IFPI, an organisation that acts as a voice of the recording industry worldwide, has recently published a report on the 2021 global recorded music revenues. According to the newly released annual Global Music Report by the industry body, which was published yesterday, 22 March, global revenues have grown by 18.5 per cent to US$25.9bn.
The report highlights that 2021 is the seventh consecutive year of growth for label revenues and the highest annual total since the IFPI started recording this type of data.
Streaming revenue grew by 24.3 per cent to US$16.9 billion in 2021, resulting in this recording accounting for just below two-thirds of total revenues (65 per cent).
According to the report, 523 million users stem from paid streaming subscriptions, with 443 million users arising from the previous year. This reflects 80 million new users in one year, accounting for an 18 per cent growth. As a result, paid subscription streaming revenues grew by 21.9 per cent to US$12.3 billion in 2021. This reflected growth accounts for 47.5 per cent of the overall total, which means that ad-supported streaming revenues were around US$4.6 billion.
It was also noted that although 523 million users seem like a considerable number for paid streaming subscriptions, pay-TV had reached just over a billion users.
Physical revenue also increased in 2021, following a long decline. The report has reflected a 16.1 per cent growth with performance rights rising by 4 per cent.
The 2021 report is also the first year that IFPI has split figures for Sub-Saharan Africa and the Middle East and North Africa (MENA revenues. MENA reflected increased growth with 35 per cent accounting for 95.3 per cent of that growth to streaming, whilst Sub-Saharan Africa saw growth of 9.6 per cent.
Prior to the report’s release, the industry body held an announcement event to discuss the report’s numbers and critical trends. Representatives from Universal Music, Sony Music, and Warner Music were in attendance.