IFPI Recording Industry in Numbers 2012 — Key Highlights

Global music sales were down 3% in trade value in 2011. Seven of the top 20 markets showed growth.

Music sales are still down 40% compared to 2001, underlining the industry’s extremely difficult environment. Many top 20 markets are still seeing sharp declines in sales, including Japan. the Netherlands. Switzerland. Belgium and Austria.

Digital revenue growth accelerated, up 8% to US$5.2 billion. Digital accounts for more than 50% of revenues in the US and South Korea. For the first time we report synchronisation income, up 5.7% to account for 2% of world sales. Performance rights revenues also grew by 4.9% to accotuit for 6% of total industry revenues.

Adele’s ‘21’ is the biggest selling album of the last decade, with 18.1 million sales globally. Bruno Mars ‘Just The Way You Are’ topped the global digital singles chart.

The number of subscribers to music services rose 65 to 13.4 million in 2011. At the same time, the number of songs downloaded via à-la-carte services were up 19% to 3.7 billion. Digital tracks increased 17% by volume and digital albums sales rose 26%.

Existing and new digital services, such as iTunes, Spotify and Deezer, are expanding to new markets globally: the major international services are now present in 68 markets, up from 23 at the end of 2010

The BRIC economies are showing potential. Brazil (up 8.6%) has a growing middle class and the expanding digital services. India (up 6.2%) has a growing economy and more thaii 700 million people uinder the age of 30. In China, the industry has struck a groundbreaking partnership with internet company Baidu. Russia could become a top 1 0 market but is being held back by a culture of copyright infringement epitomised by social networking site vKontakte.

Physical products still account for 61% of revenues and record companies are actively developing new products such as deluxe box sets. Meanwhile, vinyl sales have doubled in the last five years, though still accounting for only 1% of global sales.

Piracy remains the biggest barrier to growth globally. Government action and cooperation front intentiediaries are the industry’s top priorities. There is evidence that graduated response and website-blocking measures to tackle the problem are having an impact (notably France, New Zealand. South Korea and Italy).

If you like this post, please consider sharing it.

Leave a Comment

Your email address will not be published. Required fields are marked *