Music industry clocks first major growth since the dawn of digital age
The growth was thanks to Adele’s global smash ‘25’ which sold 17.4 million copies in 2015, at least five times more than the runners-up Ed Sheeran and Taylor Swift’s works.music Updated: Apr 14, 2016 15:07 IST
Adele had the world’s best-selling album last year, a global smash that helped music revenues record their first significant growth since the dawn of the digital age two decades ago.
Figures released Tuesday by the International Federation of the Phonographic Industry show that the British singer’s chart-topping ‘25’ sold 17.4 million copies - five times more than runners-up Ed Sheeran and Taylor Swift, whose albums ‘X’ and ‘1989’ both sold 3.5 million copies.
The year’s best-selling single was ‘See You Again’ by Wiz Khalifa featuring Charlie Puth, which moved 20.9 million copies.
The IFPI said global revenues from recorded music rose 3.2% between 2014 and 2015, to $15 billion, as an industry decimated by the digital revolution returned to growth. The group said the rise marks “the industry’s first significant year-on-year growth in nearly two decades.”
IFPI chief executive Frances Moore said the figures “reflect an industry that has adapted to the digital age and emerged stronger and smarter.”
Listen to Adele’s Hello
Sales of digital music, including streaming and downloads, accounted for 45% of the total, compared to 39% for vinyl, CDs and other physical products - the first time digital music has generated the biggest share of revenue. Performance-rights revenue accounts for most of the remainder.
Online, people increasingly listen to music by streaming rather than downloading. Streaming revenue rose by 45% in 2015, while money from downloads declined by 10.5%.
Despite revenue rising overall, the report says there is a growing gap between the amount of music being consumed and the money being returned to artists and producers. The IFPI said this “value gap” has increased due to the growing popularity of music being streamed on advertising-supported “user upload” services such as YouTube, which argue that they are exempt from the licensing rules applied to other online music services - and so pay less to musicians and record companies.
Moore said that “the value gap is the biggest constraint to revenue growth for artists, record labels and all music rights holders” and lawmakers around the world should close the streaming loophole.
First Published: Apr 14, 2016 11:09 IST