German music sales top €2 Bn in 2022 again for the first time in 20 years according to the BVMI in recently released figures. Turnover was €2.07 Bn in 2022 from sales of CDs, vinyl LPs and downloads as well as revenues from the streaming business. It is for the first time in 20 years that the €2 Bn mark has been surpassed; the last time this was the case was in 2002 (€2.21 Bn). Compared to 2021, the market growth amounts to 6.1%.
Unlike 20 years ago, however, today the vast majority of revenues (80.3%) come from online sales compared to 19.7% from the physical business. By far the strongest market segment is audio streaming, which grew by a significant 14.0%, now accounting for 73.3% of total industry sales. Despite a renewed decline (-17.1%), the second most important revenue earner remains the CD with a market share of 12.9%, vinyl is in third place as in the previous year with a revenue share of 6%; however, the increase (5.1%) here was significantly lower than last year (2021: +20.1%). Downloads contribute only 2.2%.
Overall, the digital business grew by 11.7% in 2022, while the physical market declined by 11.9%.
Dr Florian Drücke, Chairman & CEO of the BVMI sais, “A plus of 6.1% means growth for the fourth year in a row. The fact that the German music industry has taken the €2 Bn mark for the first time in two decades is good news of far more than symbolic value! Looking at streaming, it will be exciting to see how the price increases we have seen recently from the first providers will now play out in the wider market and also how Short Form Videos will be able to monetise even more. On the subject of vinyl, on the other hand, our data has shown for many years that records also have a strong appeal to many young people. Here, the culture passport could have a stimulating effect from summer 2023 and inspire fans and the industry alike.”
