Vinyl soon to surpass CD. Streaming is huge. Duh.

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JTBaby

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Vinyl soon to surpass CD. Streaming is huge. Duh.
« on: February 26, 2020, 10:45:16 AM »
https://www.riaa.com/wp-content/uploads/2020/02/RIAA-2019-Year-End-Music-Industry-Revenue-Report.pdf


Overall industry revenues grew about 10%, mostly due to streaming.

CD sales revenue dropped by 12%.
Vinyl sales revenue grew by 19%

CD unit sales dropped by 10.5%
Vinyl unit sales grew by 14.5%

Physical media sales account for 11% of industry revenue, which is now 89% streaming.

2020 will be the first year since 1986 when vinyl revenues will be greater than CD revenues, unless vinyl sales stop growing and CD sales stop declining.

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riffraff

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #1 on: February 26, 2020, 10:56:42 AM »
I don't stream. I'm sticking to my cd's. I hope to heck they don't stop making them!
Iíve seen for myself, thereís no end to grief, thatís how I know, and why I need to know that there is no end to love

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laoghaire

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #2 on: February 26, 2020, 11:50:03 AM »
I've likely bought my last CD, as of early 2018.

I've definitely bought my last DVD.

I don't stream music, though - I'm still downloading.

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wons

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #3 on: February 28, 2020, 12:08:05 PM »
According to RIAA sources for 2019, total music revenue in the United States came from the following formats:

Streaming - 71.4%
Radio - 8.2%
Digital Downloads of albums/singles/video/ringtones&ringbacks - 7.5%
CD's - 5.5%
Vinyl - 4.6%
music played on other media - 2.5%
Other - 0.3%


Individual Consumers direct purchase of music from the artist accounts for 17.6% of revenue.
« Last Edit: February 28, 2020, 12:11:21 PM by wons »

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guest532

Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #4 on: February 28, 2020, 12:15:18 PM »
I don't stream. I'm sticking to my cd's. I hope to heck they don't stop making them!

If I want to actually purchase music I buy the CD.  Last year I bought all of two CDs, one of which I regret buying.

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Shank Asu

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #5 on: February 28, 2020, 01:29:48 PM »
I still buy CD's.  Not really into digital music.  If it's an artist i really like, i'll splurge and buy the vinyl.  Last year i think i bought about the same amount of CDs and vinyl.
Two High Flying Birds EP's and Liam's second solo album were my most recent vinyl purchases.

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tortuga

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #6 on: February 28, 2020, 06:18:51 PM »
Individual Consumers direct purchase of music from the artist accounts for 17.6% of revenue.
Is that correct?  That is huge for artists.  The problem for artists has always been the record labels.  Even before streaming income opportunities were very limited for all but the most commercially successful artists.  With streaming, record labels still take the lionís share even though they no longer provide value and are just taking advantage of the deals they made in the pre-streaming era.  Spotify pays out 52% of its revenue to the label.  The label then pays 15% of that 50% to the artist.  Spotify just started turning a profit in the last half of 2018.

The problem has always been the labels.  Before streaming this at least was fair.  Labels had the capital to risk investing in artists to pay for studios, production, and marketing expenses.  Now artists can do all that on their own.  Look at Billie Eilish and her brother.  Produced entirely in their home without a label, put the first song on soundcloud and the rest is history.  There may always be a marketing role for labels with artists that are willing to give up freedom and income for a chance at making it big but they now have options.

Subscriber growth is finally getting to the point needed to make the model work.  Record labels will eventually dry up and go away.  Regulations need to ensure the streaming services canít become the record labels of tomorrow by charging a fee just to be on the platform or reducing pay per stream to take the share that the labels were taking.  Musicians unions should be all over that.

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wons

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #7 on: February 29, 2020, 05:36:01 AM »
Individual Consumers direct purchase of music from the artist accounts for 17.6% of revenue.
Is that correct?  That is huge for artists.  The problem for artists has always been the record labels.  Even before streaming income opportunities were very limited for all but the most commercially successful artists.  With streaming, record labels still take the lionís share even though they no longer provide value and are just taking advantage of the deals they made in the pre-streaming era.  Spotify pays out 52% of its revenue to the label.  The label then pays 15% of that 50% to the artist.  Spotify just started turning a profit in the last half of 2018.

The problem has always been the labels.  Before streaming this at least was fair.  Labels had the capital to risk investing in artists to pay for studios, production, and marketing expenses.  Now artists can do all that on their own.  Look at Billie Eilish and her brother.  Produced entirely in their home without a label, put the first song on soundcloud and the rest is history.  There may always be a marketing role for labels with artists that are willing to give up freedom and income for a chance at making it big but they now have options.

Subscriber growth is finally getting to the point needed to make the model work.  Record labels will eventually dry up and go away.  Regulations need to ensure the streaming services canít become the record labels of tomorrow by charging a fee just to be on the platform or reducing pay per stream to take the share that the labels were taking.  Musicians unions should be all over that.

I should clarify that is direct purchase by individual consumer of artist music through the record label on digital formats on the internet, ordered from websites on the internet like Amazon and others, or purchased at stores like Walmart, Target, Barns&Noble, FYE etc.

This is not the consumer purchasing a CD from the trunk of the artist car or the website of the artist independent of record label or some other third party distribution.

The statement was made to emphasize that today, the public rarely purchases artist music. Most of the time, the public now simply streams music in some way, listens to it on the radio, or hears it through other media.

In 2004, over 95% of revenue for the recording industry came from the purchase of specific artist music, by consumers. Over 90% coming from compact disc purchases. Today, only a little over 17% of recording industry revenue comes from the actual purchase of music by consumers. The rest of the revenue comes from streaming, radio, and other media that plays music. In those formats, the listener is not actually purchasing specific music by a particular artist. In the long run, this weakens the link between the fan, especially the dedicated fan, and the artist. This will make it tougher for the artist to make money from their work as listeners have less incentive  to invest money in specific artist.

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SwimmingSorrows

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #8 on: March 01, 2020, 02:54:03 PM »
Streaming rules.  Me and my friends make collaborative playlists and share all kinds of music with each other, great way to expand your horizons, and has been a great way to stay connected now we're all distributed across the continental US.

CD's are essentially pointless now, none of the novelty of vinyl and not as easily accessible and convenient as streaming. 
There's a bible verse,
says the last one shall be first.
Well, if that verse is true,
there's hope for me and you.
-Kevin Kerby

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JTBaby

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #9 on: March 02, 2020, 10:19:36 AM »
Streaming rules.  Me and my friends make collaborative playlists and share all kinds of music with each other, great way to expand your horizons, and has been a great way to stay connected now we're all distributed across the continental US.

CD's are essentially pointless now, none of the novelty of vinyl and not as easily accessible and convenient as streaming.

The streaming sites are a great place to find new music, they'll suggest stuff based on your previous likes, sometimes they work sometimes they don't, but it's better than relying on radio or charts which you know won't have anything of interest.

« Last Edit: March 02, 2020, 10:35:13 AM by JTBaby »
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ďAlbums still matter,Ē he said to the crowd of pop star and music luminaries. ďLike books and black lives"

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Soloyan

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Re: Vinyl soon to surpass CD. Streaming is huge. Duh.
« Reply #10 on: March 02, 2020, 11:44:11 AM »
Cds remain interesting for audiophiles who don't want to deal with scratches...

I buy more vinyls than Cds now, but mostly back catalogue, not so many new releases, unless they are signed or artists I fully trust (radiohead, The National...). But I stream an awful lot. I try to listen to every release in the "alternative" section of iMusic each week and keep what I like in my library.
A dangerous idea that almost makes sense...