Hitting the right notes: Successful adaptation to the online market has supported growth

The Sound Recording and Music Publishing industry produces, promotes and distributes original sound recordings and manages rights for compositions. In addition to being sold in physical and digital form, music produced or copyrighted by the industry is used in a variety of media including films, TV programmes and video games. Over the five years through 2018-19, industry revenue is expected to increase at a compound annual rate of 2.2% to reach £2 billion. However, revenue is expected to decline by 0.5% during 2018-19. This is due to inflationary pressures pushing down the level of real disposable income, which is expected to constrain discretionary expenditure on industry products...read more.

Industry Statistics & Market Size
Revenue
£2bn
Annual Growth 14-19
2.2%
Forecast Growth 19-24
Profit
Employment
11,458
Businesses
3,522

Industry Threats & Opportunities

  • Operators have adapted to falling physical record sales by developing new streams
  • The continued success of British artists has resulted in a constant stream of royalties from abroad
  • Piracy is expected to continue falling as efforts to crackdown on copyright infringement increase
  • Industry Report - Industry Investment Chapter

    Capital intensity in the industry is considered to be moderate. Expenditure on wages accounts for a larger portion of revenue than capital expenditure. Depreciation is expected to account for 3.3% of industry revenue in 2018-19, while labour costs are forecast to account for an estimated 13%. The industry's capital-to-labour ratio of the industry is therefore expected to be 1:3.93, meaning that for every £1.00 spent on capital, £3.93 is spent on wages.The music publishing business requires minimal physical capital expenditure as it is primarily a service-based industry. Publishers negotiate agreements with record artists and songwriters and draft music user licences with other organisations. The...purchase to read more.

    Additional Insights for the Sound Recording & Music Publishing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Sound Recording & Music Publishing Industry are

  • Having a good reputation
  • Proximity to key markets
  • Management of a high quality assets portfolio
  • IBISWorld analysts also discuss how external factors such as Total online expenditure and Album sales in the Sound Recording & Music Publishing industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Sound Recording & Music Publishing Industry?

    Firms in this industry produce original sound master recordings and promote and distribute them to wholesalers, retailers and consumers. Music publishers acquire and register copyrights for compositions; promote, authorise and use compositions in recordings, TV and various other media; and publish music and sheet music. Publishers either own the copyright or act as an administrator of the music copyrights on behalf of the copyright owners. Amateur recording is excluded.

    Industry Products
  • Music publishing
  • Recorded music
  • Recording studios
  • Other services
  • Industry Activities
  • master copies for records or audio material
  • Sound recording and recording of books on tape or CD
  • Publishing pre-recorded sound and videodiscs or other media formats
  • Publishing music and sheet music
  • Producing commercial messages for radio
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Total online expenditure
  • Album sales
  • Demand from motion picture production
  • Demand from radio broadcasting
  • Demand from television programming and broadcasting
  • Real household disposable income

  • Current Performance
  • Going digital
  • New revenue streams
  • British artists
  • Enterprises and employment
  • Chart: Revenue Growth

  • Industry Outlook
  • Streaming services
  • Sinking piracy
  • Small firms
  • Table: Sound Recording & Music Publishing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Sound Recording & Music Publishing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Motion Picture Production
  • Television Programme Production
  • Radio Broadcasting
  • Universities

  • Key Selling Industries
  • Electronic Component Manufacturing

  • Products & Services
  • Recorded music
  • Music publishing
  • Recording studios
  • Other services
  • Chart: Sound Recording & Music Publishing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Online music sites
  • Retailers
  • Other media industries
  • Other
  • Entertainment and hospitality industries
  • Chart: Major Market Segmentation for the Sound Recording & Music Publishing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Marketing
  • Amortisation
  • Depreciation
  • Other costs
  • Chart: Cost Structure Benchmarking – Sector vs Sound Recording & Music Publishing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Sound Recording & Music Publishing Industry

  • Industry Globalization
    Vivendi SA, Warner Music Group, Sony Corporation,
  • Table: Vivendi SA - financial performance
  • Table: Warner Music Group - financial performance
  • Table: Sony Corporation - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Sound Recording & Music Publishing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Sound Recording & Music Publishing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Mechanical Royalties
  • Royalties from the sale of CDs, DVDs and digital downloads.
  • Public Performance Licence
  • A licence legally required in order to play recorded music or music videos in public.
  • Synchronisation Royalties
  • Royalties paid for the use of music in TV, films, advertisements and computer games.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Sound Recording & Music Publishing market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Sound Recording & Music Publishing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Sound Recording & Music Publishing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Sound Recording & Music Publishing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Would you like to speak to an IBISWorld representative?

    clear