Aussie Music Industry Sees First Revenue Increase In 3 Years

Aussie Music Industry Sees First Revenue Increase In 3 Years

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The report released by ARIA has revealed that in 2015, the value of Australian recorded music saw an increase of 5%, the result of music consumer’s uptake in digital stream, which now accounts for 62% of the overall market.

 

Whilst the streaming industry is booming, with the likes of Spotify and Apple Music doubling in value, digital downloads and CD sales continued to show a decline. Digital downloads went down by almost 13 per cent, while CD sales fell 4 per cent, notably less than the 18 per cent decline in 2013. ARIA’s statistics also showed vinyl sales increased by 38 per cent in 2015.

 

So we should be celebrating right? Well not necessarily. Although streaming has seemingly stopped the continuous decrease in value of music, major streaming stakeholders have recently come under scrutiny for the little royalties that they are paying artists.  

 

A recent analysis by Death and Taxes showed Spotify paid $0.00521 per song stream. That money gets to artists via record labels and licensing organisations. Seems pretty miniscule right?

 

Although this does seem to be quite a slap in the face for many hard-working musos, the overall exposure that these services offer can outweigh the negative in this instance.

Speaking with ABC News, Al Grigg from indie band Palms weighed in with his thoughts about the royalty situation with Spotify. “Even if it’s a tiny royalty, it’s probably better than people just downloading it for free,” he said. “More people are hearing the band, and maybe then more people are liking the band, and they will buy a ticket and come and see you play live or they might buy a T-shirt, and then you are making your money that way.”