Luminate’s Midyear Music Report for 2024 incorporates some attention-grabbing classes for musicians.
The report additionally means that regardless of many current controversies — comparable to Spotify royalty modifications, Deezer catalog modifications, and the spectre of countless AI-generated music competing with human creativity — issues truly appear MORE promising for decrease and mid-tier impartial artists.
So let’s take a look at among the report’s key takeaways, from the attitude of a career-minded musician.
What’s Luminate’s Midyear Music Report?
Luminate (previously Neilsen Music) is an organization that offers analytics in regards to the music and leisure industries.
The Midyear Music Report is a powerful and impressively-interactive research of music engagement and shopper habits over the previous 6 months.
The report measures 23 trillion information factors. From hundreds of artists. In additional than 50 genres. In 48 markets. Gathered from 500+ sources throughout streaming, social, retail, and airplay.
Listed below are some encouraging numbers…
Streaming is (nonetheless) rising
The speed of streaming adoption differs significantly relying in the marketplace, however when measured worldwide: streaming is up considerably.
On-demand audio streaming grew 15.1% when in comparison with the primary half of 2023.
Unbiased music is capturing extra of the eye
Not solely has streaming grown total, so too has the share of complete streams commanded by impartial musicians:
Because the report states:
Do you know that indie artists made up 62.1% of all artists who amassed between 1M and 10M U.S. On-Demand Audio streams in (the primary half) of 2024?
The truth is, the share of indie artists who earned greater than 500M On-Demand Audio streams elevated by greater than 2% in H1 2024 as in comparison with H2 2023.
So what number of artists garnered between 1 million and 10 million streams in H1 of 2024?
29,253.
Of which 62.1% have been NOT main label acts.
That is nice information for the big and rising section of music-creators who fall between obscurity and superstardom.
So “middle-tier” artists are doing higher?
Sure, they’re commanding extra consideration. That being mentioned, some information retailers have lined this story and used the time period “center class artist” as a substitute.
It’s possibly a small level, however I do wish to handle my concern about complicated these two phrases. Center-tier precisely describes the big cohort of artists between the listening extremes, with the less-than-a-thousand crowd on the one aspect, and the billion-streams membership on the opposite.
“Center class artist” (no less than to me) implies particular earnings or financial standing. And whereas loads of these middle-tier artists won’t solely earn streaming income, but in addition obtain and merch gross sales, live performance ticket gross sales, sync licensing charges, and extra — middle-tier streaming exercise by itself might not equal center class earnings, significantly if income is break up between a number of collaborators, co-writers, and so on.
Once more, streaming doesn’t occur in a vacuum, so there’s overlap between middle-tier and middle-class artists, however… I simply wished so as to add a phrase of warning about the excellent news headlines.
My caveats apart, total streaming progress mixed with middle-tier artist progress IS unambiguously nice information.
Is your oldest music nonetheless new?
I’ve been saying for years that even your oldest music shall be model new to most listeners.
And in some methods, given our passive consumption atmosphere pushed by algorithmic suggestion and playlists, release-dates matter lower than ever.
This slide suggests as a lot:
Now when Luminate tracks “deep catalog” exercise, they’re actually taking a look at an entire historical past of recorded music’s largest hits. So in fact that’s nonetheless attracting huge consideration.
However as Kevin Breuner and I’ve mentioned on loads of events, our personal children actually don’t care about launch dates. They don’t know if a tune got here out within the Sixties, the 80s, 2010, or yesterday.
In the event that they haven’t heard it, and so they hear it, and so they prefer it, they prefer it.
So the ability of catalog is extra than simply the gravity it holds for nostalgic generations. It’s one thing easier: It’s good music. And in case your oldest tracks are nice too, they’ll have the identical influence on new listeners.
How encouraging!
The lesson? Develop methods to market your again catalog.
A.I. ain’t obtained nuthin’ on us!
This subsequent thought isn’t taken from the report, however I used to be considering that if catalog music remains to be so precious, and if middle-tier artist engagement is on the rise,…
… aren’t each of these issues mixed proof that demand for human creativity remains to be enormously excessive?
Maybe our fears that robots will change us are a bit overblown.
AI instruments are opening a world of latest prospects for human artists. And this Luminate report truly makes me extra excited to see how these instruments are utilized by that very same group of middle-tier creators who’re already attracting listeners, driving developments, and innovating by necessity of their manufacturing and music advertising techniques.
Bodily codecs are vital
There’s a lot information to dig into relating to CD and vinyl gross sales that I’m going to put in writing a devoted article. However the TLDR is: You (most likely) ought to supply bodily music codecs!
Outcomes range by style, in fact, however a a major quantity of music engagement and income remains to be pushed by the acquisition of CD and vinyl:
Paid streaming subscribers who’re followers of Okay-Pop and Latin Music particularly are very more likely to buy bodily codecs:
Diehard followers additionally love variants (CD, vinyl, cassette, and so on), completely different colour vinyl, completely different album cowl choices, bonus editions, and extra.
Acts like Taylor Swift and Billie Eilish are in a position to pull that off in a way more sturdy method, however the lesson stays:
Make your music merch really feel like a collector’s merchandise. Uncommon. Crafted. Definitely worth the larger worth.
Having fun with the true world? Thank Gen Z!
Should you consider Gen Z is maximally on-line, you’d solely be half proper. It now additionally seems that this demographic is the most more likely to attend reside concert events:
So for those who’re glad your favourite act remains to be in a position to tour, possibly cease making enjoyable of Gen Z’s smartphone habits and thank them for going out and paying to see reside music!
And if you’re a member of Gen Z (ages 15-27), pat your self on the again and hold attending as many reveals as now you can. As a result of nothing slows down your nightlife fairly like children and careers. 😱
TikTok remains to be on high
Fortunately, individuals appear to be listening to music extra typically than they select different leisure actions like sports activities, studying, podcasts, and short-form video. However once they mix music consumption with short-form video, the place do listeners flip?
TikTok.
YouTube Shorts appears to be catching up rapidly although.
Lesson? Instagram Reels and YouTube Shorts have made large strikes; and discuss of TikTok bans or compelled acquisitions within the USA have precipitated some musicians to imagine they’ll or ought to abandon the app.
Customers inform a unique story.
In fact it’s best to solely be lively as an artist on platforms that align along with your values and pursuits, however if you wish to be the place the individuals are, the individuals are on TikTok.
Video drives gig attendance
Assume the common TikTok consumer simply sits on the sofa observing their display all day?
Nope! They often take quick breaks to go see concert events. ; )
This stat might overlap with the Gen Z and TikTok observations above, however it’s attention-grabbing by itself as nicely: Brief-form video customers are 38% extra more likely to go to reside concert events.
Which is a pleasant counter to the anticipated narrative. And it’s one thing that artists like Windborne have know for years:
You may successfully attain audiences and promote reside occasions through geo-tagged video content material on TikTok!
Avid gamers can pay you extra
In keeping with Luminate’s report, avid gamers throughout the generations are extra doubtless to purchase music merch:
Is the lesson that it’s best to promote music to avid gamers?
Not essentially. Although “gaming” is a broad time period and touches many audiences, it’s most likely true that sure genres like EDM, rock, hip-hop, lo-fi, pop, and possibly even modern classical will carry out higher with avid gamers than issues like people, jazz, youngsters’s music, and so on.
However for those who DO make music that may resonate with avid gamers, and wish to be lively within the locations they’re already hanging out, right here’s the place to go:
Associate with the platforms
One of many research I discovered essentially the most attention-grabbing requested which options are most vital for music customers once they’re contemplating their loyalty to any specific streaming platform:
HiFi audio has develop into LESS vital to customers.
What’s most vital? Entry to the artists!
Issues like unique content material, updates from the artist, information in regards to the artist, and livestreaming.
If that’s what platform customers need — nearer relationships and entry to you, the artist — consider your self as a associate within the platform’s client-retention efforts. Give the DSPs what they need, and also you’ll most likely profit from elevated visibility.
The problem for an artist working their very own profession, in fact, is to supply “unique” content material to quite a few platforms. By definition, that’s not scalable.
However it does spotlight that you simply SHOULD be offering unique content material to no less than the biggest platforms.
As an example, Spotify Clips and Canvas, or Pandora AMP’s Artist Audio Messaging.
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Conclusion
There’s a lot extra in Luminate’s report, and I’ve simply commented on elements I discovered most related for impartial musicians.
If you wish to take a look at the entire thing, and I believe it’s best to (even simply to marvel on the design), go right here.
