IFPI Annual State of The Industry: Global Music Report 2018
24 Apr 2018
This annual IFPI 2018 report is a commentary and analysis of the sector in 2017.
Music is on an extraordinarily ex citing, albeit complex and challenging, path – artistically,technologically and commercially.
Undergoing its digital transition earlier than others, music initially struggled to find a way to connect artists and their music with
fans. Record companies faced the challenge,working not only at the forefront of support for artistic creation, but digital and technological innovation as well.
This year’s IFPI Global Music Report demonstrates that these efforts are yielding results. After 15 years of decline, global recorded music achieved its third consecutive year of growth last year, with more fans listening to more music around the globe in
increasingly rich and immersive ways.
In 2017, the global recorded music market grew by 8.1%. This was the third consecutive year of global growth and one of the highest rates of growth since IFPI began tracking the market in 1997. Revenues increased in most markets and in eight of the global top 10 markets.
Driven by fans’ engagement with streaming– especially paid subscription audio streaming– digital revenues now account for morethan half (54%) of the global recorded music market. Total streaming revenues increased by 41.1% and, for the first time, became the single largest revenue source. By the end of 2017, there were 176 million users of paid subscription accounts globally, with 64 million having been added during the year.
However, to put this recovery in context, total industry revenues for 2017 were still just 68.4% of the market’s peak in 1999. Against the backdrop of a global market that had endured 15 years of significant revenue decline, record companies are working to fuel the recent return to growth and ensure music creators receive fair value.
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%
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