Naava Grey performs during her concert at Serena Hotel in Kampala on February 14, 2025. This year’s global music report shows that global recorded music revenues have grown for the 10th consecutive year. PHOTO | FILE
The latest global music report by the International Federation of the Phonographic Industry (IFPI) shows that global recorded music revenues have grown for the tenth consecutive year. Figures released in IFPI’s Global Music Report 2025 reveal that total trade revenues reached $29.6 billion in 2024, up by 4.8 percent. Working within a highly competitive market, record companies’ long-term investment into the careers of artists, alongside the development and licensing of engaging and exciting ways for fans to experience music, continues to drive the growth of the global market. The report says this is underscored by every region experiencing an increase in revenue in 2024. Subscription streaming was the key driver of growth, with an increase of 9.5 percent whilst users of subscription accounts grew 10.6 percent to 752 million globally. According to the report, streaming revenues exceeded $20 billion for the first time ($20.4 billion) and represented 69 percent of total recorded music revenues. For context, $20 billion was bigger than the entire recorded music industry revenues for each year between 2003-2020. Paid subscription streaming revenue increased 9.5 percent in 2024, whilst ad-supported streaming formats grew by a more modest 1.2 percent.
Taking stock
Physical formats had a more challenging year, with revenues declining by -3.1 percent. This was against a strong performance in 2023 when revenues soared by 14.5 percent. Vinyl revenues continued to grow in 2024, up 4.6 percent, which was the 18th consecutive year of growth. Performance rights revenues meanwhile reached $2.9 billion in 2024 and grew by 5.9 percent, the fourth successive year of revenue growth. Revenues from downloads and other digital formats continued to decline for the 12th consecutive year, reflective of a market where fans are increasingly streaming music. These revenues accounted for just 2.8 percent of global recorded music revenues. Synchronisation revenues grew for a fourth successive year in 2024 and totalled $650 million. These revenues pertain to the use of recorded music in films, TV, advertising and gaming. Synchronisation accounted for 2.2 percent of global recorded music revenues. “The essential role music plays in so many parts of our lives is evidenced in the continued growth of the global industry.
What is so exciting is that there is still great potential for further development, through innovation, emerging technologies, and investment in both artists and the evolving parts of the growing global music ecosystem,” Victoria Oakley, IFPI’s chief executive, said. “These positive developments don’t happen by accident. They reflect the brilliant creativity, vision and hard work of artists and songwriters around the globe, powered in part by the work, investment and passion of record companies and their teams,” Oakley added. The report also addressed itself to the role of AI in music, with record companies embracing its potential to enhance artist creativity and develop new and exciting fan experiences. “However, it is very clear,” said Oakley, “that the developers of generative AI systems ‘ingesting’ copyright-protected music to train their models without authorisation from the rights holders poses a very real and present threat to human artistry.”
Growth in world’s regions
There was a positive story of growth across the globe as the work and investment from record companies contributed to every region experiencing revenue growth in 2024. Three of the world’s seven regions posted double-digit gains—Middle East and North Africa, sub-Saharan Africa and Latin America. Middle East and North Africa (MENA) was the fastest growing region at 22.8 percent. Representing the greatest share of global recorded music revenues (40.3 percent), there was a gain of 2.1 percent in 2024 in the USA and Canada. The USA, the world’s largest recorded music market, posted growth of 2.2 percent. Canada, the world’s eighth largest market, saw revenue growth of 1.5 percent, however this was set against a 2023 figure which included a one-off payment included in performance rights revenues.
Representing more than a quarter of global revenues (29.5 percent) after revenue growth of 8.3 percent, Europe remained the second largest region in the world for recorded music revenues in 2024. The region’s three largest markets all generated revenue growth in 2024: UK (4.9 percent), Germany (4.1 percent) and France (7.5 percent). The region added more revenue growth than any other. The third largest region globally, revenues in Asia rose by 1.3 percent in 2024. This was set against a strong performance in 2023 across both physical and digital formats, where revenues jumped 14.4 percent. However, Asia maintained its status as the largest physical market and accounted for 45.1 percent of global physical revenues in 2024. A decline in physical (4.9 percent) has, therefore, impacted the region’s overall growth rate. The world’s second largest market, Japan, was flat year-on-year (-0.2 percent) [due to decline in physical], whilst China, ranked number 5 globally, increased revenues by 9.6 percent.
More growth
Recorded music revenues in Latin America rose steeply in 2024 by 22.5 percent, once again, outpacing the global growth rate and marking its fifteenth consecutive year of growth. Streaming remained the key driver and accounted for 87.8 percent of recorded music revenues in the region. Brazil grew by 21.7 percent, which made it the fastest growing among the top ten markets. Recorded music revenues in the Australasia region reached $629 million and grew by 6.4 percent in 2024. Australia increased revenues by 6.1 percent, however dropped out of the top ten markets and was replaced by Mexico, whilst New Zealand grew recorded music revenues by 7.8 percent. MENA was the fastest growing region and saw recorded music revenues increase by 22.8 percent in 2024. The region remained dominated by streaming and those revenues accounted for 99.5 percent of the total. IFPI is the voice of the recording industry worldwide, representing more than 8,000 record company members.
Sub-Saharan Africa
Sub-Saharan Africa saw recorded music revenue growth of 22.6 percent and these revenues surpassed $100 million for the first time ($110 million). South Africa remained the largest market in the region and accounted for 75 percent of the region’s revenues, following growth of 14.4 percent.
