Numbers released by Australian Recording Industry Association (ARIA) today (April 22) show the Australian music industry has grown for the fifth consecutive year in a row.
Last year, the industry body recorded more than $555million in revenue, which is a 5.5 per cent growth compared to the previous year. 2019 was the best year for the Australian music industry since 2004, ARIA reported, with the first time there’s been five consecutive years of growth since 1995-1999.
ARIA also noted how the industry has successfully turned around since the start of the last decade. Ten years ago, revenue was in decline as record labels were grappling with digital disruption and unlicensed use of music online.
According to ARIA, streaming now makes up more than 80 per cent of the Australian market. While revenue from Apple Music, Spotify, and YouTube Music grew, income from digital album downloads dropped by 34 per cent. Physical album sales also declined by 21 per cent, with the exception of vinyl, which grew by 2.5 per cent.
Needless to say, the coronavirus pandemic has significantly impacted the music industry this year, with major music events cancelled or postponed nationwide. In a statement, ARIA CEO Dan Rosen said the ongoing pandemic has caused uncertainty over what the future holds for the industry.
“2020 will be a year like no other due to the impact of COVID-19, but Australian artists and the music industry have faced numerous challenges over the years and have consistently adapted and innovated,” he said.
“With the continued support of Australian music fans, the music community and government, we will get through this together.”
In an op-ed published on The Music Network today in conjunction with ARIA’s statistics, Rosen said he noticed some trends that have emerged since social distancing began.
“Many had expected that the audio streaming business would dramatically increase with social isolation. This has not been the case,” he said.
“Fans are shifting to buying physical albums and merch from their favourite artist websites. Traditionally, Australia has been behind the US and UK when it comes to mail-order culture. But we are pivoting fast.”