market in Q1.

增長主要來自發達市場；迄今為止，美國是我們最大、利潤最高的市場，第一季度我們在美國市場的表現強勁。

The only piece of our business that is growing relatively slow is desktop advertising.

我們業務中唯一增長相對緩慢的是桌面廣告。

That grew at a year-over-year rate of 6% and as that gets increasingly smaller with the growth of mobile, overall growth rates should accelerate.

這一增長率為 6%，隨著移動業務的增長，這一增長率越來越小，整體增長率應該會加快。

I think on an FX adjusted basis, the growth rate in advertising was 55% year-over-year, so the business is clipping along quite nicely.

我認為在外匯調整的基礎上，廣告業務的同比增長率為 55%，因此該業務進展順利。

Great.

偉大的。

The next question comes from Doug Anmuth from JPMorgan.

下一個問題來自摩根大通的 Doug Anmuth。

Can you talk about your product plans around spoken word content and how the economics differ verse other content?

你能談談你圍繞口語內容的產品計劃，以及經濟學與其他內容有何不同？

Right now, the main focus is adding more to our library of non-music content, so we are adding more and more podcasts by the day.

現在，主要重點是向我們的非音樂內容庫添加更多內容，因此我們每天都在添加越來越多的播客。

You can see through today's announcement that we've got a music podcast called Dissect exclusive to Spotify on our platform.

你可以從今天的公告中看到，我們在我們的平台上有一個名為 Dissect 的音樂播客，Spotify 獨占。

So we keep doing those deals.

所以我們繼續做這些交易。

It still represents a fairly small percentage of our overall listening, but it's growing really rapidly.

它仍然只占我們整體收聽量的一小部分，但增長非常迅速。

So we keep on expanding our catalog here.

所以我們繼續在這裡擴展我們的目錄。

The next question comes from Ben Swinburne from Morgan Stanley.

下一個問題來自摩根士丹利的 Ben Swinburne。

Can you talk about the major hurdles to launching into new markets?

您能談談進入新市場的主要障礙嗎？

How quickly can you add new territories and what should investors expect on this front over the next several years?

您能以多快的速度增加新的領域？投資者在未來幾年內在這方面應該期待什麼？

We primarily look at a number of different factors as we evaluate what markets to go into.

在評估要進入的市場時，我們主要考慮許多不同的因素。

Those include things like 4G penetration, data plans, whether or not the ad market is a growing ad market and a viable one and then, of course, factor in local licensing and what we have to do to enter a market there.

這些包括 4G 滲透率、數據計劃、廣告市場是否是一個不斷增長的廣告市場和一個可行的市場，當然，還有本地許可的因素以及我們必須做些什麼才能進入那裡的市場。

And it is usually those variables that weigh into a prioritization of markets.

通常是那些影響市場優先次序的變量。

And while I can't comment on any specific markets at specific times here, we are looking at adding more new markets during the remainder of 2018.

雖然我無法在此處的特定時間對任何特定市場發表評論，但我們正在考慮在 2018 年剩餘時間內增加更多新市場。

Which is baked into our full-year guidance.

這已納入我們的全年指導。

The next question comes from Anthony DiClemente from Evercore ISI.

下一個問題來自 Evercore ISI 的 Anthony DiClemente。

Your 2018 gross margin guidance is for 23% to 25% and at the Analyst Day, you talked about long-term target of being 30% to 35%.

您 2018 年的毛利率指導是 23% 至 25%，在分析師日，您談到了 30% 至 35% 的長期目標。

Can you again talk about the longer-term drivers of expanding gross margins?

您能否再次談談擴大毛利率的長期驅動因素？

I will comment and then I think Daniel will finish.

我會發表評論，然後我認為 Daniel 會結束。

So our ability begins and ends with the success in the growth of our two-sided marketplace.

因此，我們的能力開始和結束於我們雙向市場增長的成功。

One, and as we know from having observed the history of Netflix, our success in coming to own demand creation and the margin associated with driving demand creation.

第一，正如我們從觀察 Netflix 的歷史中了解到的那樣，我們成功地實現了自己的需求創造以及與推動需求創造相關的利潤。

The growth in the two-sided marketplace and the expansion of non-music audio content both present interesting opportunities for margin expansion, some of which we outlined at Investor Day.

雙邊市場的增長和非音樂音頻內容的擴張都為利潤率擴張提供了有趣的機會，我們在投資者日概述了其中的一些機會。

Dan, do you want to add anything there in particular?

丹，你想特別補充什麼嗎？

No, I think as Barry said, it's both on the music and the non-music side, but specifically related to the music side, the ability to help labels and artists with promotion and marketing remains a huge opportunity where we can see a need and a huge interest from the community to be more helpful here.

不，我認為正如 Barry 所說，它在音樂和非音樂方面都有，但特別是與音樂方面相關，幫助唱片公司和藝術家進行推廣和營銷的能力仍然是一個巨大的機會，我們可以看到需求和社區的巨大興趣在這裡提供更多幫助。

Our next question is from John Egbert from Stifel.

我們的下一個問題來自 Stifel 的 John Egbert。

Did the extended functionality of free listeners announced last week impact costs for the ad-supported tier in any way?

上周宣布的免費聽眾的擴展功能是否以任何方式影響廣告支持層的成本？

How did Spotify management and the music labels get comfortable, that giving free users more control would not negatively impact subscriber conversion in a material way?

Spotify 管理層和唱片公司是如何放心的，即給予免費用戶更多控制權不會對訂閱者轉化產生實質性的負面影響？

Well, I can start with the conversion piece.

好吧，我可以從轉換件開始。

I think one of the things we touched at Investor Day and certainly what we have seen throughout the life of the Company is the more engaged our users are the more likely they are to convert.

我認為我們在投資者日觸及的一件事，當然我們在公司的整個生命週期中看到的是，我們的用戶參與度越高，他們轉化的可能性就越大。

So it's been a good business decision continuously to enhance the experience for our customers because the more of those customers that today aren't paying customers, the music ends up coming into the ecosystem and the more engaged they are, then the more likely they are to convert.

因此，不斷提升客戶體驗是一個很好的商業決策，因為現在不是付費客戶的客戶越多，音樂最終會進入生態系統，他們參與得越多，他們就越有可能成為付費客戶。轉換。

And since we have a very long track record of that, the music industry has been receptive to work with us on enabling more growth for Spotify and therefore more growth for the music industry.

由於我們在這方面有很長的記錄，音樂行業一直願意與我們合作，為 Spotify 實現更多增長，從而為音樂行業帶來更多增長。

I would say from an advertising perspective, one of our overarching objectives for the business amongst new free users is increased engagement, which drives growth in impressions and opportunities to monetize those impressions and all indications are that the new free product offering will accomplish those objectives.

我想說，從廣告的角度來看，我們在新的免費用戶中開展業務的首要目標之一是增加參與度，這會推動印象的增長和將這些印象貨幣化的機會，所有跡像都表明新的免費產品將實現這些目標。

So net positive for us from a margin perspective I think.

我認為從利潤率的角度來看，對我們來說是淨利好。

The next question from Michael Morris of Guggenheim Securities.

下一個問題來自古根海姆證券公司的邁克爾·莫里斯。

Can you talk about the ARPU progression for the year and beyond?

你能談談今年及以後的 ARPU 進展嗎？

There are a couple of moving parts, but guide seems to imply you expect ARPU to stabilize over the course of the year.

有幾個移動部分，但指南似乎暗示您預計 ARPU 在一年中會穩定下來。

Is this accurate with respect to your expectations?

這符合您的期望嗎？

How should we think about the trend in the family and student plans relative to the shift in the lower ARPU markets?

我們應該如何看待家庭和學生計劃相對於較低 ARPU 市場轉變的趨勢？

Well, we don't guide on ARPU but thematically you are more right than wrong.

好吧，我們不對 ARPU 進行指導，但從主題上講，你是對的多於錯的。

There will be some variability on a quarterly basis within a range of maybe EUR0.15, but I would expect we would finish the year more or less in line with where we started the quarter.

每個季度會有一些變化，範圍可能在 0.15 歐元左右，但我預計我們將或多或少地與本季度開始時的情況保持一致。

Next question comes from Michael Cling from Tremblant Capital.

下一個問題來自 Tremblant Capital 的 Michael Cling。

How does Spotify management expect the newly redesigned free service to impact subscriber growth as 2018 progresses?

隨著 2018 年的進展，Spotify 管理層預計新設計的免費服務將如何影響用戶增長？

Any early indications on how the new free product is resonating with users?

關於新的免費產品如何引起用戶共鳴的任何早期跡象？

Early customer feedback has been really, really good and we've seen through Twitter and other social platforms people being really excited about it.

早期的客戶反饋非常非常好，我們通過 Twitter 和其他社交平台看到人們對此非常興奮。

Just to recap the changes, this includes more on-demand playlists now available for free and a data saver mode, which is particularly hugely helpful for younger demographics and emerging markets where data costs are often a quite significant part of the consumer spend.

回顧一下這些變化，這包括更多現在免費提供的點播播放列表和數據保護模式，這對年輕的人口統計數據和新興市場特別有幫助，在這些市場中數據成本通常是消費者支出的相當大的一部分。

So we are very excited about the early response and are excited to see how that leads to more growth in the future.

因此，我們對早期的反應感到非常興奮，並很高興看到這將如何在未來帶來更多增長。

Our next question comes from Matthew Harrigan at Buckingham Research.

我們的下一個問題來自白金漢研究中心的馬修哈里根。

Does your belief that music streaming is not a winner take all market alongside your 25% to 35% long-term Spotify sales growth assumption imply that analysts are chronically underestimating the eventual size of the global music streaming market?

您認為音樂流媒體不是贏家的信念以及您 25% 到 35% 的長期 Spotify 銷售增長假設是否意味著分析師長期低估了全球音樂流媒體市場的最終規模？

Music is one of the largest art forms in the world there is and already today, if you would look at radio as a proxy for the billions of people who listen to radio of which the primary reason to listen to radio is music, we think that the online opportunity in music is billions of people and that a quite significant chunk of those could meaningfully contribute back to the music economy, so yes we think this is a huge opportunity.

音樂是當今世界上最大的藝術形式之一，如果您將廣播視為數十億收聽廣播的人的代表，而收聽廣播的主要原因是音樂，我們認為音樂的在線機會是數十億人，其中相當大一部分可以有意義地回饋音樂經濟，所以是的，我們認為這是一個巨大的機會。

I think if you look at the history of video, you would say the bias is to underestimate the size of the market.

我想如果你看看視頻的歷史，你會說偏見是低估了市場的規模。

Our next question comes from Maria Ripps at Canaccord.

我們的下一個問題來自 Canaccord 的 Maria Ripps。

The Hulu bundle, it's nice to see you expanding it.

Hulu 包，很高興看到你擴展它。

Can you talk about any impact that's having on retention or lifetime value and do you see potential for other similar bundling deals?

您能談談這對保留率或終身價值的影響嗎？您是否看到其他類似捆綁交易的潛力？

Yes, we are real excited about it.

是的，我們真的很興奮。

Just to recap again, the Hulu bundle was introduced in our student plan and we've seen both great uptake and much greater retention among those customers that are taking that offer.

再次回顧一下，我們的學生計劃中引入了 Hulu 捆綁包，我們已經看到接受該服務的客戶的接受度和保留率都大大提高。

So I think the lesson learned from that obviously is that when you contribute something that customers are excited about, they not only remain more loyal customers, but they also tell their friends about it.

所以我認為從中吸取的教訓顯然是，當你貢獻一些讓客戶興奮的東西時，他們不僅會保持更忠誠的客戶，而且還會告訴他們的朋友。

And it's a net positive on lifetime value and a contributor to improvements we are seeing in churn.

這對生命週期價值是一個淨積極因素，也是我們在流失率方面看到的改進的一個貢獻者。

The next question comes from Chris Harrell at Capco Asset.

下一個問題來自 Capco Asset 的 Chris Harrell。

I understand that the focus is to rapidly build a subscriber base.

我知道重點是快速建立用戶群。

Today's bearish pricing configurations are reducing the effect of price per subscriber dramatically, which ties into the strong sub growth.

今天的看跌定價配置正在顯著降低每用戶價格的影響，這與強勁的子增長有關。

Do you believe pricing power and higher prices per sub will be a component of future growth at some point?

您是否認為定價能力和更高的單價會在某個時候成為未來增長的一個組成部分？

I think we are playing a marketshare game.

我認為我們正在玩市場份額遊戲。

We discussed it at some length at the Investor Day.

我們在投資者日對此進行了詳細討論。

The reason being engagement drives usage, usage drives data insights, data insights drives a better user experience.

參與推動使用，使用推動數據洞察，數據洞察推動更好的用戶體驗。

A better user experience drives longer lifetime value and faster growth as we just discussed.

正如我們剛剛討論的那樣，更好的用戶體驗可以推動更長的生命週期價值和更快的增長。

We think the global market opportunity is quite large and that we anticipate we will be in fast growth mode for a period of time and so it's in our longer-term strategic interests to play for marketshare, not for short-term pricing power and improved margins.

我們認為全球市場機會非常大，我們預計我們將在一段時間內處於快速增長模式，因此爭取市場份額符合我們的長期戰略利益，而不是為了短期定價能力和提高利潤率.

The next question comes from Louis Citroen.

下一個問題來自路易斯雪鐵龍。

Can you talk about the potential impacts of the music modernization act on Spotify.

您能談談音樂現代化法案對 Spotify 的潛在影響嗎？

Any specific impacts to have in mind on gross margins?

對毛利率有什麼具體的影響需要考慮嗎？

No specific impacts on gross margin, good for the industry, good for copyright owners, good for licensors of content like us, helps dramatically in the remittance of license fee payments, enables us to know who to pay, full stop.

對毛利率沒有具體影響，對行業有利，對版權所有者有利，對像我們這樣的內容許可方有利，極大地幫助匯款許可費，使我們能夠知道向誰付款，句號。

Great.

偉大的。

We have a follow-up question from John Egbert at Stifel.

Stifel 的 John Egbert 提出了一個後續問題。

Disclosure of cost of revenue related to biannual free trials in the prospectus was extremely helpful.

在招股說明書中披露與一年兩次免費試用相關的收入成本非常有幫助。

How should we think about growth in these costs over time?

我們應該如何考慮這些成本隨時間的增長？

Do you expect them to grow in line with growth of subscriber additions or at your current scale, do you think you will see leverage in these costs going forward?

您是否預計它們會隨著訂戶增加的增長而增長，或者以您目前的規模增長，您認為您會在未來看到這些成本的槓桿作用嗎？

I've already commented on the trend in gross margin and I'm not expecting a shift in the seasonality resulting from the engagement in these promotional programs, so I don't think I have anything additional to contribute.

我已經對毛利率趨勢發表了評論，我預計參與這些促銷計劃不會導致季節性變化，所以我認為我沒有任何額外的貢獻。

A follow-up from Barton Crockett of B. Riley.

B. Riley 的 Barton Crockett 的後續報導。

How should we think about the contribution margin of ad growth and where is the gross margin for ad revenues going?

我們應該如何看待廣告增長的貢獻率以及廣告收入的毛利率將何去何從？

Well, the answer kind of depends on what we decide to do in terms of new markets and then over time our ability to monetize those new markets.

好吧，答案取決於我們決定在新市場方面做什麼，然後隨著時間的推移我們將這些新市場貨幣化的能力。

There is a very highly developed advertising market in the US, of course and in Western Europe.

美國有一個非常發達的廣告市場，當然還有西歐。

The ad markets are less well-developed in parts of Southeast Asia by way of example.

例如，東南亞部分地區的廣告市場就不太發達。

Not everywhere, but in some markets and so -- and the ad business is much less profitable in those markets as a consequence.

並非所有地方，但在某些市場等等——因此，廣告業務在這些市場的利潤要低得多。

So we will see how that plays out.

所以我們將看看結果如何。

Another one from Michael Morris at Guggenheim.

另一幅來自古根海姆的邁克爾莫里斯。

One of the most frequent investor questions we receive is confidence in your ability to achieve long-term gross margin targets.

我們收到的最常見的投資者問題之一是對您實現長期毛利率目標的能力的信心。

We believe this is largely tied to future negotiations with record labels.

我們認為這在很大程度上與未來與唱片公司的談判有關。

Can you answer what makes you confident in what investors should be considering in evaluating your potential success?

您能否回答是什麼讓您對投資者在評估您的潛在成功時應該考慮的因素充滿信心？

Are there key incremental revenue streams that don't have direct label costs that are a material part of the expansion?

是否有關鍵的增量收入流沒有直接標籤成本，而直接標籤成本是擴張的重要組成部分？

Well, let me just say growth -- I think we are looking at a different dynamic going forward than we have seen historically.

好吧，我只想說增長——我認為我們正在尋找一種與歷史上不同的動態。

Daniel's vision of a two-sided marketplace and the services that we are developing both for labels and for artists is a value-added play for them and for us and we are building services that haven't previously existed that drive marketing efficiencies that Daniel spoke about earlier that are good for artists, good for labels and good for the margin structure at Spotify.

丹尼爾關於雙向市場的願景以及我們為唱片公司和藝術家開發的服務對他們和我們來說都是一種增值遊戲，我們正在構建以前不存在的服務來提高丹尼爾所說的營銷效率關於早些時候對藝術家、唱片公司和 Spotify 的利潤結構都有好處。

That's a whole lot different than we earn more, they earn less, which honestly was most of what we saw in the renegotiation of the license agreements that moved margins from 15% to 25%.

這與我們賺得更多，他們賺得更少，老實說，這是我們在許可協議重新談判中看到的大部分情況，將利潤率從 15% 提高到 25%。

Next question, a follow-up from Ben Swinburne at Morgan Stanley.

下一個問題，摩根士丹利的 Ben Swinburne 跟進。

Can you talk about your strategy to penetrate auto OEMs with a more integrated experience for consumers?

您能談談您通過為消費者提供更綜合的體驗來滲透汽車原始設備製造商的戰略嗎？

On Cadillac, is it tethered by smartphone or in dash?

在凱迪拉克上，它是通過智能手機還是儀錶盤連接的？

So as it comes to autos, we really have three strategies.

因此，就汽車而言，我們確實有三種策略。

The first strategy is to enable your existing phone to work really well with it.

第一個策略是讓您現有的手機能夠很好地使用它。

That means Bluetooth and as mentioned during our Investor Day, we already have a lot of those users active, tens of millions who are listening to Spotify in the car.

這意味著藍牙，正如我們在投資者日提到的那樣，我們已經有很多活躍的用戶，數以千萬計的人在車裡收聽 Spotify。

The second part of it is in dash partnerships like the one we did with Cadillac.

它的第二部分是像我們與凱迪拉克所做的那樣的破折號合作夥伴關係。

Primarily those are where there is an Internet connection that comes with the car.

主要是那些有互聯網連接的地方。

Tesla is another example of this that we are doing.

特斯拉是我們正在做的另一個例子。

I am seeing more and more of those deals coming through as new cars are starting to roll out.

隨著新車開始推出，我看到越來越多的交易達成。

And thirdly, it's the combination where, through Android auto and Apple CarPlay where you use your existing smartphone as the display on the car dash and the data from the phone acts as the modem to reach the music and we are obviously on both Android auto and Apple CarPlay available on those as well.

第三，它是一種組合，通過 Android auto 和 Apple CarPlay，您可以使用現有的智能手機作為汽車儀錶盤上的顯示屏，手機數據充當調製解調器來播放音樂，我們顯然同時使用 Android auto 和這些設備也提供 Apple CarPlay。

And those are the three modes that we're going after the car opportunity and we are seeing some good growth in all three.

這些是我們追求汽車機會的三種模式，我們看到這三種模式都有良好的增長。

Next question from Brad Arlington from XCM.

來自 XCM 的 Brad Arlington 的下一個問題。

What is causing your premium sub forecast to remain the same as last quarter while your total MAU guidance is ticking higher?

是什麼導致您的溢價子預測與上一季度保持一致，而您的總 MAU 指導卻在走高？

It isn't enough of a change to trickle down through the funnel to drive increased premium subs is the answer to the question.

問題的答案是通過漏斗滴入以推動增加的高級訂閱者的變化是不夠的。

Now if we continue to outperform on the MAU line and it grows significantly faster in the top of the funnel than it will inevitably translate into faster sub growth, but it's not our expectation that we will see that come to pass during this calendar year based on what we are seeing so far.

現在，如果我們繼續在 MAU 線上表現出色，並且它在漏斗頂部的增長速度明顯快於它不可避免地會轉化為更快的子增長，但我們並不期望我們會在這個日曆年中看到這種情況基於到目前為止我們所看到的。

Another question from Ben Swinburne from Morgan Stanley.

來自摩根士丹利的 Ben Swinburne 的另一個問題。

When should investors expect Spotify's R&D intensity to reach the long-term target provided at the Investor Day?

投資者應該期望 Spotify 的研發強度何時達到投資者日提供的長期目標？

Over the long term.

從長遠來看。

But the more successful we are at expanding gross margin, the more you will see us increase our investment in R&D along the lines that I outlined at Investor Day, but if we are not as successful in expanding the margin, then you will see us continuing to spend at the current percent of revenue.

但我們在擴大毛利率方面越成功，你就會越多地看到我們按照我在投資者日概述的路線增加研發投資，但如果我們在擴大毛利率方面不那麼成功，那麼你會看到我們繼續以當前收入的百分比支出。

And we will take one final question from Jessica Reif from BofA Merrill.

我們將接受來自美銀美林的 Jessica Reif 的最後一個問題。

What is the driver of elevated uptake in Japan, which is still largely a physical market?

是什麼推動了日本（仍主要是實體市場）吸收率的提高？

Well, I am not sure we have actually made any comments about Japan.

好吧，我不確定我們是否真的對日本發表過任何評論。

That said, it is a strategic market for us and much like many of our other strategic markets like the US, UK, Germany to name a few, our expectation is that it looks a little bit like an S-curve in the sense that you fairly early have very little traction in the market, but it's growing in absolute terms fairly well and then you hit the sort of peak of the growth curve and then that's where the market catches on and everyone gets excited about streaming and then it kind of gets more into the mature state.

也就是說，這對我們來說是一個戰略市場，就像我們的許多其他戰略市場一樣，例如美國、英國、德國等等，我們的期望是它看起來有點像 S 曲線，因為你相當早的時候在市場上幾乎沒有吸引力，但它的絕對增長相當不錯，然後你達到了增長曲線的頂峰，然後這就是市場流行的地方，每個人都對流媒體感到興奮，然後它有點變得更進入成熟狀態。

Japan is a longer-term opportunity for us and as you said, it is primarily a physical market.

日本對我們來說是一個長期的機會，正如你所說，它主要是一個實體市場。

It takes a while for that market to transition, but it's a very, very big market and it's a market that we are excited about.

該市場需要一段時間才能過渡，但這是一個非常非常大的市場，我們對此感到興奮。

Great.

偉大的。

Thanks, everyone, for your time and with that, I will turn it back over to Daniel for just a few closing comments.

謝謝大家抽出寶貴的時間，我會把它轉回給 Daniel，讓他做一些結束評論。

Yes, I just want to take a moment to thank everyone for participating in this earnings call and we hope that the shareholder letter and this Q&A were informative to you.

是的，我只想花點時間感謝大家參加本次財報電話會議，我們希望股東信和本次問答對您有所幫助。

Our goal is to continue to be as transparent as possible so we welcome any feedback you have on how we can continue to make the earnings process useful for investors and analysts.

我們的目標是繼續保持盡可能透明，因此我們歡迎您就我們如何繼續使收益流程對投資者和分析師有用提供任何反饋。

I also want to take a quick second to thank all of the Spotify employees both past and present who has helped us get to where we are today.

我還想快速感謝過去和現在的所有 Spotify 員工，是他們幫助我們取得了今天的成就。

As I mentioned at the Investor Day, we believe we are only in the second inning of the Spotify journey and I look forward to sharing our future growth in upcoming quarters.

正如我在投資者日提到的那樣，我們相信我們只處於 Spotify 旅程的第二局，我期待在接下來的幾個季度分享我們未來的增長。

Thanks again for listening.

再次感謝您的聆聽。

Thanks, everyone and we will talk to you next quarter.

謝謝大家，我們將在下個季度與您交談。

This concludes today's conference call.

今天的電話會議到此結束。

You may now disconnect.

您現在可以斷開連接。