Brazil’s Music Streaming Surge: A 21% Growth in H1 2024
While the US music streaming market has shown modest growth recently, Brazil is throwing a party that’s hard to ignore. Despite global uncertainties, Brazil’s music industry is booming, with impressive growth figures for the first half of 2024.
A Global Snapshot: US Market Blues vs. Brazil’s Vibrant Growth
Last week, the RIAA reported a 4% YoY growth in the US music industry for H1 2024. Streaming subscriptions in the US grew by just 2.7% YoY. The numbers might have dampened the mood among industry execs.
But hold on—while the US market faces these challenges, Brazil’s music industry is thriving.
Brazil’s Music Market: A Year of Unprecedented Growth
According to IFPI data, Brazil ranked as the ninth-largest recorded music market globally in 2023, with an annual revenue increase of 13.4% YoY, surpassing $570 million. Fast forward to H1 2024, and the numbers are even more electrifying.
Pro Musicá Brasil recently unveiled that Brazil’s recorded music industry experienced a phenomenal 21% YoY revenue growth in the first half of 2024, reaching BRL 1.442 billion—equivalent to approximately USD $257 million.
Breaking Down Brazil’s Music Revenue: Streaming Dominates
Here’s how Brazil’s music revenue breaks down for H1 2024:
- Streaming Revenue: BRL 1.430 billion (USD $255 million), up 21.1% YoY
- Subscription Streaming: BRL 995 million (USD $177 million), up 28.4% YoY
- Ad-Supported Streaming: BRL 436 million (USD $78 million), up 6.6% YoY
- Physical Sales: Just BRL 9 million (USD $1.6 million), making up only 0.6% of the total market revenue
Why Is Brazil’s Music Industry Thriving?
The surge in Brazil’s music industry is attributed to several key factors:
- Investment in National Content: Significant investments in producing and promoting Brazilian artists have paid off.
- Digital Dominance: Streaming platforms continue to lead the market, reflecting a global trend observed over the last decade.
- Industry Efforts: Increased efforts in marketing and developing local talent are driving this growth.
Paulo Rosa of Pro Musicá Brasil Highlights Key Trends
Paulo Rosa, President of Pro-Música, commented on the impressive figures for H1 2024. He noted that the 21% increase in revenue directly reflects the concerted efforts and investments by music companies in Brazil. These investments span across producing national music content, marketing, and artist promotion.
Top Hits and Market Dynamics
In H1 2024, the biggest streaming hit in Brazil was Lauana Prado’s Me Leva Pra Casa / Escrito Nas Estrelas / Saudade (Ao Vivo), distributed by Universal Music Group. Coming in at No. 2 was Barulho Do Foguete (Ao Vivo) by Zé Neto & Cristiano, released through Som Livre. Notably, Sony Music acquired Som Livre for USD $255 million in early 2022.
A Look Ahead: The Future of Music Streaming in Brazil
The US may be the largest music market, but Brazil’s rapid growth signals robust potential for music streaming worldwide. With a market share of around 38% of the global recorded music industry’s wholesale revenues in 2023, the US sets a high bar, but Brazil’s numbers suggest a bright future for international markets.
Music Streaming Platforms in Brazil
Brazil’s music scene is buzzing with activity from various streaming platforms, including:
- Spotify
- YouTube
- Deezer
- Apple Music
- Amazon Music
- Napster
These platforms are pivotal in driving Brazil’s impressive growth, showcasing a diverse range of music and fostering a vibrant streaming culture.
Conclusion: Brazil’s Music Market is Set for Continued Success
In conclusion, while the US music streaming market faces growth challenges, Brazil is experiencing a thrilling surge. With a 21% revenue increase in H1 2024, Brazil’s music industry exemplifies resilience and growth potential. The country’s focus on digital streaming and investment in local talent positions it as a key player in the global music scene.
