US recorded music revenues up 4% in first half of 2024 generating $8.4 Bn at estimated retail value according to the RIAA. The number of paid subscriptions grew to a record high of 99 million, with revenues up 4% to $5.7 Bn and accounted for 78% of the first half total. While paid subscriptions contributed nearly two-thirds of the added value in this period, vinyl shipments accelerated faster than any other major music format at 17%.
Streaming
Revenues from streaming services made up 84% of total revenues fin the US for the fifth straight year with paid subscriptions outpacing other types in this category. In the first half of 2024, streaming services grew 4% at retail value to a record high $7.3 Bn.
During this period, revenues from paid subscription services grew 4% to $5.7 Bn and accounted for 78% of streaming revenues – nearly two-thirds of total mid-year revenue. Limited-tier subscriptions fell 4% to $503 million and include services such as Amazon Prime, Pandora Plus, music licenses for streaming fitness services, which are narrowed by factors like mobile access, catalogue availability, product features, or device restrictions
As more Americans find added value in music, the average number of subscriptions has grown 3% to a high of 99 million, compared to 96.5 million in 2023. These figures exclude limited-tier services and count multi-user plans as a single subscription.
Advertising supported on-demand services like YouTube, ad-supported version of Spotify, Facebook and others grew slower than in recent years, up 2% to $899 million. These ad-supported services contributed only 10% of total H1 2024 recorded music revenues. Digital and customized radio grew 2% to $672 million in 2024 with SoundExchange distributions for revenues from SiriusXM and internet radio stations as well as direct payments from similar services (noted in this report as “other ad-supported streaming”). SoundExchange distributions grew 4% to $517 million while other ad-supported streaming revenues of $155 million were down 3%.
Physical Products
Revenues from physical music formats continued to outpace all other major forms of recorded music. Total physical revenues of $994 million were up 13% versus the prior year. Vinyl grew 17% to $740 million and accounted for three-quarters of physical format revenues. For the fourth consecutive year, vinyl outsold CDs in units (24 million vs 17 million). Revenues from CDs were relatively flat at $237 million in 2024.
Digital Downloads
Declining in share for a 14th straight year, digital downloads accounted for just 2% of US recorded music revenues in 2024 as revenue in other categories hit record highs. Both digital album sales and individual track sales were down to $88 million and $82 million, respectively
The full report can be downloaded here.
