The global recorded music market grew by 8.1 percent in 2017, according to the latest IFPI report. Figures released April 24 in IFPI’s Global Music Report 2018 show total revenues for 2017 were US$17.3 billion.
Streaming remains the main driver of recovering revenues and, for the first time, has become the single largest revenue source with 176 million users of paid streaming services contributing to year-on-year streaming growth of 41.1 percent. Streaming now accounts for 38.4 percent of total recorded music revenue and its growth has more than offset a 5.4 percent decline in physical revenue and a 20.5 percent decline in download revenue. Total digital income last year accounted for more than half of all revenue (54 percent) for the first time.
2017 marks the industry’s third consecutive year of growth, following 15 years of significant revenue decline. Despite the recent uplift, revenues for 2017 are still only 68.4 percent of the market’s peak in 1999.
Frances Moore, chief executive, IFPI, commented, “It’s been another incredibly exciting year for music. The work and investment from record companies is enabling brilliant, diverse artists to break through to fans around the world, soundtracking their lives and bringing them increasingly rich and immersive ways to enjoy the music they love. The industry is on a positive path of recovery but it’s very clear that the race is far from won. Record companies are continuing in their efforts to put the industry back onto a stable path and, to that end, we are continuing our campaign to fix the value gap. This is not just essential for music to thrive in today’s global market, but to create the right – fair – environment for it to do so in the future.”
Key figures for 2017:
· Global revenue growth: +8.1%
· Digital share of global revenues: 54%
· Digital revenue growth: +19.1%
· Growth in streaming revenues: +41.1%
· Physical revenues: -5.4%
· Download revenue: -20.5%
Read the full ‘State of the Industry” report at ifpi.org
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