The Australian recorded music industry has recorded its highest annual growth since 1996, driven by continued consumer uptake of music streaming services.
ARIA has confirmed a 10.5% increase in the value of the Australian recorded music industry for 2017 to $391 million.
2017 was the first year that revenue from streaming services accounted for more than half of the overall market (54% at $213m). Just five years ago, the revenue from the streaming segment of the market was negligible.
The streaming category includes revenues from subscription services such as Spotify and Apple Music, as well as non-subscription on-demand streaming services like YouTube and Vevo.
The revival of vinyl also played an important part in the overall industry. Physical formats account for 25% of the overall market, with sales from vinyl increasing for the seventh consecutive year – and increasing by 19% in 2017.
ARIA Chairman, Chairman & CEO of Sony Music Entertainment Australia & New Zealand, and President, Asia Denis Handlin said: “We are delighted to see the industry in such a positive growth path and that this strong 2017 result follows the increasing revenues over the past two years.
“The industry continues to transform and change at a rapid pace and the results are a credit to the continued high quality work, innovation, development of local artists, as well as to the industry’s tenacious approach in marketing and delivering music to fans across the country.
“Although our industry is now on a pathway to recovery, it is absolutely critical that Australia retains a strong copyright framework to ensure that artists and labels can protect their work and earn their fair share in the growing digital market.”
ARIA CEO Dan Rosen said: “The return to growth of the Australian recording industry is a wonderful story of resilience, hard work and innovation. Music fans today can access their favourite artists across a multitude of formats from vinyl in their local record store to streaming services on their phones and smart speakers.
“Our business will continue to evolve, and we must remain vigilant to ensure that the growth is sustainable in an increasingly global and digital marketplace.”