Germany’s recorded music enterprise generated $2.58bn in 2024, up 7.8% YoY

Recorded music gross sales in Germany rose 7.8% year-on-year to EUR €2.38 billion (USD $2.58 billion) in 2024, with digital music surpassing the two-billion-euro mark for the primary time.

Based on Germany’s Federal Affiliation of the Music Business (BVMI), digital music introduced in €2.001 billion ($2.17 billion on the common trade fee for the yr). That’s up 11.2% YoY and accounts for 84.1% of all music gross sales on the earth’s fourth-largest music market.

Excluding downloads and different digital gross sales, streaming noticed progress of 12.6% YoY, accounting for 78.1% of music income, BVMI stated in a report issued Thursday (February 20).

“The clear double-digit progress in streaming gross sales reveals that increasingly followers need to share in the advantages of such a music consumption and are due to this fact taking out a subscription with one of many suppliers,” stated Dr. Florian Drucke, Chairman and CEO of BVMI.

“On this respect, the development that we’re additionally seeing worldwide is continuous.”

BVMI reported final month, citing knowledge from GfK Leisure, that the whole variety of music streams – together with ad-supported and premium – hit 236 billion in 2024, up 12% from 2023 and greater than double the 108 billion clocked in 2019.

Digital music gross sales in Germany have greater than quadrupled since 2015, whereas bodily codecs have fallen by greater than 64%.

In 2024, bodily recorded music gross sales fell one other 7.4% YoY to €379 million ($410.2 million), regardless of a 9.4% YoY improve in vinyl gross sales. CDs nonetheless outsell vinyl in Germany, and so they noticed gross sales lower by 17.1% YoY.

“With a 40.5% share of the bodily market, vinyl has nonetheless not caught up with the CD,” BVMI famous.

Synch licensing grew 41.4% YoY to €11 million ($11.9 million), whereas neighboring rights, as tracked by German business physique GVL, are estimated to have grown 0.1% to €249 million ($269.5 million). (Remaining numbers for neighboring rights in 2024 aren’t in but.)

All numbers are product sales that embody Germany’s value-added tax (VAT).

Druke careworn that the shift to music streaming has benefited German artists.

“As a current evaluation by market analysis firm Luminate reveals, German artists are benefiting notably from this growth – in 2024, 43% of the highest 1,000 songs streamed in Germany had been by native acts,” he stated.

German acts are much more standard on the high finish of the streaming market. Based on an evaluation carried out by economist Will Web page and Chris Dalla Riva, eight in 10 of the highest 10 artists in Germany in 2023 had been native.

That development is comparatively new, pushed by the shift to streaming. GfK’s evaluation from final month confirmed that, whereas music streams from the Nineties and earlier are dominated in Germany by worldwide acts like Elvis Presley, Queen, and Michael Jackson, streams of music from the 2020s are dominated by German artists like Ayliva, Pashanim, and Luciano.

Together with France and Italy, Germany leads Europe within the rising reputation of native music.

“On the identical time, the availability of high-quality bodily sound [formats], that are nonetheless in demand, will likely be maintained throughout all the repertoire; the 9.4% improve in vinyl helps the general constructive market dynamics,” Druke stated.Music Enterprise Worldwide