The fundamental thing music services are missing is the personal connection made with the user, something livestreaming has proven has value regardless of content quality.
Why People Pay for Subscription Entertainment Services
Karen Allen

Nail, meet Hammer.

This is why AM/FM radio is still a media behemoth. This is why people still listen to AM/FM radio stations online. This is why stations brought their DJs back after they all seemed to get it into their head that they could fire them and replace them with auto-playlisting software during the early to mid 2000s. People want personality.

If Spotify were to add DJ sessions, where it is a curated playlist with a DJ intermittently introducing tracks, talking about happenings with the artists and shows, the occasional juicy rumor, they might finally be able to make the leap to “Netflix” level of market influence. But the DJs couldn’t be someone already famous, who already has a show elsewhere, and they can’t be a performer or artist themselves (unless that is the point of their show; mixing and mashups, for example). They need to just be someone who has a love for a niche music market, good taste, and have a personality that people like to listen to. We have on-demand video, and radio online, it’s time for On-demand radio.

Hell, Spotify could even add in talk shows.

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