October 2008 witnessed online music being taken to a whole new level with the launch of Spotify. This free music app started with a simple vision of converting millions of pirates who illegally downloaded music to a potential customer base, providing them with a legal service for the same. Little did the founders know this app would take the world by storm and become the go to music application for millions. Keep reading to know how this Swedish music company turned free music into a $ 26 billion dollar fortune.
Where it all began
Spotify is the brainchild of Swedish entrepreneur Daniel Ek. Daniel Ek was born in Stockholm on the 21st of February 1983. Ek had a passion for technology since his childhood. At the age of 14, he was already developing web pages for businesses and managed to earn around $150,00 a month. He invested this money into servers where he hosted web pages. In the year 2006, Ek started his own online marketing firm, Advertigo. Despite all this, Ek was looking for something which would give him more than just money—satisfaction.
Back then, Sweden was home to millions of pirates who downloaded and shared music illegally. When the government finally decided to shut that down, Daniel Ek saw a great opportunity to turn these pirates into potential customers and thus began the journey of Spotify.
Ek sold his marketing firm to the Swedish company TradeDoubler and then established Spotify along with Martin Lorentzon, the cofounder of TradeDoubler.
Initial developments and struggles
Spotify’s development began in the year 2006 by Daniel Ek, Martin Lorentzon and a team of people at Spotify, in Sweden. According to Daniel Ek, the Company’s name is a combination of the two words “spot” and “identify”.
In the beginning, the music industry showed very little interest in Spotify, as its idea to stream free music earned the industry far less revenue when compared to other paid services such as iTunes. For this reason, it became extremely difficult for Ek and Lorentzon to get investors on board for the project. All these limitations, however, could not stop them. The Spotify development team was finally able to launch the official application by 7th October 2008.
From an idea to a billion dollar entity
After the launch of the app, Spotify was unstoppable. Within a short span, the app gained immense popularity, both among users and investors. In 2009, Spotify won the backing of Facebook when Mark Zuckerberg took to his social media and wrote “Spotify is good.” By 2010, the market value of Spotify increased to be $ 4 billion. In 2011, Spotify launched its services in the United States and allied with Facebook. The user base of Spotify quickly grew to 5 million active users by the end of that year. In 2012, Spotify had 18 billion tracks and 20 million users. Over the years, top artists started collaborating with the streaming and Spotify started spreading its wings to the U.S.A., New Zealand, Australia and parts of Africa and Asia. As of April 2019, Spotify provides access to over 40 million tracks and has over 200 million users, more than 100 million of whom pay for the service.
Future scope of Spotify
At present, Spotify has to rely on speakers made by Apple, Amazon and Sonos, but recent reports suggest that Spotify is working on its own voice assistant and smart speaker. This smart speaker could prove to be a rival for Amazon’s Alexa.
Ten years ago, Ek made an assumption, people who go against the law to download music could as well pay a small fee to stream music in a legal way. This assumption of his proved to be true and today, one among the most used apps in the world.
Daniel Ek and Martin Lorentzon proved to the world, with passion and hard work, no goal is too far. Every entrepreneur can definitely learn something by looking at Spotify’s decade long journey.
Burt’s Bees Founding Story
Burt’s Bees is a famous American personal care products company known for using all natural ingredients in its products. The Company was founded in 1984 in Maine under some unlikely circumstances. Burt’s Bees was founded by Burt Shavitz, a photographer turned beekeeper and Roxanne Quimby, a candle maker.
Burt Shavitz, whose face has been gracing all Burt’s Bees products since the Company was founded, was a famous photojournalist who had his photographs featured in Time and Life magazines. Shavitz considered his life unfulfilled in the city of Manhattan and escaped to rural Maine, where he started a honey business. During this time, Shavitz met Roxanne Quimby, an artist and candle maker.
The two struck up a partnership to start a candle making business using the beeswax from Burt Shavitz’s honey business. They started the business with an investment of $ 200 in an abandoned one room schoolhouse. Shavitz and Quimby started selling their beeswax candles at a high school craft fair. The business flourished and within a year, the duo made a $ 20,000 profit. In 1989, they increased their production after getting a large order from a New York boutique and moved their headquarters to an abandoned bowling alley.
During this time, Quimby came across a 19th century beekeeping book which included homemade personal care recipes using beeswax. This prompted the Company to change its direction from candle making to personal care products. Burt’s Bees became a legal corporation in 1991 and introduced the most famous product of the Company, Burt’s Bees lip balm. By 1993, the Company’s main focus was exclusively on personal care products. The Company slowly started expanding to international market and started selling its product in Japan by the late 1990s.
However, during this time, Roxanne Quimby forced Shavitz out of the Company over personal issues. In 1999, Quimby bought Shavitz’s stake of the Company and offered him a $ 130,000 house in Maine. Quimby went on to sell the Company to the Clorox Corporation in 2007 for $ 925 million.
Now, after 35 years since its inception, Burt’s Bees is still a popular brand, selling more than 100 products under its name. The success of Burt’s Bees also made its founders, who were just small business owners earlier, millionaires.
Michael Dell Unknown Facts
Michael Sull Dell, the founder and CEO of Dell Technologies, is a well known businessman and philanthropist. He is also considered one of the most powerful figures by several magazines. Here are some lesser known facts about Michael Dell.
Unknown facts about Michael Dell
1) Michael Dell, in an effort to enter the business world early, took a high school equivalency exam at the age of 8.
2) Like many self made billionaires, Michael Dell had a humble beginning and worked part time as a dishwasher at a restaurant and sold subscriptions of the Houston Post during his high school days.
3) Michael Dell started his first business when he was 12 and formed a marketing company which offered national stamp auction through mail. The business was a profitable one, with Dell earning $ 2000 from it.
4) Michael Dell’s very first computer was an Apple II, which he later tore apart in order to see how the inside of the computer worked.
5) Even though Michael Dell is known as a tech giant, he attended college as a pre med student. While at college, Dell started an informal business and eventually dropped out, after his business became a success.
6) Dell set a new record in the city of Manhattan when he purchased a penthouse at One57 skyscraper for $ 100.47 million.
7) Michael Dell is not just a businessman and philanthropist, but also an author. Dell collaborated with author Catherine Fredman to write a book Direct from Dell: Strategies that Revolutionized an Industry, which describes Dell’s business journey.
Michael Dell climbed the ladder of success at an early age, with his focus and dedication. Now worth $ 35 billion, he is an inspiration to many entrepreneurs.
Which of these facts about Michael Dell did you find interesting? Comment below and let us know.
Coco Chanel Most Inspiring Quotes
Gabrielle Bonheur Chanel, known to the world as Coco Chanel, was a French designer and founder of the Chanel brand. Known for revolutionising the fashion industry, Coco Chanel still remains one of the most influential people in the world. Here are the 7 most inspiring quotes by Coco Chanel.
Most inspiring quotes by Coco Chanel
1) About wasting time
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If something does not work out, move on and try something new. . . #StartupStories #StartupLife #FactOfTheDay #MondayMotivation #GrowthTips #LifeHack #motivationalspeakers #motivationalquotes #inspirationalquotes #inspiration #success #successmindset #believeinyourself #believe #entrepreneur #entrepreneurship #entrepreneurgoals#instadaily #instainspire
2) About success
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If you believe you are going to be successful, then you are already halfway there. . . #StartupStories #StartupLife #FactOfTheDay #FridayFacts #cocochanel #GrowthTips #LifeHack #motivationalspeakers #motivationalquotes #inspirationalquotes #inspiration #success #successmindset #believeinyourself #believe #entrepreneur #entrepreneurship #entrepreneurgoals#instadaily #instainspire
3) About being unique
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Don't be afraid of being different! . . #StartupStories #SuccessStories -#GrowthTips #LifeHacks #StartupLife #CocoChannel #ThursdayThoughts #entrepreneur #entrepreneurquotes #entrepreneurmindset #entrepreneurlifestyle #entrepreneurship #entrepreneurslife #motivation #motivationalquote #motivationalquotes #motivationalquoteoftheday #inspirationalquotes #instainspiration #startupmindset #success #successstories #successquotes #successtips #successmantra #instamood
4) About being courageous
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How often have you thought for yourself? . . #StartupStories #CocoChanel #chanel #MotivationalQuotes #MondayMotivation #startups #startuptips #startuplife #startupgrind #startupmindset #success #successstories #successquotes #successtips #successmantra #entrepreneur #entrepreneurquotes #entrepreneurmindset #entrepreneurlifestyle #entrepreneurship #entrepreneurslife #motivation #motivationalquote #motivationalquotes #motivationalquoteoftheday #inspirationalquotes #instainspiration
5) About changing your life
6) About growth
7) About change
Coco Chanel, through her creative vision, showed the world fashion is more important than beauty. Everything she created was aimed at making women’s lives a little bit easier and better.
Which of these quotes by Coco Chanel inspired you the most? Comment below and let us know.
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