Read how streaming music is changing the music industry. What are effects of streaming on the music retail sales? Is streaming good for the music industry?
The music industry has evolved to a greater extent. Nobody believed the wheels of vinyl records and compact discs would catapult artists into the cloud.
The music industry would never be the same with cloud technology. Gone are those days when people bought cassettes and CDs to enjoy music with family.
Right from storing music on magnetic tapes to cloud-based servers on the internet, even the listening behaviors of people has changed. It would be great to discover some facts to understand how streaming music is changing the industry?
Change in music consumption was apt after music found its way out from stored medium to streaming medium.
Let’s not speak about the white elephant in the room. Piracy!
Its the worst curse music industry is dealing since a long time. Ever wondered what effect music streaming services had over piracy?
Piracy is too concise to discuss in this article. We shall see effects of streaming services on the music industry.
What is music streaming?
Music streaming is the technology used for transferring and listening to music over the internet in real-time rather than downloading on storage devices.
So, you may never download any songs onto your storage devices using these services. However, you can subscribe to paid or free services for predefined plans.
Spotify, Apple Music, Tidal, Soundcloud are few music streaming services that comes to my mind when I think about streaming in music.
Which was the first ever music streaming service?
The Rhapsody was the first streaming on-demand music subscription service. It all started with an idea of building a streaming engine that looked a lot like a jukebox.
What is the snapshot of streaming services as of now?
How streaming music is changing the industry?
Is the change good or bad?
According to the RIAA (the Recording Industry Association of America), streaming service looks like a rising star in the digital music arena.
Here are few stats from the report.
Bye Bye Digital Downloads
It has been observed that the digital downloads of the music tracks and albums are consistently declining over past few years.
Overall digital download revenues were $757 million, down 24%
versus 1H 2016.
Welcome, Streaming Music!
The retail revenues from retail music sales grew 17% during the first half of 2017 – as compared to previous period.
However, it was just an 8% growth in the year 2016 as compared to 2015.
Estimated retail revenues from recorded music in the United States stood at $4.0 billion.
Is music streaming service ruling the music industry?
For the first half of 2017, the streaming music services reserved a 62% share in total revenues of the total market.
Looking at the statistics, it is nearly clear that the digital download will be dead sooner or later.
Does a musician have to worry about this?
I believe change is permanent!
Anything happens is destined to be good. Digital downloads once looked upon as an earning opportunity is no longer looking lucrative.
Therefore, musicians have to look at the alternative forms like streaming service to reach more audiences and fans.
Thanks for reading my 82nd article in the series 100-day music blogging challenge, stay tuned for more informative articles.