Global recorded-music revenue growth slowed down dramatically in 2022 but still was up 9% according to the year-end report from the International Federation of the Phonographic Industry’s released Tuesday.
While 2021 saw an 18.5% growth, largely due to an increase in streaming numbers as the world waited at home for the pandemic to lift, a growth in global streaming numbers powered the past year’s lift, which showed total trade revenues for year at $26.2 billion.
Subscription audio streaming revenues increased by 10.3% to $12.7 billion, and there were 589 million users of paid subscription accounts at the end of 2022, according to the report. Total streaming (including both paid subscription and advertising-supported) grew by 11.5% to reach $17.5 billion, or 67% of total global recorded music revenues, according to the IFPI, which represents more than 8,000 record company members worldwide.
Physical revenues were up 4%, largely thanks to the continued strength of vinyl sales; performance rights revenue increased by 8.6% and returned to pre-pandemic levels; and synch income soared by 22.3%.
“This year’s report tells the continued story of record companies’ commitment to their core mission – working with artists to help them achieve their greatest creative and commercial potential over the course of a career,” said IFPI CEO Frances Moore. “However, as the opportunities for music continue to expand, so too do the areas in which record companies must work to ensure that the value of the music artists are creating is recognized and returned. This challenge is becoming increasingly complex as a greater number of actors seek to benefit from music whilst playing no part in investing in and developing it.”
Recorded-music revenues grew in every region around the world in 2022, according to the report’s breakouts below:
• TheUSA & Canadaregion – the world’s largest in revenue terms – grew by 5.0% in 2022; The world’s single biggest market, the USA, grew by 4.8% a – exceeding US$10 billion for the first time – and Canadian recorded music revenues increased by 8.1%.
• Asiagrew by 15.4% with its largest market, Japan, seeing growth of 5.4% whilst the second largest market, China, grew by more than 20% (28.4%),becoming a global top five market for the first time. In a continuing trend, Asia also accounted for almost half of global physical revenues (49.8%).
• Australasiaexperienced growth of 8.1%, an increase on the prior year’s growth rate of +4.7%. Australia (+8.1%) remained a top 10 market globally and New Zealand saw a rise in streaming revenues push the overall market to growth of 8.0%.
• Revenues inEurope,the second-largest recorded music region in the world, grew by 7.5%, with the region’s three biggest markets all posting gains: UK (+5.4%), Germany (+2.2%) and France (+7.7%).
• Latin Americasaw gains of 25.9%, maintaining more than 10 years of regional increases. Every market in the region posted double-digit growth.
• Middle East and North Africa– previously the fastest growing market in 2021, MENA had third highest growth rate in 2022, seeing increase of 23.8%, and representing the highest share for streaming of any region globally (95.5%).
• Sub-Saharan Africa– becoming the fastest growing region in 2022 with more than 30% growth (34.7%), SSA was driven largely by a significant boost to revenues in the region’s largest market, South Africa (+31.4%).
