SoundCloud’s new $5 a month service has the best features for half the price

Less than a year after launching its subscription service, SoundCloud is already making changes to its offering. SoundCloud is introducing a mid-tier offering for $4.99 a month that will remove ads and add offline support to the standard SoundCloud experience. The mid-tier offering will be called SoundCloud Go, while the $10 a month on-demand service formerly known as SoundCloud Go has been rebranded as SoundCloud Go+.

In a statement, SoundCloud CEO Alex Ljung says the addition of a mid-tier plan will help the company bring in more revenue, something SoundCloud has reportedly been struggling with recently. “By expanding our offering, we not only enhance the experience for listeners on the platform, but also unlock new revenue opportunities to further expand our creator-payout program,” Ljung said.

SoundCloud has had a tumultuous few months, losing its COO and finance director after an acquisition deal with Spotify fell through. The company is currently looking for additional funding, according to the Financial Times, as it may run out of funds before the end of the year.

The biggest question for SoundCloud moving forward — outside of the liquidation issue — is still conversion. According to multiple sources, the company has had trouble converting the 175 million active users that visit the site every month into paying subscribers.

Monetizing the most loved portion of the site — the user- and artist-uploaded content — arguably should’ve been the first move for SoundCloud, but now that it’s happening there’s a chance a mid-tier plan could entice users to finally get a subscription.

SoundCloud says its new subscription tiers will go live later this morning at 8AM ET.