Top digital music industry trends for 2023
These are the 4 trends that will define digital music this year.
What’s in store for the digital music industry in 2023? Keep reading to discover the global trends that will define the music landscape this year, from the consolidation of digital music distribution to the rise of short-form video content.
The digital music industry is in constant evolution and we’ll likely witness some major changes in the upcoming years.
The last 12 months have been quite challenging for the digital music sector, but exciting and profitable at the same time. The new year looks very promising, musically speaking.
What’s in store for the digital music industry in 2023? Keep reading to discover the global trends that will define the music landscape this year!
Digital music distribution platforms take the lead
Physical formats like vinyl records experienced a revival during the past two years, but 2023 is going to be the year where music distribution through digital channels will consolidate.
This one is going to be a great year for those independent artists, bands, labels, and distributors that want to expand their content reach by using digital music distribution, both subscription-based and free digital music distribution options.
While many music professionals will continue to use part of their resources in physical distribution, looking at the latest figures, the biggest part of their investment this year will probably go to digital releases.
Approximately 100,000 tracks are being uploaded to streaming platforms every day.
This figure is expected to increase by the end of 2023.
The demand for digital music distribution platforms like Sepulchral Silence will increase as more and more music professionals are managing their online releases independently and using these types of services to do so.
The digital format allows them to easily release their music simultaneously on the most popular streaming services and online music stores, including Spotify, iTunes, Deezer, Pandora, SoundCloud, Twitch, or YouTube Music, and make it available to millions of streamers worldwide.
Digital music industry revenues keep rising
While 2022 was a fantastic year for digital music distribution and consumption as more and more releases were made online and more and more listeners subscribed to streaming services and downloaded music from online stores, we believe that this trend is going to accelerate in 2023.
The music streaming industry is expected to reach $15.22bn in 2023.
This increase will be shown at a global scale as many strategic regions like North America, LATAM, Europe, and China, but also emerging markets like North Africa or the Middle East, have seen streaming dominating their music industry’s revenue during the past 12 months, according to the last IFPI report.
Short-form videos with music will continue leading the streaming game
Short-form videos featuring music have completely taken over social media and the popularity of this type of content will continue increasing in 2023.
In 2022, TikTok (one of the many distribution channels connected with Sepulchral Silence) remained the most downloaded and highest-grossing non-gaming app, competing with the likes of YouTube as the biggest video streaming service in strategic countries like the U.S. and the U.K.
This format gained relevance in 2022 and it will likely continue to be the biggest trend this year.
Artists and all sorts of online creators currently use music in the videos they share on popular services like YouTube, Instagram Reels, Facebook, or TikTok (channels connected to Sepulchral Silence for digital music distribution) to provide better quality content, visually express themselves, and connect with the community.
Even companies outside the digital music distribution business are using licensed songs in their videos to enhance their brands’ storytelling online.
Video generates 48% more engagement than other content types and makes up over 82% of all user internet traffic.
This is undoubtedly a great opportunity for artists, labels, and distributors as they can use short-form video apps to distribute and promote their releases and existing songs from their catalogs and, at the same time, allow streamers from all over the world to use their music in their video creations.
Gen Z will use social media and gaming platforms to discover music
When thinking about digital music distribution strategies to connect with audiences worldwide, the first thought that comes to mind is the idea of releasing music on Top international streaming services like Spotify or Apple Music.
These services are great as they help music lovers to find new releases by their favorite artists and bands, and discover new music and emerging artists through curated playlists.
To go the extra mile when creating a distribution strategy to reach Gen Z, it’s also important to consider social networks and live game streaming apps as well.
It turns out that social media platforms offering streaming options like Instagram or TikTok are currently the first music discovery resource for young consumers.
Around 80% of TikTokers say they use the app to discover new music.
Gaming platforms like Twitch (Soundtrack) or Facebook Gaming are playing a key role in that sense too and will continue doing so in 2023.
Around 28% of young music listeners used video games last year to discover new music. That number will probably increase by the end of the year.
Undoubtedly, this is something to take into consideration when planning your online distribution strategy for 2023.