Soundrop began as an app on Spotify that created real-time group listening rooms using the platform’s catalog. The company has expanded beyond Spotify with a standalone web app (play.soundrop.fm), Facebook integrations and iOS and Android apps, and says integrations such as YouTube are already available. Soundrop plans to roll out apps on additional music and streaming platforms (for example Deezer and other services) to capture more users. Its product focus is shifting from generic music discovery toward artist- and label-specific rooms, which labels view as a promotional platform. Artist events are now driving the bulk of the company’s revenues; Soundrop runs artist events almost every day, several per day, and about 130 artists have created rooms. The company cites large promotional successes — for example Universal Music DJs Sebastian Ingrosso & Alesso generated 28 million OTS users after heavy marketing — and intends to scale artist events to drive further revenue and growth. Soundrop builds social "listening rooms" and a jukebox-style service that lets Spotify users listen together and discover music. The app launched in January 2012 and has grown to about 7,000 rooms with some 60 million songs and 3.3 million listening sessions logged. It partners with labels and artists to create official rooms (examples include Universal Music placements and rooms for artists like One Direction, Sigur Rós and Iron Maiden). The company plans to expand its catalog of rooms and users, develop commercial services with labels and venues, and push more activity on mobile (including possible location-based features). Product work also includes improving recommendation and discovery algorithms and making the service mechanics more reliable after moving from cloud to dedicated servers. Soundrop has begun hiring and is opening offices in Berlin and Stockholm to work more closely with Spotify and ramp up business with labels in New York and London.

Total raised

$6M

Funding rounds

2

Latest round

Equity

Latest activity

Sep 2013