Luminate’s Midyear Music Report for 2024 comprises some fascinating classes for musicians.
The report additionally means that regardless of many current controversies — equivalent to Spotify royalty adjustments, Deezer catalog adjustments, and the spectre of infinite AI-generated music competing with human creativity — issues truly appear MORE promising for decrease and mid-tier impartial artists.
So let’s have a look at a number of 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 supplies analytics in regards to the music and leisure industries.
The Midyear Music Report is a powerful and impressively-interactive examine of music engagement and client 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 vastly relying available on the market, 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 general, 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 accrued 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% had been NOT main label acts.
That is nice information for the massive 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 stated, some information retailers have lined this story and used the time period “center class artist” as an alternative.
It’s possibly a small level, however I do wish to deal with my concern about complicated these two phrases. Center-tier precisely describes the massive cohort of artists between the listening extremes, with the less-than-a-thousand crowd on the one facet, and the billion-streams membership on the opposite.
“Center class artist” (at the very least to me) implies particular earnings or financial standing. And whereas loads of these middle-tier artists won’t solely earn streaming income, but additionally 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 forth.
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, general streaming development mixed with middle-tier artist development 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 setting pushed by algorithmic advice 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 a complete historical past of recorded music’s greatest hits. So in fact that’s nonetheless attracting large consideration.
However as Kevin Breuner and I’ve mentioned on loads of events, our personal youngsters actually don’t care about launch dates. They don’t know if a music got here out within the Nineteen 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 impression 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 will not be taken from the report, however I used to be pondering that if catalog music continues 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 continues to be enormously excessive?
Maybe our fears that robots will exchange us are a bit overblown.
AI instruments are opening a world of recent 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 necessary
There’s a lot information to dig into concerning CD and vinyl gross sales that I’m going to write down a devoted article. However the TLDR is: You (most likely) ought to provide bodily music codecs!
Outcomes range by style, in fact, however a a major quantity of music engagement and income continues to be pushed by the acquisition of CD and vinyl:
Paid streaming subscribers who’re followers of Ok-Pop and Latin Music specifically are very more likely to buy bodily codecs:
Diehard followers additionally love variants (CD, vinyl, cassette, and so forth), completely different colour vinyl, completely different album cowl choices, bonus editions, and extra.
Acts like Taylor Swift and Billie Eilish are capable of 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 greater worth.
Having fun with the actual world? Thank Gen Z!
Should you imagine 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 dwell concert events:
So when you’re glad your favourite act continues to be capable of tour, possibly cease making enjoyable of Gen Z’s smartphone habits and thank them for going out and paying to see dwell music!
And in case you are 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 youngsters and careers. 😱
TikTok continues to be on high
Fortunately, folks appear to be listening to music extra usually than they select different leisure actions like sports activities, studying, podcasts, and short-form video. However after they mix music consumption with short-form video, the place do listeners flip?
TikTok.
YouTube Shorts appears to be catching up shortly although.
Lesson? Instagram Reels and YouTube Shorts have made big strikes; and speak of TikTok bans or pressured acquisitions within the USA have brought about some musicians to imagine they’ll or ought to abandon the app.
Customers inform a distinct story.
In fact you need to solely be energetic as an artist on platforms that align together with your values and pursuits, however if you wish to be the place the persons are, the persons are on TikTok.
Video drives gig attendance
Suppose the common TikTok person simply sits on the sofa looking at their display all day?
Nope! They often take brief breaks to go see concert events. ; )
This stat might overlap with the Gen Z and TikTok observations above, but it surely’s fascinating by itself as nicely: Quick-form video customers are 38% extra more likely to go to dwell 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’ll be able to successfully attain audiences and promote dwell 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 probably to purchase music merch:
Is the lesson that you need 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 up to date classical will carry out higher with avid gamers than issues like folks, jazz, kids’s music, and so forth.
However when you DO make music that may resonate with avid gamers, and wish to be energetic 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 fascinating requested which options are most necessary for music customers after they’re contemplating their loyalty to any specific streaming platform:
HiFi audio has develop into LESS necessary to customers.
What’s most necessary? 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 operating their very own profession, in fact, is to supply “unique” content material to quite a few platforms. By definition, that’s not scalable.
Nevertheless it does spotlight that you just SHOULD be offering unique content material to at the very least the most important platforms.
For 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 facets I discovered most related for impartial musicians.
If you wish to take a look at the entire thing, and I believe you need to (even simply to marvel on the design), go right here.
