The IFPI has released a report titled, “Global Music Report 2021.” The Report reviews the revenues for the global recorded music industry. The news is good with streaming paving the way for an increase in revenue even with COVID-19! The press release states:
The global recorded music market grew by 7.4% in 2020, the sixth consecutive year of growth, according to IFPI, the organisation that represents the recorded music industry worldwide. Figures released today in IFPI’s Global Music Report show total revenues for 2020 were US$21.6 billion.
Growth was driven by streaming, especially by paid subscription streaming revenues, which increased by 18.5%. There were 443 million users of paid subscription accounts at the end of 2020. Total streaming (including both paid subscription and advertising-supported) grew 19.9% and reached $13.4 billion, or 62.1% of total global recorded music revenues. The growth in streaming revenues more than offset the decline in other formats’ revenues, including physical revenues which declined 4.7%; and revenues from performance rights which declined 10.1% – largely as a result of the COVID-19 pandemic.
I couldn’t agree more with the statement by the IFPI Chief Executive Frances Moore:
“As the world contends with the COVID-19 pandemic, we are reminded of the enduring power of music to console, heal and lift our spirits.
Some things are timeless, like the power of a great song or the connection between artists and fans. But some things have changed. With so much of the world in lockdown and live music shut down, in nearly every corner of the globe most fans enjoyed music via streaming.”
And, the whole world was happier with music:
· Latin America maintained its position as the fastest-growing region globally (15.9%) as streaming revenues grew by 30.2% and accounted for 84.1% of the region’s total revenues.
· Asia grew 9.5% and digital revenues surpassed a 50% share of the region’s total revenues, for the first time. Excluding Japan (which saw a decline of 2.1% in revenue), Asia would have been the fastest-growing region, with exceptional growth of 29.9%
· Featured as a region in the report for the first time, recorded music revenues in the Africa & Middle East region increased by 8.4%, driven primarily by the Middle East & North Africa region (37.8%). Streaming dominated, with revenues up 36.4%.
· Revenues in Europe, the second-largest recorded music region in the world, grew by 3.5% as strong streaming growth of 20.7% offset declines in all other consumption formats.
· The US & Canada region grew 7.4% in 2020. The USmarket grew by 7.3% and Canadian recorded music revenues grew by 8.1%.