US Recorded Music Revenues Reach Record Levels
Discover the record-breaking success of the U.S. recorded music industry in 2023, as reported by the RIAA. Uncover the key drivers of this growth and explore opportunities for involvement in the music sector.
US recorded music revenues reached record levels in the first half of 2023, according to a report from the Recording Industry Association of America (RIAA). What drove this record growth? How may individuals gain exposure to the music industry?[1]
Record Growth in the First Half of 2023
Recorded music revenues at the retail level grew 9.3% in the first half of 2023 compared to the same period in 2022 to reach $8.4 billion, an all-time high. At the wholesale level, revenues grew 8.3% to $5.3 billion.
Streaming Dominates
Streaming remains the dominant medium by which individuals listen to recorded music, accounting for 84% of recorded music revenues 1H 2023. 1H 23 streaming revenues grew 10% versus 2022 to reach $7 billion.
Paid subscriptions accounted for 2/3 of recorded revenues and more than ¾ of streaming revenues. Revenue from paid subscription services grew 11% to $5.5 billion while the total number of accounts grew 6%, implying increased revenue per subscriber.
Physical Mediums Also See Strong Growth
Revenues from physical music formats, such as vinyl and CDs, also experienced strong growth, rising 5% to reach a record $882 million.
Revenue from vinyl records grew 1% to a record $632 million and accounted for 72% of physical format revenues.
Growth is Global
The strong growth of music in the US is also being mirrored globally. For example, recorded music revenues in France grew 9.4% in the first half of 2023 to reach nearly $425 million. As in the US, streaming, at 77%, dominates recorded music consumption.[2]
Consider MUSQ for Exposure to the Global Music Industry and Music Recording Companies.
The MUSQ Global Music Industry ETF (MUSQ)
The MUSQ Global Music Industry ETF (MUSQ) seeks to provide investment results that, before fees and expenses, correspond to the total return performance of the MUSQ Global Music Industry Index (MUSQIX). The MUSQIX Index is designed to provide exposure to global, publicly traded companies and royalty funds with a core business interest in the global music industry.
MUSQ may provide individuals with an attractive vehicle to gain exposure to the global music industry
[1] Unless otherwise noted, all data sourced from: Friedlander, Joshua P., RIAA Mid-Year 2023 Revenue Report, RIAA, September 2023. All comparisons are 1H 2023 versus 1H 2022.
[2] King, Ashley, Streaming Officially Dominates the French Recorded Music Industry - Now 77% of H1 2023 Revenue, Digital Music News, 9/5/23
MUSQ Global Music Industry Index ETF is offered by prospectus. Carefully consider the investment objectives, risks, charges, and expenses. This and other important information can be found in the MUSQ ETF prospectus, which should be read carefully before investing and can be obtained by visiting https://musqetf.com or by calling 1-855- MUSQ-ETF(687-7383).
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