Global music revenues reach $23.1 Bn in 2020 with a 7% annual growth despite pandemic according to media and technology analysts, MIDiA Research. The global pandemic caused widespread disruption to the music business, in particular decimating the live business and impacting publisher public performance royalties. Although the recorded music business experienced a dip in the earlier months of the pandemic, the remainder of the year saw industry revenue rebound, making it the sixth successive year of growth. The growth rate was significantly below the 11% increases seen in both 2018 and 2019, and the annual revenue increase was just $1.5 Bn, compared to $2.1 Bn in 2019. Global revenue was down 3% in Q2 2020 compared to one year earlier, but up to 15% growth in Q4 2020, suggesting a strong 2021 may lie ahead if that momentum continues.
Streaming revenues reached $14.2 Bn, up 19.6% from 2019, adding $2.3 Bn, up from the $2.2 Bn added in 2019. Independent labels and artists direct both strongly overperformed in the market, collectively growing at 27% and thus increasing their combined streaming market share to 31.5%.
In 2019, artists direct were the stand-out success story, massively outperforming the market. History repeated itself in 2020 with artists direct growing by a staggering 34.1% to break the billion-dollar market for the first time, ending the year on $1.2 Bn and in the process increasing market share to 5.1% in 2020. The analysts conclude that, “The continued rise of independent artists reflects the clear and pronounced market shift towards this new, emerging generation of artists.”
