After worldwide sales grew by 0.3% in 2012 – the first such rise since 1999 – last year’s figures report a drop off to the tune of 3.9% with overall revenue at $15 billion. This total is said to be largely a result of a 16.7% decline in Japanese sales.
However, the same report reflects a massive increase in online streaming, with leading sites such as Spotify raking in over $1bn in paid subscriptions for the first time after an increase of 51%. “It is now clear that music streaming and subscription is a mainstream model for our business,” IFPI chief executive Frances Moore notes.
“Streaming is the way people are consuming music,” Spotify chief content officer Ken Parks adds. “The debate about whether it’s a model to embrace has been put to rest over the last year.”
