Global Online Music Streaming Grew 32% to over 350 Million Subscriptions in 2019

Jeeni Blog

Helping the next generation of talent to build a global fanbase

Global Online Music Streaming Grew 32% to over 350 Million Subscriptions in 2019

/ By

By Abhilash Kumar

Spotify continues to be the market leader and recorded a 23% YoY growth in total revenue during CY 2019.
Music streamers are focusing on creating exclusive content with podcasts continuing to feature strongly in 2020.

Seoul, Hong Kong, New Delhi, Beijing, London, Buenos Aires, San Diego – 3rd April 2020

Global online music streaming subscriptions grew 32% year-on-year (YoY) reaching 358 million subscriptions in CY 2019, according to the latest findings from Counterpoint Research. This is driven by the availability of exclusive content like podcasts, originals which attracted people towards the platform and eventually turned them as subscribers. Also, promotional activities like price cuts in subscriptions in emerging markets, bundled offers from telcos added to the growth. We expect that online music streaming subscriptions to grow more than 25% YoY to exceed 450 million subscriptions by the end of 2020.

Commenting on the overall market, Research Analyst, Abhilash Kumar, said, “Paid subscriptions grew 32% YoY compared to 23% YoY growth of total MAUs. This suggests people are ready to pay for music streaming for a hassle-free experience. However, this is not completely user-driven. Music streaming platforms are following a two-step approach to gain subscribers, first registering them to their platform as free users by means of excellent advertising campaigns and secondly pitching them with attractive offers to transfer them to become paying subscribers.”

Spotify topped CY 2019 grabbing a 31% share of the total revenue and a 35% share of the total paid subscriptions. The runner up, Apple Music, follows with a 24% share of total revenues in the industry and a 19% share of the total paid subscriptions. Due to Apple’s high focus on its services segment which includes Apple Music, its subscription base grew 36% YoY in CY 2019. Amazon Music subscriptions reached a 15% share in 2019 compared to 10% in 2018.

Talking about the top performers, Kumar added, “Spotify maintained its top spot with the help of promotional activities like free Spotify Premium for three months, price cuts, customized campaigns like Spotify and a focus on exclusive content. Tech giants like Amazon, Apple, Google have started focusing on music streaming and have sufficient cash at their disposal to give stiff competition to Spotify. Apple Music is making improvements in its app like the introduction of night mode, curated playlists to target a group, etc. Similarly, Amazon Music has been trying lossless music and is creating its own niche where it competes with Tidal.”

Despite global players strongly pushing their music streaming platforms, regional players stand strong in their respective regions, primarily because of regional exposure and high focus on local content. Gaana continues to be the no.1 player in the Indian market, Yandex Music is leading in Russia. Similarly, Anghami leads the Arab world. Tencent Music Group leads the China market with the help of its apps QQ Music, Kugou and Kuwo.

Discussing the impact of the COVID-19 pandemic on the OTT industry, Kumar added, “We expect the OTT sector will experience an uptick as people stay at home actively tracking the latest updates. During this outbreak, audio OTT consumption has switched from music streaming to the radio. People in highly affected areas are worried about the outbreak and are therefore continuously tuned to news on TV/radio for updates. The traction of news channels and podcasts saw an upswing while that for music streaming dropped.”

What’s common is that both the regional and global players are focusing a lot on building exclusive content. Acquiring podcast companies and creating their own channels are all being undertaken. It’s often exclusive content that drives paid subscription growth.

More than 80% of music streaming revenue came from paid subscriptions. The rest came from advertisements and partnerships with brands and telcos. Therefore, increasing paid subscriptions is of prime importance for music streaming platforms.

The comprehensive and in-depth chain of reports on Global Online Music Streaming Market for Q4 2019 is available to help track the market in terms of MAUs by region, paid subscriptions by region, revenues, and ARPU. To view the global report in terms of users, revenues and ARPU, click here. For regional analysis on MAUs and paid subscriptions, click here. Please contact press(at)counterpointresearch.com for further questions regarding our in-depth research, insights or other press inquiries.

Background:

Counterpoint Technology Market Research is a global research firm specializing in Technology products in the TMT industry. It services major technology firms and financial firms with a mix of monthly reports, customized projects and detailed analysis of the mobile and technology markets. Its key analysts are experts in the industry with an average tenure of 13 years in the high-tech industry.

Click HERE to visit or return to jeeni.com

BACK

22
Jul

Investors flock to back anti-rip-off crowdfunder

the Jeeni platform in action Yesterday's Government report took months to come to a conclusion that every musician has known for years. Performers are getting ripped off by the streamed music giants. "While streaming has brought significant profits to the recorded music industry, the talent behind it sees pitiful returns," said Julian Knight, MP. Now, Her Majesty's Government intends new legislation to give musicians and songwriters the right to "equitable remuneration", but like so many empty promises and good intentions that may be an ambition which proves impossible to deliver. But there is an ethical alternative to the problem. It's an online app called Jeeni. On Jeeni, artists and creatives keep 100% of everything they earn, and thousands of performers are already on board, with an audience outreach that has grown to over two million. The growth of Jeeni has been so fast that they marked yesterday's Government promises by turning to crowdfunding to expand their capacity to meet demand, raising over £46,000 in a few hours. Check out their campaign HERE and join the list of supporters and celebrities who are flocking to the cause.

22
Jul

New Survey Reveals How Music Helped the UK Through Lockdown

UK Music has published a new survey that reveals the crucial role music played in helping people through Covid-19 lockdowns - and how the public are craving the return of live music. The survey is the largest of its kind since the start of the coronavirus pandemic, which decimated large parts of the music industry across most of the planet in 2020. The key findings of the survey revealed: 57% of adults said music had helped them cope with lockdownAround one million adults say they have taken up an instrument during lockdown71% think music makes them more productive at work/studying Additionally, the survey reveals how the public are keen to flock back to live music and believe music helps them cope with stress and anxiety. “Music has been vital not only in helping the public cope with the impact of the Covid-19 lockdowns and improving mental health and wellbeing, but also in making people more productive while they work. Combined with the huge economic contribution the music industry made pre-Covid-19, this is further evidence that the UK music industry is a key national asset that should be protected and supported by Government. With the right support, music can continue to play a vital role in improving people’s health and wellbeing in the months ahead as we look to recover from this pandemic." Said UK Music Chief Executive Jamie Njoku-Goodwin. The findings are a huge boost to the UK music industry, which has been devastated by the ongoing impact of the Covid-19 pandemic. The sector contributed £5.8 billion to the UK economy pre-Covid-19 and supports around 200,000 jobs. Furthermore, it clearly shows how music has helped the UK through lockdown and proves the importance of the national music industry. Artists should be supported during these turbulent times, and Jeeni does that, by supporting creative talent using an ethical approach. On Jeeni, artists and creatives keep 100% of everything they earn, and thousands of performers are already on board, with an audience outreach that has grown to over two million. The growth of Jeeni has been so fast that they marked Government promises by turning to crowdfunding to expand their capacity to meet demand, raising over £46,000 in a few hours. Check out their campaign HERE and join the list of supporters and celebrities who are flocking to the cause.

14
Feb

Pat Spencer & JoeSach - ‘Alive & Surviving’ EP Review

This collaboration between a heart-felt lyricist and a versatile songwriter results in a sweet and layered three-track project. Although songwriter and producer, JoeSach has already uploaded various electronic tracks on the global streaming platform, Pat Spencer is a new addition to Jeeni and has already broadened Jeeni’s indie channel. Be sure to check out the showcases of these two invaluable jeeni artists: JoeSach - https://jeeni.com/showcase/joesach/ and Pat Spencer - https://jeeni.com/showcase/patspencer/. Pat Spencer’s sweet lyrics and vocal talent provide the heart to this project, while producer, JoeSach forms the body with day-dreamy and mellow instrumentals. The creative and stylistic change of pace lends itself well to Pat’s voice; with thrashing live drums and angsty bass-centered tracks, Pat’s last year singles were much rowdier and faster paced. His casual, yet sincere vocals contain a lot of character and have been fully realised with these calmer instrumentals. The opening track, ‘I Like You’ is an excellent introduction to this short project. It swells open with a filter-swept beat and warm electric piano chord as though this EP is warming up. With the softer, jazz inspired instrumentals, Pat’s conversational lyrics and sweet melodies are much more obviously reminiscent of Rex Orange County and the British take on bedroom pop. This light-hearted introduction helps set the initially brighter tone which helps contrast the darker tracks to come. ‘Time’, the second track, is a retrospective and peaceful cut. Layered, imperfect vocals make the song feel warm, comforting and real. While there’s a certain sadness in Pat’s voice here, there’s also acceptance and optimism as he sings ‘Keep your head down, you’ll be fine’. The particular easiness and comfort in Pat’s vocals on ‘Time’ makes the track a clear highlight. The final track, poetically named ‘The Persistence of Memory’ is an emotional and longing closer. The final piece of this trilogy feels the bleakest, making the project feel like a gradual decrease in hope and enthusiasm, which is an incredibly effective narrative considering it’s told in just three tracks. Minor keys, moody timbres and morose mixing helps to tell the story of this increasingly blue EP. How can Jeeni support artists like Pat Spencer? JEENI is a multi-channel platform for original entertainment on demand. We’re a direct service between creatives and the global audience. • We give creatives, independent artists and performers a showcase for their talent and services. And they keep 100% of everything they make. • We empower our audience and reward them every step of the way. • We promise to treat our members ethically, fairly, honestly and with respect. • Access to artist liaison and a supportive marketing team. album review album review album review

Jeeni Blog