TORONTO, April 25, 2017 /CNW/ - Today the International Federation for the Phonographic Industry (IFPI) released its Global Music Report 2017, which shows Canada is now the sixth largest recorded music market on the planet, surpassing Australia.
The annual Global Music Report compiles revenues from physical and digital sales, streaming, synchronization and performance rights, to provide a 'state of the industry' snapshot while highlighting innovation and investment within the industry as it progresses further into the digital age.
Highlights of Canada's 2016 music revenues:
- Overall recorded music revenues rose 12.8% in 2016 and totalled CAD $489.4 million
- Digital music revenues accounted for 63% of recorded music revenues in 2016
- Total streaming revenues, including subscription and ad-supported streaming, more than doubled in 2016, rising from USD $49.82 million to an impressive USD $127.8 million
- Subscription audio streaming generated the majority of all streaming revenues in 2016 at USD $94.45 million, compared to USD $15.72 million from ad-supported audio streaming and USD $17.59 million from video streams
- Digital revenues grew to USD $233 million in 2016, up from USD $170 million in 2015
- Revenues from physical sales continue to decline, falling to USD $99 million in 2016 from USD $114.4 million in 2015
Though music consumption around the world continues to rise to never-before-seen levels, the "value gap" remains a significant problem, as the revenues returned to music creators have not kept pace with music consumption.
"I am happy to see Canada regain its position as the sixth largest recorded music market in the world," said Amy Terrill, Executive Vice President of Music Canada. "While the growth in overall revenues, driven by a huge increase in subscription audio streams is very encouraging, the music community must remain united and vigilant in fixing the value gap. I urge the Canadian federal government to put creators first in any future policy decisions, such as the upcoming Copyright Act review in 2017, so that creators can be properly compensated for the record levels of music consumption we're witnessing."
"The whole music community is uniting in its effort to campaign for a legislative fix to the value gap and we are calling on policymakers to do this," said Frances Moore, chief executive of IFPI, in the report release. "For music to thrive in a digital world, there must be a fair digital marketplace."
Key figures from global recorded music revenues:
- Global revenue growth: +5.9%
- Digital share of global revenues: 50%
- Digital revenue growth: +17.7%
- Growth in streaming revenues +60.4%
- Physical revenues: -7.6%
- Download revenue: -20.5%
Canada's ascension to the sixth largest market follows IFPI's announcement in February that Drake was named Global Recording Artist of 2016. Justin Bieber and The Weeknd took the number five and number ten spots, respectively, as Canadians occupied three of the top 10 positions.
Today's Global Music Report 2017 shows that albums by Canadian artists performed very well at home in 2016, with six of the top ten album spots occupied by Canadian artists, including Drake's Views at number one. Other Canadians in the top albums chart include Céline Dion, Leonard Cohen, Justin Bieber, The Weeknd, and The Tragically Hip.
About Music Canada
Music Canada is a non-profit trade organization that represents the major record companies in Canada, namely Sony Music Entertainment Canada, Universal Music Canada and Warner Music Canada. Music Canada also works with some of the leading independent record labels and distributors, recording studios, live music venues, concert promoters, managers and artists in the promotion and development of the music cluster.
IFPI is the organisation that promotes the interests of the international recording industry worldwide. Its membership comprises some 1,300 major and independent companies in 58 countries. It also has affiliated industry national groups in 57 countries. IFPI's mission is to promote the value of recorded music, campaign for the rights of record producers and expand the commercial uses of recorded music in all markets where its members operate.
SOURCE Music Canada
For further information: Corey Poole, Music Canada, [email protected], +1 (647) 808-7359