Thanks to the likes of Spotify, Apple Music, Tidal, and Google Play, both Sony and Warner Music have seen a substantial increase in revenue from music streaming.
Although music streaming has been available for some time it seems having all-you-can-eat music for just a small-ish fee per month is a much more favourable way of consuming music than purchasing albums and tracks individually.
According to recent financial reports, music streaming is booming, with Sony Music Entertainment revealing that streaming revenues for the past 12 months have grown by a whopping 57% reaching almost $1 billion in revenue, offsetting a small global decline in downloads. This figure alone outpaced the industry average according to the IFPI whose figures show that the global recorded music business’s streaming income had increased by 45.2%
However, that’s not all as Warner Music has also shown an increase in music streaming revenue as they’ve revealed that music streaming has ended up becoming their biggest source of recorded music revenue for the first quarter of the year. Warner’s streaming music revenue increased $72 million for the quarter.
Actual music purchases and downloads have declined somewhat too, with Warner revealing a $17 million decline in revenue from sales.
It’s becoming pretty clear that music streaming is the way to go.