Music streaming company Deezer is testing its own wellness app, called Zen by Deezer.
The project was revealed this week as part of the company’s first-half 2022 results, Deezer’s first earnings release as a publicly traded company.
Deezer’s earnings results, released yesterday (August 24), showed a loss of 300,000 subscribers in the first half of the year, showing a 2.9% year-on-year drop in total subscribers from 9.7 million to 9.4 million at the end of June.
The decline came as 10.7% the increase in its subscriber base in France offset a 18% drop in its number of subscribers in the rest of the world, according to the results of Deezer.
Despite a decline in subscribers outside of France, Deezer’s overall first-half sales increased 9.9% year over year (at constant exchange rate) at 219 million euros in H1 2022.
The music streaming service made its official stock market debut on Euronext Paris last month, after merging its business with I2PO, a special purpose acquisition company (SPAC) based in France.
Commenting on Deezer’s first-half “business highlights” during the company’s investor call today (August 25), Deezer CEO Jeronimo Folgueira said the company “has made progress in several areas that will continue to support our growth in the future, and will reflect the implementation of our strategy”.
Among the areas listed were “an improved version of Track mix, a new AI-generated way to discover music based on your personal tastes”, as well as Deezer’s plan to reposition the brand to appeal to younger users. to the streaming service.
Folgueira also cited the development of a new wellness app called Zen by Deezer, which Folgueira says “we plan to roll out in 2023.”
He added: “We expect this to be a very profitable cross-selling opportunity.”
On the app’s page on Apple’s App Store, Deezer says the app will feature music and sounds, guided yoga, breathing exercises, meditation and more.
According to an explanatory article on the Deezer community page, the Zen by Deezer app is currently only available on IOS and for users in Belgium, with plans to develop an Android version in the near future.
In Deezer’s earnings press release, the company says Zen by Deezer is “currently being tested with small groups of users to prepare for an early 2023 launch.”
Deezer says it’s “also developing several other apps, to further expand its diversification portfolio and generate profitable cross-selling opportunities.”
The new app’s explainer page also references a feature called “Mood Selector,” which Deezer says will help the platform “understand what mood you’re in and show you content that matches that mood.”
Adds the message: “It will help you stay positive by increasing or maintaining your level of well-being. Pick the vibe that suits your mood and we’ll recommend content that matches your selection.
When Zen by Deezer gets a wider rollout, the app will enter a space dominated by meditation apps like Calm and Headspace.
The app would also enter a market that would attract fewer users and less engagement than it did during the pandemic.
According to a report from app analytics firm Apptopia, released this month, combined user sessions of the top 10 meditation apps fell 48% from Q2 2020.
The report also notes that “Calm and Headspace user sessions were down 26.4% and 60.3% respectively year-over-year in July.”
Commenting on the company’s results, Deezer CEO Jeronimo Folgueira said: “This positive momentum shows the strength of Deezer’s unique B2B/B2C strategy, as well as our ability to capture the global growth of the streaming industry. musical.
“The success of our IPO on Euronext Paris is a major step that gives us the means to successfully pursue the expansion of Deezer.
“With a highly competitive product, a clear strategy, a renewed and experienced management team, supported by a strong new Board of Directors, I am very confident that we are now perfectly positioned to accelerate our growth and deliver substantial value to all our stakeholders.”
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