A lot of people are playing music through services including Apple Music and Spotify, and the record industry is seeing a major uplift.
Revenue earned from these streaming services in the United States increased by 26 percent, in the beginning, six months of the year, as per the trade group Recording Industry Association of America, which has been reported by The Wall Street Journal.
That builds up for revenue of $4.3 billion, as per the research which was conducted by the group, which shows approximately 80 percent of the music industry’s total revenue.
Although this involved both paid subscriptions and ad-supported streams, the report, along with this, discovered that paid subscriptions increased by 31 percent, accountable for 62 percent of the industry’s overall revenue.
Spotify holds more than 100 million subscribers, and Apple Music has 56 million paid subscribers. The record industry in the United States observed an 18 percent growth in revenue — reaching $5.4 billion — in the first six months of the year 2019.
It’s not just streaming that’s allowing the industry to observe a boost, though: physical media sales also increased. Both vinyl and CDs observed growth in sales, growing 5 and 13 percent, respectively.
CD sales were held accountable for roughly $485 million of the industry’s revenue for the beginning six months of the year, along with this, vinyl sales arrived in an additional $224 million.
Along with the notable growths in physical media purchases, it is clear as crystal that streaming is a dominant factor for the industry in the United States. More artists have been through streaming platforms, too.
Taylor Swift, Drake, and Ariana Grande are a few of the top performers on various platforms like Spotify, as per the study. Even Tool recently built their music which is available on streaming platforms for the very first time. Still, artists are only paid with a minute fraction of every stream.