If the purpose of Spotify is to pay artists, then it's objectively a failure.
If you want pay musicians for their music, then you'd be better off buying albums on bandcamp or attending concerts. Paying Spotify is marginally better than just lighting your money on fire.
If the purpose of Spotify is to allow you to listen to music with minimal effort and cost, and don't care if the bands get paid then it does a middling job among paid services. It's probably more convenient than piracy, but I don't know what the state of modern music piracy is (I could imagine a gray-area Internet group that does a better job with metadata and recommendation algorithms than the paid sites do, and that links to a popcorn time style torrent thing.)
I don't understand what does attending live shows have to do with how you listen to their music. Ppl who do listen on spotify also do that.