Digital Drives Oz Recorded Music Industry Growth
The Australian Recording Industry Association (ARIA) has revealed the increasing role of music streaming services in the Australian recorded music industry.
ARIA figures show a 5 per cent increase in the value of the industry in 2015 to $333.8 million, which it states is “the first upwards trend the industry has experienced in its annual wholesale figures since 2012”.
“The growth was driven by the continued uptake by Australian consumers of emerging digital business models – in particular, musical streaming services, from which revenue doubled over the course of the year,” ARIA states.
The streaming category includes revenues from subscription services, including Apple Music, Deezer, Google Play, Guvera and Spotify, along with non-subscription on-demand streaming services, including YouTube and Vevo.
Last year, digital accounted for 62 per cent of the overall market by value, up from 59 per cent in 2014. While digital download revenues (including digital tracks and albums) declined 12.96 per cent, the total value of digital formats rose 10.6 per cent to $207.6 million, which was driven by streaming revenue increases.
Revenue from physical sales, meanwhile, fell 3 per cent in 2015, compared to an 18 per cent fall the previous year, while revenue from vinyl sales rose 38 per cent.
“It is exciting to see our local industry return to growth in 2015,” ARIA chairman Denis Handlin commented. “The music business has continued to manage its way through times of challenge and transition.
“While the work with government, ISPs and other service providers to ensure artists and record labels are properly rewarded for their creative efforts is far from over, Australian music fans are embracing the many legitimate platforms where an incredible range of local and international music is widely available.”