Recorded Music
Transcription
Recorded Music
www.ifpi.org Recording Industry In Numbers 2009 The Definitive Source Of Global Music Market Information FOR 75 YEARS, PPL HAS BEEN GROWING INTO A MODERN SERVICE ORGANISATION FOR THE MUSIC INDUSTRY, READY AND WILLING TO TACKLE THE CHALLENGES OF THE DIGITAL WORLD. It all started in a café in Bristol, England in 1934, when dance musicians were replaced by vinyl records played on a phonograph. Back then, PPL had just two members – EMI and Decca. Now we have over 3,400 record companies and, following a merger with the principal performer societies, 39,500 performers. In addition, our reach has extended to include international repertoire and overseas royalties through 42 bilateral agreements with similar organisations around the world. PPL licenses businesses playing music, from broadcasters to nightclubs, from streaming services to sports studios, from internet radio to community radio. Licensees are able to obtain a single licence for the entire PPL repertoire, a service which is seen as increasingly valuable for both rightholders and users alike as consumption of music continues to grow. Broadcasters such as the BBC have commented that they simply would not be able to use music at such a scale, across nine TV channels, sixty radio stations, the iPlayer and numerous online services without a licence from PPL. The PPL licence is equally valuable to other users, such as commercial radio stations, BT Vision, Virgin Media, Last.fm and even the fourteen oil rigs that want to keep their oil workers entertained on their tours of duty. For the performers and record companies who entrust their rights to PPL, the income from these new distribution outlets is becoming increasingly valuable. Total income (including music videos which are licensed through VPL) now tops £140m and continues to increase. All the income generated, less the actual costs of licensing and distribution, is distributed direct to the record companies and performers whose recordings have been played. PPL takes no profit for itself. For most record companies and performers – featured artists, session musicians, orchestral players, backing vocalists and others – this revenue is an important income source. This significant additional income stream also helps the record industry to continue the essential investment in new recordings. Each week PPL receives electronic details of approximately 6,500 new recordings. This information is now essential to almost every area of the music business. As well as underpinning PPL’s licensing and distribution operations, this data is also passed on to PRS for Music for mechanical licensing, to the Official Charts Company and to BPI and IFPI for anti-piracy purposes. PPL HAS COME A LONG WAY IN 75 YEARS. NOW THE CHALLENGES ARE GLOBAL, DIGITAL AND DELIVERING AN EVER BETTER SERVICE TO THE RECORD COMPANIES AND PERFORMERS. PPL LOOKS FORWARD TO A BRIGHT FUTURE. To find out more:+44 (0) 20 7534 1000 www.ppluk.com STANDING UP FOR MUSIC RIGHTS. 01 IFPI Recording Industry In Numbers 2009 Contents 3 : Introduction 4 : Sources & Notes 5 : Recorded Music Sales In 2008 11 : New Business Models 14 : Unauthorised Downloading 16 : Top Sellers 2008 23 : Broader Music Industry North America Asia 27 : Canada 28 : USA 58 : China 60 : Hong Kong 61 : India 62 : Indonesia 63 : Japan 65 : Malaysia 66 : Philippines 67 : Singapore 68 : South Korea 69 : Taiwan 70 : Thailand Europe 30 : Austria 31 : Belgium 32 : Bulgaria 33 : Croatia 34 : Czech Republic 36 : Denmark 38 : Finland 39 : France 41 : Germany 42 : Greece 43 : Hungary 44 : Italy 45 : Netherlands 46 : Norway 47 : Poland 48 : Portugal 49 : Russia 50 : Slovakia 51 : Spain 53 : Sweden 54 : Switzerland 55 : Turkey 56 : UK Australasia 71 : Australia 72 : New Zealand Latin America 73 : Argentina 74 : Brazil 75 : Chile 76 : Colombia 77 : Ecuador 78 : Mexico 80 : Peru 81 : Uruguay 82 : Venezuela frica A 83 : South Africa Appendix 85 : World Rankings 2008 86 : Recorded Music Volume Trend 87 : Recorded Music Retail Sales 2008 88 : Digital Share By Market 2004 – 2008 89 : Physical Market Repertoire Origin 2008 90 : Certification Award Levels 92 : Local Music Industry Association Contacts 94 : Taxes On Sound Recordings & Exchange Rates 01 DLJ@:8E;D<;@8C@K@>8K@FE (-$(/9\ie\ijJki\\k#Cfe[feN(K*CE"++' )'.)0(*,'' Forbes Anderson Advert7.indd 2 30/4/09 15:03:02 03 IFPI Recording Industry In Numbers 2009 Introduction Recognising The Value Of Music Economic headlines in 2008 were almost unremittingly gloomy, with countries worldwide slipping into recession and chaos hitting the financial markets. The music industry was not immune from this turbulence but, as the figures in this 16th edition of the Recording Industry in Numbers show, the picture was not bleak across the board. The global decline in recorded music sales of eight per cent was driven largely by the United States, the largest market in the world for our industry. The US was responsible for 56 per cent of the decline in revenues generated by physical sales worldwide. Excluding the US, global recorded music sales (including digital sales and performance rights) would have fallen by a more modest 3.9 per cent. In Asia there was a different and more positive picture. Japan, the second largest market for recorded music worldwide, saw overall sales growth of one per cent. There was also growth in China, India, Thailand and South Korea. These markets have been transformed and driven by digital sales. Europe offers a mixed picture. In some markets, such as the UK, revenues from digital services rose sharply and mitigated, to some extent, falling CD sales. In other markets, such as Italy, digital platforms continue to underperform. For the music business, the challenge remains creating a thriving online business that gives consumers access to the music they want in a way which also rewards and respects creators, artists and producers. In France an enlightened approach to controlling internet piracy led to the government proposing the Creation and Internet law which would oblige ISPs to take steps to deter their subscribers from repeated unlawful file-sharing. At the time of publication, the proposed law is being debated in the French National Assembly. The music and film businesses are looking for other governments to follow this approach. Several, from the UK to Taiwan, obtain music as part of a bundled package with their ISP subscription or mobile phone purchase. All these different channels have one thing in common – they pay the creators of the music their customers are enjoying. John Kennedy, IFPI Chairman & CEO are moving in an encouraging direction. In the meantime, music companies are continuing to experiment and innovate with models that get music to consumers in any way they want it and which pay creators the rewards they deserve. Anyone who earns a living from creativity will have been heartened in April to see the conviction of the operators of The Pirate Bay. The trial of those individuals has been much misrepresented in the blogosphere. In fact, the outcome was great news for creators who need to know that their rights can still be protected by law from deliberate and systematic violators like The Pirate Bay. A Brand New Sector Today’s digital music market is dominated by services that in some cases did not even exist six years ago: iTunes, AmazonMP3.com, Nokia’s Comes With Music, Sony Ericsson’s PlayNow Plus, Spotify, YouTube, TDC PLAY, We7, Dada, Play.com and MySpace Music. Music companies have embraced technological change and are working with a huge variety of partners to bring great music to the public. New services are offering users a huge variety of ways to legally access music. Fans can now buy a-la-carte downloads, listen to free streamed music, watch music videos or Investing In Artists Despite rapid changes in the sector, music companies remain the largest investors in artists. They invest around 20 per cent of their revenues in discovering, nurturing and developing talent. The skills and financial backing they provide enable artists to concentrate full-time on their music career. Record labels can also open the door for artists to work with the best songwriters and studio producers in the business. Record labels of all sizes succeed because they aggregate artists together. For every successful act that forges a career in music, several more fail to connect with the public and cannot recoup the advances they have been paid through sales. That is the investment risk that record labels face. The role of the record label is evolving in the 21st century, but they are needed more than ever to discover great acts and develop their talent. Protecting The Value Of Music The trade value of the recorded music market has been shrinking remorselessly for the last nine years. Increasing digital sales have not offset falling physical sales. This development has coincided with the explosion in availability of copyrightinfringing music on file-sharing networks. Governments now emphatically agree there is a problem to solve: it is grave and mere debate and talk are simply not going solve it. The debate over the future of music in the digital age is fundamentally about recognising the value of creativity. Creating new music costs money. People who work to create an album and bring it to the public need to earn a livelihood like anyone else. Operators of music services need to see a return on their investment, not face unfair competition from online piracy. Music has a real value and that should be respected and recognised by all parties. 03 04 IFPI Recording Industry In Numbers 2009 Sources & Notes Sources ›P opulation, median age: The World Factbook (www.cia.gov) › Exchange rates: Oanda (www.oanda.com) ›B roadband lines: Point Topic (www.point-topic.com) › Internet users: Internet World Stats (www.internetworldstats.com) ›M obile subscriptions: Mobile operator figures ›T op independent labels: IFPI national groups (unless otherwise stated) ›P ortable player users: Screen Digest, Futuresource Consulting Ltd. Notes ›T rade value: or wholesale value refers to record companies’ revenue, net of discounts, returns and taxes. Promotional goods and non-music related sales or non-recording artist related products are excluded. All analysis, growth and trends, are based on trade values unless otherwise stated. ›R etail value: estimate of the final value paid by the consumer for the purchase of music products, inclusive of relevant sales taxes and retailer mark-up. Retail values are estimates only and refer to physical and digital sales only (performance rights not included). ›$ US (fixed): historical local currency values re-stated at the 2008 exchange rate. ›P hysical sales: CD sales ordered via the internet (e.g. Amazon) are reported as physical sales. Figures are provided by the record companies in the respective markets to the local IFPI body. IFPI applies a ‘coverage factor’ to the figures to account for non-reporting companies, therefore representing 100% of the market. ›D igital sales: refers to sales via online and mobile channels and via subscriptions. Income from ad-supported services, mono/polyphonic ringtone income and 04 bundled subscriptions were included in the digital sales figures in 2008. IFPI has revised 2007 digital sales for the major markets to include these new digital categories and in order to reflect true year-on-year digital growth. Compiled by Francesca Jacobson and Laura Childs. Online sales include single track and album downloads, music video downloads, streams, bundles and kiosk sales. Mobile music sales include master ringtones, single track downloads to mobile, ringback tones, music video downloads to mobile, streams, mono/ polyphonic ringtone income, embedded music on mobile phones (pre-loaded), mobile bundles, greetings and dedications income. Subscription revenues include online, mobile and bundled subscriptions. Designed by: band: www.bandlondon.co.uk › Performance rights revenues: monies received by record companies from music licensing companies for licenses granted to third parties for the use of sound recordings and music videos in broadcasting (radio and TV), public performance (nightclubs, bars, restaurants, hotels) and certain internet uses. Performance rights revenues refer to distributions to record companies – it excludes non-allocated distributions and non-recurring distributions such as settlement amounts. Distributions for the current year refer to monies collected by music licensing companies in the previous year (e.g. distributions for 2008 refer to monies collected in 2007). Figures are provided by the respective music licensing companies to IFPI. › Repertoire origin: proportion of the physical market value (trade) accounted for by each repertoire type. IFPI does not report repertoire splits for the digital market. Classification is based on artist country of signing, unless otherwise stated. Jazz is generally not reported under classical repertoire. › Rounding: figures are subject to rounding, which may affect overall totals and percentages. IFPI figures may differ from local industry groups’ reports due to different methodologies. Produced and edited by Gabriela Lopes. For further information visit www.ifpi.org Photographer credits: Metallica (p 7) – Soren Starbird 2008 Duffy (p 18) – Julian Broad Taylor Swift (p 21) – Joseph Anthony Baker Utada (p 62) – Y. Kikuma Published by IFPI, May 2009. Copyright © IFPI. All data, copy and images are subject to copyright and may not be reproduced, translated or made available without permission from IFPI. 05 IFPI Recording Industry In Numbers 2009 Recorded Music Sales In 2008 Global recorded music sales totalled US$ 18.4 billion in 2008 in trade values, a decline of 8.3% on 2007. While music sales on physical formats continued to fall, digital sales and performance rights revenues grew strongly. On a retail basis, the global recorded music market was worth an estimated US$ 27.8 billion. Recorded Music Sales By Sector n Physical n Digital n Performance Rights 2% 100 98% Global Recorded Music Sales In 2008 (US$ Millions) 3% 95% Trade Value 2007 Digital sales Performance rights Total 2008 10% 13,829 -15.4% 3,050 3,784 24.1% 690 802 16.2% 20,091 18,415 -8.3% 4% 21% 82% % change 16,350 15% 87% 80 Physical sales 3% 5% 75% 60 40 Source: IFPI 20 Global Recorded Music Sales (US$ Billions, Trade Value) 25 0 23.0 20 22.2 2004 2005 2006 2007 2008 Source: IFPI 21.8 20.1 18.4 15 Recorded music sales in physical formats continued to fall in 2008. Factors explaining this trend include: 10 ›T he continued impact of illegal downloading on CD sales, particularly affecting younger consumers’ purchasing habits 5 ›S hrinking shelf space for recorded music in physical stores leading to limited purchase locations for CD buyers 0 2004 2005 2006 2007 2008 Source: IFPI ›D ifficult economic conditions, with many shop closures taking place during 2008 › Increasing competition from other entertainment products On a volume basis, full-length product sales (including vinyl, cassette, CD, music video and digital albums) totalled 1.6 billion units globally, a drop of 12% on 2007. Digital albums were the fastest growing format, up 76%, now accounting for 7% of full-length product sales. Music sales on vinyl also grew strongly by 60%, but its share of album sales remained low at 1%. Albums remain a popular format despite the recent boom in single track consumption. As much as 79% of all revenues from music products sold via retail channels are in the album format – with digital albums accounting for 4% of overall album revenues. ›P artial shift towards legal online purchasing, particularly among younger consumers ›W orsening economic environment, particularly impacting sales during Christmas 2008 › Increasing ubiquity of music, leading to digital consumption without purchase ›T he continued impact of physical piracy in many markets Singles volumes (including physical singles and online single track downloads) were up 24% in 2008, totalling 1.5 billion units. Single track downloads now account for 94% of singles sales. 05 06 IFPI Recording Industry In Numbers 2009 Digital Growth 2008 Digital Share % Total Sales 2008 100 n Growth 2007 – 2008 n Share Of Digital 2008 100% 60 60% 50 80 40 60 62% 36% 51% 48% 40 30 42% 22% 20 21% 29% 20% 24% 20 15% 14% 10 12% 11% 6% 0 Online Mobile Subscriptions Ad Supported Total Digital 8% 0 South Korea US Asia Global Japan France UK Latin America Europe Germany Source: IFPI Source: IFPI Digital music sales continue to grow strongly – up 24.1% in 2008 totalling US$ 3.8 billion, with single track downloads crossing the US$ 1 billion mark for the first time. Digital revenues include downloads, mobile sales, subscriptions and additional categories, such as revenues from ad-supported models, income from social networking sites, income from own company websites, bundled subscriptions and video-on-demand streaming. Performance rights income – revenues derived from music used in broadcast and public performance – remain an important and growing revenue stream, now accounting for 4% of global music sales. Performance rights revenues to record companies totalled US$ 802.0 million, up 16.2% on 2007. While Europe accounts for the majority of revenues in this sector, it was North America that saw the biggest growth in performance rights in 2008, driven by satellite radio and webcasting in the US. The music industry commands the second highest digital sales share among a number of entertainment and media industries. Only the games industry has a higher digital share (35%). Digital music sales now account for 21% of total industry revenues, up from 15% in 2007 and 2% in 2004. The newspaper and film industries both have a digital share of 4% (PWC). Digital platforms are also opening up new opportunities, enabling the music market to grow in countries where the industry’s presence has been traditionally limited. In parts of Asia and Latin America, digital sales are driving the music market with China, India, Japan, Thailand, Central America and Colombia all seeing digital growth offset the decline in physical sales. 06 10% 2% Recorded Music Sales By Region 2007 - 2008 % Change (Trade Values) Physical Digital Performance Rights Total US -31.2% 16.5% 133.3% -18.6% Europe -11.3% 36.1% 11.3% -6.3% Asia -4.9% 26.1% 14.6% 1.0% Latin America -10.3% 46.6% 16.7% -4.7% Source: IFPI 07 IFPI Recording Industry In Numbers 2009 US Sees Strong Digital Growth But Suffers A Big Drop In CD Sales Global Decline Excluding US : -3.9% The global decline in the physical market in 2008 was driven by a 31% reduction in sales in the US, the biggest music market in the world. The impact of unauthorised downloading was complemented by other factors, including for example the absence of high-selling holiday releases like Josh Groban’s 2007 Noel. The US alone accounted for 56% of lost physical revenues to the recording industry in 2008. Excluding the US, global recorded music sales (including digital sales and performance rights) would have fallen by a more modest 3.9%. Kid Rock The steepest decline in CD buying was among younger (13–17) digitally-connected consumers. Teenagers’ overall music spend has declined steadily over the past three years. Though P2P incidence rates in the US have stabilised, the teen and college age groups with fast internet access remain the heaviest users, and continue to increase the volume of unauthorised music they download (NPD Group). While this group accounted for the largest share of music purchases ten years ago, their share of spending has been eclipsed by older groups. Although the lack of a credit card may be a barrier for some teenagers when buying music online, there are alternatives available. Up to 60% of teens purchase songs at iTunes using gift cards (NPD Group). Despite the large decline in CD sales, digital sales continued to grow strongly in the US, which now accounts for as much as 47% of global digital revenues. The growth in 2008 online sales was largely attributable to an expanding music-buying demographic, with new buyers coming into the market. New digital buyers are older, possibly an impact of AmazonMP3’s growth. According to NPD Group, 87% of digital music buyers in the US used iTunes to download music in 2008. Amazon’s digital store followed with 16%. Three out of four digital consumers are repeat buyers. Young adults are driving the US digital music economy. US consumers aged 18-35 were the highest spenders in music in 2008, with their increased spend on digital formats compensating for the decline in CD buying. CD buying still contributed to the majority of music spending among this age group, indicating that a significant proportion of downloaders have not abandoned the CD format altogether. This finding that music buyers are simultaneously buying in physical and online formats is echoed elsewhere in the world. Research in the UK found that only 15% of music consumers who download music legally say they have stopped buying CDs altogether (Entertainment Media Research). Distribution Of Music Buyers In The US (2008) 10% 25% 65% n CD only n CD and digital n Digital only Source: NPD Group, 2008 Metallica Music Discoverers: Why You Want To Know Them Research in the US by The Taylor Group (2008) looked into the habits of music ‘discoverers’ – those who are always looking for new acts, who like finding out about new artists and like listening to different music to most people of their age. It found that this group accounts for 13% of the US population and 28% of music purchases in the US. The mean age of a music discoverer is 33 years old and they are much more likely to purchase music than nondiscoverers. Discoverers are particularly strong purchasers of digital albums, accounting for 40% of digital album sales in the US. Looking at their buying behaviour, the research found that this group is spending less on music than they used to. The key factors identified as driving this decline in spending were the growing number of sources of music that satisfy consumption removing the need to buy; an increase in the incidence of file-sharing among this group; and the economic environment. 07 08 IFPI Recording Industry In Numbers 2009 Japanese Market Remains Resilient Asia Delivers Positive Results Asian Market : US$ 4.8 billion % Change : +1.0% Digital Share : 22% Asia Excl. Japan : US$ 663.3 million % Change : +1.9% Digital Share : 37% “We tend to release chaku-uta (mastertones) one or two months before the physical release for test-marketing and use the market’s response to judge the song’s hit potential in physical form.” Takashi Kimoto, Managing Director Of Sales, Marketing And Digital, Universal Music Japan Japan, the second biggest music market in the world, saw an overall market growth of 0.9% with the increase in digital sales and performance rights offsetting the decline in physical sales. In 2008 Japan overtook the US as the country with the most physical music sales. Digital sales in Japan grew by 25.4% and continued to be dominated by mobile platforms, which accounted for 88% of the digital market. Single track downloads to mobile remained the leading mobile format in Japan. “It’s about working with our business partners and coming up with consumer-friendly options. We are starting with the consumer and working backwards which is proving a successful approach.” Lachie Rutherford, President, Warner Music Asia Japan’s success can be partly attributed to Label Mobile, a joint venture between twelve record labels that runs all of its stakeholders’ mobile commerce activities. The synergy between physical and digital formats, as well as constant mobile product innovation, have also contributed to Japan’s positive performance. Illegal downloading of mastertones and full tracks to mobile phones continued to threaten the Japanese market, but Japan’s piracy rate is significantly lower than the global average. Out of all downloads in Japan (online and via mobile phones, legal and illegal) in 2008 40% were unauthorised. Globally 95% of all music downloads are unauthorised. Research shows that the bias towards mobile consumption is a key factor in Japan’s lower piracy rate. This reduced impact of piracy also helps explain Japan’s market resilience. Thelma Aoyama Asia was the only region to show overall growth (+1.0%). Excluding Japan, the region grew by 1.9%. Asia (excl. Japan) has the highest share of digital sales in the world, now at 37%. Four Asian markets saw overall market growth: China (+8.0%), India (+6.3%), South Korea (+16.0%) and Thailand (+7.3%). Asia also showed the highest growth in performance rights (+46.8%), although from a small base. Japan’s performance rights revenues grew more modestly, by 3.5%. Top Asian Music Markets (Trade Values) US$ (millions) Japan % Change 07-08 % Digital 4,109.0 0.9% 20% South Korea 140.6 16.0% 60% India 140.4 6.3% 21% China 82.0 8.0% 62% Thailand 68.3 7.3% 37% Source: IFPI GReeeeN 08 09 IFPI Recording Industry In Numbers 2009 Europe’s Digital Growth Outpaces Global Average European Market : US$ 7.3 billion % Change : -6.3% Digital Share : 10% European Million Selling Albums By Origin Music sales in Europe fell by 6.3% in 2008, driven by a steep decline in physical sales (-11.3%). Europe’s digital market on the other hand grew strongly, up 36.1% on 2007 now accounting for 10% of music sales in the region. 100 Since 2004, broadband connections across Europe have grown by almost 95% and now outstrip those in the US. This growth has opened up opportunities in the digital sector, with new online services entering the market and new business models being introduced. However, the European digital market still has enormous untapped potential with widespread online piracy in many markets acting as a major barrier to growth. 60 ther n EU acts n US acts n O There are also marked differences in internet penetration levels across Europe, with Northern Europe showing faster adoption of PCs and the internet. Nordic countries have an internet penetration rate of 76% on average compared to 45% in Southern Europe. The top two European markets showed modest overall market declines of less than 5% in 2008. While digital sales helped offset the UK physical decline, in Germany, CD sales saw a less steep decline. The UK and France were the fastest expanding digital markets with digital growth rates well above the global average. Eastern European markets also delivered strong digital growth, including Poland, Russia and Turkey. 11% 30% Top European Music Markets (Trade Values) US$ (millions) 16% 12% 7% 6% 28% 37% 44% 28% 12% 19% 28% 37% 80 31% 65% 59% 60% 57% 47% 40 60% 50% 44% 20 0 2001 2002 2003 2004 2005 2006 2007 2008 Source: IFPI Platinum Europe Awards. Based on artist nationality, other includes compilations/ soundtracks and other nationalities Top 50 Global Best Sellers By Origin ther n US acts n EU acts n O 100 23% 21% 7% 12% 19% 14% 80 The performance rights sector in Europe is a more mature market than elsewhere in the world and accounted for more than 70% of global performance rights revenues. Europe is also home to the top three music licensing companies – PPL in the UK, GVL in Germany and SCPP in France. 12% 26% 10% 10% 24% 26% 23% 26% 18% 74% 25% 74% 66% 60 10% 61% 64% 64% 52% 51% 40 20 % Change 07-08 % Digital UK 1,845.4 -2.5% 14% Germany 1,627.8 -4.2% 8% France 1,049.6 -11.4% 15% Italy 326.1 -17.0% 9% Spain 302.4 -7.8% 10% 0 2001 2002 2003 2004 2005 2006 2007 2008 Source: IFPI. Other includes compilations/soundtracks and title sales from other nationalities Source: IFPI In terms of its creative output and exports, Europe remains a major repertoire source to the world. Half of all albums with certified sales of one million in 2008 in Europe were of European origin. Among the top 50 global top sellers, European acts accounted for 25% of sales in 2008, up from 23% in 2007, while the share of US acts declined for the fourth consecutive year. Looking at the breakthrough acts of 2008 (p 17), out of the 17 new acts reaching platinum status, 13 were of European origin including 4 from the UK, 2 from Spain and 2 from Ireland. Within Europe, the UK remains the continent’s most important centre of artist and repertoire. Artists such as Duffy, Coldplay, Leona Lewis, Seal, Radiohead and Dido sold significantly around the world in 2008. In the US, British artists accounted for 1 in 10 artist albums sold and there were large increases in shares recorded in France and Germany. Amaia Montero (Spain) 09 10 IFPI Recording Industry In Numbers 2009 Latin America Sees Strong Growth In Digital Sales And Performance Rights Music sales in Latin America fell by 4.7% in 2008. Four markets saw overall music sales grow: Brazil (+8.1%), Central America (+10.3%), Colombia (+5.0%) and Venezuela (+19.2%). Latin America saw the sharpest rise in digital sales in 2008, growing by nearly double the global rate (+46.6%). While this is a positive development, digital sales in the region remained below the global average, reaching a 12% share in 2008. Mobile continued to account for the bulk of digital revenues in the region (80%), with embedded music on mobile phones proving a successful model in markets like Brazil. The online digital market has been held back in Latin America by a number of factors, including widespread illegal downloading, low levels of trust online and lower credit card penetration. “Expanding our business in Latin America today is about developing partnerships between music creators, music services and technology, and in turn, using technology to connect consumers with artists. The music industry is driving these partnerships with the mobile and online worlds to develop new products and new distribution channels for delivering music to fans. The result has been a variety of new offerings across a wide range of services that have proven popular with consumers, ranging from ring tunes and full track downloads, to advertisingsupported video services and subscription models. The future offers huge potential for us to continue creating even more new ways for all kinds of fans to experience and enjoy music.” Sergio Lopes, VP, EMI Marketing / Digital Development and Distribution, EMI Music Latin America The opportunities are huge however. Brazilians spend more time on the internet than any other nation and social networks and services such as YouTube, MySpace and Orkut have attracted big audiences. Ad-supported models have started to grow in the region as a result. Illegal downloading has hit a key audience in the region – young consumers, digitally savvy, from AB/C+ economic brackets. Research in Mexico highlighted that as many as 39% of the downloading population fit in the AB/C+ economic group while this segment accounts for 20% of the Mexican population. 90% of file-sharers in Mexico are aged between 12 and 26 years old (Ipsos MediaCT, 2008). Performance rights growth in Latin America also outpaced the global average, up 16.7% on 2007. Performance rights now account for 5% of music revenues in the region. “We are excited about digital services opening new revenue streams in new markets. For example, the number of mobile phone users in developing markets such as India, Russia or Latin America is huge. We have the opportunity of reaching them with some of these new business models. We now have partners we can work with on a scalable international basis.” Francis Keeling, Vice President, Digital, Universal Music Group International d Pa re lo ce ar M si s Ro 10 IFPI Recording Industry In Numbers 2009 11 New Business Models For A New Era Music companies and their partners have introduced a variety of new legitimate services to supplement traditional business models and adapt to new forms of consumer demand. These include music access services, fully-interoperable download stores, and advertising-supported offerings. At the same time, music companies are working to develop new revenue streams, ranging from creating value in the music experience, be it through games or merchandising products, to brand partnerships and improved broadcast and public performance rights. “In 2008 we saw the emergence of new partners and business models that have diversified the number of ways consumers can acquire music. We look forward to seeing these new models start to blossom in 2009 and 2010.” Thomas Hesse, President Global Digital Business, Sony Music Entertainment “We are extremely active in developing new business models, new sources of revenues. We are working with all the big names in the field of internet, telecom equipment companies, big media companies and this is a big opportunity. I really believe we are at the turning point for the music industry.” Jean-Bernard Levy, CEO of Vivendi (quoted in the Financial Times) This diversification in the business models reflects the different ways people wish to consume music. Some consumers are passionate collectors with specialist interests, others prefer to access a wide range of repertoire. Some will be high-value customers prepared to spend hundreds of dollars a year on music, others will want to pay as little as possible for a basic service or not pay at all. Music companies and their partners are reaching out to all different segments of music fans by offering content in multiple platforms while placing emphasis on service quality to increase consumers’ propensity to pay for content. ”The market will rely on an increasingly complex range of multifaceted models. That means more opportunities for fans to connect with artists and vice versa - but being able to manage such complexity is a challenge for artists and labels. To be relevant to today’s music consumers and today’s artists, music companies must develop and offer a new set of marketing skills (especially in digital), starting with deep consumer insight, and a truly global and demand-driven approach.” Elio Leoni Sceti, Chief Executive, EMI Music Music companies are broadening the way they secure revenue, introducing an approach which relies on business partners being able to deliver a fair average revenue per user (ARPU) and developing scalability. Some of these partners do not require consumers to pay at the point of listening, but bundle music into a broader range of services such as broadband subscription packages, mobile devices or cable TV subscriptions. Examples of ’music access’ models launched in 2008 and early 2009 include Nokia’s Comes With Music available in the UK, Italy, Sweden, Singapore and Australia; Sony Ericsson’s PlayNow service first launched in Sweden as well as a service launched by local telecom TeliaSonera; Denmark’s TDC PLAY; Vodafone Spain’s unlimited music service; a music service from Finnish ISP DNA and a number of such partnerships in France with ISPs and mobile operators including Neuf Cegetel, Orange and SFR. Meanwhile consumer choice in the traditional à-la-carte sector is improving. Many services now offer their music catalogues free of digital rights management (DRM), allowing for interoperability between devices. Early 2009 marked the introduction of variable pricing in the downloads market. On iTunes, while many songs are still sold at 99 cents, some new releases cost US$1.29 and many older catalogue songs now sell for 69 cents. Amazon and other retailers are also offering songs at different prices. Devices like the iPhone are also helping drive mobile music consumption. While still a niche device, accounting for around 2% of UK mobile users, iPhone users are much more likely to consume music. 66% of iPhone owners listen to music on their mobile compared to 41% of smartphone users and 23% of all mobile users in the UK (comScore, March 2009). 11 RIN2009-Ad:Layout 1 5/1/09 1:37 PM Page 1 NPD consumer information equips you to understand and target the changing U.S. entertainment consumer Total coverage. Total reliability. Physical or digital. What would it mean to your company if you knew exactly what consumers do, what they want, and why? Make decisions with total confidence. NPD’s unparalleled consumer behavior information spans the entertainment spectrum – music, film & video, video games, and current trends in entertainment. Now you can uncover opportunities and understand emerging behaviors – put NPD information to work for you. Start the conversation today. Contact Charles Camaroto at +1 866-444-1411 ([email protected]) to find out what NPD consumer insight can do for your business. % Share of Monthly Spend on Content Among U.S. Music Buyers 24% 24% 8% 19% 16% Video Games DVD / BD Movies DVD Rental 7% Movie Tickets Music Recorded Music Concerts Source: The NPD Group/Entertainment Trends in America, Wave 4 www.npd.com 13 IFPI Recording Industry In Numbers 2009 Music companies are also working hard to monetise the rapidly growing area of social networks. Here a free-to-user experience predominates, presenting a very different business model. Spending by advertisers has tilted towards online platforms in the last few years, with the internet now accounting for 10.3% of global advertising spend or US$ 49.9 billion. This means online advertising has exceeded radio advertising for the second consecutive year (ZenithOptimedia). As this sector grows, the opportunities for content industries online expand. Increasingly, music platforms on social networks link the unlimited streaming discovery environment with purchase opportunities. As fans experience music in abundance and discover new favourites, their likelihood to purchase increases. By integrating the ‘free’ streaming experience with opportunities for consumers to buy and permanently own tracks, music companies can open up additional revenue streams. Research by NPD Group in the US found that ad-supported services have the potential to reach minimally 9-15 times the current US subscription population. Younger consumers aged 13-34 years old are the most likely to be interested in an ad-supported service. Consumers are willing to look at a reasonable number of ads. 47% of internet users aged 13-55 were extremely/very interested in a free service with the features they liked that required viewing ads. Moreover, consumers will accept a limited number of free-to-own songs (they don’t demand unlimited ownership), opening up opportunities for premium services/up-selling. “In the 90s, 70% of video product could not find a home and was never played. Today there is a home on the internet for every piece of content, but without getting selected, filtered and eventually pushed by a trusted entity, it remains unplayed. Distributing content is not pushing content. It may not be fashionable to admit it but the push model is as relevant as ever.” Peter Ruppert, Founder & President, Entertainment Media Research Ltd “The growth of non-retail services has been the biggest development in 2008 for us, but it also poses challenges. People are choosing to consume music in many different ways and it is our responsibility to monetise those rights.” Simon Wheeler, Director Of Strategy, Beggars Music Group “The artist has created an asset and consumers are indicating they appreciate that asset and assign a value to it. So we need to establish an appropriate system in which rights holders get paid for the use of this asset.” Richard Story, COO, Sony Music Continental Europe Music Companies Investing In Music Research carried out by the BPI in the UK in 2008 found that 24% of record companies’ revenues were spent on marketing and promotion in 2007. It is this marketing investment that raises artists’ profiles and creates demand. The same research found that record companies invested an average of 21% of their revenues in A&R over the years 2005-2007 – all of which record companies fund upfront in the hope that the recordings will be a commercial success and they will recover this investment. A&R includes artist advances, recording and origination costs (e.g. studio, engineering and production costs), video costs, tour support, A&R staff overheads and TV advertising expenditure. The investment record companies put into the marketing and promotion of an album prior to its release is vital to the artist’s chances of success. Research by IFPI found that on average, 56% of the total sales of an album’s life-cycle will be achieved within the first four weeks of release. Consumers are bombarded with information and various industries are competing for consumers’ limited spend. Moreover, competition is also fierce in the music scene, with millions of artists hoping to expand their fan-bases. An example of this is the number of acts with profile pages on the social networking site MySpace. There are more than 2.5 million hip hop acts alone on MySpace and 1.8 million rock acts. Record companies need to ensure that their marketing spend goes towards focusing the public’s attention on the artist’s work, ensuring the artist’s work reaches as many potential fans as possible. All of that while trying to create a ‘connection’ between fan and artists – a fundamental part of long-term artist development and consumer loyalty. In 2008 online video established itself as the most popular online entertainment application, with more than 1 in 4 (28%) Europeans watching short or full-length videos – an increase of over 150% since 2006 (Forrester Research). Music videos remained one of the top video categories online, evidenced by the top most-watched videos on YouTube. Over half of the top 30 most-watched videos on YouTube are licensed music videos from artists such as Avril Lavigne, Chris Brown and Rihanna. In April 2009 Universal Music Group and Google partnered to create a new music video service called Vevo, a central repository for all of Universal’s visual content such as music videos, interviews and concert footage. YouTube will provide the technology behind the service, and will be the first online streaming video service to syndicate the content. Negotiations to bring the catalogue of other labels into the service are ongoing. The service is due to launch towards the end of 2009. 13 14 IFPI Recording Industry In Numbers 2009 Unauthorised Downloading Blights The New Legitimate Online Business The legitimate digital music sector has grown strongly but remains far short of its potential. Unlawful downloading and swapping of music online is not the only cause of the unfulfilled potential of the digital music revolution – but it is a major one. Illegal music services pose unfair competition to legitimate start-ups. In some cases they make millions of dollars from selling online advertising and bundled software on the back on unauthorised content distribution. 14 Unlawful file-sharing has proved most popular among younger consumers – the early adopters of digital technology. While 16% of the general internet population in Europe file-share on a regular basis, among the 15-24 year olds this figure jumps to 34%. This is three times the proportion of 15-24s consuming music via legitimate à-la-carte services. In the UK 37% of filesharers are aged 16-24 and more than 70% are aged under 35 (Harris Interactive/BPI). Peer-to-peer (P2P) file-sharing is the application producing most internet traffic – ahead of web browsing, media streaming, e-mail or instant messaging. Its share varies, but it is estimated to range between 43-70% of all internet traffic depending on the market (ipoque, Internet Study 2008/2009). P2P technology has been of great interest to music companies as a legitimate business tool. It has also, however, been a vehicle for massscale violation of creators’ copyrights. P2P networks have not only had an immensely damaging effect on adoption of legitimate online services – be it à-la-carte, subscriptions or ad-supported, etc. – but they have also greatly impacted the CD market for music. CD sales dropped by 34% globally in trade revenues to record companies between 1999 and 2008. This coincides with the key period of growth in usage of P2P. In the US 18% of internet users aged 13+ used P2P services in 2008. That figure has remained stable for the past three years despite an increase in the volume of files illegally downloaded (NPD Group). In Europe, 16% of internet users regularly swap music on P2P (Forrester Research), again a figure that has remained relatively stable over the past few years. In the UK, 15% of online users frequently file-share (Harris Interactive/BPI). In Japan 10% of internet users were found to file-share in 2008, a slight increase compared to 2007 (Media Interactive/RIAJ). The link between the fall in recorded music sales and growth in file-sharing is verified by numerous studies by academics and by the industry. The majority of studies available around the world find that file-sharing has had a significant impact on recorded music sales. These include studies by Michael (2006), Rob & Waldfogel (2006), Zentner (2003) and Liebowitz (2006). Numerous consumer studies commissioned by the music industry worldwide also support the claim that unauthorised file-sharing harms sales. 15 IFPI Recording Industry In Numbers 2009 A well-publicised study by Oberholzer and Strumpf (2004) found no link between the fall in music sales and illegal downloading. This study was reviewed by Liebowitz who concluded that “it is probably something of an understatement to say that [their] results did not hold up well under this re-examination” (How Reliable is the Oberholzer and Strumpf Paper On File-Sharing?). While consumer behaviour is clearly shaped by the lure of free, consumers also clearly understand the importance of paying creators. There is evidence that consumers generally believe in the core principles of copyright, that is rewarding artists and creators for their work: ›R esearch commissioned by the Canadian Government Research suggests the free availability of music is the driving force behind the popularity of such services. A study by Entertainment Media Research in the UK found that 71% of music consumers who said they file-shared more heavily in 2008 cited ‘because it’s free’ as the main reason for their activity. In Norway, research by Norstat in 2009 found that the most cited reason for downloading music from unauthorised P2P sites was also ‘because it’s free’. Only 4% of Norwegians said they downloaded illegally because there was a lack of good enough legal alternatives. Research in Japan indicated that the main reason for use of P2P is ‘to download free music’, followed by ‘to download free movies’, ‘to download free music videos’ and ‘to download music files before they are released’. Moreover, 68% of P2P users in Japan claimed they didn’t purchase the music after downloading it (RIAJ/Media Interactive). (Environics’ Annual Social Values Monitor) found that 90% of consumers backed strong copyright laws to protect creators › In the UK 91% of non-file-sharers believe that artists deserve compensation for their work and that paying for music is the ‘right and moral thing to do’ (Harris Interactive/BPI) ›R esearch by Ipsos in France found that 80% of the French population aged 15+ believes that artists and authors must be remunerated when their songs are downloaded on the internet › In Norway, 84% of Norwegians feel that it is reasonable that those who have created the music should decide whether their music should be sold or given away free (Norstat AS, 2009) “The papers that have examined the impact of file-sharing can be categorised by result and by methodology. By results the classification is quite simple. There is one study (Oberholzer and Strumpf, 2004) that claims to find a zero impact. All the other studies find some degree of negative relationship between file-sharing and sales of sound recordings.” Stan J. Liebowitz (University of Texas), ‘How To Best Ensure Remuneration For Creators In The Market For Music: Copyright And Its Alternatives’ Recorded Music Sales Top 20 Markets POSITION country us$ M 1 US 4,976.8 2 Japan 4,109.0 3 UK 1,845.4 4 Germany 1,627.8 5 France 1,049.6 6 Canada 456.3 7 Australia 389.2 8 Italy 326.1 9 Spain 302.4 10 Netherlands 271.9 11 Brazil 221.8 12 Russia 220.8 13 Switzerland 192.5 14 Belgium 192.1 15 Austria 147.3 16 Mexico 145.9 17 Sweden 143.2 18 South Korea 140.6 19 India 140.4 20 Denmark 124.5 Other 1,391.5 Total 18,415.2 TRADE VALUES MARKET SPLIT LOCAL CURRENCY M % CHANGE PHYSICAL DIGITAL PERF. RIGHTS USD 4,976.8 -18.6% 63% 36% 1% JPY 425,159.5 0.9% 78% 20% 2% GBP 1,015.0 -2.5% 79% 14% 7% EUR 1,106.9 -4.2% 87% 8% 5% EUR 713.7 -11.4% 77% 15% 8% CAD 488.2 -8.1% 79% 17% 4% AUD 467.0 -6.0% 84% 13% 3% EUR 221.7 -17.0% 82% 9% 9% EUR 205.6 -7.8% 78% 10% 12% EUR 184.9 -9.9% 76% 6% 18% BRL 408.2 8.1% 81% 13% 6% RUB 5,492.2 -2.4% 95% 3% 2% CHF 207.9 -5.4% 90% 7% 3% EUR 130.6 -4.8% 76% 10% 14% EUR 100.2 -9.9% 84% 7% 9% MXP 1,629.5 -22.0% 89% 11% 0% SEK 944.0 -6.9% 84% 8% 9% KRW 155,111.9 16.0% 40% 60% 0% INR 6,151.9 6.3% 64% 21% 16% DKK 635.0 -9.5% 73% 16% 12% – – -5.0% 78% 15% 8% – – -8.3% 75% 21% 4% RETAIL VALUES US$ M LOCAL CURRENCY 8,597.8 8,597.8 5,600.7 579,504.0 2,430.3 1,336.7 2,355.4 1,601.7 1,559.6 1,060.5 600.9 642.9 578.4 694.1 462.8 314.7 409.9 278.7 373.5 254.0 328.3 604.0 410.2 10,201.0 243.6 263.1 268.9 182.9 272.9 185.5 231.5 2,586.0 215.7 1,421.4 294.8 325,078.2 179.3 914.5 179.3 914.5 2,205.8 – 27,824.6 – Source: IFPI 15 16 IFPI Recording Industry In Numbers 2009 Coldplay Top 50 Global Best Selling Albums Coldplay’s fourth studio album, Viva La Vida or Death and All His Friends, was the best-selling album of 2008 reaching sales of 6.8 million units globally. This sales mark is the highest for a number one album since 2005, when Coldplay topped the global chart with X&Y. Best Sellers By Genre Combined sales of the global top 50 albums fell by 7.7% in 2008, following a small increase in 2007. The top 10 album sales fell by a more modest 5.4%, with three acts crossing the five million sales mark – Coldplay’s Viva La Vida or Death and All His Friends, AC/DC’s Black Ice and Mamma Mia! The Movie Soundtrack. › Best Selling Rap/Hip-Hop Album: Lil Wayne, Tha Carter III Two debut albums featured in the top 10 – Duffy’s Rockferry and Leona Lewis’ Spirit – both UK acts. This compares with only one debut album in the top 10 in 2007, Mika’s Life in Cartoon Motion, also a UK act. Frontline & Catalogue Sales While the share of digital album sales remains relatively low on average, it grew in 2008 to 6.1% of all album sales, from 4.3% in 2007. In the top 10, digital albums accounted for 6.5% of all sales. However, there were big variations in digital share. Madonna’s Hard Candy saw 18% of sales in digital format. Other albums with a digital share of over 15% were: OneRepublic’s Dreaming Out Loud (17%), Jason Mraz’s We Sing, We Dance, We Steal Things (16%), Twilight OST (15%) and Jack Johnson’s Sleep Through The Static (15%). 16 › Best Selling Rock Album: Coldplay, Viva La Vida or Death and All His Friends › Best Selling Pop Album: Duffy, Rockferry › Best Selling Classical Album: Il Divo, The Promise › Best Selling Country Album: Taylor Swift, Fearless › Best Selling Compilation: Mamma Mia! The Movie Soundtrack Catalogue sales (titles over 18 months old) represented 42% of overall album sales in the US, up from 39% in 2007 and 36% in 2001. The growth in catalogue sales is also present in the digital sector, with catalogue representing 48% of all digital albums sold in 2008, compared to 46% in 2007 (Nielsen SoundScan). In the UK, catalogue sales (titles released two years prior to the current year) accounted for 29% of sales in 2008, slightly up on 2007 (28%) (BPI based on data from The Official UK Charts Company). 17 IFPI Recording Industry In Numbers 2009 e el Ad Number Of Albums Receiving A Platinum Award 2007-2008 Albums released in 2008 receiving a Platinum Award in 2008 New Artists Receiving Platinum Awards 2008 Albums released in 2007 receiving a Platinum Award in 2007 Platinum Sales Level* New Artist (first album released in 2008) Country where Platinum Award was received Company US 21 36 1,000,000 Adele UK XL Recordings Japan 52 51 250,000 Amaia Montero Spain Sony Music UK 27 32 300,000 Amanda Jenssen Sweden Sony Music Germany 21 17 200,000 France 27 28 200,000 Cistercian Monks of Heiligenkreuz Austria, Belgium Universal Music Australia 42 48 70,000 Brazil 14 7 100,000 Duffy Universal Music Canada 14 25 80,000 Austria, Belgium, Germany, New Zealand, Sweden, UK Sweden 26 21 40,000 Gabriella Cilmi Australia Warner Music New Zealand 18 23 15,000 Belgium 19 17 20,000 Geoffrey Gurrumul Yunupingu Australia MGM Julien Dore France Sony Music Lady GaGa Australia Universal Music Los Pikadientes de Caborca US Sony Music Michael Hirte Austria Sony Music N-Dubz UK Universal Music Pitingo Spain Universal Music The Priests New Zealand, Sweden, UK Sony Music The Script UK Sony Music The Ting Tings UK Sony Music Thomas Godoj Germany Sony Music Source: IFPI. *Level applies to domestic repertoire threshold. For list of all national levels see page 84. Source: IFPI 17 18 IFPI Recording Industry In Numbers 2009 Top 50 Global Best Selling Albums 2008 Physical & digital formats included ARTIST TITLE COMPANY 1 Coldplay Viva La Vida Or Death EMI Music And All His Friends 2 AC/DC Black Ice Sony Music 3 Various Artists Mamma Mia! Universal Music The Movie Soundtrack 4 Duffy Rockferry Universal Music 5 Metallica Death Magnetic Universal Music/ Warner Music 6 Leona Lewis Spirit Sony Music 7 Amy WinehouseBack To Black Universal Music 8 Various Artists High School Musical 3: Walt Disney Records/ Senior Year Universal/EMI 9 Lil Wayne Tha Carter III Universal Music 10 Rihanna Good Girl Gone Bad Universal Music 11 Madonna Hard Candy Warner Music 12 Beyoncé I Am... Sasha Fierce Sony Music 13 P!nk Funhouse Sony Music 14 Guns N’ Roses Chinese Democracy Universal Music 15 Britney Spears Circus Sony Music 16 Jack Johnson Sleep Through The StaticUniversal Music 17 Il Divo The Promise Sony Music 18 Taylor Swift Fearless Big Machine/ Universal Music 19 Jonas Brothers A Little Bit Longer Hollywood Records/ Universal Music 20 Various Artists Camp Rock OST Walt Disney Records/ Universal/EMI 21 Kings Of Leon Only By The Night Sony Music 22 Nickelback Dark Horse Warner Music/EMI Music 23 Miley Cyrus Breakout Walt Disney Records/ Universal Music 24 Kid Rock Rock N Roll Jesus Warner Music ARTIST TITLE COMPANY 25 Enya And Winter Came... Warner Music 26 Mariah Carey E=MC2 Universal Music 27 Take That The Circus Universal Music 28 The Killers Day & Age Universal Music 29 Usher Here I Stand Sony Music 30 T.I. Paper Trail Warner Music 31 Kanye West 808’s & Heartbreak Universal Music 32 Michael Jackson Thriller Sony Music (25th Anniversary Edition) 33 Katy Perry One Of The Boys EMI Music 34 Exile Exile Ballad Best Avex Marketing Inc. 35 Ne-Yo Year Of The Gentleman Universal Music 36 Amy MacdonaldThis Is The Life Universal Music 37 Abba Gold Universal Music 38 Namie Amuro Best Fiction Avex Marketing Inc. 39 Jonas Brothers Jonas Brothers Hollywood Records/ Universal Music 40 Seal Soul Warner Music 41 Sugarland Love On The Inside Universal Music 42 Celine Dion My Love Essential Sony Music Collection 43 Exile Exile Catchy Best Avex Marketing Inc. 44 Dido Safe Trip Home Sony Music 45 Taylor Swift Taylor Swift Big Machine/ Universal Music 46 Chris Brown Exclusive Sony Music 47 Twilight Twilight OST Warner Music 48 Jason Mraz We Sing, We Dance, Warner Music We Steal Things 49 One Republic Dreaming Out Loud Universal Music 50 Various Artists Now That’s What EMI Music I Call Music! 71 Source: IFPI Duffy ty Ka ay ne ry r Pe W Lil 18 19 IFPI Recording Industry In Numbers 2009 Top 10 Global Best Selling Best Selling Albums Digital only Physical & digital formats included Digital Singles 2008 By Company 2008 ARTIST TITLE COMPANY SALES (M UNITS) 1 Lil Wayne Lollipop Universal Music 9.1 2 Thelma Aoyama Sobaniirune Universal Music 8.2 3 Flo Rida feat. T-Pain Low Warner Music 8.0 4 Leona Lewis Bleeding Love Sony Music 7.7 5 Timbaland Apologize Universal Music 6.2 6 GreeeeN Kiseki Universal Music 6.2 7 Katy Perry I Kissed A Girl EMI Music 5.7 8 Alicia Keys No One Sony Music 5.6 9 Usher feat. Young Jeezy Love In This Club Sony Music 5.6 10 Chris Brown With You Sony Music 5.5 Il Divo Source: IFPI. Chart includes online single tracks, audio and video mastertones, ringback tones and full track downloads to mobile. Period of 12 months to November 2008. Sales figures are rounded. Combined all versions of the same song. EMI Music Artists Title Coldplay Viva La Vida Or Death And All His Friends Katy Perry One Of The Boys Various Artists High School Musical 3 – Senior Year Various Artists Now That’s What I Call Music! 71 Utada Hikaru Heart Station Various Artists Now That’s What I Call Music! 28 Lenny Kravitz It Is Time For A Love Revolution Various Artists The Old Time Radio Hour Christmas Program Various Artists Now That’s What I Call Music! 70 Various Artists Now That’s What I Call Music! 69 Artists Sony Music Title AC/DC Black Ice Leona Lewis Spirit Beyoncé I Am... Sasha Fierce P!nk Funhouse Britney Spears Circus Il Divo The Promise Kings Of Leon Only By The Night Usher Here I Stand Michael Jackson Thriller (25th Anniversary Edition) Celine Dion My Love Essential Collection Artists Universal Music Title Various Artists Mamma Mia! The Movie Soundtrack Duffy Rockferry Amy Winehouse Back To Black Lil Wayne Tha Carter III Rihanna Good Girl Gone Bad Guns N’ Roses Chinese Democracy Jack Johnson Sleep Through The Static Taylor Swift Fearless Jonas Brothers A Little Bit Longer Miley Cyrus Breakout Artists Warner Music Title Madonna Hard Candy Kid Rock Rock N Roll Jesus Enya And Winter Came... Nickelback Dark Horse Metallica Death Magnetic T.I. Paper Trail Seal Soul Various Artists Twilight Original Motion Picture Soundtrack Jason Mraz We Sing, We Dance, We Steal Things Disturbed Indestructible Source: IFPI. List includes independent releases distributed by major labels. 19 20 IFPI Recording Industry In Numbers 2009 IFPI Platinum Europe Awards IFPI’s Platinum Europe Awards were launched in 1996 to honour artists who achieve album sales of one million units in physical and digital formats across Europe. To this day the ‘Plats’ are an established hallmark of success for artists in Europe. 2008 Milestones › 52 albums received a Platinum Award in 2008, down from 57 in 2007 › 13 albums (25%) achieving a Platinum Award were 2008 releases › The highest selling release of 2008 was Duffy’s Rockferry, with sales of over 3 million in Europe › The highest award level reached in 2008 went to Norah Jones’ 2002 release Come Away With Me which reached sales of 7 million Award Winning 2008 Releases Artist Album Duffy Rockferry Level 3 Universal Music AC/DC Black Ice 2 Sony Music Coldplay Viva La Vida Or Death and All His Friends 2 EMI Music Metallica Death Magnetic 2 Universal Music OST Mamma Mia! The Movie Soundtrack 2 Universal Music Take That The Circus 2 Universal Music Enya And Winter Came... 1 Warner Music Guns N’ Roses Chinese Democracy 1 Universal Music Kings Of Leon Only By The Night 1 Sony Music Madonna Hard Candy 1 Warner Music OST High School Musical 3 – Senior Year 1 Disney Music Group Seal Soul 1 Warner Music The Killers Day & Age 1 Universal Music Source: IFPI ! ia M Madonna a m am M Am y se ou eh in W Fl o da Ri 20 Company 21 IFPI Recording Industry In Numbers 2009 Best Selling Albums Since Launch Of Awards (1996-2008) Artist Album Celine Dion Falling Into You Level 9 Sony Music Celine Dion Let’s Talk About Love 9 Sony Music The Beatles 1 9 EMI Music Celine Dion D’eux 8 Sony Music Bon Jovi Crossroad 8 Universal Music Spice Girls Spice 8 EMI Music U2 The Best Of 1990-2000 7 Universal Music Shania Twain Come On Over 7 Universal Music 7 Sony Music Alanis Morissette Jagged Little Pill Company Madonna Ray Of Light 7 Warner Music Norah Jones Come Away With Me 7 EMI Music Source: IFPI 2008 Award Winners ift w rS lo y Ta AWARD 2008 ARTIST TITLE COMPANY LEVEL ENTRY Norah Jones Come Away With Me EMI Music 7 Amy Winehouse Back To Black Universal Music 6 Duffy Rockferry Universal Music 3 • Take That Beautiful World Universal Music 3 U2 The Best Of 1990-2000 Universal Music 3 AC/DC Black Ice Sony Music 2 • Amy Macdonald This Is The Life Universal Music 2 Bryan Adams Unplugged Universal Music 2 Coldplay Viva La Vida Or Death EMI Music 2 • And All His Friends James Blunt All The Lost Souls Warner Music 2 Leona Lewis Spirit Sony Music 2 Metallica Death Magnetic Universal Music 2 • Michael Bublé It’s Time Warner Music 2 Michael Bublé Call Me Irresponsible Warner Music 2 OST Moulin Rouge Universal Music 2 OST Mamma Mia! Universal Music 2 • The Movie Soundtrack OST High School Musical Disney Music Group2 Scissor Sisters Ta-Dah! Universal Music 2 Snow Patrol Final Straw Universal Music 2 Take That The Circus Universal Music 2 • Westlife Unbreakable – Sony Music 2 Greatest Hits Alicia Keys As I Am Sony Music 1 • Amy Winehouse Frank Universal Music 1 • Diana Krall The Girl In The Universal Music 1 • Other Room Enya And Winter Came... Warner Music 1 • Franz Ferdinand You Could Have It So Domino Records 1 • Much Better Girls Aloud The Sound Of Girls Aloud Universal Music 1 • Gregory LemarchalLa Voix D’Un Ange Universal Music 1 • Guns N’ Roses Chinese Democracy Universal Music 1 • Il Divo Siempre Sony Music 1 • James The Best Of James Universal Music 1 • Johnny Cash I Walk The Line: Legend Universal Music 1 • Of Johnny Cash Kaiser Chiefs Yours Truly, Angry Mob Universal Music 1 • Kanye West Late Registration Universal Music 1 • Kings Of Leon Only By The Night Sony Music 1 • Linkin Park Linkin Park Live In Texas Warner Music 1 • Madonna Hard Candy Warner Music 1 • Muse Absolution Warner Music 1 • Neil Diamond The Best Of Universal Music 1 • Neil Diamond OST High School Musical 2 Disney Music 1 • Group OST High School Musical 3 – Disney Music 1 • Senior Year Group Paul Potts One Chance Sony Music 1 • Queens Of The Songs For The Deaf Universal Music 1 • Stone Age Scorpions Best EMI Music 1 • Seal Soul Warner Music 1 • Sheryl Crow The Very Best Of Sheryl Crow Universal Music 1 • Stevie Wonder The Definitive Collection Universal Music 1 • The Cure Greatest Hits Universal Music 1 • The Killers Hot Fuss Universal Music 1 • The Killers Day & Age Universal Music 1 • Westlife The Love Album Sony Music 1 • Westlife Back Home Sony Music 1 • Notes: Award level refers to million units sold, cumulative, across Europe since the launch of the awards in 1996 up to 2008. 2008 entry refers to first IFPI Platinum Europe Award being given in 2008. 21 'LOBALLEADERSINMUSIC AND$6$DATA &ORINSIGHTINTOALLTHE 5+´SENTERTAINMENTTASTES !NDFORSPECIALISTDATACOMPILATION #ALLTHE/F½CIAL#HARTS#OMPANY #HARTINGTHENATION´SFAVOURITES $ELIVERINGBUSINESSINSIGHT 4HE/F½CIAL5+#HARTS#OMPANY,IMITED %MAILINFO THEOF½CIALCHARTSCOM\&AX WWWTHEOF½CIALCHARTSCOM 23 IFPI Recording Industry In Numbers 2009 G o er rH ta ui The Broader Music Industry In 2008 Music companies are at the heart of a broader music industry that is worth over US$160 billion worldwide. Investment in developing artists’ careers and new product release is at the heart of the music industry’s ecosystem, driving businesses as diverse as the live sector and portable player manufacturers. Although the retail value of recorded music sales fell by 9.4% in 2008, IFPI estimates that the overall music sector saw modest growth of 0.6%. Other areas that experienced a fall in value included radio advertising and musical instrument sales. Music instrument sales saw persistent growth in the past five years, but in 2008 were hit by the economic downturn. IFPI estimates that over two million people are employed in the broader music sector globally. Within the ‘core music’ sector alone (including recorded music, live and publishing/collecting societies), employment is estimated at around 1.5 million people. Broader Music Industry Value (US$ Billions) 35 32.9 32.5 n 2007 n 2008 30.7 27.8 25 24.9 25.0 24.2 19.2 15 21.6 18.2 16.4 10 8.6 5 Musical instrument sales Music TV/mags advertising revenues Source: IFPI estimates. Live music sector Portable digital players Audio home systems Recorded music retail sales 4.4 Radio advertising revenues 0 9.0 Broader Music Industry Value By Sector 1% % 3 3 5% % 19% 10% 17% 13% 14% Source: IFPI estimates. 15% n Radio advertising revenues n Recorded music sales n Audio home systems n Live music sector n Portable digital players n Musical instrument sales n Music TV/mags advertising revenues n Music related video games sales n Publishing n Performance rights market 4.8 4.4 4.6 1.5 1.7 Performance rights market 22.3 Publishing 20 Music related video games sales 30 Revenue from performance rights saw the biggest percentage increase in 2008, although it only accounts for 1% of the overall industry. Other sectors experiencing double-digit growth were the portable digital player market and sales from music-related video games such as Guitar Hero, Rock Band and Singstar. Note: IFPI does not track revenues from related industries directly. 2007 estimates may have been revised. Sources used: • Radio advertising revenues: PWC Global Entertainment and Media Outlook 2008-2012 • Recorded music retail sales: IFPI estimate based on trade value measurement • Audio home systems: estimate based on Euromonitor home audio and cinema products (2007) • Live music sector: consists of live performance revenues (ticket sales based on Pollstar data), plus an estimate of merchandising and ancillary revenues. Sponsorship revenues are included (IEG) • Portable digital players: In-Stat • Music instrument sales: The Music Trades Global Market Report 2008 and IFPI estimates • Music TV/mags advertising revenues: music magazine revenues are estimates based on PWC data. Music channels advertising revenues relate to Viacom’s advertising and affiliate revenues • Music related video games: estimate based on Top Global Markets reported growth for top video game markets and NPD Group estimates • Music publishing: IFPI estimate • Performance rights market: IFPI data 23 24 IFPI Recording Industry In Numbers 2009 Country Data Index North America Asia 27 : Canada 28 : USA 58 : China 60 : Hong Kong 61 : India 62 : Indonesia 63 : Japan 65 : Malaysia 66 : Philippines 67 : Singapore 68 : South Korea 69 : Taiwan 70 : Thailand Europe 30 : Austria 31 : Belgium 32 : Bulgaria 33 : Croatia 34 : Czech Republic 36 : Denmark 38 : Finland 39 : France 41 : Germany 42 : Greece 43 : Hungary 44 : Italy 45 : Netherlands 46 : Norway 47 : Poland 48 : Portugal 49 : Russia 50 : Slovakia 51 : Spain 53 : Sweden 54 : Switzerland 55 : Turkey 56 : UK Australasia 71 : Australia 72 : New Zealand Latin America 73 : Argentina 74 : Brazil 75 : Chile 76 : Colombia 77 : Ecuador 78 : Mexico 80 : Peru 81 : Uruguay 82 : Venezuela frica A 83 : South Africa 24 RIN 09 country index.indd 2 7/5/09 15:29:13 IFPI Recording Industry In Numbers 2009 25 25 RIN 09 country index.indd 3 7/5/09 15:29:13 26 IFPI Recording Industry In Numbers 2009 – Canada 2 05 7 North America Top Independent Labels (Alphabetical) Canada Aquarius Records Ltd. Country Data Disques Audiogramme Inc. (Les) Population (millions) : 33.2 Déjà Musique Inc. Median Age (years) : 40 Groupe Analekta Inc. Currency : Canadian Dollar (CAD) Groupe Archambault Inc. US$ Exchange Rate : 1.07 Linus Entertainment Inc. Chart Compiler : Nielsen SoundScan Canada Maplecore Ltd. Chart Links : www.soundscan.com Nettwerk Productions Performance rights music licensing company : Neighbouring Rights Collective of Canada Arts & Crafts Productions Inc. Compagnie Larivée, Cabot Champagne (La) Prodat Inc. (Disques Victoire) Somerset Entertainment Link : www.nrdv.ca Source: Canadian Independent Record Production Association (CIRPA) Recorded music sales in Canada continued to fall in 2008, driven by a sharp decline in physical sales. Traditional retail outlets accounted for 58% of album sales, down 5% on 2007 (Nielsen SoundScan). Digital sales on the other hand grew at a rate above the global average. Despite this positive development, the proportion of digital sales in Canada is still below the 21% global benchmark and significantly below the 36% US level. digital. Canada’s peak in recorded music revenues was 1998 – since then sales have declined by 51%. Weak copyright protection, particularly an outdated copyright regime, remains the major factor underlying the relative weakness of Canada’s music market. Coldplay’s Viva La Vida was the best selling digital album of the year, with 46,700 units sold and was the second leading album of the year with 334,000 copies sold. AC/DC’s Black Ice topped the albums chart selling 341,000 units and was not available in digital formats (Nielsen SoundScan). More than a decade after signing the WIPO Internet Treaties, Canada still lacks a modern, robust, digital-ready copyright regime. Copyright reform legislation similar to laws in Europe, the US and elsewhere has been introduced twice by Canada’s Parliament, most recently in mid-2008, but neither bill was passed into law. For Canadian consumers, this means continued uncertainty about what kind of activities are acceptable on the internet. As a result, unauthorised file sharing has proliferated in Canada. Widespread file-sharing, other forms of digital swapping and physical counterfeiting continued to erode legitimate sales – both physical and Another impact of outdated laws is the extremely limited choice of digital services available to Canadian consumers despite a flurry of innovative new digital World Ranking Physical sales Digital sales Performance rights Total market 6 7 11 6 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 28.0 9.6 21.1 8.2 offerings introduced in Europe, the US and Asia in 2008. Inadequate IP protection is the key reason for this lack of investment. Canada lacks the marketplace integrity online businesses need to be confident they can earn a return on their investment. Similarly, weak laws and enforcement contribute to extensive physical counterfeiting in Canada. Since CRIA began dedicated anti-counterfeiting operations about two years ago, the association and police have seized almost 700,000 CDs and issued scores of cease-and-desist orders against retailers of illicitly copied music. Following a CRIA investigation, a single raid last year against one of Canada’s most notorious music counterfeiters resulted in the seizure of more than 200,000 music CDs and DVDs, hundreds of thousands of blank discs, and equipment capable of burning well over 10,000 CDs and DVDs a day. 26 RIN 09 Canada - USA.indd 2 7/5/09 15:20:04 27 IFPI Recording Industry In Numbers 2009 – Canada 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 456.3 488.2 -8.1% 2007 496.4 531.2 -14.1% 2006 577.7 618.1 -6.1% 2005 616.5 658.6 -2.7% 2004 632.3 676.6 -0.6% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 359.1 77.0 20.1 2007 424.0 53.0 19.5 2006 527.3 32.2 18.1 2005 598.8 16.6 – 2004 630.2 2.1 – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 61% 27% 8% 4% Year CD 2007 56% 41% 3% – 2008 35.0 3.1 0.1 40.7 3.4 2006 58% 41% 1% – 2007 40.8 3.3 0.1 25.8 2.0 2005 70% 29% 1% – 2006 49.1 3.9 0.2 14.9 1.0 2004 97% – 3% – 2005 52.5 4.3 0.3 6.7 0.5 2004 54.8 5.2 0.5 – – Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan). 4% Top Selling Albums 2008 Artist Title Company 1 AC/DC Black Ice Columbia 2 Coldplay Viva La Vida Parlophone 3 Metallica Death Magnetic Warner 4 Nickelback Dark Horse Roadrunner 5 Jack Johnson Sleep Through The Static Universal 6 Soundtrack Mamma Mia! Decca 7 Madonna Hard Candy Warner 8 Il Divo Promise Sony Music 9 Britney Spears Circus Sony Music 10 Kid Rock Rock N Roll Jesus Atlantic Source: Nielsen SoundScan 17% 79% 11% 7% 35% 24% 23% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Subscriptions n Other 27 RIN 09 Canada - USA.indd 3 7/5/09 15:20:09 28 IFPI Recording Industry In Numbers 2009 – USA 2 05 7 North America USA Country Data Population (millions) : 303.8 Median Age (years) : 37 Currency : US Dollar (USD) US$ Exchange Rate : 1.00 Chart Compiler : Nielsen SoundScan Top Independent Labels (Alphabetical) Concord Records CURB Epitaph Records Koch Entertainment Madacy Razor & Tie Starbucks Sub Pop Walt Disney Records/Buena Vista/ Hollywood Records Performance rights music licensing company : Sound Exchange Wind-Up Records Though digital sales continued to grow at a rapid pace in 2008 and constituted 36% of the total market, they did not offset the sharp decline in physical sales in the US. Digital sales continued to grow, up 16.5%, with iTunes now the biggest music retailer in the US. Single track downloads crossed the one billion mark for the first time, reaching 1.1 billion units. Digital album sales grew at a slightly higher rate than individual tracks. In the mobile sector, gains in mobile full track downloads and ringback tones were offset by a decline in mastertone sales. The number of internet users paying for digital music continued to grow in 2008. In 2008 NPD estimates that 36 million consumers downloaded at least one song from an a-la-carte service, such as iTunes or AmazonMP3, up from 28 million in 2007. This translates to one in every five internet users. Not only is the market growing, but there is plenty of headroom to attract more users. Equally significant, for the first time ever, the share of internet users who downloaded music legally in the past year (20%) has surpassed the share of those who have downloaded a song illegally (18%), a major milestone in the development of the legal marketplace. Though still a small part of the overall market, vinyl was a bright spot in the physical sector as shipments more than doubled year-over-year to their highest level since 1990, bolstered by demand for both new release and catalogue material. The performance rights sector also fared well in the US, with revenues more than doubling year-over-year. Performance rights revenues represent an increasingly Physical sales Digital sales Performance rights Total market 2 1 5 1 Victory Records Chart Links : www.soundscan.com Link : www.soundexchange.com World Ranking Source: Nielsen SoundScan important piece of the US music industry landscape as fans acquire less music through traditional means, but access it online through an expanding number of platforms such as social networking sites, online video sites and other streaming services. The industry expects to see significant growth in performance income in the coming years. This is one of the reasons why music labels, songwriters and artists have demanded fair market rates during industry and company negotiations with these services. Lil Wayne’s Tha Carter was the biggest selling album of 2008 (2.9 million units), 22% fewer than Josh Groban’s Noel in 2007. Deep catalogue sales saw the smallest decrease, falling by 7% in sales volume year-over-year. This compares to a 19% drop in sales of current albums (Nielsen SoundScan). Looking at artist sales across all their releases, the top selling artist of 2008 was Taylor Swift, who sold four million albums. AC/DC and Lil Wayne followed with 3.4 million units sold each. Rihanna was the best selling digital artist with nearly ten million single tracks sold. Coldplay claimed the top selling digital album (600,000 units), with Viva La Vida becoming the best selling digital album ever. Digital downloads accounted for 15% of all album sales in 2008, up from 10% in 2007 (Nielsen SoundScan). The US market saw the launch of new digital services in 2008, expanding consumer choice. MySpace Music launched in September 2008 offering users free unlimited audio and video streaming. The service features a ‘buy button’ that directs users to AmazonMP3 for music downloads. This move represents a significant expansion of MySpace from a Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 248.2 79.1 261.5 101.0 simple social networking site to ‘a place for music’ using its core community feature as its foundation. Other important partnerships in the social networking sector include YouTube and iMeem. Music companies in the US are also experimenting with new models that give fans more flexibility in how and where they can access their favourite music. Major labels began selling digital downloads without DRM, so fans will not have to worry about device interoperability. Services such as Lala allow fans to enjoy unlimited streaming of tracks for a very low price, and act as a digital locker so users can listen to their music from any computer with internet access. Starting in 2009, digital songs began selling at varied price points, allowing artists and record labels more flexibility to position their offerings as they see fit. US Broadcast Right US corporate radio generated US$17.8 billion in advertising revenues in 2008 (PWC). Despite massive revenues, analogue stations pay nothing to producers and performers for the music they use to attract listeners. The US is the only developed free-market country not to have a broadcast right, apart from Singapore. In 2008 artists and other members of the music community came together to form musicFIRST (Fairness in Radio Starting Today) to campaign for the US Congress to change the law and grant a broadcast right. Legislators have introduced a performance rights bill in response and it is hoped that 2009 will see the US join the rest of the world in ensuring radio stations pay a fair price for the music that is essential to their business. 28 RIN 09 Canada - USA.indd 4 7/5/09 15:20:09 29 IFPI Recording Industry In Numbers 2009 – USA 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 4,976.8 4,976.8 -18.6% 2007 6,113.5 6,113.5 -8.1% 2006 6,651.5 6,651.5 -5.1% 2005 7,011.9 7,011.9 -2.8% 2004 7,214.2 7,214.2 4.7% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 iTunes 2008 3,138.7 1,783.3 54.8 2 Walmart 2007 4,559.1 1,530.9 23.5 3 Best Buy 2006 5,542.0 1,094.2 15.3 4 Amazon 2005 6,376.0 636.0 – 5 Target 2004 7,002.7 211.5 – Source: NPD MusicWatch. Combined physical and digital retailers (% unit sales, Q4 2008) among the total US population aged 13+. Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 65% 24% 7% 4% Year CD 2007 60% 31% 7% 2% 2008 384.7 12.8 4.3 1,070.0 65.8 2006 56% 35% 9% – 2007 511.1 27.5 5.4 844.2 50.0 2005 56% 32% 12% – 2006 619.8 23.2 5.3 582.0 32.6 2004 62% 27% 11% – 2005 705.4 33.8 9.5 352.7 16.3 2004 767.0 32.8 14.3 142.6 5.5 Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan). 1% Top Selling Albums 2008 Artist Title Company 1 Lil Wayne Tha Carter III Universal 2 Coldplay Viva La Vida Parlophone 3 Taylor Swift Fearless Big Machine 4 Kid Rock Rock N Roll Jesus Atlantic 5 AC/DC Black Ice Columbia 6 Taylor Swift Taylor Swift Big Machine 7 Metallica Death Magnetic Warner 8 T.I. Paper Trail Atlantic 9 Jack Johnson Sleep Through The Static Universal 10 Beyonce I Am... Sasha Fierce Columbia Source: Nielsen SoundScan 16% 7% 36% 63% 39% 17% 21% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Subscriptions n Other Album Sales By Retail Channel (% Units) 2007 2008 Mass merchants 40% 37% Chains 36% 33% Non-traditional outlets 18% 23% Independent stores 6% 7% 29 RIN 09 Canada - USA.indd 5 7/5/09 15:20:14 30 IFPI Recording Industry In Numbers 2009 – Austria 2 05 7 Europe Austria Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 8.2 Echo-Zyx Music Median Age (years) : 42 Edel Musica Currency : Euro (EUR) Hoanzl US$ Exchange Rate : 0.68 Lotus Records Physical sales Digital sales Performance rights Total market Chart Compiler : Media Control Austria MCP Chart Links : www.austriatop40.at Preiser Performance rights music licensing company : LSG Rebeat 16 23 13 15 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users SPV Link : www.lsg.at 4.7 1.8 10.0 1.2 Recorded music sales in Austria fell by 9.9% in 2008. Digital sales grew by 6.2% – one of the lowest growth rates in Europe. Digital sales still account for 7% of total revenues compared to a European average of 10%. Online sales continued to drive the digital market, with digital album sales growing strongly. Streaming services, such as YouTube, are becoming increasingly popular. In the mobile sector, mastertones still lead the field although the market continues to shift towards single track downloads to mobile. Online sales of physical product account for 11% of sales in Austria, with the share of specialist retail decreasing from 6% to 5%. 65% of the Austrian market is accounted for by larger retail outlets such as Cosmos, Libro and Media-Saturn. The mail order business, including club sales, accounted for around 3% of the total market (GfK). The broader Austrian music industry generates around €2 billion, accounting for 1.25% of GDP. In terms of value creation and employment, the music industry is therefore more important than the textile industry, paper industry, chemical industry or plastics industry (IFPI Austria). Austria has some of the best facilities for performing arts venues in Europe, with 54% of all Austrian performance venues located in Vienna. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 147.3 100.2 -9.9% 2007 163.5 111.2 -1.2% 2006 165.5 112.6 -1.4% 2005 163.2 111.0 -4.5% 2004 170.9 116.2 -6.8% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Media-Saturn 2008 123.6 10.2 13.5 2 Libro 2007 140.8 9.6 13.1 3 Amazon 2006 144.9 8.4 12.2 4 Cosmos 2005 158.2 5.0 – 2004 169.4 1.6 – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other CD Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 52% 46% – 2% Year 2007 42% 58% – – 2008 8.2 1.1 0.9 3.0 0.3 2006 31% 69% – – 2007 10.0 0.6 1.2 2.0 0.2 2005 31% 67% 2% – 2006 10.1 0.7 1.1 1.2 0.1 2004 17% 83% – – 2005 10.5 0.6 1.3 0.6 – 2004 9.7 0.6 1.8 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH Top Selling Albums 2008 Artist Title Company 1 El Canto Del Loco Chant - Music For Paradise Universal 2 Amy Winehouse Back To Black Universal 3 Soundtrack Mamma Mia (Der Film) Universal 4 Kiddy Contest Kids Kiddy Contest Vol.14 SME 5 AC/DC Black Ice SME 6 Metallica Death Magnetic Universal 7 Amaral Was Muss Muss – Best Of Capitol 8 Soundtrack High School Musical 3 Capitol 9 Coldplay Viva La Vida Capitol 10 Ich + Ich Vom Selben Stern Universal 7% 9% 11% 7% 84% 24% 35% 23% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Subscriptions n Other 30 RIN 09 Austria - Belgium.indd 2 7/5/09 15:02:26 31 IFPI Recording Industry In Numbers 2009 – Belgium 3 46 8 Europe Belgium Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.4 ARS Median Age (years) : 41 CNR Currency : Euro (EUR) NEWS US$ Exchange Rate : 0.68 PIAS Physical sales Digital sales Performance rights Total market Chart Compiler : Ultratop/Gfk V2 14 16 9 14 Digital Indicators (Millions) Chart Links : www.ultratop.be Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : SIMIM Link : www.simim.be 5.5 2.9 11.0 1.3 Belgian music sales dropped by 4.8% in 2008 following a modest decline in 2007. Performance rights continued to outpace digital sales, accounting for 14% of all music revenues compared to a digital share of 10%. In 2008 experimentation with new business models paid off with bundled subscription revenues seeing significant growth. Subscriptions now account for nearly a third of all digital revenues. Ad-supported models are also emerging, led by services such as Daily Motion and YouTube. Local artists continue to sell well with over 20% of the top selling albums coming from Belgian artists, such as Helmut Lotti, Clouseau, dEUS and Milk Inc. While music sales declined, entertainment spending grew by 6% in Belgium in 2008, led by video games and video (BEA). Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 192.1 130.6 -4.8% 2007 201.8 137.2 -0.4% 2006 202.6 137.7 6.4% 2005 190.3 129.4 -7.2% 2004 205.0 139.4 -1.9% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 146.2 19.8 26.1 2007 169.5 13.4 18.9 2006 179.2 11.4 12.0 2005 186.7 3.6 – 2004 203.9 1.1 – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 58% 9% 32% 1% Year CD 2007 54% 33% 12% 1% 2008 11.6 1.0 0.7 5.3 0.4 2006 54% 46% – – 2007 13.2 1.2 1.0 5.2 – 2005 70% 23% 7% – 2006 17.5 1.1 2.0 3.2 – 2004 34% 66% – – 2005 14.0 1.0 2.8 1.0 – 2004 15.6 1.6 3.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital albums source: BEA/Media Control GfK International GMBH Top Selling Albums 2008 Artist Title Company 1 Coldplay Viva La Vida EMI 2 Enfoirés Les Sécrets Des Enfoirés Sony Music 3 Amy Winehouse Back To Black Universal 4 Francis Cabrel Des Roses Et Des Orties Sony Music 5 Clouseau Clouseau 20 EMI 6 AC/DC Black Ice Sony Music 7 Christophe Mae Mon Paradis Warner 8 Renan Luce Repenti Universal 9 Duffy Rockferry Universal 10 Amy MacDonald This Is The Life Universal Source: Ultratop/GfK 14% 5% 10% 11% 36% 16% 76% 32% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Subscriptions n Online album n Mastertones n Other 31 RIN 09 Austria - Belgium.indd 3 7/5/09 15:02:30 32 IFPI Recording Industry In Numbers 2009 – Bulgaria 2 05 7 Europe Bulgaria Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 7.3 Ara Music Median Age (years) : 41 Payner Company Currency : Lev (BGL) Stefkos Music US$ Exchange Rate : 1.28 Sunny Music Ltd. Physical sales Digital sales Performance rights Total market Source: Bamp 46 – – 47 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 2.4 0.6 10.3 – Physical sales in Bulgaria fell by 18.7% in 2008. Although there is a mobile-based digital music market in Bulgaria, these figures are not yet reported to IFPI. The near 100% internet piracy rate is a key reason behind the recent market decline. Bulgaria takes the first place in Europe for speedy broadband connections – 46.5% of the fixed broadband lines have more than 10Mbps speed according to the European Commission. However, Bulgaria’s legal framework dealing with the internet and ISP activity is inadequate. Inept criminal investigations and the lack of both administrative capacity and effective court performance fail to prevent law infringers. In such an environment, there has been little investment in developing the legal online market in Bulgaria. Legal sites such as www.mp3.bg, www.m.dir.bg and www.novialbumi.com focus on local repertoire but so far have failed to take off. In February 2009 a joint project of the Bulgarian Telecommunication Company BTC, the biggest ISP in Bulgaria, and Universal Music Group, created the first subscription based legal music portal www.4fun.bg. The service offers access to more than 100,000 tracks from Universal’s catalogue. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 6.3 8.1 -18.7% 2007 7.8 9.9 – 2006 – – – 2005 – – – 2004 3.8 4.9 -22.7% Top Retailers 1 Ciela 2 Fashion Music Source: Bamp Note: No digital or performance rights revenues reported. 2006 values not available. Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 1.0 – 0.1 – – 2007 0.8 0.1 0.2 – – 2006 0.7 – 0.5 – – 2005 – – – – – 2004 0.4 – 0.5 – – Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. 32 RIN 09 Bulgaria - Croatia.indd 2 7/5/09 15:10:56 33 IFPI Recording Industry In Numbers 2009 – Croatia 3 46 8 Europe Croatia Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.5 Croatia Records Median Age (years) : 41 Hit Records Currency : Kuna (HRK) Scardona Physical sales Digital sales Performance rights Total market US$ Exchange Rate : 4.94 Performance rights music licensing company : ZAPRAF Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.zapraf.hr Year 43 – – 43 Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 12.5 61.8 -12.9% 2007 14.4 71.0 -8.0% 2006 15.6 77.2 27.2% 2005 12.3 60.7 -10.8% 2004 13.8 68.1 -8.1% 2.0 0.4 5.6 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Croatia Records Shop 2008 12.5 – – 2 Sirius 2007 14.4 – – 3 Aquarius Records Shop 2006 12.5 – 3.1 4 Dancing Bean Shop 2005 12.3 – – 5 Mercaton 2004 13.8 – – 6 Spar 7 INA Top Retailers Note: Performance rights revenues included from 2006. Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 3.9 0.2 0.1 – – 2007 4.9 0.1 0.1 – – 2006 2.1 – 0.1 – – 2005 1.6 – 0.1 – – 2004 2.6 – 0.2 – – Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. 33 RIN 09 Bulgaria - Croatia.indd 3 7/5/09 15:10:58 34 IFPI Recording Industry In Numbers 2009 – Czech Republic 2 05 7 Europe Czech Republic Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.2 BESTI.A Median Age (years) : 40 Good Day Records Currency : Czech Crown (CZK) Championship Records US$ Exchange Rate : 17.10 Indies Records Physical sales Digital sales Performance rights Total market Chart Compiler : IFPI Czech Republic Indies Scope Chart Links : www.ifpicr.cz Multisonic Performance rights music licensing company : Intergram Popron Music Link : www.intergram.cz Tommü Records The Czech recorded music market was one of the few markets showing overall growth in 2008. Music sales were up 14.0%, with physical sales growing by 15.6%. This increase was driven by the exceptional success of kiosk sales. and Vodafone are the main mobile players in a market with over 100% penetration of mobile phones. iPhone 3G in its first weeks since launch in September 2008. On the other hand, Nokia phones with MP3 players are very popular. In the online sector, the most successful service is i-legalne.cz, which offers a-la-carte downloads and a monthly subscription with DRM. Other legitimate services in Czech Republic include Allmusic and t-music. iPods are not very popular in the Czech Republic and iTunes is not present in the market. T-Mobile and Vodafone reported modest sales of Regarding piracy, at the beginning of 2008 IFPI Czech Republic monitored more than 90 hubs with about 65,000 users daily. By November 2008 there were approximately 60 hubs with less than 25,000 users. The most popular filesharing servers are Rapidshare, stahuj.cz, uloz.to and speedyshare.com. Usage of bittorrent sites is rising. The digital market in the Czech Republic grew in 2008, but by a very modest rate of 5.3% – well below the global average. Mobile accounted for 44% of digital sales, with master ringtones and ringback tones leading the sector. T-Mobile, O2 33 40 25 35 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Supraphon 5.1 1.9 13.3 1.1 l ha ic M H ek ac or a m am M ! ia M 34 RIN 09 Czech Rep - Denmark.indd 2 7/5/09 15:32:24 35 IFPI Recording Industry In Numbers 2009 – Czech Republic 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 41.8 714.4 14.0% 2007 36.6 626.6 -1.0% 2006 37.0 632.8 6.6% 2005 34.7 593.7 -21.9% 2004 44.5 760.6 1.4% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Bontonland 2008 34.1 2.1 5.6 2 Davay 2007 29.5 2.0 5.2 3 Vltava Stores 2006 31.3 1.2 4.5 4 Music Records 2005 34.7 – – 2004 44.5 – – Top Retailers Note: Performance rights revenues and digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 47% 44% 1% 8% Year CD 2007 36% 59% – 5% 2008 11.5 – 0.3 – – 2006 1% 98% – 1% 2007 4.5 0.2 – – – 2005 – – – – 2006 2.9 0.3 0.1 – – 2004 – – – – 2005 3.2 0.2 0.2 – – 2004 3.7 0.2 0.5 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Top Selling Albums 2008 1 Artist Title Company Jarek Nohavica Ikarus Jarek Nohavica 2 Various Mamma Mia! OST Universal 3 Michal Horacek Ohrozeny Druh Sony Music 4 Metallica Death Magnetic Universal 5 AC/DC Black Ice Sony Music 6 Enya And Winter Came... Warner 7 Ebenove Bratri Chlebicky Sony Music 8 Il Divo Promise Sony Music 9 Various Once OST Sony Music 10 Lucie Vondrackova Fenix Tommü Records 14% 15% 7% 5% 26% 8% 81% 22% 9% 13% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online stream n Mastertones n Ringback tones n Online single n Ad-supported n Online album n Other 35 RIN 09 Czech Rep - Denmark.indd 3 7/5/09 15:32:29 36 IFPI Recording Industry In Numbers 2009 – Denmark 2 05 7 Europe Denmark Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 5.5 ArtPeople Median Age (years) : 40 Bonnier Amigo Music Currency : Danish Kroner (DKK) MBO US$ Exchange Rate : 5.10 Playground Music Physical sales Digital sales Performance rights Total market Chart Compiler : Nielsen Music Control Voices Music & Entertainment Digital Indicators (Millions) Chart Links : www.hitlisten.nu Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : Gramex Link : www.gramex.dk Recorded music sales in Denmark fell by 9.5% in 2008 driven by a steep decline in physical sales. The Danish digital market is performing well, now accounting for 16% of overall sales. In 2008 digital sales in Denmark grew at nearly double the global average pace, up 45.3%. Revenues from performance rights now account for 12% of music sales. Within the digital market, subscriptions saw the biggest rise in 2008, led by TDC’s PLAY bundled subscription service which had a measurable impact on the market, bringing in new consumers to the legitimate online market. Subscriptions now account for 39% of digital revenues, up from 13% in 2007. 21 17 12 20 TDC’s PLAY service, launched in April 2008, is offered to TDC’s broadband and mobile customers. Customers can sign up to the service and get unlimited tethered music downloads in WMA format from a catalogue of 3 million tracks. The tracks are free, bundled into the standard cost of a broadband or mobile subscription. Songs can be kept for as long as the user continues to be a TDC customer. In April TDC also introduced an a-la-carte service, allowing its customers to purchase tracks for permanent use. Since launch PLAY has aggregated 92,000 active monthly users. PLAY generates around 7.2 million tethered downloads a month. Total downloads crossed the 54 million mark at the end of 2008 and TDC 3.8 2.0 7.6 1.2 expects this to rise to 100 million before the end of the second quarter of 2009. Music consumption on the PLAY service is very different to the iTunes experience. The majority of downloads are albums instead of singles. The unlimited nature of the service is the main reason for this trend. Most downloads are done via the PC rather than via mobile phone. Results of PLAY for TDC have also been positive. Preliminary figures indicate that the churn in mobile customers has dropped by 30-40% and in broadband customers by some 60%. This loyalty-effect creates a lot of value for TDC. Moreover, TDC reports that PLAY is helping them attract new customers. s Sy re er Bj Duffy 36 RIN 09 Czech Rep - Denmark.indd 4 7/5/09 16:12:15 37 IFPI Recording Industry In Numbers 2009 – Denmark 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 124.5 635.0 2007 137.5 701.5 -9.5% -5.6% 2006 145.6 742.7 11.6% 2005 130.5 665.4 -3.7% 2004 135.5 690.9 -3.7% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 90.4 19.4 147.7 2007 111.4 13.4 12.8 2006 122.7 7.8 15.0 2005 128.6 1.8 – 2004 135.5 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 51% 8% 38% 3% Year CD 2007 70% 14% 13% 3% 2008 7.4 0.1 0.1 6.1 0.4 2006 64% 20% 15% 1% 2007 8.6 0.2 0.1 4.7 – 2005 82% 18% – – 2006 9.8 0.3 0.1 2.2 – 2004 – – – – 2005 9.6 0.3 0.2 0.5 – 2004 9.7 0.4 0.2 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH. Top Selling Albums 2008 Artist Title Company 1 Duffy Rockferry Universal 2 Martin Show The World Sony Music 3 Various M:G:P 2008: It’s Just Something We Leger! Universal 4 SYS Bjerre Makes It Even Universal 5 Nik & Jay The Greatest EMI 6 AC/DC Black Ice Sony Music 7 Metallica Death Magnetic Universal 8 Loc Melankolia/XxxCouture EMI 9 Creedence Clearwater Revival Best Of Universal Kim Larsen Forgotten Of Children EMI 10 12% 13% 16% 39% 21% 72% 27% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Subscriptions n Online single track n Online album n Other 37 RIN 09 Czech Rep - Denmark.indd 5 7/5/09 16:12:20 38 IFPI Recording Industry In Numbers 2009 – Finland 2 05 7 Europe Finland Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 5.2 Bonnier Amigo Music Finland Median Age (years) : 42 Edel Records Finland Currency : Euro (EUR) Johanna Kustannus Oy US$ Exchange Rate : 0.68 Ondine Oy Physical sales Digital sales Performance rights Total market Chart Compiler : Finnish National Broadcasting Company Oy FG-Naxos Ab Digital Indicators (Millions) Chart Links : www.yle.fi/top40 Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : Gramex/IFPI Finland Link : www.gramex.fi Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 95.9 65.2 -0.2% 2007 96.1 65.4 -5.8% 2006 102.1 69.4 6.8% 2005 95.6 65.0 -3.4% 2004 98.9 67.3 -13.5% 23 31 17 24 3.6 1.6 5.9 0.7 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 80.7 4.4 2007 82.6 3.7 10.7 9.9 2006 89.4 2.2 10.4 2005 95.6 – – 2004 98.9 – – Note: Performance rights revenues and digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 68% 23% – 9% Year CD 2007 63% 36% 1% – 2008 6.5 0.4 0.1 1.0 – 2006 61% 38% 1% – 2007 6.4 0.4 0.2 0.8 – 2005 – – – – 2006 6.9 0.4 0.3 0.4 – 2004 – – – – 2005 7.4 0.4 0.3 0.1 – 2004 7.4 0.3 0.5 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). 2% 5% 5% 11% 9% 33% 19% 84% 32% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Ad-supported n Mobile single track n Other 38 RIN 09 Finland - France - Germany.indd 2 7/5/09 15:35:01 39 IFPI Recording Industry In Numbers 2009 – France 3 46 8 Europe France Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 64.1 Harmonia Mundi Median Age (years) : 39 Naïve Currency : Euro (EUR) Pschent US$ Exchange Rate : 0.68 V2 Physical sales Digital sales Performance rights Total market Chart Compiler : SNEP/IFOP Wagram Digital Indicators (Millions) Chart Links : www.disqueenfrance.com Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : SCCP Link : www.sccp.fr Music sales in France fell by 11.4% in 2008 despite strong growth in digital and performance rights revenues. Physical sales in France fell by 19.9% and the market saw new lows in new artists signed. Local repertoire fell more sharply than international sales in 2008, now representing 57% of the French market (excluding classical). Music sales via supermarkets saw a 6% decline in 2008, now representing 34% of physical retail sales – a decline from a 49% share in 2003. France has been the government to act most decisively to curb online piracy, proposing legislation that would encourage legal music consumption and deter illegal music sharing. At the time of going to press in May 2009, the National Assembly was debating clauses of the ‘Creation and Internet’ bill. The proposed law aims to implement a system of graduated response by the ISPs who will educate 5 4 3 5 and warn repeat infringers of copyright infringement. As a last resort, ISPs could suspend repeat infringers’ internet accounts for between one and 12 months. Internet piracy has hit the French market hard. An estimated 18% of the French internet population currently download music on a monthly basis via p2p services (Jupiter Research). Research by Ipsos in 2008 found that 74% of the French population aged 15+ perceive ISP warnings coupled with a temporary internet ban as a better alternative to fines. An estimated 88% of illegal filesharers say they would stop their activity after two warnings in order to avoid temporary disconnection. France is now also experimenting with new ‘music access’ models with partnerships between labels and ISP/mobile operators such as Neuf Cegetel, SFR and Orange. 36.2 17.5 58.1 11.6 Neuf Cegetel, the French ISP, has been running a “music access” service since 2007, offering unlimited downloads from 150,000 tracks from Universal Music. Consumers are offered two options, Neuf Music Initial, which is available for no extra cost and offers unlimited downloads from one of nine music genres, or Neuf Music Optimal which costs an additional €4.99 and offers unlimited downloads of all Universal Music tracks. Orange’s Musique Max offers unlimited downloads to its internet and mobile customers for an additional €12 per month. The service offers more than one million songs from major and independent labels, which are also available for permanent purchase and can be transferred to five other digital music players or compatible mobile phones. pl ld Co ay Amy Winehouse 39 RIN 09 Finland - France - Germany.indd 3 7/5/09 15:35:13 40 IFPI Recording Industry In Numbers 2009 – France 2 05 7 Europe France Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 1,049.6 713.7 -11.4% 2007 1,184.0 805.2 -15.5% 2006 1,401.4 952.9 -4.6% 2005 1,468.6 998.6 -1.7% 2004 1,493.6 1,015.6 -13.6% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 803.8 160.3 85.5 2007 1,004.0 102.4 77.7 2006 1,241.9 83.4 76.1 2005 1,435.5 33.0 – 2004 1,473.6 20.0 – Note: Performance rights revenues included from 2006. Digital sales included from 2005. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 30% 44% 19% 7% Year CD 2007 23% 59% 17% 1% 2008 53.8 3.2 4.9 21.5 2.1 2006 38% 62% – – 2007 62.6 4.9 8.1 10.0 – 2005 43% 53% 4% – 2006 75.7 5.7 18.7 5.9 – 2004 17% 82% 1% – 2005 96.2 14.8 26.6 2.7 – 2004 106.4 9.0 27.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH. Top Selling Albums 2008 1 8% Artist Title Company Francis Cabrel Des Roses & Des Orties Columbia 2 Seal Soul Warner 3 Les Enfoirés Les Secrets Des Enfoirés Sony Music 4 Christophe Maé Mon Paradis Warner 5 Coldplay Viva La Vida Parlophone 6 AC/DC Black Ice Sony Music 7 Duffy Rockferry Universal 8 Renan Luce Repenti Universal 9 Johnny Hallyday Best Of Warner 10 Amy Winehouse Back To Black Island Records 24% 15% 5% 77% 10% 20% 19% 10% 12% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mobile single track n Subscriptions n Online single track n Online album n Mastertones n Ad-supported n Other 40 RIN 09 Finland - France - Germany.indd 4 7/5/09 15:35:17 41 IFPI Recording Industry In Numbers 2009 – Germany 3 46 8 Europe Germany Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 82.4 Edel Median Age (years) : 43 Indigo Currency : Euro (EUR) Soulfood Music US$ Exchange Rate : 0.68 SPV Physical sales Digital sales Performance rights Total market Chart Compiler : Media Control ZYX Music 4 5 2 4 Digital Indicators (Millions) Chart Links : www.musicline.de Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : GVL Link : www.gvl.de 55.2 23.4 101.2 17.4 While some European markets saw a double-digit sales decline, in Germany revenue from the sale of music products fell by a more modest 4.2%. Physical sales remain the backbone of the German music industry, accounting for 87% of all sales. German music companies have increased the number of physical formats available, introducing CDs with enhanced material including booklets and attractive additional content, helping maintain sales in the physical sector. Of the 10 best selling albums of 2008, eight were available in deluxe versions. At the same time companies continued to work towards expanding the digital sector. Digital albums continued to grow at a faster pace than single tracks, now accounting for 26% of digital sales. However, Germany’s digital share of the market remains well below the global average, at only 8%. As much as 40% of the German population is now older than 50 years old. This demographic profile also bodes well for physical music formats and may explain a slower take-up of digital services, despite the fact that digital purchasing among 33-49 year olds grew in 2008. The share of 50+ consumers buying digital music remained stable at 8% in 2008. The strength of physical retail and relatively low rates of credit card usage are also partly attributable for the slower shift towards digital consumption. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 1,627.8 1,106.9 -4.2% 2007 1,698.4 1,154.9 -2.9% 2006 1,749.3 1,189.5 2.0% 2005 1,714.7 1,166.0 0.4% 2004 1,708.0 1,161.5 -3.2% Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Amazon 2008 1,416.0 123.4 88.3 2 Karstadt 2007 1,494.5 111.8 92.1 3 Media Markt 2006 1,578.4 81.8 89.1 4 Mueller 2005 1,668.6 46.1 – 5 Saturn 2004 1,690.4 17.6 – Top Retailers Source: GfK Note: Performance rights revenues and digital sales included from 2006. Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 73% 11% 7% 9% Year CD 2007 70% 21% 5% 4% 2008 107.1 7.4 10.8 34.2 3.7 2006 58% 39% 3% – 2007 113.3 9.1 15.3 34.5 2.8 2005 65% 35% – – 2006 114.4 10.3 21.6 26.0 2.0 2004 63% 36% 1% – 2005 114.7 10.3 26.5 17.5 1.4 2004 116.1 9.5 36.5 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Media Control GfK International GMBH). Top Selling Albums 2008 Artist Title Company 1 Amy Winehouse Back To Black Universal Music 2 Ich + Ich Vom Selben Stern Universal Music 3 Paul Potts One Chance Sony Music 4 Die Ärzte Jazz Ist Anders Universal Music 5 Udo Lindenberg Stark Wie Zwei Warner Music 6 Coldplay Viva La Vida EMI Music 7 AC/DC Black Ice Sony Music 8 Amy MacDonald This Is The Life Universal Music 9 Metallica Death Magnetic Universal Music 10 Duffy Rockferry Universal Music 8% 5% 32% 87% 7% 35% 26% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Subscriptions n Other Source: Media Control 41 RIN 09 Finland - France - Germany.indd 5 7/5/09 15:35:22 42 IFPI Recording Industry In Numbers 2009 – Greece 2 05 7 Europe Greece Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.7 Aerakis Median Age (years) : 42 Alpha Records Currency : Euro (Eur) Etairia Ekdoseon (Lyra-MBI-Legend) US$ Exchange Rate : 0.68 General Music Physical sales Digital sales Performance rights Total market Chart Compiler : IFPI Greece/Deloitte Heaven Music Digital Indicators (Millions) Chart Links : www.ifpi.gr Year 30 29 26 32 Internet users Broadband lines Mobile subs Portable player users Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 58.0 39.4 -23.4% 2007 75.7 51.5 -3.0% 2006 78.1 53.1 1.9% 2005 76.6 52.1 -6.4% 2004 81.9 55.7 -5.7% 3.8 1.7 15.4 0.5 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 46.9 5.6 5.5 2007 65.7 5.7 4.3 2006 70.9 4.6 2.6 2005 76.6 – – 2004 81.9 – – Note: Performance rights revenues and digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 14% 66% 9% 11% Year CD 2007 13% 80% – 6% 2008 5.6 0.2 0.1 0.6 – 2006 7% 89% – 4% 2007 7.6 0.3 0.2 0.3 – 2005 – – – – 2006 6.9 0.3 0.2 0.2 – 2004 – – – – 2005 7.0 0.3 0.4 0.1 – 2004 6.9 0.3 0.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan International). Top Selling Albums 2008 Artist Title Company 1 Michael Xatzhgiannhss 7 Universal 2 Elena Paparizou Vrisko To Logo Na Zo Sony Music 3 Ploutharhos Yannis Oti Gennietai Stin Psixi (Special) Minos - EMI 4 Michael Xatzhgiannhss Zontana Sto Likavitto07/08 Universal/M2 5 OST Mamma Mia! Universal 6 Mazoo and the Zoo Mazoo and the Zoo Legend/EGE 7 John Parios Poy Pame Meta Minos - EMI 8 Pandelis Thalassinos Apo Alla Peribolia MBI/EGE 9 Ntalaras George/ Papadoupoulos Lefteris Afieroma Ston Leftieri papadopoulo - Tha Pio Apopse To Feggari - Zontani Ikhografisi Legend/EGE Anna Vissi Apagorevmeno Sony Music 10 9% 10% 26% 39% 81% 7% 8% 9% 11% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mastertones n Subscriptions n Mobile single track n Online single track n Other 42 RIN 09 Greece - Hungary.indd 2 7/5/09 15:37:00 43 IFPI Recording Industry In Numbers 2009 – Hungary 3 46 8 Europe Hungary Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 9.9 CLS Median Age (years) : 39 Fekete Szemek Currency : Forint (HUF) Hammer Music US$ Exchange Rate : 172.70 Hungaroton Physical sales Digital sales Performance rights Total market Chart Compiler : MAHASZ Record Express 35 42 20 36 Digital Indicators (Millions) Chart Links : www.mahasz.hu Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : MAHASZ Link : www.mahasz.hu 4.2 1.2 11.2 0.9 The Hungarian music market saw a steep decline in 2008, with sales falling by 24.2%. The physical market performance drove this decline (-29.9%) while digital sales also fell. The worsening economic climate impacted heavily on the Christmas sales period, with nearly all retail outlets suffering declining sales. In the digital market, sales of mastertones fell significantly due to the wide availability of software that allows consumers to create their own mastertones, sideloading and Bluetooth mobile sharing. The online market is still struggling to take off and subscription services are still very much in their infancy. Mobile internet services are on the rise in Hungary and stiff competition among service providers resulted in a steady decrease in access prices. 3G phones, iPods and many other music enabled devices are becoming more common. One key factor influencing consumers’ decision when buying mobile phones is the handset’s ability to play music. However the majority of the music played on consumers’ mobiles is not paid for. Internet piracy remains a big challenge for the Hungarian music industry. While online downloading is expanding rapidly, many consumers order burned CDs online. Torrent sites and DC++ are the main channels for obtaining music illegally. Locally-based FTP servers offering downloads for money (typically via highly priced SMS) from local and foreign web-hosting sites is an ongoing problem. The FTP servers typically host content which is available for download through a “store front” website that provides information to users on how to register and pay via SMS for access to the illegal content on the servers. A few successful raids in key locations concerning major servers have had a significant, even if only short term, effect in decreasing the volume of illegal traffic. Performance rights is the most promising sector for the Hungarian industry. Users of copyrighted sound recordings, such as jukebox operators, shop owners and DJs, are increasingly aware of their obligation to pay for the music they use (via licensing). With the publicity around performance rights affairs, the awareness has started to penetrate strongly and visibly into the general public. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 33.2 5,731.0 -24.2% 2007 43.8 7,561.3 -5.0% 2006 46.1 7,959.6 19.4% 2005 38.6 6,666.0 -15.1% 2004 45.5 7,855.6 -4.4% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 25.5 1.2 6.5 2007 36.4 1.2 6.2 2006 40.1 0.6 5.3 2005 38.6 – – 2004 45.5 – – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other CD Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 47% 40% – 13% Year 2007 22% 59% – 19% 2008 2.9 0.4 90.4 – – 2006 22% 74% – 4% 2007 4.5 0.2 0.2 – – 2005 – – – – 2006 4.7 0.2 0.5 – – 2004 – – – – 2005 4.2 0.2 0.9 – – 2004 5.4 0.2 2.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. 20% 4% 76% Recorded Music Sales By Sector n Physical n Digital n Performance rights Digital Sales By Format (Value) 28% 32% 8% 9% 13% 10% n Mastertones n Ad-supported n Online single track n Online album n Online streams n Other 43 RIN 09 Greece - Hungary.indd 3 7/5/09 15:37:05 44 IFPI Recording Industry In Numbers 2009 – Italy 2 05 7 Europe Italy Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 58.1 Edel Median Age (years) : 43 Sugar Currency : Euro (EUR) Time Physical sales Digital sales Performance rights Total market US$ Exchange Rate : 0.68 Chart Compiler : FIMI/AC Nielsen 8 14 8 8 Digital Indicators (Millions) Chart Links : www.fimi.it Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : SCF Link : www.scfitalia.it 33.7 12.2 87.4 11.1 Recorded music sales in Italy fell by 17.0% in 2008 – the biggest decline among the top five European music markets. Physical sales fell by 21.4%, well above the global average. Digital sales rose by only 2.4%, against a 24.1% growth in digital sales at a global level. Mobile sales saw a significant decline in 2008, now accounting for 35% of digital sales in Italy (compared to 53% in 2007). There was progress in the online sector in 2008 and ad-supported models now account for 7% of digital revenues in Italy. Performance rights grew by 25.7% in 2008, outpacing the global average. Domestic repertoire accounted for 56% of CD sales, with international sales claiming 39% and classical 5%. In 1999, the peak year for the Italian music market, 43% of music sales came from domestic repertoire, 52% from international and 5% from classical. Illegal downloading continues to hamper the development of a legal online business in Italy. It is estimated that 99% of all files downloaded in Italy are unauthorised. 18% of internet users download music illegally according to research. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 326.1 221.7 -17.0% 2007 392.7 267.0 -16.9% 2006 472.4 321.2 -6.3% 2005 504.1 342.8 -0.3% 2004 505.8 343.9 -7.1% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Feltrinelli 2008 268.5 28.9 28.6 2 FNAC 2007 341.7 28.2 22.8 3 Mediaworld 2006 422.7 27.9 21.8 4 Mondadori 2005 485.7 18.4 – 5 SGM (Marco Polo) 2004 501.4 4.3 – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other CD Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 51% 35% 2% 12% Year 2007 44% 53% – 3% 2008 – – – 6.6 – 2006 30% 57% 1% 12% 2007 25.5 1.1 0.4 4.9 – 2005 30% 69% 1% – 2006 28.8 1.7 0.7 2.9 – 2004 23% 77% – – 2005 31.6 1.8 1.0 1.1 – 2004 33.1 2.0 1.4 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 2008 physical volumes not available. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). 9% Top Selling Albums 2008 Artist Title Company 1 Jovanotti Safari Universal Music 2 Vasco Rossi Il Mondo Che Vorrei EMI 3 Laura Pausini Primavera In Anticipo WMI 4 Ligabue Secondo Tempo WMI 5 Guisy Ferreri Non Ti Scordar Mai Di Me Sony Music 6 Amy Winehouse Back To Black Universal Music 7 Madonna Hard Candy WMI 8 G Nannini Gianna Best Universal Music 9 Tiziano Ferro Alla Mia Eta’ EMI 10 Ferreri Giusy Gaetana Sony Music 19% 9% 6% 82% 12% 25% 20% 18% Recorded Music Sales By Sector n Physical n Digital n Performance rights Digital Sales By Format (Value) n Online single track n Online album n Mastertones n Mobile single track n Online streams n Other 44 RIN 09 Italy - Netherlands.indd 2 7/5/09 15:44:48 45 IFPI Recording Industry In Numbers 2009 – Netherlands 3 46 8 Europe Netherlands Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 16.6 Artist & Company Median Age (years) : 40 Challenge Record Services Currency : Euro (EUR) CNR Records US$ Exchange Rate : 0.68 Play It Again Sam Physical sales Digital sales Performance rights Total market Chart Compiler : GfK Megacharts BV Rough Trade 11 19 6 10 Digital Indicators (Millions) Chart Links : www.megacharts.nl Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : NVPI/SENA Link : www.nvpi.nl | www.sena.nl 15.0 5.8 18.4 2.9 Music sales in the Netherlands fell by 9.9% driven by a steep decline in physical sales (-14.8%). Digital sales continued to grow, now accounting for 6% of the Dutch music market. Netherlands is the sixth biggest market for performance rights, which now account for 18% of music sales. Domestic repertoire performed well in 2008. Five out of the top 10 best selling albums were local acts. Overall entertainment product sales (CDs, DVDs and games) rose 2.8% in 2008, with games leading this growth. Sales of DVDs fell by 5.2%. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 271.9 184.9 -9.9% 2007 301.9 205.3 -1.9% 2006 307.7 209.3 6.2% 2005 289.8 197.0 -14.3% 2004 338.1 229.9 -9.3% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 BOL.com 2008 207.9 15.1 48.9 2 Free Record Shop 2007 243.9 12.4 45.5 3 Vanleest 2006 264.2 9.7 33.8 4 Media Markt 2005 283.9 5.8 – 5 Music Store 2004 336.8 1.3 – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 83% 9% 3% 5% Year CD 2007 83% 15% 2% – 2008 18.4 1.2 0.5 8.7 1.3 2006 80% 19% 1% – 2007 18.8 3.0 1.1 2.9 – 2005 76% 18% 6% – 2006 19.3 3.5 1.8 2.5 – 2004 61% 36% 3% – 2005 20.4 4.6 2.2 1.3 – 2004 23.2 5.3 3.1 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital album source: Media Control GfK International GMBH 5% 4% Top Selling Albums 2008 Artist Title Company 1 Amy Winehouse Back To Black Universal 2 Amy Macdonald This Is The Life Universal 3 Marco Borsato White Light Universal 4 Coldplay Viva La Vida EMI 5 Nick & Simon Today Artist & Company 6 Jan Smit Silence In The Storm Artist & Company 7 Duffy Rockferry Universal 8 Alain Clark Live It Out 8Ball 9 Anouk Who’s Your Momma EMI 10 Madonna Hard Candy Warner 18 7% % 6% 10% 76% Recorded Music Sales By Sector n Physical n Digital n Performance rights 40% 34% Digital Sales By Format (Value) n Online single track n Online album n Online streams n Mastertones n Ad-supported n Other 45 RIN 09 Italy - Netherlands.indd 3 7/5/09 15:44:52 46 IFPI Recording Industry In Numbers 2009 – Norway 2 05 7 Europe Norway Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.6 Bonnier Amigo Music Norway Median Age (years) : 39 Playground Music Currency : Norwegian Krone (NOK) Tuba Records US$ Exchange Rate : 5.65 Tylden (Bare Bra Musikk) Physical sales Digital sales Performance rights Total market Chart Compiler : Ns Newspaper/IFPI Norway Voices Music & Entertainment Digital Indicators (Millions) Chart Links : www.ifpi.no Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : Gramo Link : www.gramo.no Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 124.0 700.7 -11.6% 2007 140.3 792.7 -2.3% 2006 143.6 811.6 -5.3% 2005 151.8 857.5 -11.7% 2004 171.9 971.2 1.9% 19 22 18 21 4.1 1.4 5.2 1.0 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 103.1 10.8 10.2 2007 122.6 8.1 9.6 2006 131.2 5.0 7.5 2005 149.7 2.0 – 2004 171.9 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 75% 23% 1% 1% Year CD 2007 63% 37% – – 2008 8.2 0.3 0.1 4.9 – 2006 54% 46% – – 2007 9.2 0.4 0.3 3.4 – 2005 61% 39% – – 2006 9.7 0.4 0.4 1.3 – 2004 – – – – 2005 11.0 0.3 0.6 0.5 – 2004 12.4 0.3 1.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International) 9% 7% 8% 10% 35% 11% 83% 37% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mobile single track n Mastertones n Other 46 RIN 09 Norway - Poland.indd 2 7/5/09 15:49:53 47 IFPI Recording Industry In Numbers 2009 – Poland 3 46 8 Europe Poland Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 38.5 Agora Median Age (years) : 38 Fonografika Currency : Zloty (PLN) Metal Mind Production US$ Exchange Rate : 2.41 Reader’s Digest Physical sales Digital sales Performance rights Total market Chart Compiler : ZPAV/Pentor Research Institute Sonic Digital Indicators (Millions) Chart Links : www.zpav.pl Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : ZPAV Link : www.zpav.pl Year 20 32 27 23 Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 112.2 270.3 10.1% 2007 101.9 245.6 16.4% 2006 87.6 211.0 1.9% 2005 85.9 207.0 -7.5% 2004 92.9 223.9 -4.8% 16.0 4.2 44.0 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Empik 2008 102.9 4.4 4.8 2 Media Markt 2007 95.5 2.7 3.7 3 Carrefour Polska 2006 85.1 0.4 2.0 4 Auchan Polska 2005 85.9 – – 5 Kolporter 2004 92.9 – – Top Retailers Note: Performance rights revenues and digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 9% 65% – 26% Year CD 2007 3% 96% 1% – 2008 9.9 0.8 0.4 – – 2006 14% 85% 1% – 2007 9.8 0.5 0.1 – – 2005 – – – – 2006 7.9 0.6 0.3 – – 2004 – – – – 2005 9.0 0.4 0.4 – – 2004 10.5 0.6 1.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 4% 4 % Top Selling Albums 2008 Artist Title Company 1 Feel Feel Gorgo/Pomaton 2 Rózni Wykonawcy Kids...The Best Ever! Pomaton 3 Soundtrack Mamma Mia! Polydor UK 4 Rózni Wykonawcy Love...The Best Ever! Pomaton 5 Rózni Wykonawcy The Best Christmas...Ever! Pomaton 6 Rózni Wykonawcy ...The Best Movie Ever! Pomaton 7 Metallica Death Magnetic Mercury UK Magic Records EMI 8 Various 9 Various Radio Zet Power Of Music Summer 2008 RMF FM Best In Polish Music Vol.2 10 David Gilmour Live In Gdansk Izabelin 15% 13% 92% 22% 26% 24% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ad-supported n Ringback tones n Mastertones n Mobile single track n Other 47 RIN 09 Norway - Poland.indd 3 7/5/09 15:49:58 48 IFPI Recording Industry In Numbers 2009 – Portugal 2 05 7 Europe Portugal Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.7 Espacial Median Age (years) : 39 Farol Musica Currency : Euro (EUR) iPlay US$ Exchange Rate : 0.68 Vidisco Physical sales Digital sales Performance rights Total market Chart Compiler : AFP/AC Nielsen Digital Indicators (Millions) Performance rights music licensing company : Audiogest AFP Year 25 33 32 27 Internet users Broadband lines Mobile subs Portable player users Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 68.8 46.8 -11.3% 2007 77.6 52.8 -13.4% 2006 89.6 60.9 -6.0% 2005 95.4 64.9 -8.9% 2004 104.7 71.2 -25.6% 7.8 1.6 14.3 0.8 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 FNAC 2008 61.8 4.4 2.6 2 Sonae 2007 71.2 3.8 2.6 3 Auchan 2006 83.6 3.7 2.4 4 El Corte Inglés 2005 95.4 – – 5 Media Markt 2004 104.7 – – Top Retailers Note: Performance rights revenues and digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 34% 56% 9% 1% Year CD 2007 24% 75% 1% – 2008 4.3 0.8 0.2 0.8 – 2006 15% 85% – – 2007 4.7 0.8 0.2 0.4 – 2005 – – – – 2006 6.0 1.0 0.3 0.2 – 2004 – – – – 2005 7.0 0.8 0.7 0.1 – 2004 9.1 0.8 2.9 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Top Selling Albums 2008 1 6% Artist Title Company Tony Carreira O Homem Que Sou Farol Musica 2 Just Girls Just Girls Farol Musica 3 Banda Sonora Original Mamma Mia EMI 4 Mariza Terra EMI 5 Amy Winehouse Back To Black Universal 6 Kizomba Brasil Kizomba Brasil Farol Musica 7 Mariza Concerto Em Lisboa EMI 8 Coldplay Viva La Vida EMI 9 Varios Artistas Morangos Com Acucar Vol. 10 Farol Musica 10 Abba Abba Gold Universal 4% 17% 6% 7% 90% 9% 24% 13% 12% 12% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mastertones n Online single track n Online album n Mobile single track n Online streams n Ringback tones n Mobile streams n Other 48 RIN 09 Portugal - Russia.indd 2 7/5/09 15:56:11 49 IFPI Recording Industry In Numbers 2009 – Russia 3 46 8 Europe Russia Country Data World Ranking Population (millions) : 140.7 Physical sales Digital sales Performance rights Total market Median Age (years) : 38 Currency : Rouble (RUB) US$ Exchange Rate : 24.87 Performance rights music licensing company : RPA 10 25 29 12 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.rpa-society.com 32.7 7.3 163.7 4.9 The Russian recorded music market saw a modest decline in 2008 of 2.4%. Physical sales fell by 5.8% while digital revenues more than doubled. The performance rights sector is still in its infancy. In Eastern Europe, Russia acquired the most broadband subscribers in 2008. However, the digital market in Russia is still dominated by mobile sales. Ringback tones account for over half of all revenues, followed by mastertones and monophonic/polyphonic ringtones. 2008 saw some progress in the development of the online music sector. Online stores are at the initial stages, attracting and accumulating customers. Ad-supported streaming services and subscription services are generating more interest. In the physical retail sector, there has been fast development in Moscow and St. Petersburg. CD sales are being driven by improved physical retail, but film DVDs are becoming more important at the expense of music. The high rate of piracy, the reduction in consumer spending following the economic slowdown and the devaluation of the local currency all have contributed to a decline in music sales in 2008. In terms of repertoire, sales are split 72% domestic, 25% international and 3% classical (units). Russia’s domestic music industry is mainly driven by live performance. Most commercial music is electronic or dance-based. Rock bands are in ascendance as are acts that have had TV appearances (several Pop Idol-like shows are broadcast across the country). Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 220.8 5,492.2 -2.4% 2007 226.2 5,626.5 -1.6% 2006 229.9 5,718.6 4.4% 2005 220.2 5,477.4 -37.5% 2004 352.3 8,762.8 44.3% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 209.2 7.6 4.0 2007 222.1 3.5 0.7 2006 228.8 0.8 0.3 2005 220.2 – – 2004 352.3 – – Note: Performance rights revenues and digital sales included from 2006. Note: 2008 performance rights figures refer to monies collected in 2007 and distributed in 2008. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 20% 80% – – Year CD 2007 – 100% – – 2008 70.1 – 4.1 – 2006 – 100% – – 2007 75.0 – 8.2 – – 2005 – – – – 2006 72.1 – 12.9 – – 2004 – – – – 2005 68.5 0.4 27.7 – – 2004 58.0 0.3 60.7 – – – Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 2% 3% 95% Recorded Music Sales By Sector n Physical n Digital n Performance rights 40% 5% 55% Digital Sales By Format (Value) n Ringback tones n Mastertones n Other 49 RIN 09 Portugal - Russia.indd 3 7/5/09 15:56:15 50 IFPI Recording Industry In Numbers 2009 – Slovakia 2 05 7 Europe Slovakia Country Data World Ranking Population (millions) : 5.5 Physical sales Digital sales Performance rights Total market Median Age (years) : 37 Currency : Slovak Koruna (SKK) US$ Exchange Rate : 21.17 45 – 31 45 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Year Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 9.8 207.4 -0.8% 2007 9.9 209.0 -2.4% 2006 10.1 214.2 -0.9% 2005 10.2 216.0 – 2004 – – – 2.7 – 5.5 – 2008 6.6 – 3.2 2007 7.3 – 2.6 2006 8.4 – 1.7 2005 10.2 – – 2004 – – – Note: Performance rights revenues included from 2006. Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 1.7 0.1 – – – 2007 1.1 – – – – 2006 1.0 0.1 – – – 2005 1.2 – – – – 2004 – – – – – Note: Music video refer to DVD. 33% 67% Recorded Music Sales By Sector n Physical n Digital 50 RIN 09 Slovakia - Spain - Sweden.indd 2 7/5/09 15:59:06 51 IFPI Recording Industry In Numbers 2009 – Spain 3 46 8 Europe Spain Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 45.2 Avispa Median Age (years) : 40 Blanco Y Negro Currency : Euro (EUR) Discmedi US$ Exchange Rate : 0.68 Divucsa Physical sales Digital sales Performance rights Total market Chart Compiler : GfK/Nielsen Music Control Harmonia Mundi Iberica Chart Links : www.promusicae.es Link : www.agedi.es Spanish music sales fell by 7.8% in 2008, lead by a sharp drop in physical sales (-12.4%). Digital sales grew modestly in 2008 by 7.5%, and accounted for 10% of overall music sales in Spain. Performance rights on the other hand saw a 19.2% increase on 2007. The Spanish market peaked in 2001 and music sales have since fallen by 56%. Spain’s piracy rate is among the highest in Western Europe. 22% of the Spanish population aged 16+ download music illegally. This translates to 62% of internet users (GfK Group). Among consumers under 24 years old, 81% of internet users download content from P2P sites. 44% Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : AGEDI of illegal downloaders are from a middleclass background and a further 29% from upper middle-class. Physical piracy remains a problem in Spain. 10% of the population aged 16+ buy pirated discs. Over a third of pirate CD buyers are from a low income background, most are not digitally engaged and 14% don’t have Spanish nationality (GfK Group). As a result of the country’s soaring piracy rates, very few new local artists achieve commercial hits. In 2008 there were only three local artists in the top 50 albums (Ainhoa Arteta, Amaia Montero and Pitingo). Five years ago 10 new local artists 9 11 7 9 25.6 8.9 52.5 – featured in the top 50 chart. The economic environment as well as conservative media coverage that focuses on established acts has led many record companies to cut down in new local artist signings. In an effort to stimulate the digital market, Vodafone has launched a music access service, offering an unlimited download service to its data plan customers without additional cost. The service is powered by RealNetworks and offers users the ability to purchase downloads in DRM-free format. Movistar, another subscription service launched in 2007, offers access to over one million songs for a monthly fee of €6. El Canto Del Loco 51 RIN 09 Slovakia - Spain - Sweden.indd 3 7/5/09 15:59:11 52 IFPI Recording Industry In Numbers 2009 – Spain 2 05 7 Europe Spain Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 302.4 205.6 -7.8% 2007 328.1 223.1 -19.9% 2006 409.6 278.5 -5.6% 2005 434.0 295.1 -5.1% 2004 457.2 310.9 -12.1% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 237.4 29.1 36.0 2007 270.9 27.0 30.2 2006 364.6 20.0 25.0 2005 429.1 4.9 – 2004 454.8 2.4 – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 29% 62% 4% 5% Year CD 2007 17% 72% – 11% 2008 19.8 1.4 0.2 7.3 – 2006 17% 80% – 3% 2007 21.1 2.0 0.7 7.2 – 2005 24% 76% – – 2006 25.9 2.5 1.2 1.8 – 2004 7% 93% – – 2005 31.1 3.4 1.8 0.3 – 2004 34.0 3.6 1.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International). Top Selling Albums 2008 1 Artist Title Company El Canto Del Loco Personas Sony Music 2 Miguel Bose Papito Warner DRO 3 Amy Winehouse Back To Black Universal 4 Serrat & Sabina Dos Pajaros De Un Tiro Sony Music 5 Manolo Garcia Saldremos A La Lluvia Sony Music 6 Estopa Allenrok Sony Music 7 Amaral Gato Negro Dragon Rojo EMI Music 8 Rosario Parte De Mi Universal/Vale Music 9 Amaia Montero Amaia Montero Sony Music 10 Fito Y Los Fitipaldis Por La Boca Vive El Pez Warner DRO 12% 19% 10% 5% 31% 6% 78% 7% 14% 18% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mastertones n Mobile single tracks n Online single tracks n Online album n Ringback tone n Mobile music video n Other 52 RIN 09 Slovakia - Spain - Sweden.indd 4 7/5/09 15:59:14 RECORDING INDUSTRY IN NUMBERS IFPI 2009Recording Industry In Numbers 2009 – Sweden 53 3 46 8 Europe Sweden Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 9.0 Bonnier Amigo Music Group Median Age (years) : 41 Family Tree Music Currency : Swedish Krona (SEK) Playground Music Scandinavia US$ Exchange Rate : 6.59 Roxy Recordings Physical sales Digital sales Performance rights Total market Chart Compiler : GLF/IFPI Sweden Sound Pollution Recordings Digital Indicators (Millions) Chart Links : www.sveringetopplistan.se Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : IFPI Sweden Link : www.ifpi.se Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 143.2 944.0 -6.9% 2007 153.9 1,014.4 -9.3% 2006 169.8 1,118.9 -1.1% 2005 168.0 1,106.9 -9.0% 2004 184.7 1,216.9 -17.4% 7.0 2.9 10.2 2.1 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 CD On 2008 119.9 10.8 12.5 2 Ginza 2007 130.5 10.2 13.2 3 Åhléns 2006 148.3 9.1 12.4 4 Statoil 2005 164.4 3.5 – 5 Maxi/ICA 2004 184.4 0.2 – 6 Coop 7 Media Markt 8 Skivlagret 9 Bengans 10 Rocks Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year 17 21 16 17 Digital Sales By Sector Online Mobile Subscriptions Other Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 59% 23% 16% 2% Year CD 2007 58% 33% 8% 1% 2008 11.6 0.4 1.0 3.5 – 2006 42% 47% 8% 3% 2007 13.0 0.6 1.0 3.0 – 2005 48% 47% 5% – 2006 15.2 0.6 1.0 1.8 – 2004 16% 78% 6% 2% 2005 15.4 0.6 1.4 0.5 – 2004 16.6 0.9 1.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan International). Top Selling Albums 2008 Artist Title Company 1 Duffy Rockferry Polydor 2 Eros Ramazzotti E2 Ariola 3 Metallica Death Magnetic Mercury 4 AC/DC Black Ice Columbia Syco 5 Il Divo The Promise 6 Sanna, Shirley, Sonja Our Christmas Lionheart Records 7 Coldplay Viva La Vida Parlophone 8 Takida Bury The Lies Ninetone 9 Amanda Jenssen Killing My Darlings Epic 10 Hâkan Hellström För Sent För Edelweiss Dolores 8% 9% 16% 6% 29% 8% 83% 16% 25% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online album n Online single track n Subscriptions n Mobile single track n Mastertones n Other 53 RIN 09 Slovakia - Spain - Sweden.indd 5 7/5/09 15:59:19 54 IFPI Recording Industry In Numbers 2009 – Switzerland 2 05 7 Europe Switzerland Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 7.6 K-Tel International AG Median Age (years) : 41 Musikvertrieb AG Currency : Swiss Franc (CHF) Phonag Records AG US$ Exchange Rate : 1.08 TBA AG Physical sales Digital sales Performance rights Total market Chart Compiler : Media Control AG Tudor Recording AG Digital Indicators (Millions) Chart Links : w ww.hitparade.ch | www.media control.de Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : SUISA Link : www.suisa.ch/en/ Year 13 20 22 13 Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 192.5 207.9 -5.4% 2007 203.5 219.7 -3.9% 2006 211.8 228.7 -11.1% 2005 238.4 257.4 -3.5% 2004 246.9 266.7 -7.2% 5.8 2.6 7.9 1.5 Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 FNAC 2008 172.9 13.2 6.3 2 Manor 2007 186.2 11.8 5.5 3 Media Markt 2006 204.0 7.0 0.9 4 Ex Libris 2005 234.9 3.5 – 5 City Disc 2004 246.9 – – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2005. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 80% 12% 6% 2% Year CD 2007 76% 23% 1% – 2008 11.4 0.3 0.3 6.0 0.7 2006 79% 21% – – 2007 11.6 0.3 1.0 5.6 0.6 2005 77% 21% 2% – 2006 12.7 0.4 1.4 1.9 0.2 2004 – – – – 2005 15.1 0.4 2.3 – – 2004 18.2 0.7 2.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Media Control GfK International GMBH). 3% 7% 6% 6% 90% 11% 39% 38% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Subscriptions n Other 54 RIN 09 Switz - Turkey.indd 2 7/5/09 16:02:39 55 IFPI Recording Industry In Numbers 2009 – Turkey 3 46 8 Europe Turkey Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 71.9 Avrupa Müzik Yapim Median Age (years) : 29 Dogan Müzik Yapim Currency : Turkish Lira (TRY) Emre Grafson Müzik Sanat US$ Exchange Rate : 1.31 Kalan Müzik Yapim Physical sales Digital sales Performance rights Total market Performance rights music licensing company : Seyhan Müzik Prodüksiyon Digital Indicators (Millions) MU-YAP Internet users Broadband lines Mobile subs Portable player users Link : www.mu-yap.org Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 80.9 106.0 -9.8% 2007 89.7 117.5 -8.9% 2006 98.5 129.0 -8.6% 2005 107.7 141.1 -7.5% 2004 116.5 152.6 17.7% 24 44 21 26 26.5 5.8 62.3 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 73.7 3.6 3.6 2007 84.8 2.1 2.8 2006 96.2 0.5 1.8 2005 107.7 – – 2004 116.5 – – Note: Performance rights and digital revenues included from 2006. Note: Digital and performance rights values provided by MU-YAP. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 35% 65% – – Year CD 2007 10% 90% – – 2008 10.7 – 1.8 – – 2006 12% 88% – – 2007 13.3 – 4.3 – – 2005 – – – – 2006 13.5 – 9.4 – – 2004 – – – – 2005 12.5 – 14.7 – – 2004 14.6 – 28.9 – – Note: Splits provided by MU-YAP to reflect sales by sector including independent label sales. 3% Note: Other physical includes singles, vinyl, cassette and other. 6% 35% 91% 17% 28% 20% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tone n Online single track n Mastertones n Internet 55 RIN 09 Switz - Turkey.indd 3 7/5/09 16:02:43 56 IFPI Recording Industry In Numbers 2009 – United Kingdom 2 05 7 Europe United Kingdom Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 60.9 All Around The World Median Age (years) : 40 B Unique Currency : British Pound (GBP) Crimson US$ Exchange Rate : 0.55 Decadence Physical sales Digital sales Performance rights Total market Chart Compiler : OCC/Millward Brown Domino Chart Links : www.theofficialcharts.com Ministry Of Sound Performance rights music licensing company : PPL Red Box Link : www.ppluk.com Sanctuary Rolled Gold 3 3 1 3 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 41.8 17.4 74.3 19.0 V2 Music XL Recordings Source: OCC Despite a turbulent year, the UK music industry managed to post a loss in sales of less than 5%, thanks to strong growth in digital sales and a strengthening performance rights sector. In the final quarter of 2008, the UK industry faced closures of retail outlets Woolworths and Zavvi, as well as the distributors EUK and Pinnacle going into administration due to the current recession. The UK digital market saw an increase of 58.3% in 2008 in trade value. 109.8 million single tracks were downloaded in 2008, up 42% on 2007. Digital album sales also rose sharply, up 65% (OCC). The UK hosted the launch of the first Nokia Comes With Music service late in 2008 as well as AmazonMP3’s entry in the European market. Growth in online sales came primarily from consumers aged over 45 (Entertainment Media Research). British artists continued to drive local sales, accounting for 49% of artist album sales. The popularity of the TV show X Factor is clearly reflected in the 2008 singles chart. Winner Alexandra Burke’s cover of Leonard Cohen’s Hallelujah was the biggest selling single of the year, with sales of nearly 900,000 copies. This was followed by the show’s finalists’ version of Mariah Carey’s Hero. These two titles were also the biggest selling physical singles of the year with cumulative sales of nearly a million. In the albums market Duffy’s debut Rockferry topped the annual chart with 1.7m copies sold. There were several other UK artists among the best sellers, including Take That, Leona Lewis and Coldplay. All three editions of the Now compilation series made the top 10, as did the Mamma Mia! soundtrack which underpinned an improved year for compilation sales which fell by only 1.4% in 2008. Digital music piracy remains a big threat to the UK music industry and until robust, practical measures are put in place to restrict access to unlicensed music online, legitimate services seeking to establish themselves in the marketplace will suffer unfairly. It is hoped that the ‘Digital Britain’ process will lead to either a self-regulating agreement between rights holders and the telecoms sector or legislation to ensure the protection of copyright online. In the UK market alone, the music industry lost £180 million in 2008, and will lose more than £1 billion by 2012 if nothing is done (Jupiter Research, 2007). Harris Interactive estimates that five services account for around 70% of P2P usage in the UK. The Pirate Bay, uTorrent and Mininova were chosen by a large proportion of heavy file-sharers (those illegally downloading 20+ songs per month). Among female P2P users Limewire was the most popular service. There has been a clear move towards in-home leisure spending in the UK with that sector growing by 4.4% in 2008 (Sheffield Hallam University), but games and DVD sales fared better compared to music. Game software sales grew by 21% in value, led by the popularity of the Nintendo Wii (GfK Chart-Track/ELSPA). Games also have a higher number of retailers in the UK compared to music or film. While the number of music retailers fell by 7.7% between 2005 and 2008 (Millward Brown/OCC), the number of games retailers grew by 1.2% (GfK ChartTrack). The DVD market was up 0.1% in 2008 (OCC/BVA). Illegal downloading has started to impact the film industry and that sector also saw a reduction in retail space in 2008. Leona Lewis Ri a nn ha 56 RIN 09 UK.indd 2 7/5/09 16:06:16 57 IFPI Recording Industry In Numbers 2009 – United Kingdom 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 1,845.4 1,015.0 -2.5% 2007 1,892.8 1,041.0 -12.6% 2006 2,164.6 1,190.5 -1.7% 2005 2,201.0 1,210.6 -2.9% 2004 2,267.0 1,246.9 -0.4% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 HMV 2008 1,458.8 252.2 134.4 2 Tesco 2007 1,614.6 159.4 118.8 3 Zavvi 2006 1,931.5 120.2 112.9 4 Woolworths 2005 2,131.8 69.2 – 5 Asda 2004 2,248.8 18.2 – 6 Amazon 7 iTunes Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2004. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Other Music Video Other Physical Single Tracks Digital Albums 2008 78% 13% 7% 2% Year CD 2007 72% 23% 3% 2% 2008 131.2 4.5 7.0 109.8 10.3 2006 64% 34% 2% – 2007 139.0 5.2 11.8 77.5 6.2 2005 58% 38% 4% – 2006 164.4 7.3 19.8 52.5 2.2 2004 58% 32% 10% – 2005 172.6 8.3 27.9 26.4 – 2004 174.6 7.7 32.6 5.8 – Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: OCC/BPI). Top Selling Albums 2008 Album Sales By Genre 2008 (Units) Artist Title Company Rock 36% 1 Duffy Rockferry A&M Pop 25% 2 Take That The Circus Polydor R&B 11% 3 Kings Of Leon Only By The Night Hand Me Down Dance 8% 4 Leona Lewis Spirit Syco Music MOR/Easy Listening 7% 5 Coldplay Viva La Vida Parlophone Classical 4% 6 OST Polydor Hip Hop/Rap 2% 7 Various Artists Mamma Mia! Now Thats What I Call Music! 71 EMI TV/UMTV Country 2% 8 Various Artists Now Thats What I Call Music! 70 EMI TV/UMTV Jazz 2% 9 Various Artists Now Thats What I Call Music! 69 EMI TV/UMTV Folk 1% 10 Rihanna Good Girl Gone Bad Mercury Other 3% Source: BPI Source: OCC/BPI Music Sales By Chart Position Chart Position % Change 2007-2008 7% Recorded Music Sales By Sector 14% 79% n Physical n Digital n Performance rights 5% 1-10 +10.2% Digital Sales By Format (Value) 11-20 +4.0% 21-30 -5.6% n Online single track n Online album n Subscriptions n Mobile single track n Mastertones n Other 31-40 -10.9% 41-50 -9.6% 51-100 -9.6% Top 100 -2.5% 9% 6% 40% 7% 33% Source: BPI 57 RIN 09 UK.indd 3 7/5/09 16:06:21 58 IFPI Recording Industry In Numbers 2009 – China 2 05 7 Asia China Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 1,330 HY Brothers Median Age (years) : 34 Modern Sky Currency : Renminbi (RMB) | Yuan (CNY) Taihe Rye Music Co. Ltd. Physical sales Digital sales Performance rights Total market US$ Exchange Rate : 6.96 Performance rights music licensing company : CAVCA (for Karaoke Videos) Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.cavca.org Music sales in China grew by 8.0% in 2008 aided by strong digital growth. China has one of the highest digital shares in the world, with 62% of music sales coming from digital platforms. Digital piracy continued to underscore the potential of the digital music sector in China, with an estimated piracy level of 90%. The Chinese digital market is dominated by mobile sales, which accounted for over 80% of digital revenues. Ringback tones are by far the most important music format, although single track downloads to mobile are on the rise. Music companies currently receive 5% or less from sales of mobile music in China, highlighting a big gap between content owners’ and mobile operators’ remunerations. China Mobile’s valueadded service market reached US$ 18 billion in 2008 (iResearch). The expected introduction of 3G services in China should further expand the Chinese mobile music market. 34 9 – 25 China has the highest number of internet users in the world. As much as 80% of all internet users in China are under the age of 35 years old and nearly 80% of internet users have broadband access. Research by CNNIC showed that 87% of Chinese internet users have listened to online music in the past six months, with 71% having downloaded music in the past six months. Despite this, the legitimate online sector has failed to take off in China due to high piracy levels. The biggest infringers are the country’s largest internet companies, Baidu, Sohu-Sogu and Yahoo China, which provide specialized ‘deep link’ services giving users direct access to millions of copyright-infringing music files. Critical for the long-term success of the mobile music business in China is the ability to control piracy in this environment. The fact that credit card use is limited in China has also held back the online market, favouring mobile operators’ billing systems. 298.0 83.4 627.3 – In early 2009 major music labels partnered with Google China and Top100.cn to offer a new legitimate music service to Chinese consumers. Through the service Google Music Search music labels can offer their catalogue legitimately to consumers on an ad-supported basis. The majority of music sales in China come from international and regional repertoire. Chinese music buyers’ tastes lie in Mandarin recordings produced in or outside China. Hong Kong and Taiwan are the main exporters of Mandarin repertoire into China. Many Chinese artists record and sign their contracts in those territories – where the recording infrastructure is more developed. In addition, many Cantonese acts from Hong Kong record Mandarin versions of their releases for exploitation in China and Taiwan. Market barriers faced by nonChinese record companies also hampers the development of Chinese artists. 58 RIN 09 China.indd 2 7/5/09 15:24:53 59 IFPI Recording Industry In Numbers 2009 – China 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 82.0 570.5 8.0% 2007 75.9 528.2 -10.4% 2006 84.7 589.8 24.5% 2005 68.0 473.6 -35.0% 2004 104.8 729.1 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 31.5 50.4 – 2007 41.2 34.7 – 2006 54.0 30.7 – 2005 68.0 – – 2004 104.8 – – Note: Digital sales included from 2006. 2004-2003 sales are not comparable. Year Digital Sales By Sector Online Mobile Subscriptions Other CD Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 16% 82% – 2% Year 2007 19% 78% 3% – 2008 7.7 2.1 – – – 2006 5% 74% 8% 13% 2007 13.1 1.5 – – – 2005 – – – – 2006 16.6 6.9 2.6 – – 2004 – – – – 2005 19.7 10.1 9.9 – – 2004 33.1 10.3 19.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 5% 6% 8% 38% 62% 9% 61% 11% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mobile single track n Mastertones n Online streams n Online single track n Other 59 RIN 09 China.indd 3 7/5/09 15:24:56 60 IFPI Recording Industry In Numbers 2009 – Hong Kong 2 05 7 Asia Hong Kong Country Data Top Independent Labels (Alphabetical) Population (millions) : 7.0 Avex Asia Ltd. Median Age (years) : 42 BMA Records Ltd. Currency : Hong Kong Dollar (HKD) East Asia Music (Holdings) Ltd. US$ Exchange Rate : 7.79 Emperor Entertainment (Hong Kong) Ltd. Performance rights music licensing company : PP(SEA)L and HKRIA Forward Music Co. Ltd. Link : www.ppseal.com | www.hkria.com HNH International Ltd. (Naxos) World Ranking Physical sales Digital sales Performance rights Total market 32 26 23 33 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Gold Typhoon Entertainment Ltd. Neway Star Ltd. 4.9 2.3 11.5 – Worldstar Music International Ltd. WOW Music Ltd. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 55.8 434.4 -11.0% 2007 62.7 488.1 -5.7% 2006 66.4 517.3 0.5% 2005 66.1 514.8 -1.5% 2004 67.1 522.7 -12.6% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 42.4 7.2 6.2 2007 49.8 6.5 6.3 2006 56.5 4.6 5.4 2005 66.1 – – 2004 67.1 – – Top Retailers 1 CD Warehouse 2 HMV Note: Performance rights and digital revenues included from 2006. Note: Performance rights revenues include PP(SEA)L figures only. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 6% 49% 41% 4% Year CD 2007 2% 50% 48% – 2008 3.4 0.6 0.1 – – 2006 5% 72% 23% – 2007 4.4 0.5 0.1 – – 2005 – – – – 2006 4.7 0.7 0.1 – – 2004 – – – – 2005 5.8 0.9 0.1 – – 2004 6.1 0.6 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Performance rights revenues include PP(SEA)L figures only. 11% 22% 13% 41% 76% 17% 20% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Subscriptions n Ringback tones n Mobile music video n Other 60 RIN 09 Hong Kong – India.indd 2 7/5/09 15:39:33 61 IFPI Recording Industry In Numbers 2009 – India 3 46 8 Asia India Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 1,148.0 Aditya Music (India) Median Age (years) : 25 Saregama India Currency : Indian Rupee (INR) Super Cassettes Industries US$ Exchange Rate : 43.82 Times Music Physical sales Digital sales Performance rights Total market Performance rights music licensing company : PPL Tips Industries Ltd. 22 12 10 19 Digital Indicators (Millions) Venus Records & Tapes Ltd Internet users Broadband lines Mobile subs Portable player users Link : www.pplindia.org 81.0 5.4 346.9 – Music sales in India were up 6.3%, with growth in digital and performance rights revenues offsetting the decline in physical sales. Hindi film soundtracks remain the biggest genre in India, making up 40% of total music sales (PWC). The Indian music industry peaked in 2001 when recorded music revenues totalled US$ 176.4 million. Since then music sales have dropped by 20%. The Indian music industry is plagued by physical and digital piracy, facing declining prices for entertainment products, struggling to keep pace with rapidly changing music consumption and technology, facing competition from the mushrooming of radio channels, and with movie content taking precedence over all else. A study by Ernst & Young India revealed that as many as 800,000 direct jobs and US$ 4 billion are lost by the entertainment industry as a result of theft and piracy. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 140.4 6,151.9 6.3% 2007 132.1 5,787.6 12.4% 2006 117.5 5,147.8 4.6% 2005 112.3 4,922.1 -0.3% 2004 112.7 4,939.1 2.7% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 89.6 29.0 21.8 2007 97.4 21.8 12.8 2006 107.3 10.2 12.4 2005 112.3 – – 2004 112.7 – – Note: Performance rights revenues included from 2007. Digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 – 98% – 2% Year CD 2007 – 100% – – 2008 36.0 0.2 38.5 – – 2006 – 100% – – 2007 37.2 0.1 46.8 – – 2005 – – – – 2006 42.5 – 56.4 – – 2004 – – – – 2005 36.3 – 67.3 – – 2004 26.2 – 104.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 7% 16% 21% 14% 63% 17% 62% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mastertones n Mobile single track n Other 61 RIN 09 Hong Kong – India.indd 3 7/5/09 15:39:37 62 IFPI Recording Industry In Numbers 2009 – Indonesia 2 05 7 Asia Indonesia Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 237.5 Aquarius Musikindo Median Age (years) : 27 Musica Studios Currency : Indonesian Rupiah (IDR) Virgo Ramayana Physical sales Digital sales Performance rights Total market US$ Exchange Rate : 9,684.89 36 13 – 34 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 53.2 515,669.2 -2.8% 2007 54.8 530,701.4 -18.2% 2006 67.0 648,411.7 33.2% 2005 50.3 486,851.7 -15.2% 2004 59.3 574,164.8 -14.8% 25.0 0.3 117.8 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 24.3 28.9 – 2007 32.3 22.5 – 2006 40.5 26.4 – 2005 50.3 – – 2004 59.3 – – Note: Digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 – 99% – 1% Year CD 2007 – 100% – – 2008 5.8 3.4 3.5 – – 2006 – 84% 16% – 2007 5.0 2.7 11.7 – – 2005 – – – – 2006 4.3 2.6 16.9 – – 2004 – – – – 2005 4.4 0.7 25.0 – – 2004 4.6 1.2 34.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 6% 54% 46% 94% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Ringback tones n Other 62 RIN 09 Indonesia - Japan - Malaysia.indd 2 7/5/09 15:42:23 63 IFPI Recording Industry In Numbers 2009 – Japan 3 46 8 Top Independent Labels (Alphabetical) Asia Japan Avex Marketing Inc. Being Inc. Columbia Music Entertainment Inc. Dreamusic Inc. World Ranking Country Data Forlife Music Entertainment Inc. Population (millions) : 127.3 Geneon Universal Entertainment Japan, LLC Median Age (years) : 44 King Record Co. Ltd. Currency : Yen (JPY) Nippon Crown Co. Ltd. US$ Exchange Rate : 103.47 Pony Canyon Inc. Chart Compiler : RIAJ Sony Music Entertainment (Japan) Inc. Digital Indicators (Millions) Chart Links : w ww.riaj.or.jp Teichiku Entertainment Inc. Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : RIAJ Link : www.riaj.or.jp Tokuma Japan Communications Co. Ltd. VAP Inc. Victor Entertainment Inc. Physical sales Digital sales Performance rights Total market 1 2 4 2 94.0 30.3 110.6 13.4 Yamaha Music Communications Co. Yoshimoto R and C Co. Ltd. Music sales in Japan bucked the trend in 2008 growing by 0.9%. Digital sales combined with performance rights revenues continued to offset the decline in physical sales. Digital revenues were up 25.4%, with mobile sales accounting for 88% of digital revenues. Full track downloads to mobile accounted for over half of mobile revenues. Performance rights grew by 3.5% in 2008. Domestic repertoire sales continued to do better than international repertoire and continued to account for the majority of sales in Japan. Two Japanese acts featured in the global digital single tracks chart – Thelma Aoyama and GreeeeN. illegal downloading has particularly affected the 16-19s legal downloading patterns, followed by the 25-29s (RIAJ). Mobile-based piracy continued to impact the industry in Japan, despite the fact that Japan has one of the lowest digital piracy rates in the world. 35% of mobile users access illegal sites to download mastertones/full tracks via their mobiles. As many as 60% of 16-19 year olds illegally download music content, up from 45% in 2006. 70% of music downloaded is of Japanese origin. The increase in Unlike in the US and Europe, music sales in Japan outperformed other entertainment sectors in 2008. The Japanese video game software sector shrank by 7.9% in retail value in 2008, despite sales growth for the three major systems (Wii, PS3 and Xbox 360) (Enterbrain). Video sales also shrank, by 11.1% in retail value (Japan Video Software Association). da ta U Kobukuro 63 RIN 09 Indonesia - Japan - Malaysia.indd 3 7/5/09 15:42:29 64 IFPI Recording Industry In Numbers 2009 – Japan 2 05 7 Asia Japan Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 4,109.0 425,159.5 0.9% 2007 4,072.9 421,426.7 0.0% 2006 4,074.3 421,562.7 2.9% 2005 3,961.0 409,845.3 0.6% 2004 3,936.1 407,265.0 1.4% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 3,215.6 820.8 72.7 2007 3,348.3 654.5 70.2 2006 3,565.5 654.5 69.4 2005 3,665.4 295.6 – 2004 3,813.5 122.5 – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 10% 88% 1% 1% Year CD 2007 8% 91% 1% – 2008 165.4 17.1 49.8 459.0 2006 9% 91% – – 2007 176.5 17.3 59.8 – – 2005 9% 91% – – 2006 197.5 18.9 65.8 – – 2004 4% 96% – – 20.0 2005 211.8 20.3 66.7 – – 2004 201.3 20.5 88.1 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks include mobile singles (RIAJ). 2% Platinum Certified Album 2008 10% Artist Title Company Koda Kumi Kingdom Avex Marketing Utada Hikaru Heart Station EMI Music Japan Exile Exile Catchy Best Avex Marketing B’z B’z The Best (Ultra Pleasure) Vermillion Records Greeeen A, Domo. Ohisashiburi Desu Universal Music K.K. Exile Exile Entertainment Best Avex Marketing Namie Amuro Best Fiction Avex Marketing Ayumi Hamasaki A Complete (All Singles) Avex Marketing Mariya Takeuchi Expressions Warner Music Japan Exile Exile Ballad Best Avex Marketing Mr. Children Supermarket Fantasy Toy’s Factory 6% 20% 10% 78% 53% 21% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mobile single track n Mastertones n Ringback tones n Online single track n Other Source: RIAJ 64 RIN 09 Indonesia - Japan - Malaysia.indd 4 7/5/09 15:42:33 RECORDING INDUSTRY IN NUMBERS IFPI 2009Recording Industry In Numbers 2009 – Malaysia 65 3 46 8 Asia Malaysia Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 25.8 Hup Hup Sdn. Bhd. Median Age (years) : 25 Interglobal Music (Malaysia) Sdn. Bhd. Currency : Ringgit (MYR) New Southern Records Sdn. Bhd. US$ Exchange Rate : 3.34 Rock Records (M) Sdn. Bhd. Physical sales Digital sales Performance rights Total market Performance rights music licensing company : PPM Suwah Enterprise (M) Sdn. Bhd. Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.ppm.org.my Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 25.3 84.4 -7.0% 2007 27.2 90.7 -14.0% 2006 31.6 105.5 20.7% 2005 26.2 87.4 -9.9% 2004 29.0 97.0 0.8% 40 28 28 38 15.9 1.6 26.2 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 14.7 6.2 4.4 2007 18.5 4.8 3.9 2006 22.9 4.9 3.8 2005 26.2 – – 2004 29.0 – – Note: Performance rights and digital revenues included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 4% 95% – 1% Year CD 2007 4% 96% – – 2008 1.6 0.4 0.1 – – 2006 – 98% 2% – 2007 2.1 0.5 0.2 – – 2005 – – – – 2006 2.2 0.5 0.6 – – 2004 – – – – 2005 2.2 0.7 1.4 – – 2004 2.3 0.7 2.2 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 17% 25% 20% 58% 10% 70% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mastertones n Other 65 RIN 09 Indonesia - Japan - Malaysia.indd 5 7/5/09 15:42:37 66 IFPI Recording Industry In Numbers 2009 – Philippines 2 05 7 Asia Philippines Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 96.1 Alpha Music Corporation Median Age (years) : 22 Galaxy Records Currency : Philippine Peso (PHP) Polyeast Records US$ Exchange Rate : 44.57 Praise Inc. Physical sales Digital sales Performance rights Total market Performance rights music licensing company : PMPPSI Star Recording Inc. Digital Indicators (Millions) Universal Records Internet users Broadband lines Mobile subs Portable player users Vicor Music Corporation Viva Records Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 15.8 702.6 -3.0% 2007 16.2 724.2 -19.2% 2006 20.1 896.5 -14.7% 2005 23.6 1,050.9 3.2% 2004 22.8 1,018.0 -11.3% 41 38 – 42 14.0 1.0 66.0 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 13.4 2.3 – 2007 15.2 1.1 – 2006 19.3 0.8 – 2005 23.6 – – 2004 22.8 – – Note: Digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 7% 73% – 20% Year CD 2007 – 100% – – 2008 2.6 0.5 0.2 – – 2006 – 97% 3% – 2007 3.0 0.4 – – – 2005 – – – – 2006 3.9 0.5 0.3 – – 2004 – – – – 2005 3.6 0.6 0.7 – – 2004 3.7 0.7 1.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 7% 15% 7% 28% 18% 85% 19% 21% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Ringback tones n Mastertones n Ad-supported n Mobile single tracks n Online streams n Other 66 RIN 09 Philippines - Singapore.indd 2 7/5/09 15:54:22 67 IFPI Recording Industry In Numbers 2009 – Singapore 3 46 8 Asia Singapore Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.6 EQ Music Pte. Ltd. Median Age (years) : 36 HIM International Music Pte. Ltd. Currency : Singapore Dollar (SGD) Life Records Industries Pte. Ltd. US$ Exchange Rate : 1.42 Ocean Butterfly Music Pte. Ltd. Physical sales Digital sales Performance rights Total market Performance rights music licensing company : RIPS Rock Records (S) Ltd. Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.rips.com.sg Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 23.3 33.0 -16.0% 2007 27.7 39.3 -16.5% 2006 33.2 47.1 -14.2% 2005 38.6 54.9 -13.5% 2004 44.7 63.4 -8.9% 3.1 0.9 6.3 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 CD Rama 2008 20.5 1.4 1.4 2 Gramophone 2007 26.1 1.0 0.6 3 HMV 2006 29.7 1.1 2.4 4 Sembawang Music 2005 38.6 – – 5 That CD Shop 2004 44.7 – – 6 Mobile 1 7 Nokia Music Store 8 Singtel IDEAS 9 Soundbuzz 10 Stanhub/PLAY Note: Performance rights and digital revenues included from 2006. Digital Sales By Sector Online Mobile Subscriptions Other Year 38 41 37 39 Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 16% 67% 10% 7% Year CD 2007 5% 86% 9% – 2008 1.9 0.1 – – – 2006 18% 81% 1% – 2007 2.4 0.1 – – – 2005 – – – – 2006 2.7 0.2 0.1 – – 2004 – – – – 2005 4.6 0.2 0.1 – – 2004 4.0 0.2 0.1 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 6% 6% 10% 7% 28% 9% 88% 10% 11% 25% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mobile single track n Mastertones n Subscriptions n Online single track n Online streams n Other 67 RIN 09 Philippines - Singapore.indd 3 7/5/09 15:54:27 68 IFPI Recording Industry In Numbers 2009 – South Korea 2 05 7 Asia South Korea Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 48.4 KTF Music Median Age (years) : 37 Loen Entertainment Currency : South Korean Won (KRW) Mnet Media US$ Exchange Rate : 1,102.84 Neowitz Bugs Physical sales Digital sales Performance rights Total market SM Entertainment 26 6 – 18 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 36.8 15.5 44.5 – Music sales in South Korea grew by 16.0% in 2008 with an 18.8% increase in physical sales and a 14.3% rise in digital sales. The physical market grew for the first time in seven years, due in part to successful domestic and international albums released during the year. South Korea was the first Asian market where the digital music market surpassed sales of physical products. South Korea is now the second biggest digital market in Asia, only behind Japan, and sixth in the world. In 2008, 60% of music sales came from digital platforms. In March 2009, the Copyright Law was amended to provide record producers and performers with the right to equitable remuneration for the public performance of their sound recordings. This will take effect in September 2009. Physical piracy in South Korea has been overtaken by digital piracy. The National Assembly recently amended the Copyright Law in early 2009 to include provisions which establish graduated sanctions against repeat online infringers. These provisions grant the Ministry of Culture Sports and Tourism the power to order suspension, of up to six months, of the accounts of users who continue to infringe copyright after three warnings. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 140.6 155,111.9 16.0% 2007 121.2 133,667.2 -8.4% 2006 132.4 145,970.5 84.1% 2005 71.9 79,270.0 -19.6% 2004 89.4 98,585.4 -22.0% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Evan Records 2008 56.4 84.3 – 2 Kyobo Hottracks 2007 47.5 73.7 – 3 Intenponk 2006 58.4 74.0 – 4 Yes 24 2005 71.9 – – 5 Bugs Music 2004 89.4 – – 6 Cyworld 7 Melon 8 Mnet 9 Soribada Note: Digital sales included from 2006. Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 7.1 0.2 0.1 – – 2007 6.3 0.1 0.1 – – 2006 7.9 0.1 0.2 – – 2005 9.4 0.2 1.1 – – 2004 10.9 0.1 2.4 – – Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Year 2008 Digital Sales By Sector Online Mobile Subscriptions Other 52% 25% 23% – 2007 54% 33% 13% – 2006 43% 46% 11% – 2005 – – – – 2004 – – – – Note: Other includes ad-supported revenues and other digital amounts. 40% 24% 37% 60% 11% 9% Recorded Music Sales By Sector n Physical n Digital 9% 10% Digital Sales By Format (Value) n Subscriptions n Online single track n Online album n Mastertones n Ringback tones n Other 68 RIN 09 South Korea - Taiwan.indd 2 7/5/09 16:01:03 69 IFPI Recording Industry In Numbers 2009 – Taiwan 3 46 8 Asia Taiwan Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 22.9 Avex Median Age (years) : 36 Forward Music Co. Ltd. Currency : New Taiwan Dollar (TWD) HIM International Music Incorporated US$ Exchange Rate : 31.56 Linfair Records Limited Physical sales Digital sales Performance rights Total market Performance rights music licensing company : ARCO/AMCO Rock Records (Taiwan) Co. Ltd. Digital Indicators (Millions) Source: IFPI members Internet users Broadband lines Mobile subs Portable player users Link : www.arco.org.tw Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 59.1 1,864.7 2007 70.2 2,214.9 -15.8% -2.2% 2006 71.8 2,265.1 -29.4% 2005 101.7 3,210.5 -25.9% 2004 137.3 4,334.6 -1.1% 29 24 38 31 15.1 4.7 22.9 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 49.6 8.1 1.3 2007 62.1 8.1 – 2006 67.0 4.8 – 2005 101.7 – – 2004 137.3 – – Note: Performance rights revenues included from 2008. Digital sales included from 2006. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 36% 44% 14% 6% Year CD 2007 41% 48% 11% – 2008 4.1 0.4 0.3 – – 2006 29% 65% 6% – 2007 5.4 0.3 0.3 – – 2005 – – – – 2006 5.7 0.4 0.7 – – 2004 – – – – 2005 9.4 0.6 0.3 – – 2004 14.9 0.8 0.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 2% 14% 30% 52% 84% 13% 5% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Subscriptions n Mastertones n Other 69 RIN 09 South Korea - Taiwan.indd 3 7/5/09 16:01:07 70 IFPI Recording Industry In Numbers 2009 – Thailand 2 05 7 Asia Thailand Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 66.0 GMM Grammy Public Co. Ltd. Median Age (years) : 33 Nopporn Silver Gold Co. Ltd. Currency : Baht (THB) Platinum Marketing and Distribution Co. Ltd. US$ Exchange Rate : 33.27 RS. Promotion Public Co. Ltd. Physical sales Digital sales Performance rights Total market Performance rights music licensing company : Phonorights (Thailand) Ltd. Sure-Audio Co. Ltd. 31 15 45 28 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.1stopmusic.com 13.4 0.6 48.8 0.5 Note: Portable player users refer to devices sold in 2008. Year Recorded Music Sales (trade value) US$ (M) Local Currency (M) Change 2008 68.3 2,271.0 7.3% 2007 63.6 2,117.4 -14.1% 2006 74.1 2,464.7 -20.6% 2005 93.3 3,103.1 -19.7% 2004 116.2 3,865.9 0.0% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 B2S 2008 43.0 25.0 0.3 2 GMS Major 2007 48.1 14.9 0.6 3 Imagine 2006 59.5 14.5 – 4 Mangpong 2005 93.3 – – 5 Media Network 2004 116.2 – – 6 gmember.com 7 pleng.com 8 sure-audio.com 9 truemusic.com 10 you2play.com Note: Performance rights revenues included from 2007. Digital sales included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 8% 71% 18% 3% Year CD 2007 4% 96% – – 2008 6.1 7.2 – – – 2006 1% 99% – – 2007 6.2 8.1 1.0 – – 2005 – – – – 2006 7.8 7.4 3.5 – – 2004 – – – – 2005 11.8 10.9 5.3 – – 2004 11.8 15.6 7.8 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 17% 37% 10% 63% 55% 18% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Ringback tones n Subscriptions n Mastertones n Other 70 RIN 09 Thailand - Australia.indd 2 7/5/09 16:04:25 71 IFPI Recording Industry In Numbers 2009 – Australia 3 46 8 Australasia Australia Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 21.0 Inertia Median Age (years) : 37 MGM Currency : Australian Dollar (AUD) Rajon US$ Exchange Rate : 1.20 Shock Physical sales Digital sales Performance rights Total market Chart Compiler : ARIA Stomp 7 8 15 7 Digital Indicators (Millions) Chart Links : www.aria.com.au Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : PPCA Link : www.ppca.com.au 16.7 6.7 21.3 5.0 Music sales in Australia were down 6.0% driven by a steep decline in physical sales. Digital sales, on the other hand grew significantly, now accounting for 13% of sales in Australia, up from 8% in 2007. Digital album sales saw significant growth alongside single track downloads. Performance rights also saw a double-digit increase. Home grown talent still appeals to Australian music fans, with domestic music making up about one third of all acts in the Australian charts. While chart heavy-weights such as AC/DC, Kasey Chambers and Sneaky Sound System continued to further their previous successes, there was a strong batch of new names gracing the Australian charts – Gabriella Cilmi, Cut Copy and The Presets to name a few. Sales in the final quarter of 2008 were strong, led by blockbuster releases from artists such as P!nk, Kings of Leon and AC/DC. Andre Rieu drove music DVD sales, accounting for nine different titles at number one, across 36 weeks of the year. Despite the global economic outlook, the Australian industry is optimistic that overall industry sales will remain solid through 2009, due to a strong schedule of releases and extensive tour activity. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 389.2 467.0 -6.0% 2007 413.9 496.7 -9.6% 2006 458.0 549.6 -1.3% 2005 463.8 556.6 -13.0% 2004 532.9 639.5 -5.8% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 325.2 51.2 12.8 2007 369.7 33.0 11.3 2006 423.4 23.8 10.9 2005 455.6 8.2 – 2004 531.7 1.3 – Note: Performance rights revenues included from 2006. Digital sales included from 2004. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 69% 29% – 2% Year CD 2007 60% 40% – – 2008 30.2 3.9 1.4 20.0 3.0 2006 52% 48% – – 2007 33.8 4.5 2.6 15.0 0.8 2005 41% 59% – – 2006 38.1 4.1 4.7 9.0 0.4 2004 47% 53% – – 2005 37.7 3.8 8.0 2.0 0.1 2004 39.5 4.5 9.9 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (ARIA). % 3 Top Selling Albums 2008 Artist Title Company 1 Kings Of Leon Only By The Night RCA/SBME 2 P!nk Funhouse LAF/SBME 3 AC/DC Black Ice ALB/SBME 4 Coldplay Viva La Vida CAP/EMI 5 The Presets Apocalypse MOD/UMA 6 Soundtrack Mamma Mia! PDR/UMA 7 Chris Brown Exclusive JVE/SBME 8 Metallica Death Magnetic MER/UMA 9 Rihanna Good Girl Gone Bad DFJ/UMA 10 Jason Mraz We Sing, We Dance, We Steal Things ATL/WAR 13% 13% 9% 84% 40% 15% 23% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Mobile single track n Other 71 RIN 09 Thailand - Australia.indd 3 7/5/09 16:04:30 72 IFPI Recording Industry In Numbers 2009 – New Zealand 2 05 7 Australasia New Zealand Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.2 174 East Ltd. Median Age (years) : 36 Border Music Ltd. Currency : New Zealand Dollar (NZD) Dawn Raid Music Ltd. US$ Exchange Rate : 1.43 Liberation Music NZ Ltd. Physical sales Digital sales Performance rights Total market Chart Compiler : Media Sauce/RIANZ Rhythmethod Ltd. Chart Links : www.nztop40.com Shock Records 28 30 33 30 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : PPNZ Link : www.rianz.org.nz 3.4 0.9 3.9 1.0 Recorded music sales in New Zealand were down 7.0% in 2008. A 10.1% fall in physical sales was partly offset by a 21.7% increase in digital sales and a 21.7% rise in performance rights revenues. Digital sales now account for 9% of New Zealand’s music market despite the demise of two digital music providers – Coke Tunes and Txt tunes. The opening of the 12,000 capacity Vector Arena as a centre for live events has seen a marked increase in the number and frequency of bigger international acts performing in New Zealand. Recent performances at Vector Arena include Kings of Leon, Coldplay, Red Hot Chili Peppers, Foo Fighters, Billy Joel and Eric Clapton. Proposed amendments to the Copyright Act 1994, addressing copyright infringing online file-sharing activity were postponed by the new National Government. The proposed provision requiring ISPs to adopt a reasonable policy for terminating the internet accounts of repeat copyright infringers will now be reworked to provide greater clarity for ISPs as to how they will need to address the infringing peer-to-peer file-sharing activity that is negatively impacting the legitimate sales of recorded music. The New Zealand government has announced a US$1.5 billion investment to deliver ultra-fast broadband to 75% of the population within 10 years through public-private partnerships. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 59.1 84.5 -7.0% 2007 63.6 90.9 -9.1% 2006 69.9 100.0 -9.1% 2005 76.9 110.0 -1.7% 2004 78.3 111.9 -7.4% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 iTunes 2008 51.6 5.2 2.3 2 JB HiFi 2007 57.4 4.3 1.9 3 The CD & DVD Store 2006 65.4 3.0 1.5 4 The Warehouse 2005 76.9 – – 5 Vodafone 2004 78.3 – – Top Retailers Note: Performance rights and digital revenues included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 54% 44% – 1% Year CD 2007 37% 63% – – 2008 4.8 0.8 – 3.0 – 2006 5% 95% – – 2007 4.8 0.6 3.2 – – 2005 – – – – 2006 6.0 0.6 2.4 – – 2004 – – – – 2005 6.7 0.5 1.6 – – 2004 6.7 0.5 0.8 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. Top Selling Albums 2008 Artist Title Company 1 Billy T James The Comic Genius of Billy T James Sony Music 2 Kings Of Leon Only By The Night Sony Music 3 Mamma Mia Cast Mamma Mia: The Movie Universal 4 Duffy Rockferry Universal 5 Amy Winehouse Back To Black Universal 6 Coldplay Viva La Vida Parlophone/EMI 7 Metallica Death Magnetic Universal 8 P!nk Funhouse Sony Music 9 Tiki Taane Past, Present, Future Dirty Dub/ Rhythmethod 10 The Feelers The Best: 1998-2008 WEA/Warner 9% 4% 8% 26% 87% 14% 30% 22% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Online single track n Online album n Mastertones n Mobile single track n Other 72 RIN 09 New Zealand - Argentina.indd 2 7/5/09 15:48:14 73 IFPI Recording Industry In Numbers 2009 – Argentina 3 46 8 Latin America Argentina Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 40.5 Distribuidora Belgrano Norte Median Age (years) : 30 EPSA Music Currency : Argentina Peso (ARS) Leader Music US$ Exchange Rate : 3.17 Music Brokers Physical sales Digital sales Performance rights Total market Chart Compiler : CAPIF Pop Art Digital Indicators (Millions) Chart Links : www.capif.org.ar Internet users Broadband lines Mobile subs Portable player users Performance rights music licensing company : CAPIF Link : www.capif.org.ar Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 63.2 200.4 -0.1% 2007 63.3 200.6 9.3% 2006 57.9 183.6 23.1% 2005 47.0 149.1 28.2% 2004 36.7 116.3 24.3% 20.0 3.0 38.7 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 10 Musica 2008 54.7 2.7 5.9 2 Eden 2007 56.4 2.1 4.7 3 M24 2006 53.1 1.1 3.7 4 Musimundo 2005 47.0 – – 5 Personal Musica 2004 36.7 – – 6 Ubbimusica 7 Yenny/El Ateneo 8 Zapmusic Note: Digital sales and performance rights included from 2006. Year 27 37 24 29 Digital Sales By Sector Online Mobile Subscriptions Other Top Retailers Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 6% 81% – 13% Year CD 2007 1% 99% – – 2008 12.6 1.4 0.1 – – 2006 9% 91% – – 2007 15.0 1.3 0.1 – – 2005 – – – – 2006 14.4 1.0 0.3 – – 2004 – – – – 2005 13.8 0.6 0.6 – – 2004 11.4 0.3 0.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 2% Top Selling Albums 2008 1 Artist Title Company Various Life Is A Fiesta - Patito Feo EMI 2 Luis Miguel Complices Warner 3 Teenangels Teenangels Li Sony Music EMI 4 Coldplay Viva La Vida 5 Ricardo Arjona Fifth Floor Warner 6 Serrat & Sabina Two Birds With One Stone Sony Music 7 AC/DC Black Ice (Deluxe) Sony Music 8 Madonna Hard Candy Warner 9 Jonas Brothers Jonas Brothers Universal 10 Various Camp Rock Universal 8% 4% 9% 11% 87% 15% 64% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mastertones n Mobile single track n Ringback tones n Ad-supported n Other 73 RIN 09 New Zealand - Argentina.indd 3 7/5/09 15:48:18 74 IFPI Recording Industry In Numbers 2009 – Brazil 2 05 7 Latin America Brazil Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 196.0 Atração Fonográfica Median Age (years) : 28 Biscoito Fino Currency : Real (BRL) CID Entertainment US$ Exchange Rate : 1.84 Deck Disk Physical sales Digital sales Performance rights Total market Chart Compiler : ABPD Indie Records Chart Links : www.abpd.org.br MD Music Performance Rights Music Licensing Company : ABRAMUS MK Music 12 10 14 11 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Som Livre Link : www.abramus.org.br 67.5 9.4 147.0 – Music sales in Brazil grew by 8.1% in 2008, following a sharp drop in revenues in 2007 and 2006. Physical sales grew by 1.2% while digital revenues were up 78.9%. The performance rights sector also experienced an increase of 12.8% compared to 2007. Focus group research carried out in 2008 among 16-29 year olds, middle/upper class background, in the three major cities of the country found that young Brazilians are digitally connected and tech savvy. All young consumers that took part in the study owned an iPod or an MP3 player, many using their mobile phone as their music player. PC and internet usage was also widespread, with around 70% using MSN, Orkut and email on a daily basis, 30% accessing sites to download music daily and 20% visiting YouTube every day. Demand for music remains high among young Brazilians, but most of this demand is met by P2P file-sharing. 80% of students claimed to have downloaded music from illegal file-sharing sites, although 53% still buy legitimate CDs. Only 20% of young consumers said they buy pirated CDs. Brazil’s physical piracy rate has gone down to about 48% from a high of 55% during the past two years. This decrease can be attributed to the work of the CNCP (the government’s anti-piracy council) and the successful merger of the music and film anti-piracy arms. Nevertheless, some of the decrease in physical piracy can be accounted for by a shift to internet piracy. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 221.8 408.2 8.1% 2007 205.2 377.5 -25.1% 2006 274.0 504.2 -21.8% 2005 350.5 645.0 -12.3% 2004 399.8 735.7 17.5% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Lojas Americanas 2008 179.0 29.7 13.1 2 FNAC 2007 176.9 16.6 11.6 3 Saraiva 2006 257.1 6.0 10.9 4 Carrefour/Extra 2005 348.3 2.2 – 5 Livraria Cultura 2004 399.8 – – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2005. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 8% 79% 9% 4% Year CD 2007 12% 79% 9% – 2008 25.4 5.8 – – – 2006 2% 96% 2% – 2007 26.6 5.7 – – – 2005 13% 87% – – 2006 33.0 6.0 – – – 2004 – – – – 2005 42.3 6.5 4.5 – – 2004 51.5 7.6 6.9 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 6% Top Selling Albums 2008 Artist Title Company 1 Padre Fábio de Melo Vida Som Livre 2 Padre Marcelo Rossi Paz Sim, Violência Não (Volume 1) Sony Music 3 Victor & Leo Borboletas Sony Music 4 Victor & Leo Ao Vivo Em Uberlândia Sony Music 5 Ivete Sangalo Multishow Ao Vivo No Maracanã Universal Music 6 Padre Marcelo Rossi Paz Sim, Violência Não (Volume 2) Sony Music 7 Zezé Di Camargo & Luciano Sony Music Universal Music 8 Roberto Carlos 9 Ana Carolina Zezé Di Camargo & Luciano (2008) Roberto Carlos E Caetano Veloso E A Música De Tom Jobim Multishow Ao Vivo “Dois Quartos” 10 Leonardo Coração Bandido Source: ABPD Sony Music/ Universal Music Sony Music 13% 13% 7% 9% 81% 55% 16% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mobile single track n Mastertones n Subscriptions n Online streams n Other 74 RIN 09 Brazil - Chile.indd 2 7/5/09 15:07:12 75 IFPI Recording Industry In Numbers 2009 – Chile 3 46 8 Latin America Chile Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 16.5 Alerce Median Age (years) : 31 ChileFilms Currency : Chilean Peso (CLP) La Oreja US$ Exchange Rate : 523.92 Mazapan Physical sales Digital sales Performance rights Total market Performance rights music licensing company : IFPI Chile Producciones Star Sound Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.ifpichile.cl Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 18.5 9,690.8 -25.3% 2007 24.8 12,980.8 -0.6% 2006 24.9 13,055.7 -3.4% 2005 25.8 13,514.0 -4.5% 2004 27.0 14,153.5 -16.9% 42 34 35 41 8.4 1.3 15.5 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 12.7 4.1 1.7 2007 20.5 2.8 1.5 2006 22.3 1.0 1.6 2005 25.8 – – 2004 27.0 – – Note: Performance rights and digital revenues included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 1% 94% – 5% Year CD 2007 – 100% – – 2008 2.5 0.3 0.1 – – 2006 – 100% – – 2007 3.5 0.8 – – – 2005 – – – – 2006 3.9 0.4 – – – 2004 – – – – 2005 4.1 0.9 0.4 – – 2004 4.0 0.5 0.4 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 9% 32% 22% 31% 69% 5% 7% 25% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mobile single track n Mastertones n Ringback tones n Ad-supported n Other 75 RIN 09 Brazil - Chile.indd 3 7/5/09 15:07:17 76 IFPI Recording Industry In Numbers 2009 – Colombia 2 05 7 Latin America Colombia Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 45 Codiscos Median Age (years) : 27 Discos y Cintas FM Currency : Colombian Peso (COP) Discos Fuentes US$ Exchange Rate : 1990.64 Origin Physical sales Digital sales Performance rights Total market Performance rights music licensing company : ACINPRO Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.acinpro.org.co Year 37 27 34 37 Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 29.5 58,699.3 5.0% 2007 28.1 55,894.4 -16.1% 2006 33.5 66,587.6 6.3% 2005 31.5 62,636.3 5.7% 2004 29.8 59,284.8 -7.6% 13.7 1.2 40.4 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Tower Records 2008 21.0 6.3 2.1 2 Prodiscos 2007 22.0 4.1 2.0 3 La Música 2006 30.1 1.5 1.8 4 Tango Discos 2005 31.5 – – 5 Forum Discos y Libros 2004 29.8 – – Top Retailers Note: Performance rights and digital revenues included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 7% 86% – 7% Year CD 2007 – 100% – – 2008 4.0 0.4 – – – 2006 14% 86% – – 2007 3.7 0.4 – – – 2005 – – – – 2006 5.4 0.7 – – – 2004 – – – – 2005 6.7 0.3 0.2 – – 2004 5.6 0.3 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Top Selling Albums 2008 7% Artist Title Company 1 Silvestre Dangond El Original Sony Music 2 Fonseca Gratitud EMI Colombia 3 Vicente Fernández Para Siempre Sony Music 4 Juanes La Vida Es Un Ratico Universal 5 Peter Manjarres Solo Clasicos Codiscos 6 Various Pombo Musical EMI Colombia 7 Orquesta Filarmónica De Bogotá Orquesta Filarmónica De Bogotá / 40 Años Vibra Music 8 Various Patito Feo / La Historia Más Linda EMI Colombia 9 Camilo Regalame Tu Corazón FM Discos Y Cintas 10 Various Rockola Boleros / V. 19 Comusica 24% 21% 72% 29% 7% 7% 11% 22% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mastertones n Ringback tones n Mobile single track n Online streams n Ad-supported n Other 76 RIN 09 Colombia - Ecuador.indd 2 7/5/09 15:27:03 77 IFPI Recording Industry In Numbers 2009 – Ecuador 3 46 8 Latin America Ecuador Country Data World Ranking Population (millions) : 13.9 Physical sales Digital sales Performance rights Total market Median Age (years) : 24 Currency : US Dollar (USD) US$ Exchange Rate : 25,587.00 Performance rights music licensing company : ACINPRO Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.acinpro.org.co Year 49 51 49 51 Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 1.6 41,554.8 -18.8% 2007 2.0 51,163.8 -16.2% 2006 2.4 61,042.9 -22.6% 2005 3.1 78,828.4 1.1% 2004 3.0 77,968.7 -32.9% 1.8 0.3 11.5 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 1.6 – 0.1 2007 2.0 – – 2006 2.4 – – 2005 3.1 – – 2004 3.0 – – Note: Performance rights revenues included from 2008. Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 0.2 – – – – 2007 0.3 – – – – 2006 0.4 – – – – 2005 0.5 – – – – 2004 0.5 – – – – 4% 96% Recorded Music Sales By Sector n Physical n Performance rights 77 RIN 09 Colombia - Ecuador.indd 3 7/5/09 15:27:06 78 IFPI Recording Industry In Numbers 2009 – Mexico 2 05 7 Latin America Mexico Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 110 Compañía Fonográfica Internacional Median Age (years) : 26 Discos Ciudad Currency : Mexican Peso (MXN) Discos Denver US$ Exchange Rate : 11.17 Discos Musart/Balboa Records Physical sales Digital sales Performance rights Total market Chart Compiler : IPSOS Mexican Records Chart Links : www.amprofon.com.mx Multimusic Performance rights music licensing company : SOMEXFON Producciones Fonográficas Jasper Link : www.somexfon.com Music sales in Mexico were hard hit in 2008 falling by 22.0%. While physical sales continued to decline, the digital market remained relatively flat in 2008. The continuing pressure from illegal downloading and physical piracy as well as the effects of the global economic downturn were the main causes for the Mexican market decline. Illegal downloading is a growing problem in Latin America, fuelled by the rise in broadband access. Some 14 million Luis Miguel people downloaded songs illegally in Mexico during 2008, nearly double the number recorded in 2007 (Ipsos Media). Meanwhile the legal online market struggles to take off despite Beon and Tarabú, the two main online music stores in Mexico, seeing some positive developments in 2008. The most downloaded songs in 2008 were Vicente Fernández’s Para Siempre and Alejandro Fernández’s Me Dediqué a Perderte. The mobile sector continued to account for 15 18 41 16 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 23.9 7.1 77.4 7.5 the bulk of digital revenues in Mexico. Music acquisition via pre-loaded mobile phones or purchase of current hit mastertones remained popular. The most successful examples of pre-loaded albums in 2008 involved Julieta Vengas’ MTV Unplugged and Grupo RBD’s Empezar Desde Cero. Among the most successful mastertones of 2008 were Nigga’s Te Quiero and Juanes’ Me Enamora. Ad-supported revenues continued to grow in 2008. Vicente Fernández 78 RIN 09 Mexico.indd 2 7/5/09 15:46:31 79 IFPI Recording Industry In Numbers 2009 – Mexico 3 46 8 Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 145.9 1,629.5 -22.0% 2007 187.1 2,090.1 -18.8% 2006 230.4 2,573.6 -10.1% 2005 256.3 2,862.8 10.2% 2004 232.7 2,598.7 9.3% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 Mixup 2008 129.7 15.7 0.5 2 Saharis 2007 171.0 15.5 0.6 3 Mr. CD’s 2006 222.0 8.3 0.1 4 Central de Discos 2005 255.8 0.5 – 5 Unicornio Musical 2004 232.6 – – Top Retailers Note: Performance rights revenues included from 2006. Digital sales included from 2005. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 15% 72% – 13% Year CD 2007 4% 96% – – 2008 22.4 1.4 0.1 11.0 0.8 2006 1% 99% – – 2007 30.5 1.8 0.1 – – 2005 8% 92% – – 2006 38.6 1.4 0.2 – – 2004 100% – – – 2005 46.3 1.4 0.9 – – 2004 53.2 1.6 1.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Amprofon). Top Selling Albums 2008 1 Artist Title Company Vicente Fernández Para Siempre Sony Music 2 Luís Miguel Cómplices Warner Music 3 Alejandro Fernández De Noche: Clásicos a mi Manera Sony Music 4 Alejandro Fernández 15 Años de Éxito Sony Music 5 Emmanuel Retro en Vivo Universal Music 6 Madonna Hard Candy Warner Music 7 Julieta Venegas MTV Unplugged Sony Music 8 Nigga Te Quiero TEMI 9 Maná Arde el Cielo Warner Music 10 Jonas Brothers Jonas Brothers Universal Music Source: IPSOS 11% 33% 89% 5% 25% 15% 6% 7% 9% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Mobile single track n Mastertones n Ad-supported n Online streams n Online single track n Mobile music videos n Other Sales By Age 12-17 11% 18-25 24% 26-35 25% 36-45 16% 46-55 17% +55 7% Source: IPSOS 79 RIN 09 Mexico.indd 3 7/5/09 15:46:36 80 IFPI Recording Industry In Numbers 2009 – Peru 2 05 7 Latin America Peru Country Data World Ranking Population (millions) : 29.2 Physical sales Digital sales Performance rights Total market Median Age (years) : 26 Currency : Nuevo Sol (PEN) US$ Exchange Rate : 2.96 48 – 42 50 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 2.0 6.0 2007 2.1 6.3 -5.5% -9.4% 2006 2.4 7.0 -10.0% 2005 2.6 7.8 -6.9% 2004 2.8 8.4 29.0% 7.6 0.6 17.9 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 1.6 – 0.4 2007 1.9 – 0.2 2006 2.2 – 0.2 2005 2.6 – – 2004 2.8 – – Note: Performance rights revenues included from 2006. Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums Year CD 2008 0.2 – – – – 2007 0.1 – – – – 2006 0.3 – – – – 2005 0.4 – – – – 2004 0.4 – – – – 19% 81% Recorded Music Sales By Sector n Physical n Performance rights 80 RIN 09 Peru - Uruguay.indd 2 7/5/09 15:52:55 81 IFPI Recording Industry In Numbers 2009 – Uruguay 3 46 8 Latin America Uruguay Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 3.5 Contrapedal Median Age (years) : 33 Koala Records Currency : Uruguayan Peso (UYU) Nirmalam US$ Exchange Rate : 21.26 Perro Andaluz Physical sales Digital sales Performance rights Total market 47 – 40 49 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users 1.1 0.2 3.2 1.4 Note: Portable player users refers to imported equipment in 2008. Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 3.6 76.7 -0.3% 2007 3.6 76.9 10.1% 2006 3.3 69.8 35.5% 2005 2.4 51.5 -1.8% 2004 2.5 52.5 75.0% Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 1 3D 2008 3.0 – 0.6 2 AG Discos 2007 3.1 – 0.5 3 CD Wherhouse 2006 2.9 – 0.3 4 Palacio de la Música 2005 2.4 – – 5 Semifusa 2004 2.5 – – 6 Todo Música Top Retailers Note: Performance rights revenues included from 2006. Year Digital Sales By Sector Online Mobile Subscriptions Other Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 15% 72% – 13% Year CD 2007 4% 96% – – 2008 0.5 – – – – 2006 1% 99% – – 2007 0.5 0.1 – – – 2005 8% 92% – – 2006 0.5 – – – – 2004 100% – – – 2005 0.4 – – – – 2004 0.4 – – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD. Top Selling Albums 2008 Artist Title Company 1 Various Murgas 2008 Montevideo MG 2 No Te Va Gustar El Camino Mas Largo Bizarro 3 La Trampa El Misero Espiral Del Encanto Bizarro 4 Patito Feo La Vida Es Una Fiesta EMI 5 Sabina & Serrat Dos Pajaros De Un Tiro Sony Music 6 Teen Angels Teenangels 2 Sony Music 7 Ricardo Arjona 5to Piso Sello 8 Agarrate Catalina El Viaje Montevideo MG 9 Tabare Cardozo El Murguero Oriental Montevideo MG 10 Coldplay Viva La Vida EMI 17% 83% Recorded Music Sales By Sector n Physical n Performance rights 81 RIN 09 Peru - Uruguay.indd 3 7/5/09 15:52:58 82 IFPI Recording Industry In Numbers 2009 – Venezuela 2 05 7 Latin America Venezuela Country Data World Ranking Population (millions) : 26.4 Physical sales Digital sales Performance rights Total market Median Age (years) : 25 Currency : Bolivar Fuerte (VEF) US$ Exchange Rate : 2.15 39 43 39 40 Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Year Recorded Music Sales (Trade Value) US$ (M) Local Currency (M) Change 2008 20.3 43.5 19.2% 2007 17.0 36.5 28.3% 2006 13.3 28.5 24.9% 2005 10.6 22.8 12.4% 2004 9.4 20.3 221.1% 6.7 0.9 26.7 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 18.2 1.0 1.1 2007 15.6 0.8 0.7 2006 12.8 – 0.4 2005 10.6 – – 2004 9.4 – – Note: Performance rights revenues included from 2006. Digital sales included from 2007. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 – 88% – 12% Year CD 2007 – – – – 2008 1.0 – 0.1 – – 2006 – – – – 2007 1.4 0.1 – – – 2005 – – – – 2006 1.7 0.1 – – – 2004 – – – – 2005 2.0 – – – – 2004 2.6 0.1 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video refers to DVD. Other physical includes singles, vinyl, cassette and other. % 5% 5 8% 11% 12% 90% 46% 23% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Mastertones n Ringback tones n Ad-supported n Mobile single track n Other 82 RIN 09 Venezuela - South Africa.indd 2 7/5/09 16:07:46 83 IFPI Recording Industry In Numbers 2009 – South Africa 3 46 8 Africa South Africa Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 48.8 Bula Music Median Age (years) : 24 Cool Spot Currency : Rand (ZAR) Sarepta US$ Exchange Rate : 8.28 Select Physical sales Digital sales Performance rights Total market Performance rights music licensing company : RISA Sheer Sound/Music/Iris Digital Indicators (Millions) Internet users Broadband lines Mobile subs Portable player users Link : www.risa.org.za Year Recorded Music Sales (trade value) US$ (M) Local Currency (M) Change 2008 119.7 990.9 -7.2% 2007 128.9 1,067.5 2.3% 2006 126.0 1,043.1 3.3% 2005 122.0 1,010.2 10.3% 2004 110.6 915.5 20.8% 18 35 36 22 4.6 0.4 45.0 – Recorded Music Sales By Sector (US$ Million, Trade Value) Perf. Rights Year Physical Digital 2008 114.6 3.4 1.7 2007 126.2 2.8 – 2006 124.0 2.0 – 2005 121.5 0.5 – 2004 110.6 – – Note: Performance rights revenues included from 2008. Digital sales included from 2005. Digital Sales By Sector Online Mobile Subscriptions Other Year Recorded Music Sales Volume (Million Units) Physical Digital Music Video Other Physical Single Tracks Digital Albums 2008 2% 83% 2% 13% Year CD 2007 3% 97% – – 2008 18.7 2.3 2.1 – – 2006 1% 99% – – 2007 19.5 – 5.0 – – 2005 2% 97% 1% – 2006 18.7 2.2 3.4 – – 2004 – – – – 2005 17.6 1.7 4.0 – – 2004 14.8 0.9 5.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 3% 1 % 20% 37% 96% 19% 24% Recorded Music Sales By Sector Digital Sales By Format (Value) n Physical n Digital n Performance rights n Ringback tones n Mobile single track n Mastertones n Other 83 RIN 09 Venezuela - South Africa.indd 3 7/5/09 16:07:50 84 Appendix Index 85 : World Rankings 2008 86 : Recorded Music Volume Trend 87 : Recorded Music Retail Sales 2008 88 : Digital Share By Market 2004 – 2008 89 : Physical Market Repertoire Origin 2008 90 : Certification Award Levels 92 : Local Music Industry Association Contacts 94 : Taxes On Sound Recordings & Exchange Rates 84 IFPI Recording Industry In Numbers 2009 85 IFPI Recording Industry In Numbers 2009 World Rankings 2008 % Of Global Trade Revenues Country Recorded Music Market Country 1 US 27.0% 1 US 2 Japan 22.3% 2 Japan 3 UK 10.0% 3 UK 4 Germany 8.8% 4 France 5 France 5.7% 5 Germany 6 Canada 2.5% 6 South Korea 7 Australia 2.1% 7 Canada 8 Italy 1.8% 8 Australia 9 Spain 1.6% 9 China 10 Netherlands 1.5% 10 Brazil 11 Brazil 1.2% 11 Spain 12 Russia 1.2% 12 India 13 Switzerland 1.0% 13 Indonesia 14 Belgium 1.0% 14 Italy 15 Austria 0.8% 15 Thailand 16 Mexico 0.8% 16 Belgium 17 Sweden 0.8% 17 Denmark 18 South Korea 0.8% 18 Mexico 19 India 0.8% 19 Netherlands 20 Denmark 0.7% 20 Switzerland 21 Norway 0.7% 21 Sweden 22 South Africa 0.6% 22 Norway 23 Poland 0.6% 23 Austria 24 Finland 0.5% 24 Taiwan 25 China 0.4% 25 Russia 26 Turkey 0.4% 26 Hong Kong 27 Portugal 0.4% 27 Colombia 28 Thailand 0.4% 28 Malaysia 29 Argentina 0.3% 29 Greece 30 New Zealand 0.3% 30 New Zealand 31 Taiwan 0.3% 31 Finland 32 Greece 0.3% 32 Poland 33 Hong Kong 0.3% 33 Portugal 34 Indonesia 0.3% 34 Chile 35 Czech Republic 0.2% 35 South Africa 36 Hungary 0.2% 36 Central America 37 Colombia 0.2% 37 Argentina 38 Malaysia 0.1% 38 Philippines 39 Singapore 0.1% 39 Romania 40 Venezuela 0.1% 40 Czech Republic 41 Chile 0.1% 41 Singapore 42 Philippines 0.1% 42 Hungary 43 Croatia 0.1% 43 Venezuela 44 Central America 0.1% 44 Turkey 45 Slovakia 0.1% 45 Barbados 46 Israel <0.1% 46 Bulgaria 47 Bulgaria <0.1% 47 Croatia 48 Romania <0.1% 48 Lithuania 49 Uruguay <0.1% 49 Slovakia 50 Peru <0.1% 50 Ukraine 51 Ecuador <0.1% 51 Ecuador 52 Lithuania <0.1% 52 Paraguay 53 54 55 Ukraine <0.1% <0.1% <0.1% 53 54 55 Peru Source: IFPI Paraguay Barbados Uruguay Israel Digital Market 47.1% 21.7% 6.7% 4.2% 3.3% 2.2% 2.0% 1.4% 1.3% 0.8% 0.8% 0.8% 0.8% 0.8% 0.7% 0.5% 0.5% 0.4% 0.4% 0.4% 0.3% 0.3% 0.3% 0.2% 0.2% 0.2% 0.2% 0.2% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% 0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% Country 1 UK 2 Germany 3 France 4 Japan 5 US 6 Netherlands 7 Spain 8 Italy 9 Belgium 10 India 11 Canada 12 Denmark 13 Austria 14 Brazil 15 Australia 16 Sweden 17 Finland 18 Norway 19 Israel 20 Hungary 21 Turkey 22 Switzerland 23 Hong Kong 24 Argentina 25 Czech Republic 26 Greece 27 Poland 28 Malaysia 29 Russia 30 Romania 31 Slovakia 32 Portugal 33 New Zealand 34 Colombia 35 Chile 36 South Africa 37 Singapore 38 Taiwan 39 Venezuela 40 Uruguay 41 Mexico 42 Peru Performance Rights 16.8% 11.0% 10.7% 9.1% 6.8% 6.1% 4.5% 3.6% 3.2% 2.7% 2.5% 1.8% 1.7% 1.6% 1.6% 1.6% 1.3% 1.3% 0.8% 0.8% 0.8% 0.8% 0.8% 0.7% 0.7% 0.7% 0.6% 0.5% 0.5% 0.5% 0.4% 0.3% 0.3% 0.3% 0.2% 0.2% 0.2% 0.2% 0.1% 0.1% 0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% <0.1% 43 Lithuania 44 Ukraine 45 Thailand 46 Paraguay 47 Central America 48 Barbados 49 Ecuador 50 Bulgaria 51 Croatia <0.1% 52 China <0.1% <0.1% <0.1% <0.1% 53 54 55 Indonesia <0.1% <0.1% <0.1% Philippines South Korea 85 86 IFPI Recording Industry In Numbers 2009 Recorded Music Volume Trend Figures In Millions Full-Length Formats CDs Music Video Other Digital Albums MCs 2008 9 53 1,329 90 5 113 Total Units 1,599 2008 1,494 2007 6 82 1,545 110 4 64 1,810 2007 1,202 2006 3 114 1,760 120 3 39 2,038 2006 931 2005 4 186 1,938 149 10 18 2,304 2005 582 2004 7 368 2,065 151 13 6 2,609 2004 354 2003 6 492 2,043 154 5 – 2,700 2003 233 2002 8 534 2,190 110 1 – 2,843 2002 265 2001 10 659 2,310 80 1 – 3,060 2001 318 2000 12 736 2,454 12 1 – 3,215 2000 370 1999 14 847 2,411 16 1 – 3,289 1999 440 1998 23 897 2,374 – – – 3,294 1998 459 1997 17 1,034 2,232 – – – 3,283 1997 516 1996 21 1,188 2,162 – – – 3,372 1996 466 1995 33 1,200 1,983 – – – 3,216 1995 432 1994 49 1,354 1,784 – – – 3,188 1994 390 1993 109 1,382 1,419 – – – 2,909 1993 410 1992 175 1,476 1,185 – – – 2,836 1992 352 1991 292 1,493 998 – – – 2,782 1991 334 1990 339 1,447 777 – – – 2,564 1990 344 1989 450 1,540 600 – – – 2,590 1989 357 1988 510 1,390 400 – – – 2,300 1988 370 1987 590 1,150 260 – – – 2,000 1987 390 1986 690 970 140 – – – 1,800 1986 490 1985 730 950 61 – – – 1,741 1985 650 1984 800 800 20 – – – 1,620 1984 750 1983 850 660 6 – – – 1,516 1983 800 1982 900 570 – – – – 1,470 1982 680 1981 1,140 510 – – – – 1,650 1981 550 1980 878 474 – – – – 1,352 1980 526 1979 896 470 – – – – 1,365 1979 624 1978 942 428 – – – – 1,370 1978 600 1977 898 374 – – – – 1,272 1977 545 1976 743 289 – – – – 1,032 1976 516 1975 674 236 – – – – 910 1975 483 1974 655 209 – – – – 864 1974 515 1973 617 185 – – – – 802 1973 530 Source: IFPI Notes: Other includes SACD and DVD-A and other. Digital album volumes are estimates based on information from Media Control GfK, OCC and Nielsen SoundScan for selected markets. Singles include physical singles and online single tracks. Mobile singles not included. Online single tracks included from 2004. Figures are estimates based on information from Media Control GfK, OCC and Nielsen SoundScan for selected markets. 86 Singles LPs 87 IFPI Recording Industry In Numbers 2009 Recorded Music Retail Sales 2008 US$ Millions Physical Canada USA Digital Total 475.9 125.0 600.9 5,758.5 2,839.3 8,597.8 Austria 255.3 17.6 272.9 Belgium 236.2 32.7 268.9 Bulgaria 8.5 - 8.5 Croatia 20.3 - 20.3 Czech Republic Denmark 55.9 3.5 59.4 146.8 32.5 179.3 Finland 130.0 6.8 136.8 France 1,271.9 287.7 1,559.6 Germany 2,172.0 183.4 2,355.4 Greece 129.4 10.5 139.9 Hungary 39.2 2.0 41.2 416.3 46.5 462.8 Italy Netherlands 351.4 22.1 373.5 Norway 195.9 16.8 212.7 Poland 159.5 7.8 167.3 86.7 8.1 94.8 395.2 15.0 410.2 Portugal Russia Slovakia Spain 8.5 - 8.5 356.1 53.8 409.9 Sweden 197.8 17.9 215.7 Switzerland 223.6 20.0 243.6 Turkey 103.2 1.1 104.3 2,045.8 384.5 2,430.3 China 47.3 135.7 183.0 Hong Kong 50.9 17.9 68.8 125.3 79.0 204.3 UK India Indonesia 32.4 79.6 112.0 4,560.5 1,040.2 5,600.7 Malaysia 19.5 17.0 36.5 Philippines 17.0 5.5 22.5 Japan Singapore 25.3 3.6 28.9 South Korea 81.4 213.4 294.8 Taiwan 54.6 20.4 75.0 Thailand 61.2 65.3 126.5 Australia 496.9 81.5 578.4 81.2 8.8 90.0 Argentina 115.1 5.2 120.3 Brazil 328.3 New Zealand 268.7 59.6 Central America 14.5 6.3 20.8 Chile 20.4 8.4 28.8 Colombia 45.2 12.6 57.8 Ecuador 2.5 - 2.5 202.2 29.3 231.5 Mexico Peru 2.4 - 2.4 Uruguay 7.6 - 7.6 Venezuela South Africa Global 27.8 2.1 29.9 170.7 6.7 177.4 21,770.5 6,054.0 27,824.6 Source: IFPI estimates. Notes: For formats included please refer to the notes section. USA physical retail revenues are suggested list prices. 87 88 IFPI Recording Industry In Numbers 2009 Digital Share By Market 2004 – 2008 2004 2005 Canada 0.3% 2.7% US 2.9% 9.1% Austria 0.9% 3.1% Belgium 0.5% 1.9% New Zealand - - South Africa - 0.4% 2006 5.8% 16.8% 5.5% 6.0% 3.7% 6.0% 2.4% 6.3% 4.9% 6.1% 1.6% 6.2% 3.6% 3.7% 0.5% 4.2% 0.4% 5.2% 5.8% 3.3% 0.1% 6.0% 36.2% 7.5% 8.7% 31.3% 11.0% 17.5% 3.9% 3.7% 55.9% 6.6% 20.2% 2.0% 2.3% 1.1% 4.4% 4.8% 0.1% 3.6% 0.1% 5.3% 4.4% 1.6% 1.9% - 5.5% 2.4% 10.7% 5.2% 15.2% 7.1% 20.5% 10.3% Asia - 6.3% 13.3% 17.9% 22.3% Latin America - 0.4% 2.9% 7.8% 12.1% Asia excl. Japan - - 25.4% 29.0% 36.6% North America - 8.6% 16.0% 24.0% 34.2% Top 20 2.0% 2.0% 5.7% 10.9% 15.6% Others 0.4% 0.4% 1.9% 8.3% 10.1% Czech Republic - - Denmark - 1.4% Finland - - France 1.3% 2.2% Germany 1.0% 2.7% Greece - - Hungary - - Italy 0.8% 3.7% Netherlands 0.4% 2.0% Norway - 1.3% Poland - - Portugal - - Romania - - Russia - - Spain 0.5% 1.1% Sweden 0.1% 2.1% Switzerland - 1.5% Turkey - - 0.8% 3.2% China - - Hong Kong - - India - - Indonesia - - 3.2% 7.5% Malaysia - - Philippines - - Singapore - - South Korea - - Taiwan - - Thailand - - Argentina - - Brazil - 0.6% Central America - - Chile - - Colombia - - Ecuador - - Mexico - 0.2% UK Japan Venezuela Australia Global Europe Source: IFPI Basis: Trade values 88 - - 0.2% 1.8% 2007 10.7% 2008 16.9% 25.0% 35.8% 2.1% 2.8% 5.9% 6.9% 6.6% 10.3% 5.4% 5.0% 9.7% 15.6% 3.8% 4.6% 8.7% 15.3% 6.6% 7.6% 7.5% 9.7% 2.8% 3.7% 7.2% 8.9% 4.1% 5.6% 5.8% 8.7% 2.7% 3.9% 4.9% 6.3% 12.1% 38.1% 1.5% 3.4% 8.2% 9.6% 6.6% 7.6% 5.8% 6.9% 0.5% 3.0% 8.4% 13.7% 45.7% 61.5% 10.4% 12.9% 16.5% 20.6% 41.1% 54.3% 16.1% 20.0% 17.6% 24.6% 6.5% 14.7% 3.6% 6.0% 60.8% 59.9% 11.5% 13.8% 23.5% 36.6% 3.4% 4.2% 8.1% 13.4% 8.0% 25.5% 11.2% 22.1% 14.5% 21.4% 0.0% 0.0% 8.3% 10.8% 4.5% 5.1% 8.0% 13.1% 6.7% 8.8% 89 IFPI Recording Industry In Numbers 2009 Physical Market Repertoire Origin 2008 By Value Domestic International Argentina 37% 58% Australia 22% 54% Austria 6% 56% Belgium 10% 62% Brazil 65% 32% Canada 20% 67% Central America 4% 88% Chile 12% 84% China 19% 61% Colombia 32% 49% Croatia 54% 34% Czech Republic 63% 28% Denmark 46% 43% Ecuador 1% 89% Finland 48% 37% France 57% 34% Germany 52% 31% Greece 69% 28% Hong Kong 31% 47% Hungary 40% 49% India 74% 5% Indonesia 67% 33% Italy 52% 36% Japan 80% 20% Malaysia 11% 74% Mexico 42% 47% Netherlands 28% 56% New Zealand 10% 90% Norway 35% 45% Peru 11% 78% Philippines 34% 42% Poland 24% 41% Portugal 36% 36% Russia 72% 25% Singapore 1% 72% Slovakia 53% 36% South Africa 43% 57% South Korea 49% 25% Spain 40% 41% Sweden 32% 43% Switzerland 10% 69% Taiwan 38% 42% Thailand 72% 28% Turkey 73% 27% UK 36% 38% Uruguay 35% 63% USA 93% 5% Classical 5% 6% 11% 5% 3% 2% 4% 2% 15% 1% 3% 4% 5% 3% 6% 9% 6% 2% 11% 11% 0% – 4% – 2% 2% 4% – 4% 5% 1% 9% 3% 3% 6% 2% – 18% 5% 2% 5% 12% – – 4% 2% 2% Compilations 0% 18% 27% 22% – 11% 4% 2% 4% 18% 9% 5% 6% 7% 10% – 11% – 11% – 20% – 8% – 13% 9% 12% – 16% 5% 23% 27% 25% – 21% 10% – 9% 14% 23% 17% 8% – – 22% – – Source: IFPI Notes: Digital sales not included. International repertoire can include regional repertoire. Italy: Jazz included in classical. Canada, Chile, Belgium, Hungary, Indonesia, Malaysia, Netherlands, Philippines, South Korea, Switzerland, UK : based on artist nationality. France: Based on language. Japan: Classical share included in domestic/international. UK: Figures based on units. Canada figures based on top 200 albums chart. 89 90 IFPI Recording Industry In Numbers 2009 Certification Award Levels Albums (unit sales required) North America Canada USA Europe Austria Belgium Bulgaria Croatia Czech Republic Denmark Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Netherlands Norway Poland Portugal Russia Slovakia Slovenia Spain Sweden Switzerland Turkey UK Ukraine Asia Silver – – – – – 3,000 – – – 35,000 – – – – – – – – – – – – – – – – – – 60,000 – Diamond Silver International Repertoire Platinum Gold 40,000 500,000 80,000 1,000,000 100,000 10,000,000 – – s s 10,000 10,000 15,000 7,500 6,000 15,000 15,000 75,000 100,000 15,000 7,500 5,000 7,500 35,000 8,000 30,000 15,000 15,000 10,000 50,000 3,000 5,000 40,000 20,000 15,000 100,000 100,000 50,000 20,000 20,000 30,000 15,000 12,000 30,000 30,000 200,000 200,000 30,000 15,000 10,000 15,000 70,000 15,000 60,000 30,000 30,000 20,000 100,000 6,000 10,000 80,000 40,000 30,000 200,000 300,000 100,000 – – – 30,000 – – – 750,000 – – – – – 350,000 – – – 150,000 – 300,000 – – – – – 300,000 – 500,000 – – – s – – – s – – – – s s – – – – – – – – – – – – s – s 15,000 10,000 s 3,000 s 10,000 s s 5,000 3,000 s s s 4,000 s s 10,000 s 10,000 1,000 s s s s – s 25,000 s 30,000 20,000 s 6,000 s 20,000 s s 10,000 6,000 s s s 8,000 s s 20,000 s 20,000 2,000 s s s s – s 50,000 15,000 7,500 7,500 10,000 s 10,000 10,000 6,000 5,000 7,000 6,000 30,000 15,000 15,000 15,000 s 20,000 20,000 12,000 10,000 14,000 12,000 China Hong Kong India Indonesia Japan Malaysia Philippines Singapore South Korea Taiwan Thailand – – – – – – – – – – – 40,000 15,000 100,000 35,000 100,000 10,000 15,000 6,000 – 20,000 50,000 80,000 30,000 200,000 75,000 250,000 20,000 30,000 12,000 – 40,000 100,000 – – – – 1,000,000 – – – – – – – – – – – – – – – – – Australia New Zealand – – 35,000 7,500 70,000 15,000 – – – – Argentina Brazil Chile Colombia Ecuador Mexico Paraguay Peru Uruguay Venezuela – – – – – – – – – – 20,000 50,000 7,500 10,000 3,000 40,000 5,000 3,000 2,000 5,000 40,000 100,000 15,000 20,000 6,000 80,000 10,000 6,000 4,000 10,000 South Africa – 20,000 40,000 – – s Gulf States Egypt Lebanon – – – 10,000 25,000 20,000 20,000 50,000 40,000 – – – – – – s 5,000 5,000 Australasia Latin America Africa Middle East Notes ‘s’ indicates same levels for both domestic and international repertoire. Finland ,Germany, Norway, Sweden, UK & USA: Digital album sales can be included for certification. USA: Levels for Latin repertoire = 50,000 for Gold & 100,000 for Platinum. 90 Domestic Repertoire Platinum Gold Middle East: Domestic repertoire = Arab repertoire China: For regional repertoire levels are 75,000 for Gold & 150,000 for Platinum. 250,000 500,000 – – – 400,000 – – – – – – – – – – – – – – s s s 30,000 s 5,000 s s s s s s Belgium: Domestic repertoire is divided into non-Dutch/French repertoire and French/Dutch repertoire and award levels vary. Different levels for classical and jazz repertoire. Please contact BEA for further information. s s s s s 60,000 s 10,000 s s s s s s s s 10,000 10,000 Diamond s s – – – s – – – s – – – – – s – – – 100,000 – 60,000 – – – – – – – 100,000 – – – – – – – – – – – – – – 250,000 s – – s s – – – – – – – Netherlands: For jazz and classical repertoire the respective levels are 10,000/20,000 for Gold/Platinum. Hungary: Classical/Jazz/World Music/Proze levels are 1500/3000 (regardless of origin). 91 IFPI Recording Industry In Numbers 2009 Music Videos Singles (unit sales required) (unit sales required) North America Gold Platinum Diamond Canada USA 5,000 50,000 10,000 100,000 100,000 – Austria Belgium Czech Republic Denmark Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Netherlands Norway Poland Portugal Russia Slovakia Spain Sweden UK 5,000 25,000 1,500 7,500 5,000 10,000 25,000 5,000 2,000 5,000 2,000 10,000 5,000 40,000 5,000 5,000 4,000 25,000 500 10,000 10,000 25,000 10,000 50,000 3,000 15,000 10,000 20,000 50,000 10,000 4,000 10,000 4,000 20,000 8,000 80,000 10,000 10,000 8,000 50,000 1,000 25,000 20,000 50,000 – – – – – 100,000 – – – – – – – – – – – – – – – – 100,000 250,000 1,000,000 7,500 2,500 15,000 5,000 – – 4,000 25,000 5,000 10,000 1,000 8,000 50,000 10,000 20,000 2,000 – 100,000 – – – Europe Asia Japan Australasia Australia New Zealand Latin America Argentina Brazil Colombia Mexico Uruguay Notes Brazil: Figures shown are for domestic repertoire. For international repertoire gold, platinum & diamond are 15,000, 30,000 and 125,000 respectively. Silver Gold Platinum Diamond – – 5,000 500,000 10,000 1,000,000 100,000 – – – – – 100,000 – – – – – – – – – – – – 200,000 15,000 10,000 1,000 5,000 200,000 150,000 5,000 1,500 7,500 10,000 3,000 25,000 5,000 10,000 20,000 10,000 15,000 400,000 30,000 20,000 2,000 10,000 300,000 300,000 10,000 3,000 15,000 20,000 6,000 50,000 10,000 20,000 40,000 20,000 30,000 600,000 – – – – 500,000 – – – – – – – – – – – – – Japan Singapore Taiwan Thailand – – – – 100,000 5,000 7,000 50,000 250,000 10,000 14,000 100,000 1,000,000 – – – Australia New Zealand – 35,000 5,000 70,000 10,000 – South Africa – 10,000 25,000 – North America Canada USA Europe Austria Belgium Czech Republic Finland France Germany Greece Hungary Ireland Italy Lithuania Netherlands Norway Portugal Spain Sweden Switzerland UK Asia Australasia Africa Notes Belgium: Figures in table indicate domestic repertoire singles; levels for international repertoire are Gold 15,000 and Platinum 30,000. Thailand: Figures in table indicate domestic repertoire singles; levels for international repertoire are Gold 20,000 and Platinum 40,000. Denmark, Finland, Germany, Italy, Norway, Sweden & UK: Digital single sales can be included for certification. Digital Download Singles Master Ringtones (unit sales required) (unit sales required) Argentina Brazil Canada Denmark Egypt Japan Mexico Spain USA Gold 10,000 50,000 20,000 15,000 20,000 100,000 40,000 20,000 500,000 Platinum Diamond 20,000 – 100,000 500,000 40,000 400,000 30,000 – 40,000 – 250,000 1,000,000* 80,000 400,000 40,000 – 1,000,000 – Notes Brazil: Figures refer to domestic repertoire. For international repertoire the levels are 30,000/60,000/250,000 respectively. * ‘Million’ award. Argentina Brazil Canada Egypt Japan* Mexico USA Gold 10,000 50,000 20,000 20,000 – 40,000 500,000 Platinum Diamond 20,000 – 100,000 500,000 40,000 400,000 40,000 – – 1,000,000 80,000 400,000 1,000,000 – Notes Brazil: Figures refer to domestic repertoire. For international repertoire the levels are 30,000/60,000/250,000 respectively. * Awards start at 500,000 - called ‘double platinum’. 91 92 IFPI Recording Industry In Numbers 2009 Local Music Industry Association Contacts North America Canada Canadian Recording Industry Association (CRIA) 85 Mowat Avenue Toronto ON M6K 3E3 Tel: +1 (416) 967 7272 Fax: +1 (416) 967 9415 [email protected] www.cria.ca USA Recording Industry Association of America (RIAA) 1025 F. Street, NW 10th Floor Washington, D.C. 20004 Tel: +1 202 775 0101 Fax: +1 202 775 7253 www.riaa.com Europe Austria IFPI Austria - Verband der Osterreichischen Musikwirtschaft Schreyvogelgasse 2/5 A-1010 Vienna Tel: +43 (1) 535 6035 Fax: +43 (1) 535 5191 [email protected] www.ifpi.at Belgium Belgian Entertainment Association (BEA) Place de l’Alma 3 Bte 2 1200 Brussels Belgium Tel: +32 2 779 4174 Fax: +32 (2) 779 1669 [email protected] www.belgianentertainment.be Bulgaria Bulgarian Association of Music Producers (BAMP) 8, Mitropolit Kiril Vidinski Str. fl. 3, apt 3 1164 Sofia Tel: +359 2 963 2757 Fax: +359 2 866 0104 [email protected] www.bamp-bg.org Croatia Croatian Phonographic Association (HDU) Brozova 8 A 1000 Zagreb Tel: +385 1 3668 194 Fax: +385 1 3668 072 [email protected] www.hdu.hr 92 Czech Republic IFPI Czech Republic Na Kozacce 7 CZ-120 00 Prague 2 Tel: +420 2 2150 7624 Fax: +420 (221) 507 673 [email protected] www.ifpicr.cz Hungary Magyar Hanglemezkiadók Szövetsége (MAHASZ) Harcos tér 5 Budapest, 1113 Tel: +36 (1) 391 4200 Fax: +36 (1) 200 2679 [email protected] www.mahasz.hu Portugal Associação Fonográfica Portuguesa (AFP) Av. Sidónio Pais, 20 - R/C DT° 1050-215 Lisbon Tel: +351 (213) 156 655 Fax: +351 (213) 156 683 [email protected] www.afp.org.pt Denmark IFPI Denmark c/o: Johan Schlüter Advokatfirma Højbro Plads 10 DK-1200 Kobenhavn K Tel: +45 32 71 20 80 Fax: +45 32 71 21 00 [email protected] www.musik.org / www.ifpi.dk Ireland Irish Recorded Music Association (IRMA) Irma House, 1 Corrig Avenue Dun Laoghaire, Co.Dublin Tel: +353 0 (1) 280 6571 Fax: +353 0 (1) 280 6579 [email protected] www.irma.ie Romania Uniunea Producatorilor de Fonograme din România (UPFR) Blvd Nicolae Titulescu, nr. 88b Sector 1, Bucharest Tel: +40 21 222 20 45 Fax: +40 21. 222.20.43 www.upfr.ro Estonia Eesti Fonogrammitootjate Ühing (EFU) Endla 3- 6101 10122 Tallinn Tel: +372 6307 210 Fax: +372 6307 296 [email protected] www.efy.ee Italy Federazione Industria Musicale Italiana (FIMI) Galleria del Corso 4 20122 Milano Tel: +390 (2) 795 879 Fax: +390 (2) 799 673 [email protected] www.fimi.it Finland IFPI Finland Yrjonkatu 3B 00120 Helsinki Tel: +358 (9) 6803 4050 Fax: +358 (9) 6803 4055 [email protected] www.ifpi.fi Latvia The Latvian Association Of Performers And Producers Riga Mukusales 42 LV-1004 Tel: 00 371 67605023 Fax: 00 371 67500039 [email protected] www.laipa.org France Syndicat National de l’Edition Phonographique (SNEP) 131 boulevard de Sébastopol 75002 Paris Tel: +33 (1) 4413 6666 Fax: +33 (1) 5376 0733 [email protected] www.disqueenfrance.com Germany Bundesverband Musikindustrie e.V. Oranienburger Strasse 67/68 D-10117 Berlin Tel: +49 30 590 0380 Fax: +49 30 590 03838 [email protected] www.musikindustrie.de Greece IFPI Greece 65 Aristotelous Street Halandri 15232 Tel: +30 2 10 685 1739 Fax: +30 2 10 68 01 660 [email protected] www.ifpi.gr Netherlands Nederlandse Vereniging van Producenten en Importeurs van beeld-en geluidsdragers (NVPI) Albertus Perkstraat 36 1217 NT Hilversum Tel: +31 (35) 625 4411 Fax: +31 (35) 625 4410 [email protected] www.nvpi.nl Norway IFPI Norway Sandakervn. 52 0477 Oslo Tel: +47 (22) 221 788 Fax: +47 (22)22 17 68 [email protected] www.ifpi.no Poland Zwiazek Producentow Audio Video (ZPAV) 12/2 Kruczkowskiego Street 00-380 Warsaw Tel: +48 (22) 625 69 66 Fax: +48 (22) 625 16 61 [email protected] www.zpav.pl Slovak Republic IFPI Slovak Republic Jakubovo nám. 14 813 48 Bratislava Tel: +421 (0) 2 5292 3886 Fax: +421 (0) 2 5292 3886 [email protected] www.ifpi.sk Spain Productores de Musica de España (Promusicae) Edificio Iberia Mart II Calle Orense, 34- 8ª 28020 Madrid Tel: +34 (91) 417 04 70 Fax: +34 (91) 556 92 72 [email protected] www.promusicae.es Sweden IFPI Svenska Gruppen (IFPI Sweden) Tegnérgatan 34 Box 1429 111 84 Stockholm Tel: +46 (8) 735 9750 Fax: +46 (8) 273 745 [email protected] www.ifpi.se Switzerland Schweizer Landesgruppe der IFPI (IFPI Switzerland) Toblerstrasse 76A CH 8044 Zurich Tel: +41 (0) 252 5866 Fax: +41 (0) 252 6167 [email protected] www.ifpi.ch Turkey Baglantılı Hak Sahibi Fonogram (Mü-YAP) Kuloglu Mah, Turnacibasi Fok No: 16, Kat; 5 80070 Beyoglu Istanbul Tel: +90 (212) 292 46 13 /14/15/16 Fax: +90 (212) 292 46 17 [email protected] www.mu-yap.org 93 IFPI Recording Industry In Numbers 2009 United Kingdom British Phonographic Industry (BPI) Riverside Building, County Hall Westminster Bridge Road London SE1 7JA Tel: 020 7803 1300 Fax: 020 7803 1310 [email protected] www.bpi.co.uk Philippines Philippine Association of the Record Industry (PARI) Suite 207 Greenhills Mansion 37 Annapolis St., Greenhills San Juan, Metro Manila Tel: +63(2) 725 0770 Fax: +63(2) 725 0786 [email protected] www.pari.com.ph Asia Singapore Recording Industry Association Singapore (RIAS) 4 Leng Kee Road #03-07 SiS Building Singapore 159088 Tel: +65 (6220) 4166 Fax: +65 (6220) 9452 [email protected] www.rias.org.sg China Please contact Asia office Hong Kong IFPI Hong Kong Group Ltd 16/F Guardian House 32 Oi Kwan Road, Wanchai Tel: (+852) 2865 5863 Fax: (+852) 2866 6859 [email protected] www.ifpihk.org India The Indian Music Industry (IMI) Crescent Towers, 7th Floor, B-68, Veera Estate, Off New Link Road, Andheri (W), Mumbai - 400 053 Tel: 91 22 26736301/02/03 Fax: 91 22 26736304 [email protected] www.indianmi.org Indonesia Please contact Asia office Japan Recording Industry Association of Japan (RIAJ) 11F, Kita-Aoyama Yoshikawa Bldg 2-12-16 Kita-Aoyama Minato-ku Tokyo 107-0061 Tel: +81 (3) 6406 0510 Fax: +81 (3) 6406 0520 [email protected] www.riaj.or.jp Malaysia Recording Industry Association of Malaysia (RIM) No. L-8-2, 8th Floor, Block L No.2, Jalan Solaris Solaris Mont’Kiara 50480 Kuala Lumpur Tel: +603 6207 2800 Fax: +603 6207 2900 [email protected] www.rim.org.my South Korea Please contact Asia office Taiwan Recording Industry Foundation in Taiwan 4F, No.85, Sec. 4, Bade Road Sungshan Chiu 105 Taipei Tel: +886 (2) 2718 8818 Fax: +886 (2) 2528 1998 [email protected] www.ifpi.org.tw Thailand Thai Entertainment Content Trade Association (TECA) 23/17-18 Soi Soonvijai, Rama 9 Road Bangkapi Sub-District Huay-Kwang District 10320 Bangkok Tel: +662 203 1002/3 Fax: +662 203 1010 [email protected] www.teca.co.th Australasia Australia Australian Recording Industry Association (ARIA) Level 4, 19 Harris Street, Pyrmont 2009 NSW Tel: +61 2 8569 1144 Fax: +61 2 8569 1181 [email protected] www.aria.com.au New Zealand Recording Industry Association of New Zealand (RIANZ) Private Bag 78 850 Grey Lynn, Auckland Tel: +64 9 360 5085 Fax: +64 9 360 5086 [email protected] www.rianz.org.nz Latin America Argentina Cámara Argentina de Productores de Fonogramas y Videogramas (CAPIF) Lavalle 534, Piso 4 C1047AAL Buenos Aires Tel: +54 11 4326 6464 Fax: +54 11 4326 7830 [email protected] www.capif.org.ar Brazil Associação Brasileira de Produtores de Disco (ABPD) Av. das Américas, 500 Bloco 11 Sala 204 Barra da Tijuca - Rio de Janeiro RJ 22640-100 Tel: +55 21 3511 9908 Fax: +55 - 21 3511 9907 [email protected] www.abpd.org.br Central America Please contact Latin America office Chile IFPI Chile Av Antonio Varas No 2043 Providencia, Santiago Tel: +56 2 379 3890 Fax: +56 2 434 0015 [email protected] www.ifpichile.cl Colombia APDIF Colombia Carrera 14, No. 94 A - 10 - Oficina 402 Edificio Chico 94 A Bogotá D.C. Tel: +57 (1) 622 7363 Fax: +57 (1) 612 0310 [email protected] www.apdifcolombia.com Ecuador Please contact Latin America office Mexico Asociacion Mexicana de Productores de Fonogramas y Videogramas A.C.(Amprofon) Lafontaine 42 Col. Polanco Chapultepec C.P.11560 Mexico D.F. Tel: +52 5 55281 6035/38 Fax: +52 5 55280 9079 [email protected] www.amprofon.com.mx Paraguay Please contact Latin America office Peru Please contact Latin America office Uruguay Please contact Latin America office Venezuela Asociacion de Productores Fonograficos de Venezuela Av. Principal de los Cortijos de Lourdes, Piso 3 Edificio Los Hermanos, Caracas Tel: +58 212 238 0044 Africa & Middle East Israel IFPI Israel 10 Habonim Street Ramat Gan 52462 Tel: +972 (3) 613 0715 /613 0716 Fax: +972 (3) 575 6747 www.ifpi.co.il South Africa The Recording Industry of South Africa (RISA) P O Box 367 Randburg 2194 Tel: +27 11 886 1342 Fax: +27 11 886 4169 [email protected] www.risa.org.za Regional Offices Head Office IFPI London 10 Piccadilly London W1J 0DD UK Tel: +44 (0)20 7878 7900 Fax: +44 (0)20 7878 7950 [email protected] www.ifpi.org European Office IFPI Europe Square de Meeûs 40 1000 Brussels, Belgium Tel: +32 (0)2 511 9208 Fax: +32 (0)2 502 3077 [email protected] Latin America Office IFPI Latin America 10451 NW 117th Avenue Suite 105, Miami Florida 33178 USA Tel: +1 305 567 0861 Fax: +1 305 567 0871 Asia Office IFPI Asia 16/F Guardian House 32 Oi Kwan Road, Wanchai Hong Kong Tel: +852 2 866 6862 Fax: +852 2865 6326 [email protected] 93 94 IFPI Recording Industry In Numbers 2009 Taxes On Sound Recordings & Exchange Rates 2008 country NORTH AMERICA Canada Jamaica USA EUROPE Austria Belgium Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Netherlands Norway Poland Portugal Romania Russia Slovakia Slovenia Spain Sweden Switzerland Turkey UK Ukraine ASIA China Hong Kong India Indonesia Japan Malaysia Pakistan Philippines Singapore South Korea Taiwan Thailand SALES TAX 6% 15% 2% – 9% 20% 21% 20% 22% 15% 22% 25% 18% 22% 19.6% 16% 19% 20% 7% 21% 20% 18% 18% 19% 25% 22% 21% 19% 18% 19% 20% 16% 25% 7.6% 18% 15% 20% 17% – 4% – 12.5% 10% 5% 10% 16% 12% 7% 10% 5% 7% IMPORT TAX Up to 12% 45% – 20% – 3.5% – – – – 3.5% 22% – – Variable – 10% Variable 20% – – – – 22% – 9% 5% – 2% 16% 4% – – – Variable 17% – 17.3% 20% – 30% – 10% – 8% – 30% country LATIN AMERICA Argentina Brazil Chile Colombia Ecuador Mexico Paraguay Peru Uruguay Venezuela AUSTRALASIA Australia New Zealand SALES TAX IMPORT TAX 21% 15% – 18% 18% 16% 10% 15% 10% 18% 23% 14.5% 16% 16% 10% 15% 15.6% – 9% 12% 15% – US$ Exchange Rates Country 3.17 Australia 1.20 Austria 0.68 Belgium 0.68 Brazil 1.84 Canada Chile China Colombia Czech Republic 10% 12.5% – – Middle EAST Bahrain Egypt Israel Kuwait Lebanon Qatar Saudi Arabia UAE – 10% 17% – 10% – – – 10% 70% 2.5% – 5% 4% 5% 4% 5% 4% AFRICA South Africa Zimbabwe 14% 15% – – 6.96 1,990.6 17.10 5.10 Finland 0.68 France 0.68 Germany 0.68 Greece 0.68 Hong Kong Hungary India Indonesia Ireland Italy Japan Mexico 7.79 172.70 43.82 9,684.9 0.68 0.68 103.47 3.34 11.17 Netherlands 0.68 New Zealand 1.43 Norway Philippines 5.65 44.57 Poland 2.41 Portugal 0.68 Romania Russia Singapore 2.53 24.87 1.42 South Africa 8.28 South Korea 1,102.8 Spain 0.68 Sweden 6.59 Switzerland 1.08 Taiwan 31.56 Thailand 33.27 Turkey 1.31 UK 0.55 USA 1.00 Venezuela 2.15 Source: Oanda 94 1.07 523.92 Denmark Malaysia Notes Canada: Federal tax reduced to 6% Jul 06; provincial tax varies USA: Sales tax varies by state Austria: Import tax for non-EU territories Bulgaria: Import tax for non-EU territories Finland: Import tax for non-EU territories Greece: Import tax for non-EU territories Iceland: Sales tax reduced from 24.5% in Nov 06 Ireland: Import tax for non-EU territories Italy: Import tax for non-EU territories Slovenia: Import tax for non-EU territories Spain: Import tax for non-EU territories Switzerland: Import tax for non-EU territories is CHF 27.- per 100 kg India: Import tax for CDs Chile: Import tax not applicable to Mexico, 5% to Mercosur territories Uruguay: Import tax applicable to non-Mercosur territories Egypt: 55% customs duty not included in import tax Israel: 2.5% for MCs and 5% for CDs applicable to non-EU territories and USA Lebanon: No import tax on CDs and DVDs Rate Argentina IFPI Recording Industry In Numbers 2009 95 Notes 95 96 Notes 96 IFPI Recording Industry In Numbers 2009