2017Recorded music in
the UK: facts, figures and analysis
ALL ABOUT THE MUSIC
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2017 All About The Music
Recorded music in the UK: facts, figures and analysis
©2017 BPI Limited
No part of this book may be reproduced in any form without written permission from the copyright owner.
ISBN 978-0-906154-38-0 ISSN 2397-6136 April 2017
Designed by Cog cogdesign.com
Compiled by Rob Crutchley
Edited by Chris Green
The BPI gratefully acknowledges the assistance provided by organisations which have supplied data for this publication. All original data sources are quoted throughout. Thanks are also due to Hannah Denchfield and Niki Georgiou for picture research and to those organisations who have provided illustrations. A list of photo credits appears on page 88.
Tables sourced ‘Official Charts Company’ contain data derived from the chart compilation exercise over a period of years and BPI extends its thanks to the Official Charts Company for co-operation in its publication.
BPI is a joint venture partner in the Official Charts Company for the publication and exploitation of charts data.
The editor’s thanks go to Peter Scaping for his assistance in producing this book.
BPI Limited
Riverside Building County Hall Westminster Bridge Road London SE1 7JA
020 7803 1300 bpi.co.uk @bpi_music
Official Charts Company
Riverside Building County Hall Westminster Bridge Road London SE1 7JA
020 7620 7450 officialcharts.com @officialcharts
Contents
6 Introduction and Annual Review
8 Sizing the Market
8 Industry Income
10 Album Equivalent Sales
12 Sales Analysis
14 Best Selling Albums
15 Album Sales by Format
16 Best Selling Singles
17 Singles Sales by Format
18 Most-Streamed Tracks and Albums
19 Streaming Data
20 Compilation Albums: Market Performance
21 Compilation Albums: Sales by Format and Genre
22 Vinyl: Market Performance
23 Vinyl: Sales by Genre and Release Date
24 Back Catalogue: Albums
25 Back Catalogue: Singles
26 Catalogue Streaming: Analysis
28 David Bowie and Prince
30 Market Breakdowns
32 Threshold Analysis: Albums, Singles and Stream s
33 Threshold Analysis: Formats
34 Sales and Streams by Day of Week
35 Sales by Chart Position
36 Sales by Artist Nationality: Albums
37 Sales by Artist Nationality: Singles
38 Sales by Type of Music: Albums
39 Sales by Type of Music: Singles
40 Sales by Gender
41 Groups and Solo Artists
42 Independent Music: Charts
43 Independent Music: Market Share
44 Market Share: Corporate Group
45 Market Share: Distributors
46 Retailing
48 Retail Spending on Recorded Music
49 Retailers Selling Recorded Music
50 Retailer Market Share
51 Penetration: Streaming Services
52 Consumer Profiles
53 Average Retail Prices
54 Music Gifting: Share and Recipient Profile
55 Music Gifting: Album Type
56 Impulse Purchasing
57 Retailer Loyalty
58 Music Consumers
60 Penetration: Music Consumers
61 Demographics: Music Consumers
62 Key Buyer Groups: Lifestage
63 Heaviest Spenders: Purchasing
64 Average Spend per Consumer
65 Lost, New and Retained Consumers
66 Streamers: Account Type and Usage
67 Consumer Crossover
68 Hardware Ownership
69 Music Listening: Where and How
70 Focus on Streaming
72 Streaming: Chart Impact
73 Most-Streamed Artists
74 Playlists: Share of Audio Streams
75 Playlists: Usage
76 Playlists: British Artist / Independent Label Share
77 Streaming: Share of Listening
78 YouTube: Usage
79 Motivations for Subscription
80 World Sales
82 World Sales
83 Best Selling Albums and Artists
84 UK Music in North America
86 UK Music in Germany and France
87 UK Music in the Rest of the World
88 Picture Credits
6
Introduction and Annual Review
The political upheavals of 2016 in the UK and the US serve as a powerful reminder that profound change can occur more quickly than many of us anticipate.
After the last fifteen years, record labels have become experts in transformation however and they are ready to embrace as opportunities the changes that politics, consumer trends and new technology will require. The reimagining of labels’ businesses since the invention of the mp3 has involved two fundamental shifts in format and in business model, but they have navigated this complexity and are emerging from the transition well placed to serve fans with the music they love, when and how they want it.
As a result of this adaptation, consumption of music is on the rise: using the music industry’s standard Album Equivalent Sales (AES) metric to calculate overall volume, BPI/Official Charts Company figures show that consumption increased by 1.5 per cent in 2016 – a second consecutive year of growth. Underlying consumption in fact grew at a rate of 4 per cent, if the extra 53rd chart week in 2015 is stripped out. The increase in demand for recorded music was also reflected in labels’ trade revenues, which grew by a healthy 5.1 per cent year on year. Taken together, these figures suggest that, after a long period of adjustment, recorded music is finally set for a sustained period of growth, powered by
continuing strong demand for music streaming subscriptions and high levels of investment by record labels in artists and new music.
The explosive growth of streaming has rightly attracted many headlines over the last few years. At the beginning of 2014, weekly streams totalled less than 200 million in the UK. By the end of 2016 that weekly total had exceeded the one billion mark. British music fans music played songs almost 45 billion times in 2016 on services such as Spotify, Deezer, Apple Music and Tidal, an annual increase of 68 per cent, and a fivefold gain since 2013. Using the AES metric, streaming already accounts for well over a third (36.4 per cent) of all music consumption, and with 100 million global subscribers and growing, will soon overtake sales of physical music to become the most valuable segment of the music market.
Streaming isn’t the whole story, however. The strong 2016 performance also reflected the enduring appeal of physical formats: over 47 million CDs were purchased and the vinyl revival gathered
BRIT Awards Critics’ Choice nominees Rag‘n’Bone Man(pictured), Dua Lipa and Anne-Marie signalled thearrival of a new wave of British talent.
7
music without paying a fair market rate for it, due in large measure to EU safe harbour rules that are no longer fit for purpose and the absence of proper IP protection in many export markets. Our business will only reach its full potential if government makes
the creative sector a high priority in trade negotiations, and offers the same kind of support to investment into music (for example through tax credits) as it offers, say, the film and games industries.
This yearbook is called All About The Music as it contains an authoritative compilation of key
information about the UK recorded music market in 2016, but also because we never forget that the success of our business depends most of all on the outstanding talent of the artists we work with.
In 2016, we continued to have many reasons to be proud of the achievements of British music. Adele’s 25, released at the end of 2015, remained hugely popular internationally in the 12 months that followed and was the second biggest-selling artist album globally. Although it was a challenging year for artist breakthroughs, emerging acts such as Ward Thomas and Blossoms scored their first Number One albums in the UK, while BRIT Awards Critics’ Choice nominations for Rag’n’Bone Man, Dua Lipa and Anne-Marie signalled the arrival of a new wave of British talent. Skepta’s win at the Mercury Prize in September for his Gold-certified album Konnichiwa confirmed this, as did the huge anticipation that preceded Stormzy’s Gang Signs & Prayer debut, both of which showed that the grime scene is now both a critical and commercial force.
pace, with over 3.2m LPs bought across the year, the highest number in 25 years. Vinyl may still account for a relatively small part of the albums market (representing around five per cent of label revenues) but, along with CDs, its popularity vividly demonstrates that ownership and tactility are still valued by a large number of music fans.
Yet despite these encouraging figures and the obvious potential for music to grow as more people embrace streaming, it would be a mistake to take future growth for granted. The music industry faces significant challenges in the years ahead. Brexit could mean new barriers for UK artists touring in Europe. Home-grown talent faces stiffer competition from overseas artists on global streaming platforms. And revenue growth is still seriously undermined by the ability of user-generated content platforms to utilise
2016 will, however, also be remembered for the loss of some of our music greats both from the UK and abroad, with David Bowie, Prince, George Michael and Leonard Cohen joining a sadly long roll of honour.
The relentless pace of change in the music industry shows no sign of letting up. In the past year BPI has hosted, to packed houses, seminars on virtual reality, artificial intelligence and the blockchain. Labels are keen to learn more, and make the most of the new opportunities that innovation brings. Using data, analysis and commentary, this book, once again skilfully compiled by Rob Crutchley and Chris Green in our Research team, aims to provide insight into the state of the UK music market and the new trends and patterns that are emerging. We hope you find it a useful and interesting resource to help inform both your work and your passion for music.
Geoff Taylor
Chief Executive BPI and BRIT Awards
Record labels have become experts in transformation and they are ready to embrace as opportunities the changes that politics, consumer trends and new technology will require.
Adele’s 25, released at the end of 2015, remainedincredibly popular internationally.
Anticipation for Stormzy’s Gang Signs & Prayer debutwas already building in 2016.
8 Sizing the Market
Industry IncomeIndustry income reaches five year high following 5.1% growth in 2016
UK record company trade income – the combined revenues generated through streaming, sales of music across physical and download formats, performance rights, and ‘sync’ music licensed for use in film & TV, games and advertising – rose by just over 5% in 2016. Trade income of £926m represents the largest annual total in five years.
The £44.6m million trade income rise on 2015 was driven largely by the dynamic growth in streaming revenues – a 61% increase which more than offset the decline in income from physical formats and downloads.
Whilst the increase in revenues is to be welcomed, there remain a number of structural challenges that inhibit growth, including illegal websites and the ‘Value Gap’. The latter term describes the growing mismatch between the huge value that some video streaming platforms extract from music or other entertainment and the relatively small amount they return to the creators concerned. The graphic at the top of this page shows that video streaming only contributed 2.8% towards total industry revenues, less than vinyl LPs.
Subscription forms the key element of streaming revenues, accounting for 87.1% of the annual market total of £274m. Income from ad-supported tiers of audio streaming services represents just 3.6% and video streaming 9.3%.
While revenue from physical formats dipped below £300m in 2016, it remained the largest revenue stream, declining by only 1.9%. Its resilience is testament to the enduring popularity of albums on CD, where income fell by less than a tenth (-9.1%) and particularly vinyl, where revenue from LP sales rose by an impressive 66.5%.
20
40
602004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
Digital’s Share of Sales and Streams Income (%)
Industry Revenue Breakdown 2016 (%)
0.2%
1.1%
2.3%
7.6%
14.0%
20.3%
27.4%
35.4%
45.1% 49.8%
51.8% 55.8% 59.1%
Source: BPI Surveys. Includes downloads, streaming and other digital income
Source: BPI Surveys
26.2%CDs
25.8%Subscription
18.7%Public
Performance
16.3%Downloads
4.5%LPs
2.5%Sync
1.5%Other Physical
1.1%Audio Ad-Supported
0.7%Other Digital
2.8%Video Streaming
9 Sizing the Market
Industry Income (£m)
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 % change
Physical Formats Singles £19.0 £10.2 £7.6 £4.9 £3.3 £2.4 £2.3 £3.5 £2.2 £2.2 -4.1%
Albums £815.6 £749.1 £699.2 £566.4 £475.7 £366.7 £344.6 £319.7 £292.4 £284.8 -2.6%
Music DVD £37.2 £28.5 £33.1 £26.7 £25.8 £21.2 £18.9 £11.1 £9.6 £11.5 19.9%
Total £871.8 £787.8 £740.0 £598.0 £504.8 £390.3 £365.8 £334.4 £304.2 £298.4 -1.9%
Online Tracks & Bundles £40.9 £62.5 £91.8 £108.3 £119.3 £127.4 £121.7 £106.3 £89.0 £66.9 -24.9%
Albums £30.7 £43.7 £67.3 £82.2 £115.4 £134.3 £160.3 £136.6 £117.5 £83.6 -28.9%
Music video - £4.0 £3.4 £3.0 £2.8 £2.2 £1.6 £1.0 £1.1 £0.6 -49.3%
Total £71.6 £110.1 £162.6 £193.5 £237.5 £263.8 £283.6 £244.0 £207.7 £151.0 -27.3%
Streaming* Subscriptions - £8.6 £11.8 £16.3 £23.5 £39.8 £54.7 £86.1 £146.1 £238.6 63.3%
Ad-supported - £2.4 £8.2 £10.8 £11.8 £14.5 £19.0 £24.3 £24.4 £9.8 -59.9%
Video streaming - n/a n/a n/a n/a n/a n/a n/a n/a £25.5
Total - £11.0 £20.0 £27.1 £35.3 £54.4 £73.7 £110.4 £170.5 £273.9 60.6%
Other Digital** - £6.8 £5.8 £5.1 £4.3 £2.9 £6.1 £5.5 £5.6 £6.1 9.0%
Total Digital £71.6 £127.9 £188.4 £225.7 £277.1 £321.1 £363.4 £359.9 £383.8 £431.1 12.3%
TOTAL PHYSICAL & DIGITAL £943.4 £915.6 £928.4 £823.7 £781.9 £711.5 £729.2 £694.2 £688.0 £729.4 6.0%
Sync Income*** £21.9 £21.1 £25.2 £21.6 £21.7 £18.2 £18.8 £20.0 £22.7 £22.8 0.6%
Public Performance**** £121.1 £126.5 £120.1 £123.4 £132.4 £145.0 £152.2 £160.6 £170.6 £173.6 1.8%
TOTAL INCOME £1,086.5 £1,063.2 £1,073.7 £968.7 £935.9 £874.6 £900.2 £875.2 £881.3 £925.8 5.1%
Source: BPI Surveys/PPL. Values are at wholesale and do not include VAT and are net of returns (for physical formats)* From 2016 streaming is broken down into audio subscription, audio ad-supported and video streaming.Previously subscription streams income included ad-supported income from those subscription services that have a free tier and ad-supported only represented those services which were purely ad-supported, so 2016 data is not directly comparable except at a total level.** Includes mobile personalisation (ringtones), Cloud income and other digital revenues.*** Sync income represents income received from licensing music for the use in films, advertising and games.**** Public performance represents revenue collected by PPL for producers and performers. PPL licenses music played in public and distributes the fees to its members.
10 Sizing the Market
Album Equivalent SalesMusic consumption up by 1.5% in 2016
Debate continues about how best to measure overall music consumption, but one metric is Album Equivalent Sales (AES). Under this measure, physical and digital album sales are counted as normal, but track sales (mostly downloads, with a small portion of physical) are divided by 10, to equate to one album sale. This produces a Track Equivalent Albums (TEA) total. Streams are divided by 1,000 (100 streams equates to one download, and 10 downloads equate to one album), producing a Streaming Equivalent Albums (SEA) figure.
Using this calculation, music consumption rose by 1.5% in 2016. Physical/digital album sales and TEA both fell, but the growth of SEA by 67.5% offset this. Streaming now accounts for over a third of music consumption under this measure, making it the second largest of the four AES components behind physical albums.
Album Equivalent Sales – Share (%)
Physical Albums Digital Albums TEA SEA
2012 56.8% 24.8% 15.3% 3.0%
2013 51.3% 27.2% 15.2% 6.2%
2014 48.8% 25.3% 13.3% 12.6%
2015 45.9% 21.1% 10.9% 22.1%
2016 41.0% 14.6% 7.9% 36.4%
Source: Official Charts Company/BPI
Album Equivalent Sales (units m)
Physical Albums Digital Albums TEA SEA TOTAL
2012 69.9 30.5 18.9 3.7 123.0
2013 61.4 32.6 18.2 7.5 119.7
2014 57.2 29.7 15.6 14.8 117.2
2015 55.8 25.7 13.3 26.8 121.6
2016 50.6 18.1 9.8 44.9 123.4
% change —9.3% —29.6% —26.2% +67.5% +1.5%
Source: Official Charts Company/BPITEA = Track Equivalent Albums (singles sold divided by 10)SEA = Streaming Equivalent Albums (streams total divided by 1,000) 20
40
2012
2013
2014
2015
2016
SEA's Share of AES 2012-2016 (%)
11 Sizing the Market
CD LP Total Physical*
2012 56.4% 0.3% 56.8%
2013 50.6% 0.7% 51.3%
2014 47.6% 1.1% 48.8%
2015 44.1% 1.7% 45.9%
2016 38.3% 2.6% 41.0%
Source: Official Charts Company/BPI *includes some minority formats
Album Equivalent SalesDavid Bowie top of Album Equivalent Sales chart
While it is important to remember that vinyl is still very much a niche market, it’s interesting to reflect on how quickly its fortunes have revived. In 2012 it accounted for a negligible share of overall music consumption – just 0.3%. Four years later that share of AES has grown by nearly nine times and while that hasn’t been enough to halt physical albums’ overall percentage it has helped slow its decline.
This edition of BPI's yearbook is the first to feature a chart detailing which artists were most popular when all chart-eligible forms of their music were combined under the AES measure. David Bowie was top in 2016 by some distance, his catalogue collectively amassing almost 1.5m album purchases and over 127m streams. The AES totals for Adele and Drake both also topped the 1m mark, even though Adele’s 25 did not appear on streaming services until June.
Source: BPI Analysis/Official Charts Company
Coldplay05
03
Adele02
David Bowie01
Drake
Album Equivalent Sales – Top Artists 2016
Little Mix04
60
30
Breakout of Physical Share (%)
2012
2013
2014
2015
2016
CD LP
Sales Analysis
Physical and digital sales of albums and singles fell in 2016 but streaming's growth continued apace: there were almost 45bn audio streams measured by the Official Charts Company across the course of the year and in December there was the first ever 'one billion streams' week.
The biggest single of the year was Drake's One Dance, which topped the chart for an astonishing 15 weeks, with the November-released Now 95 the top selling album. Vinyl sales reached their highest level since the early 1990s, led by huge demand for David Bowie's Blackstar, while catalogue accounted for over half of consumption in both the album and singles markets for the first time.
14 Best Selling Albums
15 Album Sales by Format
16 Best Selling Singles
17 Single Sales by Format
18 Most-Streamed Tracks and Albums
19 Streaming Data
20 Compilation Albums: Market Performance
21 Compilation Albums: Sales by Format and Genre
22 Vinyl: Market Performance
23 Vinyl: Sales by Genre and Release Date
24 Back Catalogue: Albums
25 Back Catalogue: Singles
26 Catalogue Streaming: Analysis
28 David Bowie and Prince
Views by Drake broke the 100,000 download sales barrier and was the second most-streamed album of the year.
Drake
14 Sales Analysis
BEST SELLING ALBUMS 2012–2016Best Selling AlbumsNow 95 heads up 2016 chart
For the second time in four years the top selling album overall was a Now compilation. Released six weeks before the end of 2016, Now 95 sold 867,959 copies, and was the top selling album every week in December.
Only Adele’s 25 was able to stop Now titles taking the top three positions in the 2016 chart and 25
was the only artist album of the year to sell over three quarter of a
million copies.
Michael Ball & Alfie Boe’s Together was the top selling artist album in December and also the biggest selling artist album released in 2016. Other new releases in the top 10 included David Bowie’s final album Blackstar, released in January, and Little Mix’s fourth album
Glory Days.
Source: Official Charts CompanySource: Official Charts Company. Note: includes streaming
TOP 10 ALBUMS 2016
1 Now That’s What I Call Music 95 Various Artists Sony Music CG/ Virgin EMI
2 Now That’s What I Call Music 93 Various Artists Sony Music CG/Virgin EMI
3 25 Adele XL Recordings
4 Now That’s What I Call Music 94 Various Artists Sony Music CG/Virgin EMI
5 A Head Full Of Dreams Coldplay Parlophone
6 Together Michael Ball & Alfie Boe Decca
7 Purpose Justin Bieber Virgin EMI
8 The Wonder Of You Elvis Presley Sony Music CG
9 Blackstar David Bowie RCA Label Group
10 Glory Days Little Mix Syco Music
2012Our Version of EventsEmeli Sandé1.4 million sales
2012
2012Now That’s What I Call Music 88Various Artists1.1 million sales
2013
2012XEd Sheeran1.7 million sales
2014
201225Adele2.5 million sales
2015
2012Now That’s What I Call Music 95Various Artists0.9 million sales
2016
Adele
15 Sales Analysis
150
Album Sales by FormatCD sales dip below 50m
CD sales fell below 50m units in 2016 – a decrease of 11.7% - but still constituted over two thirds (68.9%) of album purchases.
Downloads are declining at a greater rate, however, with just over 18m albums purchased on this format in 2016, a fall of almost 30%. Gifting plays an important part in the relative resilience of CD (see page 54 for more detail) but has always played a much smaller part in the digital downloads market.
Vinyl sales exceeded the 3m mark in 2016 and now constitute almost 5% of album purchases. Album streaming is growing but is excluded from top line market analysis so that the components of Album Equivalent Sales (album purchases, singles purchases and streaming) can be analysed without double counting. The impact of album streaming on the charts is examined on page 72.
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
50
Share of Album Sales by Format (%)Source: Official Charts Company
92.0%
7.7%
0.2%
95.2%
4.5%
0.1%
97.8%
0.2%
99.6%
0.2%
99.4%
0.3%
99.4%
0.4%
99.0%
0.4%
68.9%
4.7%
26.3%
65.8%
2.6%
31.5%
64.2%
1.5%
34.2%
64.4%
0.8%
34.7%
69.1%
0.4%
30.4%
76.1%
0.3%
23.5%
82.2%
0.2%
17.5%
87.2%
0.2%
12.5%
CD LP Digital Total
2013 60.6 0.8 32.6 94.0
2014 55.7 1.3 29.7 86.8
2015 53.6 2.1 25.7 81.5
2016 47.3 3.2 18.1 68.6
Change % —11.7% +52.6% —29.6% —15.7%
Total combined sales
Album Sales by Format (units m)Source: Official Charts Company
LPs' share of album sales has continued to rise in recent years while digital’shas fallen.
CD sales peaked in 2004 at162.4m units but have sincedropped to just 47.3m unitsin 2016.
0.5%
0.3%
0.4%
0.2%
0.2%
0.1%
0.1%
0.1%
0.1%
0.1%
0.1%
0.1%
0.1%
0.1%
0.1%
Other
1.8%
CD
LP
Digital
16 Sales Analysis
Best Selling SinglesDrake number one on year-end rundown
Drake’s One Dance was top of the singles chart for 15 weeks in 2016 and, with a chart-eligible (i.e. combining purchases and streams) total of 1.9m was by some distance the most popular track of the year.
Its long stay at number one prompted much discussion about the impact of streaming on the chart – with only 27.2% of its chart-eligible tally for the year coming from downloads its streaming share was the biggest of all the tracks in the year-end top 10.
There were 16 songs in 2016 that accrued a chart-eligible total of over 1m, with only eight of those reaching number one on the singles chart. The longer shelf-life of tracks meant that five achieved a total of over 500,000 in 2016 without breaking the top 10.
Source: Official Charts Company. Note: includes streaming
TOP 10 SINGLES 2016
1 One Dance Drake Ft Wizkid & Kyla Island
2 7 Years Lukas Graham Warner Bros
3 Cheap Thrills Sia RCA Label Group
4 I Took A Pill In Ibiza Mike Posner Island
5 This Is What You Came For Calvin Harris Ft Rihanna Columbia Label Group
6 Lush Life Zara Larsson Black Butter
7 Closer The Chainsmokers Ft Halsey RCA Label Group
8 Love Yourself Justin Bieber Virgin EMI
9 Work Rihanna Ft Drake Virgin EMI
10 Can’t Stop The Feeling Justin Timberlake RCA Label Group
Source: Official Charts Company
2012Somebody That I Used To KnowGotye Ft Kimbra1.3 million sales
2012
2012Blurred LinesRobin Thicke/T.i./Pharrell1.5 million sales
2013
2012HappyPharrell Williams1.9 million sales
2014
2012Uptown FunkMark Ronson Ft Bruno Mars1.8 million sales
2015
2012One DanceDrake Ft Wizkid & Kyla1.9 million sales
2016
BEST SELLING SINGLES 2012–2016
Zara Larsson's Lush Life wasone of 16 songs to achieve a chart-eligible total of over 1min 2016.
17 Sales Analysis
Singles Sales by FormatTotal number of singles purchased drops below 100m
Purchased singles - either on physical format or download - fell below 100m unit sales in 2016, the lowest annual total since 2007.
Only four tracks were downloaded over half a million times (compared with nine in 2015) and it was interesting to note that the title with the most digital purchases (Lukas Graham’s 7 Years) was not also the most-streamed.
As the popularity of downloading decreases so too does its impact on the charts. Of those four most-downloaded tracks, one was placed at number 10 in the year-end chart once streaming was factored in, with another at number 12. For more information on the impact of streaming on the singles chart see page 72.
100
200
2002
2003
2004
2005
2006
2007
2009
2008
2010
2011
2012
2013
2014
2015
2016
Singles Sales by Format (units m)
Source: Official Charts Company
Number of Tracks Selling 500,000+ Copies Digitally
CD 7” 12” Digital Total
2013 0.4 0.1 0.1 181.6 182.2
2014 0.4 0.1 0.1 155.0 155.7
2015 0.2 0.1 0.1 132.3 132.7
2016 0.1 0.1 0.1 97.5 97.9
Change % —25.4% —24.0% +12.4% —26.3% -26.2%
2012
232013
202014
172015
92016
4
Total
combin
ed sal
es
Digital single sales peaked in2012 at 189 million units.
Lukas Graham’s 7 Years was the most-downloadedtrack of the year
18 Sales Analysis
Most-Streamed Tracks and AlbumsStreaming makes up 50% of consumption of Drake’s Views
Ranking tracks by streaming only gives a slightly different look to the year-end singles chart published on page 16, with both Sia and Mike Posner climbing above Lukas Graham and Rihanna’s Work leapfrogging Zara Larsson, The Chainsmokers and Justin Bieber.
Drake’s One Dance was played over 141m times in 2016 and was the only song to break the 100m barrier. In total 36 tracks were played over 50m times, compared to just seven in 2015.
Album streams can now make up a significant part of a title’s chart-eligible total. For Drake’s Views, they equated to over 50%, and for Justin Bieber’s Purpose over 41%. At number 136, Kanye West’s The Life Of Pablo was the highest-placed title in the 2016 year-end albums chart to have its total comprised entirely of audio streams.
TOP 10 MOST-STREAMED TRACKS 2016
1 One Dance Drake Ft Wizkid & Kyla Island
2 Cheap Thrills Sia RCA Label Group
3 I Took A Pill In Ibiza Mike Posner Island
4 7 Years Lukas Graham Warner Bros
5 This Is What You Came For Calvin Harris Ft Rihanna Columbia Label Group
6 Work Rihanna Ft Drake Virgin EMI
7 Lush Life Zara Larsson Black Butter
8 Closer The Chainsmokers Ft Halsey RCA Label Group
9 Love Yourself Justin Bieber Virgin EMI
10 Cold Water Major Lazer/Justin Bieber/MØ Because Music
Source: Official Charts Company
TOP 10 MOST-STREAMED ALBUMS 2016
1 Purpose Justin Bieber Virgin EMI
2 Views Drake Island
3 X Ed Sheeran Atlantic Records UK
4 I Cry When I Laugh Jess Glynne Atlantic Records UK
5 Anti Rihanna Virgin EMI
6 Beauty Behind The Madness The Weeknd Island
7 In The Lonely Hour Sam Smith Capitol
8 A Head Full Of Dreams Coldplay Parlophone
9 Blurryface Twenty One Pilots Atlantic Records UK
10 Curtain Call — The Hits Eminem Polydor
Source: Official Charts Company.
19 Sales Analysis
Streaming DataDecember 2016 sees first ‘one billion streams’ week
As seen on page 10, audio streaming now equates to over a third of music consumption measured using the Album Equivalent Sales (AES) metric, eclipsing the share attributable to downloading.
The Official Charts Company reported almost 45bn plays taking place across dedicated music streaming services such as Spotify, Apple Music, Tidal and Deezer in 2016, an increase of 67.5%.
The rise in popularity of audio streaming has been remarkably swift. In the first week of January 2014 plays were measured at less than 200m but by December 2016 the first ‘one billion streams’ week had taken place.
Audio Streams (bn)
2012 3.7
2013 7.5
2014 14.8
2015 26.8
2016 44.9
% change +67.5%
Source: Official Charts Company
Weekly Audio Streams 2016 (units bn)
Source: Official Charts CompanyWeeks
1.0
0.6
1 32 54 76 98 1110 1312 1514 1716 1918 2120 2322 2524 2726 2928 3130 3332 3534 3736 3938 4140 4342 4544 4746 4948 5150 52
Tracks by or featuring JustinBieber were streamed over565m times in 2016
Justin Bieber
20 Sales Analysis
Compilation Albums: Market PerformanceNow titles take top four places in 2016 chart
Sales of compilation albums fell by 13.7% in 2016 but this was a slightly shallower decline than that experienced in the artist albums market (-16.4%) and so resulted in a bigger share of overall album sales (26.3%). The three new Now albums were again dominant, selling 2.4m copies between them. Across more than 180 titles, Now collections were purchased 4.5m times in 2016, accounting for over a quarter of all compilation sales. According to Kantar Worldpanel, 24.2% of of all compilation album buyers purchased a Now title in 2016.
Ministry Of Sound enjoyed another strong year with six titles charting inside the year-end top 20, while UMOD’s second Sing Your Heart Out compilation was the most in-demand non-Now compilation of the year, selling almost 272,000 copies.
TOP 10 COMPILATION ALBUMS 2016
1 Now That’s What I Call Music 95 Various Artists Sony Music CG/ Virgin EMI
2 Now That’s What I Call Music 93 Various Artists Sony Music CG/Virgin EMI
3 Now That’s What I Call Music 94 Various Artists Sony Music CG/Virgin EMI
4 Now That’s What I Call Christmas Various Artists Rhino/Sony CG/Virgin EMI
5 Sing Your Heart Out 2016 Various Artists UMOD
6 100 Percent Clubland Various Artists UMOD
7 Throwback — Summer Jamz Various Artists MOS/Sony Music CG
8 Now That’s What I Call Disney Various Artists Sony Music CG/Virgin EMI
9 The Country Album Various Artists UMOD
10 The Annual 2017 Various Artists Ministry Of Sound
Source: Official Charts Company
15
520132012 2014 2015 2016
Compilation Sales (m) and Share (%) of Albums Market
Source: Official Charts Company
25 35
25
15
20.6 21.6
20.4
17.6
21.0%
23.3%
25.5%
25.7%
26.3%
21.3
Sales (m) Share (%)
21 Sales Analysis
Compilation Albums: Sales by Format and GenrePop titles now comprising more than half of compilation sales
Digital sales fell slightly more steeply in the compilations market (-33.0%) than artist albums (-30.2%) in 2016. Downloads accounted for 20.1% of compilation sales, the lowest share since 2011, with only two titles (Now 93 and Now 94) purchased more than 100,000 times digitally. Both the soundtrack to Suicide Squad and The Workout Mix 2016 sold more copies digitally than on CD but they were the only two titles in the compilations top 100 to do so. Well over 130,000 vinyl compilation or soundtrack albums were sold in 2016, with Guardians Of The Galaxy the most in-demand title. It should be pointed out that streaming is not apportioned towards the chart-eligible totals of compilations.
More than half (56.4%) of the compilations bought in 2016 were classed as Pop, including six of the top 10 best sellers. Dance’s share dropped again, although two of the top 10 (100% Clubland and The Annual 2017) were from the genre.
Physical Digital
2012
2013
2014
2015
2016
Share of Sales by Format (%)
Source: Official Charts Company
76.5 23.5
72.7 27.3
75.1 24.9
74.1 25.9
79.9 20.1
Source: BPI analysis/Official Charts Company
Compilation Sales by Genre (% units)
2012 2013 2014 2015 2016
Pop 38.1 44.9 48.8 48.6 56.4
Dance 25.5 27.7 23.0 22.1 16.9
R&B 9.7 6.9 6.9 7.1 6.6
MOR/Easy 5.9 5.0 7.5 7.1 6.0
Rock 8.2 6.0 5.4 5.3 5.3
Country 0.9 1.3 1.6 1.9 2.2
Reggae 3.3 1.4 0.7 1.7 2.0
Classical 4.2 4.3 2.9 2.3 2.0
Hip Hop 0.6 0.6 1.4 2.4 1.0
Jazz 0.5 0.3 0.3 0.3 0.5
Children’s 1.7 0.8 0.7 0.6 0.4
World 0.6 0.3 0.3 0.2 0.3
Others 0.8 0.5 0.5 0.4 0.3
22 Sales Analysis
Vinyl: Market PerformanceVinyl sales exceed the 3m mark
Vinyl LPs continue to buck the overriding trend in album sales, with demand up by 52.6% in 2016. The sales tally for the year topped 3.2m, the biggest since the early 1990s, and a remarkable turnaround considering it was as low as 0.2m as recently as 2010. It is still a relatively niche concern, but LPs constituted 4.7% of all albums sold in 2016 – in 2007 that figure was 0.1%.
David Bowie’s Blackstar was by far the biggest seller of the year and one of 35 titles to sell over 10,000 copies, compared to only 10 in 2015. Availability of titles is becoming greater and is no doubt a factor in the format’s continuing success: in 2010 less than a third (31) of the 100 best-selling artist albums of the year were released on vinyl. By 2016 that had risen to over three quarters (76).
TOP 10 VINYL ALBUMS 2016
Source: Official Charts Company
1 Blackstar David Bowie RCA Label Group
2 Back To Black Amy Winehouse Island
3 Guardians Of The Galaxy — Awesome Mix 1 Original Soundtrack UMC
4 A Moon Shaped Pool Radiohead XL Recordings
5 Rumours Fleetwood Mac Warner Bros
6 The Stone Roses The Stone Roses Sony Music CG
7 Legend Bob Marley & The Wailers Island
8 Sgt Pepper’s Lonely Hearts Club Band The Beatles Virgin EMI
9 Purple Rain - OST Prince & The Revolution Rhino (Warners)
10 Nevermind Nirvana Polydor
Source: Official Charts Company
2
3
2
4
6
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
1
Sales (m) Share (%)
4.7%
Vinyl sales reached an alltime low in 2007, selling only210,000 units
Vinyl LP Sales and Market Share
1.45
1.41
1.08
0.82
0.64
0.67
0.75
0.76
0.66
0.58
0.45
0.35
0.25
0.21
0.21
0.22
0.23
0.34
0.39
0.78
1.29
2.12
3.23
23 Sales Analysis
Vinyl: Sales by Genre and Release DateRock titles comprise two in every three LPs bought
Vinyl remains primarily a catalogue concern — although the biggest seller was a 2016-released title there was only one other new release in the annual top 10 (Radiohead’s A Moon Shaped Pool).
It can be hard to classify exactly what constitutes a catalogue release is when so many older titles are reissued with new material, remastered and repackaged, but BPI estimates that titles that had been initially issued in or before 2014 accounted for over 60% of sales in 2016.
Rock is dominant, with titles from the genre making up two in every three purchases. Of the top 20 best selling LPs, 14 were classified as Rock including titles by Nirvana, The Last Shadow Puppets and The Smiths.
Vinyl singles are very much a minority concern – just over 200,000 were sold in 2016. New tracks by The Stone Roses were the best sellers on both seven and twelve inch.
63.4%Catalogue(pre-2015)
28.3%New Release (2016)
8.2%Current (2015)
100
200
2010
2011
2012
2013
2014
2015
2016
Vinyl Singles Sales (units)
Vinyl LP Sales by Release Date 2016 (% units)
Vinyl LP Sales by Genre (% units)
Source: BPI analysis/Official Charts Company
2.5% Jazz/Blues
1.7% Folk
1.3% Reggae
1.2% MOR/Easy Listening
1.2% Classical
0.8% Country
0.3% Other
7" 12"
152,000
67,000
63,000
55,000
88,000
96,000
83,000
93,000123,000
96,000
129,000
110,000
143,000
109,000
68.1%Rock
13.2%Pop
6.7%Urban
3.0%Dance
24 Sales Analysis
Back Catalogue: AlbumsCatalogue titles account for majority of album consumption
While industry definitions vary, on these pages back catalogue titles are defined as those which were released two years before the year in question – so for 2016 this would refer to albums issued no more recently than December 2014. Titles from 2015 are classified as ‘current’ releases.
For the first time this analysis includes album streams, which has resulted in catalogue titles accounting for the majority (50.9%) of album consumption in 2016. The surge in purchases of David Bowie and Prince titles will also have contributed. The percentage attributable to catalogue is even greater when artist albums are analysed separately, with Best Of Bowie charting in the year-end top 10 and older titles accounting for over three quarters of album streams. Compilations do not have streams apportioned towards their chart-eligible totals and new releases still comprise well over half (56.6%) of sales.
TOP 10 CATALOGUE ALBUMS 2016
1 Best of Bowie David Bowie Rhino (Warners)
2 Now That’s What I Call Christmas Various Artists Rhino/Sony CG/Virgin EMI
3 X Ed Sheeran Atlantic Records UK
4 All Over The World – The Very Best Of ELO Sony Music CG
5 Christmas Michael Bublé Warner Bros
6 Legend Bob Marley & The Wailers Island
7 Now That’s What I Call Disney Various Artists Sony Music CG/Virgin EMI
8 Nothing Has Changed – The Very Best Of David Bowie RCA/Rhino (Warners)
9 The Very Best Of Prince Rhino (Warners)
10 In The Lonely Hour Sam Smith CapitolSource: Official Charts Company
Source: BPI/Official Charts Company
Breakdown of Album Sales 2016 (%)
Breakdown of Artist Album Sales 2016 (%)
All Artist Albums
Physical
Download
Streams
Source: BPI/Official Charts CompanyNote: includes streaming
All Albums
Artist
Compilations
50.9%
58.2%
26.6%
58.2%
45.7%
52.2%
77.2%
30.3%
38.8%
26.9%
56.6%
26.9%
33.6%15.5%
15.0%
16.9%
15.0%
15.6%
17.5%
13.2%
9.6%
Catalogue (2014 & before)
Current Releases (2015)
New Releases (2016)
25 Sales Analysis
Back Catalogue: SinglesSia tops catalogue tracks chart
Catalogue accounts for the majority of individual track streams, but not to the same extent as in the albums market. Tracks released in 2016 and 2015 dominate the upper echelons of the chart to a much greater degree, with no catalogue track placed in the year-end top 75. Further down the chart, however, older tracks are much more frequent – well over 80% of tracks streamed between five and 10m times were released before 2015.
While catalogue tracks didn’t represent over 50% of downloads the dominance of streaming meant that songs from 2014 and before accounted for over half of chart-eligible sales, up from 48.8% in 2015. Sia’s Chandelier topped the catalogue chart, having been downloaded over 133,000 times and achieving a streams tally of more than 25m in 2016.
TOP 10 CATALOGUE SINGLES 2016
1 Chandelier Sia RCA Label Group
2 Bang My Head David Guetta Ft Sia Parlophone
3 Shut Up & Dance Walk The Moon RCA Label Group
4 Eyes Shut Years & Years Polydor
5 Let It Go James Bay Virgin EMI
6 Photograph Ed Sheeran Atlantic Records UK
7 Ex’s & Oh’s Elle King Columbia Label Group
8 Desire Years & Years Polydor
9 Thinking Out Loud Ed Sheeran Atlantic Records UK
10 Uptown Funk Mark Ronson Ft Bruno Mars Columbia Label Group
Source: Official Charts CompanySource: BPI/Official Charts Company
Breakdown of Singles Sales 2016 (% down)
All Singles (sales & streams) Sales Only Streams Only
Catalogue (2014 & before) 51.6 44.5 53.3
Current Releases (2015) 23.1 23.9 22.9
New Releases (2016) 25.3 31.7 23.8
Sia’s Chandelier toppedthe catalogue chart, having been downloaded over133,000 times and achievinga streams tally of more than25m in 2016.
Sia
26 Sales Analysis
Catalogue Streaming: AnalysisNoughties account for over a quarter of catalogue streams in 2016
Tracks released before 2015 accounted for over half of streams on audio services in 2016 and for the first time BPI has undertaken extensive research to ascertain the years in which these songs were first made available.
Perhaps unsurprisingly, the general trend is that tracks released in more recent years account for a greater percentage of plays than those from a long time ago. But there are interruptions to the pattern: tracks from 1999 cumulatively represented a greater share of plays than those from either 2000 or 2001, for instance. The factors influencing the popularity of certain years vary. Christmas songs attract a huge amount of plays - as the chart for the most popular song from each decade shows, half are seasonal hits. The death of a major artist can also cause blips too, as in 1977 where David Bowie’s Heroes helped that year account for more overall plays than each of the two following it.
Catalogue Streams in 2016 by Decade of Track’s Release (%)
44.8%2010-2014
26.3%2000s
10.5%1990s
7.9%1980s
6.2%1970s
3.7%1960s
0.5%1950s
0.1%1940s
Most-Played Catalogue Tracks by Decade of Release (streams m)
2010-2014 Bang My Head David Guetta Ft Sia 30
2000s Mr Brightside The Killers 26
1990s All I Want For Christmas Is You Mariah Carey 17
1980s Last Christmas Wham! 13
1970s Superstition Stevie Wonder 11
1960s Ain’t No Mountain High Enough Marvin Gaye & Tammi Terrell 10
1950s Rockin’ Around The Christmas Tree Brenda Lee 6
1940s White Christmas Bing Crosby 4
Tracks from 1999 cumulativelyrepresented a greater shareof plays than those fromeither 2000 or 2001.
1977 was the seventies’ mostimportant year. Its total wasboosted by streams of DavidBowie’s Heroes.
27 Sales Analysis
Catalogue Streaming: AnalysisMore than 100 catalogue songs played over 10m times in 2016
A quarter of plays (26.3%) were attributable to songs originally released in the 2000s, with The Killers’ Mr Brightside way out in front on over 26m streams. Tracks from earlier decades also racked up large numbers of plays too, however, with Nirvana’s Smells Like Teen Spirit and Bryan Adams’s Summer Of ‘69 among the 106 catalogue tracks streamed over 10m times.
The popularity of Christmas songs was demonstrated in the final week of the year when four of the top five most-streamed tracks were festive classics, including Wham!’s Last Christmas and, at number one, Mariah Carey’s All I Want For Christmas Is You. Elsewhere, songs from soundtracks proved popular: Marvin Gaye & Tammi Terrell’s Ain’t No Mountain High Enough, used in Guardians Of The Galaxy, was the most-streamed track from the 1960s, for instance. Classic albums also made a difference – tracks from Fleetwood Mac’s Rumours and Bob Marley and The Wailers’ Exodus both boosted 1977’s share.
Biggest Catalogue Years by Decade
Decade Biggest Year Albums with Popular Tracks
2010-2014 2014 Ed Sheeran X; Sam Smith In The Lonely Hour
2000s 2008 Beyonce I Am Sasha Fierce; Coldplay Viva La Vida
1990s 1999 Dr Dre 2001; Blink 182 Enema Of The State
1980s 1987 Michael Jackson Bad; Guns N’ Roses Appetite For Destruction
1970s 1977 F leetwood Mac Rumours; Bob Marley & The Wailers Exodus
1960s 1969 The Beatles Abbey Road; Rolling Stones Let It Bleed
Classic albums made a difference – tracks fromFleetwood Mac’s Rumours and Bob Marley and TheWailers’ Exodus both boosted1977’s share.
Fleetwood Mac
28 Sales Analysis
David Bowie and PrinceIconic albums re-chart in 2016
The deaths in 2016 of David Bowie (in January) and Prince (in April) robbed music of two of its greatest innovators and icons. Both were still recording new music - David Bowie’s passing occurred just two days after the release of his album Blackstar and Prince had released four albums between 2014 and 2015.
The immense catalogues of both artists were immediately in demand - across the course of the year just under 2m albums by the two artists were sold on physical and digital formats. Data from Kantar Worldpanel shows the audience of Prince’s music to be slightly more female biased and with a greater proportion aged under 35. While only 4.6% of buyers of David Bowie albums were teenagers, 14.4% of Prince buyers were from this age bracket compared to a market average of 10.4%.
David Bowie and Prince: Music Purchasers – Demographics (%)
Any Music David Bowie Prince
Male 63.8 64.5 61.8
Males under 35 years old 18.9 19.2 22.9
Males aged between 35 and 55 27.3 25.2 28.2
Males aged 55 and over 17.6 20.1 10.7
Female 36.2 35.5 38.2
Females under 35 years old 14.1 10.4 18.9
Females aged between 35 and 55 12.4 13.8 17.1
Females aged 55 and over 9.7 11.3 2.2
PrinceDavid Bowie
David Bowie and Prince: Most-Bought Albums 2016
1 Blackstar
2 Best Of Bowie
3 Nothing Has Changed - The Very Best Of
4 Legacy
5 Hunky Dory
1 The Very Best Of
2 4Ever
3 Purple Rain - OST
4 Ultimate
5 The Hits 1
Base: physical and digital music purchases (including tracks)Source: Kantar Worldpanel
Base: physical and digital album purchases Source: Official Charts Company
David Bowie’s passing occurred just two days after therelease of his album Blackstar
29 Sales Analysis
David Bowie and PrinceHeroes and Purple Rain top track charts
A number of classic albums by both artists re-charted in the wake of their deaths, including top 10 placings for David Bowie’s Hunky Dory and The Rise & Fall Of Ziggy Stardust and Prince’s Purple Rain.
The audience for both artists was already fairly well-engaged: 83% of buyers of David Bowie albums had made a music purchase in 2015, with 93% of Prince buyers doing so. In total, David Bowie purchasers bought 11.4 albums (of any description, not just by David Bowie) in 2016, with Prince fans buying 13.5. These groups’ respective average spends (again, across all titles) were £95.82 and £116.63 – much higher than the average buyer spend of £41.42.
Prince’s catalogue was only available on limited streaming platforms in 2016 but his songs were played over 3m times; David Bowie’s music was across all services and his tracks were streamed over 127m times. Over 510,000 David Bowie tracks and 420,000 Prince tracks were downloaded during the year.
PrinceDavid Bowie
David Bowie and Prince: Most Popular Tracks 2016
Percentage of David Bowie and Prince Purchasers Buying Any Music in 2015 (%)
1 Heroes
2 Life On Mars
3 Starman
4 Let’s Dance
5 Under Pressure*
1 Purple Rain
2 When Doves Cry
3 Kiss
4 Raspberry Beret
5 1999
Source: Official Charts Company *Queen & David Bowie
Prince's classic Purple Rain album returned to the top10 in May.
92.7%Prince buyers
only82.8%David Bowie buyers only
84.8%David Bowie & Prince buyers
Number of Purchases and Average Spend per Buyer – 2016
David Bowie Prince
Average number of purchases (all artists and compilations) 11.4 13.5
Average spend (all artists and compilations) £95.82 £116.63
Source: Kantar WorldpanelBase: physical and digital albums
Market Breakdowns
No album achieved an annual chart-eligible total of over a million in 2016 but the number of singles doing so doubled, to 16. Over 375,000 albums sold at least one copy and the most popular day to make a purchase remained Saturday.
Artists from the UK remained dominant in the albums market but American acts took the largest share of singles sales, although the biggest track of the year was by a Canadian artist (Drake). When both sales and streams were considered Rock was the most popular genre for albums but Pop ruled singles again.
Independent labels accounted for over one in every five albums sold in 2016, with artists such as Skepta and Christine & The Queens enjoying breakthrough success.
32 Threshold Analysis: Albums, Singles and Streams
33 Threshold Analysis: Formats
34 Sales and Streams by Day of Week
35 Sales by Chart Position
36 Sales by Artist Nationality: Albums
37 Sales by Artist Nationality: Singles
38 Sales by Type of Music: Albums
39 Sales by Type of Music: Singles
40 Sales by Gender
41 Groups and Solo Artists
42 Independent Music: Charts
43 Independent Music: Market Share
44 Market Share: Corporate Group
45 Market Share: Distributors
Skepta
Skepta's Konnichiwa album was awarded the Mercury Prize in September and went on to be certified Gold.
32 Market Breakdowns
Number of Albums Sold by Threshold
2015 2016
1m+ 1 —
500,000—999,999 11 6
100,000—499,999 85 78
10,000—99,999 1,202 1,291
1,000—9,999 10,298 9,534
101—999 41,513 36,362
1—100 337,362 328,365
Total 390,472 375,636
Base: chart-eligible sales (album streams included)
Number of Singles Sold by Threshold
2015 2016
1m+ 8 16
500,000—999,999 34 41
100,000—499,999 243 414
10,000—99,999 4,960 6,932
1,000—9,999 32,934 42,823
101—999 148,040 176,093
1—100 1,473,510 1,526,207
Total 1,659,729 1,752,526
Base: chart-eligible sales (streams included but divided by 100)
Number of Tracks Streamed by Threshold
2015 2016
1m+ 3,682 6,341
100,000—999,999 26,641 38,394
10,000—99,999 122,730 158,989
1,001—9,999 379,634 450,438
1—1,000 2,667,767 2,758,772
Total 3,200,454 3,412,934
Source: Official Charts Company
Threshold Analysis: Albums, Singles and Streams16 million-selling singles in 2016
More than 375,000 albums achieved at least one chart-eligible sale in 2016, but the total was a 3.8% decrease on the number that did so the previous year. Only 2.5% reached the 1,000 sales mark – the vast majority (87.4%) sold 100 or less.
The number of singles reaching the 1m sales mark (including tracks by Fifth Harmony and Shawn Mendes) doubled to 16 in 2016 and over 1.75m tracks were purchased at least once or streamed 100 times, an increase of 5.6%. More than 3.4m tracks were played on a dedicated audio service at least once in 2016, a rise of 6.6%. While some 6,341 tracks were streamed more than 1m times, 80.8% of all songs achieving any plays were in the 1 to 1,000 bracket.
Shawn Mendes
The number of singlesreaching the 1m sales mark(including tracks by FifthHarmony and Shawn Mendes)doubled to 16 in 2016
33 Market Breakdowns
Source: Official Charts Company
Threshold Analysis: FormatsOver 33,000 LPs sold at least one copy in 2016
Well over a quarter of a million titles sold at least one copy on CD in 2016, with 44 breaking the 100,000 sales mark. No vinyl LP breached the 100,000 sales barrier, but six did so on download with three (by Justin Bieber, Drake and Ed Sheeran) doing so when album streams were converted to chart-eligible sales. Over 33,000 LP titles sold at least one copy but for vinyl singles the numbers were much lower (5,609 on seven inch and 6,232 on twelve inch).
Over 32,000 albums were identified as having sold for the first time in 2016 – equivalent to about one in 12 of all titles to sell any copies that year. Over 127,000 of the 1.8m tracks selling at least one copy were also ‘new releases’, by this definition. Ed Sheeran
Justin Bieber, Drake and Ed Sheeran breachedthe 100,000 sales barrierwhen album streams wereconverted to chart-eligible sales.
Number of Albums Sold by Threshold – Format Breakdown 2016
CD LP Digital albums Album streams
100,000+ 44 — 6 3
10,000—99,999 609 35 210 396
1,000—9,999 4,200 520 2,009 4,517
101—999 20,592 3,186 12,584 16,212
1—100 237,269 29,465 178,520 29,004
Total 262,714 33,206 193,329 50,132
34 Market Breakdowns
20
60
100Singles: Sales and Streams by Day of Week 2016 (% Split)Sales and
Streams by Day of WeekFriday now most popular day for singles
Friday has yet to overturn Saturday as the most popular day for album buying, but the gap narrowed significantly in 2016. These two days both increased their share of weekly sales, with 18.5% purchased on Friday (up from 16.4%) and 18.7% bought on Saturday (up from 17.7%). The switch of new release day from Monday to Friday was implemented in the middle of 2015 so comparisons are not straightforward – it will be interesting to see if the primacy of these two days continues to grow in 2017.
Friday has now moved clearly ahead of Saturday as the biggest day of the week for streaming tracks, although Saturday is still the most-preferred day for downloading singles, with Sunday in second place and Friday third. When sales and streams are combined, Friday is the biggest day overall for singles.
Sunday
Monday
Tuesday
Wednesday
Thursday
Friday
Saturday
18.7%Saturday
12.0%Sunday
13.1%Monday
12.9%Thursday
12.2%Wednesday
12.6%Tuesday
18.5%Friday
Album Sales by Day of Week 2016 (% Split)
Source: Official Charts Company. Note: Sales Only, Streams Excluded
Singles (sales-only)
16.3%
12.9%
12.3%
12.3%
13.1%
15.7%
17.3%
Streams
13.4%
14.0%
14.4%
14.4%
14.0%
15.3%
14.5%
Chart-eligible
13.9%
13.8%
14.0%
14.0%
13.8%
15.4%
15.0%
Friday has yet to overturnSaturday as the most popularday for album buying,but the gap narrowedsignificantly in 2016.
35 Market Breakdowns
Sales and Streams by Chart Position 2016 – Artist Albums
1 5 10 20 30 40 50 75
Sales 39,506 14,076 8,475 4,662 3,143 2,325 1,777 1,074
Streams (converted) 2,144 1,771 1,100 943 609 500 521 551
Chart-eligible total 41,650 15,847 9,575 5,605 3,752 2,825 2,298 1,625
Sales by Chart Position 2016 – Compilations
1 5 10 20 30 40 50 75
Sales 50,373 8,317 4,764 2,556 1,636 1,211 962 587
Sales and Streams by Chart Position 2016 – Singles
1 5 10 20 30 40 50 75
Sales 37,800 16,891 11,525 7,507 5,214 3,689 2,747 1,980
Streams (converted) 49,186 29,331 23,242 16,401 12,804 10,631 8,978 5,732
Chart-eligible total 86,986 46,222 34,767 23,908 18,018 14,320 11,725 7,712
Source for all data: Official Charts Company
Sales by Chart PositionNumber one sales fall but increases occur further down
The phenomenal sales of Adele’s 25 boosted the weekly average sale of a number one artist album to 82,471 in 2015, but that tally fell by half in 2016. Whereas 25 sold over 800,000 copies in its week of release, only three titles (by David Bowie, The Rolling Stones and Michael Ball & Alfie Boe) managed weekly sales of over 100,000 in 2016. However, the average chart-eligible sales for positions 30 to 75 all increased in 2016, with rising album streams taking up the slack from fewer purchases. Streams do not count towards compilations’ chart-eligible totals and the number of sales achieved by a number one fell only slightly, from 51,159 to 50,373.
The chart-eligible sales achieved by a number one single fell significantly in 2016 (partly due to the huge success of Adele’s Hello in 2015) but totals across all other positions rose, with the growth in streaming outpacing the decline in downloading.
Thirty-seven different artists had a number one albumin 2016, including Blossoms (pictured), Craig David and The 1975.
36 Market Breakdowns
Sales by Artist Nationality – Albums (%)
2015 2016
UK 50.5 46.7
USA 36.7 39.2
Canada 3.8 5.5
Australia 1.9 1.9
Ireland 2.3 1.4
Sweden 1.0 1.0
France 0.6 0.9
Jamaica 0.5 0.6
Germany 0.5 0.5
Barbados 0.2 0.5
Italy 0.5 0.3
Denmark — 0.2
Norway 0.1 0.2
Netherlands 0.4 0.2
Iceland 0.2 0.2
New Zealand 0.1 0.1
Spain 0.1 0.1
Japan — 0.1
Senegal — 0.1
Finland 0.1 0.1
Sales by Artist Nationality: AlbumsDomestic acts rule in albums market
The share of album sales attributable to British artists fell below 50% in 2016, to 46.7%. Although Adele’s 25 was the best seller and seven of the annual top 10 albums were by UK acts, the share of chart-eligible sales claimed by North American artists grew. Elvis Presley’s The Wonder Of You was the fifth biggest selling album of the year and artists such as Beyonce, Bruno Mars and Twenty One Pilots all helped push the USA’s share up to 39.2%. Canada’s share of 5.5% (it’s biggest since 1996) was attributable to great success from artists such as Justin Bieber, Drake, Michael Bublé and The Weeknd.
Christine & The Queens helped improve France’s share while Denmark’s entry into the share table was largely facilitated by Lukas Graham.
UK USA
Canada
Australia
Ireland
Sweden
France
Jamaica
Germany
Barbados
Italy
Denmark
30
10
50
Artists such as Beyonce, Bruno Mars and Twenty OnePilots all helped push the USA’s share up to 39.2%.
Christine & The Queens helped improve France’s share
Bruno Mars
Source: BPI analysis/Official Charts Company Note: includes streaming
2015 2016
37 Market Breakdowns
Sales by Artist Nationality – Singles (%)
2015 2016
USA 35.1 37.8
UK 41.3 36.7
Canada 7.1 9.1
Australia 2.5 3.2
Sweden 3.1 2.9
France 1.9 2.2
Barbados 0.7 1.7
Denmark — 1.2
Norway 1.1 1.1
Ireland 1.9 0.9
Netherlands 1.4 0.8
Jamaica 1.4 0.7
Germany 1.0 0.5
Belgium 0.6 0.2
Colombia 0.1 0.1
Italy 0.1 0.1
Iceland 0.1 0.1
Argentina — 0.1
Spain 0.1 0.1
Ghana — 0.1
Austria — 0.1
Sales by Artist Nationality: SinglesAmerican artists top singles share table
American artists collectively claimed the largest share of singles sales in the UK for the first time in five years in 2016. Tracks from Justin Timberlake, Mike Posner and The Chainsmokers all featured in the year-end top 10 compared to just one from a British artist (Calvin Harris) and there were also big hits for American acts such as Fifth Harmony, DNCE and Major Lazer. Canada’s share improved again, with Drake’s One Dance the top track of the year and Justin Bieber and Shawn Mendes also charting impressively.
Sia helped Australia overtake Sweden to take fourth place while France (Kungs, DJ Snake), Barbados (Rihanna) and Denmark (Lukas Graham) also saw their fortunes improve. Despite the UK’s lessened showing however there were some encouraging signs, with debut hits for Calum Scott and Jonas Blue among others.
USA UK
Canada
Australia
Sweden
France
Barbados
Denmark
Norway
Ireland
Netherlands
Jamaica
Germany
30
10
50
Tracks from Justin Timberlake, Mike Posner and TheChainsmokers all featured in the year-end top 10compared to just one from a British artist.
The Chainsmokers
Source: BPI analysis/Official Charts Company Note: includes streaming
2015 2016
38 Market Breakdowns
Sales by Type of Music: AlbumsR&B and Country improve shares
Based purely on sales, Pop remains the top genre in the albums market in 2016, with the three main Now albums and titles by Adele, Justin Bieber and Little Mix all classified within the genre. When album streams alone are analysed, however, Rock is the dominant genre, in part because streams are not allocated to compilations’ chart-eligible totals. When sales and streams are combined Rock edges it, with titles by Coldplay and David Bowie among the most in demand in 2016.
R&B’s share increased whichever metric is used, with Drake and Beyonce both releasing successful new albums, while MOR/Easy’s sales share was boosted by strong demand on CD for titles by Michael Ball & Alfie Boe, Michael Bublé and Elvis Presley. The shares for Country (The Shires, Ward Thomas) and Blues (The Rolling Stones) also improved.
Albums by Genre (Sales Only) (%)
2015 2016
Pop 35.1 34.9
Rock 32.6 32.3
MOR/Easy Listening 6.6 6.9
R&B 4.7 6.2
Dance 7.7 5.9
Classical 3.3 3.1
Hip Hop 3.2 2.7
Country 2.1 2.5
Reggae 1.0 1.4
Jazz 1.3 1.2
Blues 0.8 1.2
Folk 1.2 1.1
World 0.2 0.2
Children’s 0.2 0.1
Spoken Word 0.1 0.1
New Age 0.1 0.1
Albums Streams by Genre (%)
2015 2016
Rock 42.2 40.4
Pop 25.0 24.6
R&B 9.9 11.0
Hip Hop 8.1 10.4
Dance 5.9 4.9
MOR/Easy Listening 2.5 2.6
Country 1.3 1.4
Jazz 1.2 1.1
Reggae 1.1 1.1
Folk 1.1 1.0
Classical 0.9 0.9
Blues 0.4 0.4
World 0.2 0.1
New Age 0.1 0.1
Spoken Word 0.1 —
Albums by Genre (Sales & Streaming) (%)
2015 2016
Rock 34.2 34.4
Pop 33.5 32.2
R&B 5.6 7.5
MOR/Easy Listening 5.9 5.7
Dance 7.4 5.6
Hip Hop 4.0 4.8
Classical 2.7 2.6
Country 2.0 2.2
Reggae 1.0 1.3
Jazz 1.3 1.2
2015 2016
Folk 1.2 1.1
Blues 0.7 1.0
World 0.2 0.2
New Age 0.1 0.1
Children’s 0.2 0.1
Spoken Word 0.1 0.1
Source: BPI analysis/Official Charts Company
Ward Thomas
39 Market Breakdowns
Sales by Type of Music: SinglesR&B and Hip Hop claim a quarter of chart- eligible total
Unlike the albums market, Pop is in pole position genre-wise across every measure for singles. Five of the top 10 tracks of 2016, including hits by Lukas Graham, Sia and Justin Timberlake, contributed to Pop’s share, with Rock in second place in terms of both streams and sales.
Dance’s share held firm in third place thanks to the success of acts such as The Chainsmokers, Calvin Harris and Jonas Blue, while R&B and Hip Hop collectively accounted for a quarter of the chart-eligible singles total in 2016.
Drake, Rihanna and The Weeknd all enjoyed strong years and Urban tracks accounted for the number one single in 16 weeks. Along with Rock, R&B and Hip Hop were the only genres to take larger shares in the streaming market than those they claimed in the downloads market.
Singles by Genre (Sales Only) (%)
2015 2016
Pop 40.7 40.4
Rock 19.1 18.7
Dance 16.6 17.0
R&B 9.2 11.3
Hip Hop 9.6 8.1
MOR/Easy Listening 1.5 1.4
Classical 0.8 0.9
Country 0.5 0.7
Reggae 1.3 0.6
Jazz 0.2 0.2
Folk 1.2 1.1
World 0.2 0.1
Blues — 0.1
Streams by Genre (%)
2015 2016
Pop 32.8 31.7
Rock 25.9 23.6
Dance 14.6 15.1
Hip Hop 11.9 13.8
R&B 10.3 11.9
MOR/Easy Listening 1.3 1.2
Classical 1.0 0.9
Reggae 0.9 0.6
Country 0.4 0.4
Folk 0.4 0.3
Jazz 0.3 0.2
Blues 0.1 0.1
World 0.1 0.1
Singles by Genre (Sales & Streaming) (%)
2015 2016
Pop 35.8 33.4
Rock 23.3 22.6
Dance 15.4 15.4
Hip Hop 11.0 12.7
R&B 9.9 11.8
MOR/Easy Listening 1.4 1.2
Classical 0.9 0.9
Reggae 1.1 0.6
Country 0.4 0.5
Folk 0.3 0.3
Jazz 0.2 0.2
World 0.1 0.1
Blues 0.1 0.1Source: BPI analysis/Official Charts Company
R&B and Hip Hop collectively accounted for a quarterof the chart-eligible singles total in 2016.
The Weeknd
40 Market Breakdowns
Sales by GenderSolo males’ share of sales tops 40%
Album Sales By Gender (%)
The success of Adele in 2015 played a large part in ensuring that well over a fifth of all artist albums sold that year were by solo women, but in 2016 that collective share dropped back to 17.4% even though her 25 album was again the top seller overall. Solo males were responsible for over 40% of sales for the first time this millennium, accounting for five of the year-end top 10 (Justin Bieber, Elvis Presley, Drake and two albums by David Bowie) and 44 of the top 100.
Male groups also saw their share rise, with titles by Coldplay, Michael Ball & Alfie Boe and the Rolling Stones among the biggest sellers, while female groups improved 2.9% – the largest share in over a
decade – was largely attributable to Little Mix. The top title by a male/female group was Fleetwood Mac’s Rumours.
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
30
10
50Male group
Male solo
Female solo
Male/Female group
Female group
UK Artists’ Share by Gender – 2016 (%)
Female Solo 45.1
Female Group 81.2
Male Solo 45.0
Male/Female Group 39.7
Male Group 63.3
Source: BPI Analysis/Official Charts Company Base: top 1,000 artist albums Note: streaming included from 2015 onwards
Recent years have seen aparticularly high share for solo males.
Female groups' shareimproved to 2.9% – the largestin over a decade.
Charlie Puth
Little Mix
40.5%
35.1%
17.4%
4.1%
2.9%
41 Market Breakdowns
Groups and Solo ArtistsUK groups put in strong showing in 2016
Solo artists have been responsible for the majority of album sales for eight years in a row now, although their collective share fell back slightly (to 57.8%) in 2016 after Adele’s dominance was not so pronounced. Only five of the top 20 albums of the year were by groups, although there were Gold-selling titles outside of that by artists such as The 1975, Twenty One Pilots and Radiohead. Interestingly, when sales of albums by UK artists are analysed in isolation for 2016, groups actually claim the larger share. Little Mix enjoyed a stellar year, selling over three quarters of a million albums while new titles by Catfish & The Bottlemen, Biffy Clyro and Bastille all sold well over 100,000 copies.
Groups
Solo Artists
Sales by Artist Type (UK Artists Only) – 2016 (% split)
Album Sales By Artist Type (% split)
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
50
40
60
Source: BPI Analysis/Official Charts Company Base: top 1,000 artist albums Note: streaming included from 2015 onwards
New titles by Catfish & TheBottlemen, Biffy Clyro andBastille all sold well over100,000 copies.
Solo artists have beenresponsible for the majorityof album sales for eight yearsin a row.
Michael Bublé
Catfish & The Bottlemen
50.2% 49.8%Groups Solo Artists
57.8%
42.2%
42 Market Breakdowns
Independent Music: ChartsNumber one albums for Blink 182, Radiohead and Passenger in 2016
With a further three quarters of a million copies sold in 2016, Adele’s 25 was the biggest independent album for a second year. She was one of seven artists on an independent label to reach number one on the weekly albums chart, along with Radiohead, Rick Astley, Frank Ocean, The Last Shadow Puppets, Passenger and Blink 182. In addition, new releases by Christine & The Queens and Skepta were certified Gold, with the latter’s Konnichiwa awarded the Mercury Prize in September.
Major Lazer’s Cold Water sold over a million copies and topped the singles chart for five weeks in the summer. Stormzy’s Shut Up was certified Gold in May, while Australian singer-songwriter Joel Adams’s Please Don’t Go went Silver in October.
TOP 10 INDEPENDENT ALBUMS 2016
1 25 Adele XL Recordings
2 50 Rick Astley BMG
3 A Moon Shaped Pool Radiohead XL Recordings
4 Chaleur Humaine Christine & The Queens Because Music
5 21 Adele XL Recordings
6 Konnichiwa Skepta Boy Better Know
7 AM Arctic Monkeys Domino Recordings
8 Everything You’ve Come To Expect The Last Shadow Puppets Domino Recordings
9 Blonde Frank Ocean Boys Don’t Cry
10 Written In Scars Jack Savoretti BMG
Source: Official Charts Company
TOP 10 INDEPENDENT SINGLES 2016
1 Cold Water Major Lazer/Justin Bieber/MØ Because Music
2 Light It Up Major Lazer Ft Nyla Because Music
3 Hello Adele XL Recordings
4 Send My Love (To Your New Lover) Adele XL Recordings
5 When We Were Young Adele XL Recordings
6 Lean On Major Lazer Ft MØ & DJ Snake Because Music
7 Shut Up Stormzy Stormzy
8 Tilted Christine & The Queens Because Music
9 Be Right There Sleepy Tom & Diplo Because Music
10 Please Don’t Go Joel Adams Will Walker
Source: Official Charts Company
Seven artists on independent labels reached number one on the weekly albums chart: Adele, Radiohead, Rick Astley, Frank Ocean, The Last Shadow Puppets,Passenger and Blink 182.
Blink 182
43 Market Breakdowns
Independent Music: Market ShareIndependents account for over one in five album sales
The share of the albums market collectively accrued by independent labels fell to 22.6% (from 26.5% in 2015). The huge popularity of Adele’s 25 in 2015 was one contributing factor (it sold 2.5m copies), with the acquisition of Ministry Of Sound by Sony Music in late summer 2016 being another (hence the fall in compilation sales share – see table). In the singles market independents’ share increased to 21.7% of all chart-eligible sales (i.e. physical, download and streaming combined), with key drivers including the success of Major Lazer and the release of tracks from Adele’s 25 as singles.
Independent artists continue to perform well on streaming services, accounting for well over one in every five plays. More than 30 independently-released tracks were streamed more than 10m times in 2016, from artists such as JME, Flume and John Gibbons.
Source: Official Charts Company *includes album streams
Source: Official Charts Company Note: chart-eligible albums from 2015 onwards
The acquisition of MinistryOf Sound by Sony Music had some impact onindependents' compilationsales share
Independent Market Share by Sector (% units)
2012 2013 2014 2015 2016
Artist Albums* 21.1 23.1 22.3 26.2 23.2
Compilation Albums 29.4 31.5 27.9 27.3 20.1
Physical Albums 21.8 24.0 22.8 26.5 22.8
Digital Albums 25.7 27.5 26.2 28.0 28.7
Track Streams n/a n/a 23.5 22.2 22.2
Independent Market Share – Albums and Singles (% units)
2012 2013 2014 2015 2016
Albums 22.7 25.1 23.8 26.5 22.6
Singles 18.3 20.7 18.7 21.3 21.7
Major Lazer
44 Market Breakdowns
Albums – Chart-Eligible Sales (%)
2015 2016
Universal Music 34.4 35.0
Sony Music 22.5 25.2
Warner Music 16.6 17.2
BMG 1.8 2.4
XL Beggars 3.6 2.1
Ministry Of Sound Group 2.8 1.5
Demon Music Group 0.9 0.9
Domino Recordings 0.4 0.5
PIAS 0.6 0.5
Not Now Music 0.6 0.5
Cooking Vinyl 0.3 0.3
Kobalt Music Group 0.2 0.3
Because Music 0.1 0.3
Nuclear Blast 0.2 0.2
Cherry Red 0.2 0.2
Ignition 0.5 0.2
Big 3 0.1 0.2
Play Digital 0.4 0.2
Snapper Music 0.2 0.2
Epitaph 0.1 0.2
New State 0.1 0.2
HNH 0.2 0.2
Mascot Label Group 0.1 0.2
Boy Better Know — 0.2
Secretly Group 0.1 0.2
Source: Official Charts Company
Singles – Chart-Eligible Sales (%)
2015 2016
Universal Music 38.4 37.0
Sony Music 22.2 23.3
Warner Music 18.1 18.0
XL Beggars 1.9 1.9
BMG 0.9 0.9
Because Music 0.5 0.7
Domino Recordings 0.6 0.6
PIAS 0.6 0.6
Ministry Of Sound Group 1.0 0.6
Boy Better Know 0.2 0.3
Kobalt Music Group 0.2 0.3
Epitaph 0.2 0.2
Demon Music Group 0.2 0.2
Ninja Tune 0.2 0.2
Hopeless 0.2 0.2
Stormzy 0.1 0.1
Cooking Vinyl 0.2 0.1
Spinnin’ 0.1 0.1
Nettwerk 0.1 0.1
Dirty Hit 0.1 0.1
Macklemore 0.2 0.1
Ignition 0.2 0.1
Secretly Group 0.1 0.1
Warp 0.1 0.1
VP 0.1 0.1
Market Share: Corporate GroupUniversal tops market share tables in 2016
Universal’s share of chart-eligible album sales increased slightly – to 35.0% – in 2016. As well as the continued strong performance of the Now series there was great success for Michael Ball and Alfie Boe (whose Together was the biggest selling artist album in December) and new albums by Drake, The Rolling Stones and The 1975, along with Justin Bieber’s Purpose. Sony also saw their share increase – with the Now series and albums by Elvis Presley, David Bowie and Little Mix all in demand – as did Warner, who enjoyed breakout success with Twenty One Pilots and Charlie Puth alongside the ongoing popularity of Coldplay and Jess Glynne.
BMG increased their share (thanks in part to number one albums from Rick Astley and Blink 182), as did Domino, Kobalt, Because Music and Secretly Group, among others.
The 1975's I Like It When You Sleep... was a number onealbum in March
45 Market Breakdowns
Albums – Chart-Eligible Sales (%)
2015 2016
Sony DADC UK 33.3 35.2
Universal Music 15.6 16.5
Sony Music 10.3 11.4
Cinram 8.7 9.2
Warner Music 7.2 7.9
PIAS Cinram 4.2 2.9
Proper Music 1.2 2.1
The Orchard 3.2 1.9
PIAS UK 1.5 1.5
ADA Cinram 1.1 1.4
Beggars Group 1.0 1.0
ADA Warner Music 0.8 1.0
FUGA 0.2 0.8
Plastic Head 0.5 0.5
INgrooves 0.5 0.4
Fat Cat Int 0.5 0.4
Select 0.4 0.4
Absolute Sony DADC UK 0.2 0.3
Domino Recordings 0.2 0.3
Absolute 0.3 0.3
AWAL 0.2 0.3
Tunecore 0.2 0.2
SRD 0.2 0.2
Believe Digital 0.3 0.2
RSK Sony DADC UK 0.2 0.2
Import 0.2 0.2
Source: Official Charts Company
Singles – Chart-Eligible Sales (%)
2015 2016
Universal Music 38.5 37.1
Sony Music 22.0 23.4
Warner Music 17.8 18.0
PIAS UK 2.5 2.4
ADA Warner Music 2.3 2.4
The Orchard 2.5 2.3
Beggars Group 1.8 1.9
Tunecore 1.2 1.6
FUGA 0.2 1.0
INgrooves 0.9 1.0
AWAL 0.5 0.7
Believe Digital 0.6 0.7
Domino Recordings 0.6 0.6
Absolute 0.5 0.5
Ditto Music 0.2 0.4
Spinnin’ 0.1 0.2
ROM 0.2 0.2
Ninja Tune 0.2 0.2
Secretly Distribution 0.1 0.2
CD Baby Hit Media 0.2 0.2
SRD 0.2 0.2
Empire 0.1 0.2
Essential 0.7 0.1
Warp 0.1 0.1
Label Worx 0.1 0.1
PK Interactive — 0.1
Market Share: DistributorsSony DADC increase share in albums market
Sony DADC (who handle Universal and Sony’s physical product) distributed eight of the top 10 biggest-selling albums of 2016 and its share of chart-eligible sales increased to 35.2%, from 33.3% in 2015. Cinram (who distribute Warner’s CDs and LPs) also saw its share increase, as did Universal, Sony and Warner’s digital divisions. Proper claimed a much-improved 2.1%, with new titles from Paul
Carrack, Anderson Paak and Steven Wilson among its biggest releases, while ADA
Cinram (handling product by BMG, Because Music and Mascot Label Group) and FUGA also reported rises.
In the singles market, Universal artists such as Drake, Mike Posner, Justin Bieber and Rihanna featured high on
the year-end chart with Sony (Sia, Calvin Harris, Zara
Larsson), Warner (Lukas Graham, Coldplay), Believe Digital (Gavin
James) and Ditto (Stormzy) all also experiencing share
increases.
Calvin Harris
RetailingSpending on music rose by 4.6% in 2016, to £1.136bn, with paid streaming accounting for over a third of that total. The number of shops selling music rose again and vinyl's presence grew, with supermarket sales of the format rising dramatically. Women continue to account for the majority of music spend at supermarkets but men were responsible for the larger part of expenditure at all other retail sectors.
Over a quarter of CDs purchased in 2016 were bought as gifts, rising to over four in every 10 in the final weeks of the year. Impulse purchasing also remains hugely important, accounting for 44% of physical music purchases.
48 Retail Spending on Recorded Music
49 Retailers Selling Recorded Music
50 Retailer Market Share
51 Penetration: Streaming Services
52 Consumer Profiles
53 Average Retail Prices
54 Music Gifting: Share and Recipient Profile
55 Music Gifting: Album Type
56 Impulse Purchasing
57 Retailer Loyalty
Beyoncé
Over half of chart-eligible sales of Beyonce's Lemonade were via download.
48 Retailing
Total: £1,087.9 Total: £1,087.4 Total: £1,050.9 Total: £1,086.2 Total: £1,135.7 Total: +4.6%
Retail Spending on Recorded MusicExpenditure on music tops £1bn again
Spending on music - encompassing physical and digital purchases as well as streaming service subscriptions - rose by 4.6% in 2016, to £1.136bn. Sales of digital singles and albums fell sharply but the growth of paid streaming was more than enough to offset losses across both these and physical purchasing and now accounts for 36.8% of money spent on recorded music.
Physical album expenditure decreased by 7.3% to £472.9m, but within that market vinyl sales accounted for £65.5m, a rise of 56.4%. CD sales were down by 13% at £406.3m. Music video is included in physical and was boosted by big releases from Oasis and The Beatles.
Value of Retail Sales (£m) Physical formats Subscription Downloads Other digital
% change
-7.0%
+65.1%
-26.8%
+3.9%
2012
£620.2
£383.7
£77.1
£6.9
2013
£397.3
£9.9
£105.8
£574.4
2014
£338.1
£9.8£167.7
£535.3
2015
£293.4
£10.2
£253.5
£529.1
2016
£214.6
£10.6
£418.5
£492.0
Source: Official Charts Company and ERA & BPI estimates
Music video is included in physical and was boosted bybig releases from Oasis and The Beatles.
Oasis
49 Retailing
Retailers Selling Recorded MusicNumber of stores selling music rises in 2016
The number of independent retailers selling music in 2016 rose to 380, although not all of these were newly opened - most were previously classed as only stocking secondhand product. While the number of Tesco, Asda and Morrisons stores stocking music fell slightly, Sainsbury’s added to their total, as did HMV and That’s Entertainment, the net result being that more stores were permanently stocking music in 2016 than 2015.
There was a big increase in the number of outlets stocking music on a more ad-hoc basis, the total rising by 1,892 in 2016. Over a thousand more Tesco Express stores are now doing so, with Sainsbury’s Local adding 165 in 2016.
Vinyl’s presence grew, with Sainsbury’s announcing in March that it would begin stocking LPs in over 170 of its stores, including some exclusive titles. Supermarkets accounted for 6.9% of vinyl sales in 2016, up from 0.3% in 2015.
Key Permanent Music Retail Outlets
2012 2013 2014 2015 2016
Tesco 907 925 922 891 889
Sainsbury's 589 579 593 601 606
Asda 552 579 588 568 556
Morrisons 479 500 515 493 490
Independent Specialists 293 296 339 342 380
HMV 238 141 128 128 130
That's Entertainment n/a n/a 32 26 30
Total 3,048 3,030 3,117 3,049 3,081
Source: Official Charts Company/Millward Brown
Other Music Outlets 2016*
Co-op 3,749
Tesco Express 1,623
Sainsbury’s Local 843
One Stop 816
Argos 698
Superdrug 665
WHSmith 659
Boots 637
B&M 534
Source: Official Charts Company/Millward Brown*Seasonal/event stockists
BP 447
Wilko 379
Home Bargains 370
Homebase 253
Spar 240
Original Factory Store 216
Burton 213
Matalan 208
Primark 180
Debenhams 178
Poundstretcher 140
The Range 130
Moto 89
Outfit 79
WHS Travel 47
Disney 33
Wyvale 18
50 Retailing
Retailer Market ShareDigital retailers’ share of spend drops again
HMV stores accounted for a fifth (19.5%) of all music purchased on physical or digital formats in 2016, helping give music specialists an improved 21.9% collective share. Home Delivery services - led by Amazon - also saw their share of music expenditure increase, amounting to over a quarter (26.0%) of the total. Ebay is the second largest retailer in this category and their share is comprised solely of sales of new product.
The Supermarkets’ share held steady, with Asda claiming the largest percentage (narrowly ahead of Tesco), but downloads cumulatively accounted for less than a third of music bought, with iTunes’ share dipping below 20% of the market total. This was the sector with the greatest purchase penetration however - 11.3% of the population bought something from a download store in 2016.
The Rolling Stones
Retailer Shares – Music Purchased (% spend)
2015 2016
Music Specialists 19.2 21.9
HMV 17.5 19.5
Fopp 0.7 0.9
Other 1.0 1.6
Home Delivery 23.7 26.0
Amazon 18.0 19.4
Ebay 1.3 2.0
HMV 0.3 0.9
Tesco 0.7 0.5
Rakuten 0.6 0.2
Other 2.8 2.9
Supermarkets 19.6 19.7
Asda 6.7 6.0
Tesco 5.8 5.9
Sainsbury’s 5.0 5.4
Morrisons 2.1 2.4
Digital 36.0 30.2
iTunes 23.1 18.8
Amazon 8.7 8.4
Google Play Store 1.4 0.6
7digital 0.4 0.4
eMusic 0.3 0.2
Other 2.1 1.9
Other 1.5 2.2
Source: Kantar Worldpanel
Purchase Penetration by Retailer Group (%)
2015 2016
Total Music 32.7 28.4
Music Specialists 7.7 7.3
Home Delivery 12.2 11.2
Supermarkets 10.1 8.6
Digital 13.6 11.3
Other 1.9 1.7
Source: Kantar Worldpanel
11.3% of the populationbought something from adownload store in 2016.
The Supermarkets’ share heldsteady, with Asda claimingthe largest percentage
Specialists accounted forover 60% of sales of Blue& Lonesome by The RollingStones.
51 Retailing
Penetration – Streaming Services (%)
4 w/e 4 w/e 17 Jan 16 15 Jan 17
Any Streaming (incl. YouTube) 27.6 27.4
Any Streaming (excl. YouTube) 14.7 15.4
Paid Streaming 7.5 8.5
Free Streaming 7.8 7.8
YouTube 17.7 16.4
Spotify 10.9 11.6
Apple Music 2.0 2.5
Amazon Music Unlimited - 1.3
Google Play Music 1.2 1.1
Deezer 1.4 1.0
Vevo 0.9 0.6
Xbox Music 0.2 0.2
Tidal - 0.1
Napster 0.2 0.1
Penetration: Streaming ServicesReach of paid streaming services continues to grow
Over a quarter (27.4%) of the population streamed music in the period from mid-December 2016 to mid-January 2017, according to Kantar Worldpanel. That figure includes YouTube as well as the advertising-funded tier of Spotify – when only ‘paid’ streamers are measured, the figure drops to 8.5%, although that share has grown from 7.5% in the same period a year previously. For the purposes of this book, paid streamers are defined as anyone who has access to the subscription tier of a dedicated streaming service, whether they are paying, on a free trial, or signed up for a limited period via a third-party deal (for example, with a mobile phone contract). Amazon Prime Music has been excluded from this because it is just one part of a suite of benefits available to Prime customers.
Any Streaming incl. YouTube
Any Streaming excl. YouTube
Paid streaming
4 w/e 17 Jan 16 4 w/e 15 Jan 17
Free streaming
27.6%
27.4%
14.7%
15.4%
7.5%
8.5%
7.8%
7.8%
Source: Kantar Worldpanel
20
30
10
52 Retailing
Consumer ProfilesUnder 35s comprise majority of streamers
Men account for the greater expenditure in terms of all music purchasing channels except for supermarkets, where women were responsible for 50.6% of spend in 2016. This was a slight decrease from 2015 when women accounted for 51.9% of the total. The shopper profile at specialists seems to be getting older - in 2015 almost a third of spend (32.2%) came from those aged under 35, but that dropped to 25.0% in 2016.
The gender split on streaming services is a little more even, although the measure used is number of consumers rather than spend. Men comprise a greater share of paid streamers than those who are using the free tier of services such as Spotify and teenagers make up almost 20% of the user base of these free-to-access services, compared to 13.3% of paid streamers. Of the individual services list out here, Apple has the youngest user profile, with a third (33.0%) aged 24 and under.
Consumer Profiles – Retailers (expenditure, % across)
Female Male 13-19 20-24 25-34 35-44 45-54 55-64 65+
Music Specialists 35.5 64.5 7.5 4.8 12.7 19.6 25.3 16.1 14.0
Home Delivery 31.3 68.7 5.0 4.0 13.9 17.2 26.2 19.5 14.3
Supermarkets 50.6 49.4 7.4 6.9 10.7 15.4 24.1 19.2 16.3
Digital 31.3 68.7 19.6 11.1 23.2 16.5 16.9 7.2 5.5
Chains/Multiples 40.2 59.8 2.0 2.3 13.8 9.2 22.0 21.9 28.9
Source: Kantar Worldpanel
Consumer Profiles – Streaming Services (number of consumers, % across)
Female Male 13-19 20-24 25-34 35-44 45-54 55-64 65+
Any Streaming (incl. YouTube) 45.5 54.5 15.9 13.8 25.9 17.3 14.4 7.5 5.2
Free Streaming (excl. YouTube) 47.3 52.7 19.1 12.2 24.0 16.0 14.5 8.4 5.8
Paid Streaming (excl. Prime) 43.4 56.6 13.3 14.9 27.5 18.5 14.7 6.9 4.2
YouTube 44.0 56.0 15.5 12.6 22.9 16.4 14.4 10.5 7.7
Spotify 46.3 53.7 16.8 14.9 26.2 15.5 13.3 8.0 5.3
Apple Music 48.0 52.0 18.0 15.0 21.8 18.5 14.5 7.9 4.3
Deezer 38.7 61.3 16.4 7.9 25.8 21.8 16.4 7.2 4.5
Source: Kantar Worldpanel
53 Retailing
Average Retail Prices CD prices at highest level since 2007
Kantar’s respondents reported paying more for albums in nearly every category – only for digital compilation albums and multi-CD titles did the average price paid drop in 2016.
The lowest average price for an album this millennium was reported in 2011 (£7.02) but it has steadily risen ever since, climbing to £8.38 in 2016, which is its highest level since 2007 when it was £8.47.
A quarter (24.6%) of albums are now bought for between £8 and £10, up very slightly on 2015. There was a slight rise in the share of purchases made that cost above £14, probably driven by the increased demand for vinyl.
Source: Kantar Worldpanel
8
4
Single Tracks
Albums
incl. Digital
CD Albums
Single CD Albums
Multi-CD Albums
Digital Albums
Artist Albums
Compilation Albums
Average Retail Prices
Album Sales by Price Band (%)£8.19
£8.38
£8.49
£8.35
£7.99
£7.84
£9.75
£9.78
£7.99
£7.72
£8.24
£8.01 £9.06
£9.01
£0.97
£0.97
2015 2016
10.4%Under £4
10.6%Under £4
23.6%£8.00-£9.99
24.6%£8.00-£9.99
20.7%£4.00-£5.99
20.8%£4.00-£5.99
19.1%£6.00-£7.99
16.0%£6.00-£7.99
7.5%£12.00-£13.99
8.5%£12.00-£13.99
15.7%£10.00-£11.99
2015 2016
15.0%£10.00-£11.99
3.0%£14.00+
4.5%£14.00+
54 Retailing
Music Gifting: Share and Recipient ProfileOver a quarter of CDs given as gifts in 2016
Over a quarter (25.9%) of CDs bought in 2016 were given as gifts but in the 12 week period ending 15th January 2017 the proportion rose considerably, to 42.6%.
The recipients of these gifted CDs are overwhelmingly female - in the 12 week period, women were the recipients of approaching two thirds (62.2%) of albums bought as gifts. Teenagers were the second-most popular recipient group but over 55% of people given gifted CDs were aged over 45.
Of all those who bought CDs as gifts in the 12 week period at the end of 2016, 42% were those that had also done so a year earlier.
27.1%2015
62.2%Female
58%New
42%Repeat
37.8%Male
25.9%2016
42.1%12 w/e 17/01/16
42.6%12 w/e 15/01/17
Gifting’s Share of CD Purchases (%)
New and Repeat Gift Buyers (%)
Profile of Gift Recipient (CD, %)
Source: Kantar Worldpanel Base: volume, CD
12 w/e 15/01/17
12 w/e 15/01/2017
19.3%Under 19
8.9%25-34
12.1%35-44
18.0%45-54
16.0%55-64
21.3%65+
4.4%20-24
55 Retailing
Music Gifting: Album TypeHalf of compilation albums bought as gifts over Christmas period
A much greater proportion of compilation albums (51%) were bought as gifts in the 12 week period over Christmas/New Year than artist albums (40.7%). Perhaps one factor behind this was the increased percentage of Now titles bought as gifts across 2016 - 43.4%, compared to 38.7% in 2015.
On this page we look at the gifting profiles of two high-profile Q4 artist and compilation releases: Alfie Boe & Michael Ball's Together and Now 95. A significant proportion of both were bought for others (59.3% and 62.3% respectively), with a fairly even gender profile split for the purchasers but 88.6% of recipients for Together were women compared to two thirds (66.3%) for Now 95. Over a third (38.1%) of recipients of Together were retired, with teenagers the biggest recipient group for Now 95 (17.3%).
Source: Kantar WorldpanelBase: volume, CD Source, all tables: Kantar Worldpanel Base: CDs bought in 12 w/e 15/01/2017
Compilations
Now 95
Gifting by Album Type (%)
12 w/e 17/01/16
Fem
ale
12 w/e 15/01/17
Mal
e
Mal
es
unde
r 35
Mal
es
35-5
5
Mal
es
over
55
Fem
ales
un
der 3
5
Fem
ales
35
-55
Fem
ales
ov
er 5
5
51.0%
50.8%
49.0%
49.2%
3.0%
16.4%
15.0%
21.2% 30.9%
11.6%
10.2%
21.4% 10.9%
14.2%
29.9%
15.1%
Artist Albums
Together
Recipient Profile (%)Share of Purchases Made as Gifts (%)
Profile - Michael Ball & Alfie Boe 'Together'/'Now 95'
Female
Male
Under 45
Over 45
88.6%
66.3%
11.4%
33.7%
8.4%
87.2%
91.6%
12.8%
Purchaser Profile: 'Together' and 'Now 95' (%)
44.2%
51.0%
41.6%
40.7%
59.3%Together
62.3%Now 95
56 Retailing
Impulse PurchasingImpulse buys account for majority of physical compilation purchases
While the majority of all music purchases are planned (62.4%), for physical albums the impulse share is relatively high (44.0%), and among physical compilations actually accounts for the greater percentage (50.9%).
The presence of physical titles in bricks and mortar stores contributes greatly to the share of impulse purchases, as might be expected, amounting to well over half the albums bought in specialist outlets and supermarkets. For digital and home delivery channels there is a much greater degree of pre-purchase planning.
Men account for a slightly larger share of impulse purchasing than they do for planned. Middle aged buyers tend to over-index on planned purchasing, accounting for 43% of all transactions in this category compared with 39.1% of impulse buys.
Impulse/Planned Purchasing by Category 2016 (% volume across)
Total Music
Total Albums (Physical & Digital)
Digital Tracks
Digital Albums
Physical Albums
Compilation Albums
Artist Albums
62.4%
Planned Impulse
58.8% 41.2%
51.1% 48.9%
60.4% 39.6%
65.2% 34.8%
69.3% 30.7%
56.0% 44.0%
37.6%
Impulse/Planned Purchasing – Buyer Demographics 2016 (% across)
Female Male 13-34 35-54 55 and over
Total Albums 36.8 63.2 28.4 41.6 30.0
Planned 37.2 62.8 27.7 43.0 29.2
Total Impulse 36.0 64.0 29.6 39.1 31.3
For physical albums theimpulse share is relativelyhigh (44.0%)
Impulse/Planned Purchasing by Retailer 2016 (% volume across)
Total Retailers
Music Specialists
Digital
Home Delivery
Supermarkets
58.8%
Planned Impulse
44.4% 55.6%
76.9% 23.1%
45.0% 55.0%
69.3% 30.7%
41.2%
Source, all tables: Kantar Worldpanel Base: all albums
Base: albums only
57 Retailing
Retailer LoyaltyAlmost two thirds of music buyers use only one retailer
In the tables on this page, retailer loyalty is measured as the percentage of shoppers who only use that particular channel for all their music purchasing. Under this definition, home delivery and digital shoppers are the most loyal, with almost three quarters (71.2%) of them using only that channel to buy music in 2016. Amazon and iTunes in particular have a high level of loyalty - almost half of its music shoppers use it for all their music purchasing, perhaps a reflection of the fact that availability of music (or at least the range thereof) on the high street is dwindling.
The majority of music shoppers are completely loyal: almost two thirds (65.0%) of music buyers used just one retailer in 2016. Men make up over two thirds (69.1%) of shoppers loyal to internet retailers but women comprise the majority (60.1%) of those who shop only at supermarkets, with customers aged over 65 accounting for over a fifth of buyers loyal to these outlets.
Number of Retailers Used per Buyer 2016 (%)
The majority of musicshoppers are completelyloyal: almost two thirds ofmusic buyers used just oneretailer in 2016
Source: Kantar Worldpanel
Loyal Buyers — Demographics by Retailer Type (% across)
Female Male Under 19 20-24 25-34 35-44 45-54 55-64 65+
Internet (Home Delivery & Digital) 30.9 69.1 14.9 10.8 19.2 14.1 20.7 12.8 7.5
Music Specialists 53.0 47.0 9.1 9.6 15.9 7.5 23.8 21.3 12.8
Supermarkets 60.1 39.9 6.8 9.0 11.0 14.4 20.1 17.8 20.9
Base: all music
Base: all music
Retailer Loyalty (% buyers)
2016
Internet (Home Delivery & Digital) 71.2
Amazon 47.2
iTunes 48.2
Tesco 17.5
HMV 10.6
Other 35.5
Music Specialists 29.3
HMV 29.0
Other 14.9
Supermarkets 38.6
Sainsbury’s 35.1
Asda 26.0
Tesco 36.4
Morrisons 32.5
65.0%One
22.0%Two
7.9%Three
2.9%Four
2.3%Five+
Music Consumers
Just under 40% of the population aged over 13 either bought music or accessed a paid streaming service in 2016. While this represents a decreasing number of people, average spend per consumer did increase. Paid streamers represent around 40% of those paying for music now and while there is a significant portion of paid streamers who are still buying singles and albums, the percentage of those whose music consumption takes place entirely through paid streaming services is rising.
Usage of streaming services is a complex mix of trials, bundled deals and regular subscribers. New data suggest that around a third of paid streamers are sharing an account and a quarter are accessing the service through a trial or via a third party deal such as a mobile phone contract.
60 Penetration: Music Consumers
61 Demographics: Music Consumers
62 Key Buyer Groups: Lifestage
63 Heaviest Spenders: Purchasing
64 Average Spend per Consumer
65 Lost, New and Retained Consumers
66 Streamers: Account Type and Usage
67 Consumer Crossover
68 Hardware Ownership
69 Music Listening: Where and How
16.2% of the population accessed a paid streaming service in 2016.
60 Music Consumers
Penetration: Music Consumers28.4% of the population made a music purchase in 2016
The percentage of the population aged 13 and over that made either a music purchase or accessed the subscription tier of a music streaming service fell in 2016 to 39.8%, from 42.5% in 2015, according to Kantar Worldpanel. A greater number of people made a purchase (28.4%) than those that were classed as a 'paid streamer' (16.2%), although the definition of the latter includes those on free trials and bundled deals, as well as shared subscriptions. The penetration rate for any form of music consumption comes close to 50% among the 20 to 24 year olds but falls below 30% among the oldest age group.
A quarter of the population (24.9%) bought an album at some point during the year (down from 28.1%), with penetration highest among the 45-54 year olds (33.0%). Only one in 13 (7.8%) bought or downloaded a single. Two thirds of those accessing a paid streaming service did not buy any music to own. The group most likely to do both were the 20-24 year olds.
Penetration - Music Consumers 2016 (%)
Total Female Male 13-19 20-24 25-34 35-44 45-54 55-64 65+
Any music spend (purchase or paid streaming) 39.8 36.6 43.7 42.4 48.6 46.8 42.9 41.9 34.6 26.9
Music Purchase 28.4 26.1 31.6 26.2 27.5 27.6 29.1 33.0 30.1 24.1
Music Purchase - album 24.9 22.8 27.7 22.0 22.1 22.3 24.9 29.9 28.2 22.4
Artist album 21.9 19.7 24.7 18.6 19.2 19.4 21.1 26.7 25.8 19.7
Compilation 10.1 9.3 11.0 10.9 8.6 8.6 12.1 12.0 9.9 8.7
Music Purchase - single 7.8 6.6 9.2 12.8 11.3 10.7 9.9 7.3 4.1 3.0
Paid Streaming Services 16.2 14.0 18.5 23.4 30.0 26.1 18.7 13.6 7.5 4.0
Paid Streaming only 10.6 9.5 11.8 15.0 18.7 18.5 13.0 8.2 4.0 2.7
Paid Streaming and Music Purchase 5.6 4.5 6.7 8.4 11.3 7.6 5.7 5.4 3.5 1.3
Source: Kantar Worldpanel
Source: Kantar Worldpanel
Music Purchase Penetration 2012-2016 (%)
2012
2013
2014
2015
2016
46.7%
43.7%
37.7%
32.7%
28.4%
61 Music Consumers
Demographics: Music Consumers25 to 34 year olds are key group on paid streaming services
This first table on this page looks at spending on music and how that breaks out demographically. Men's expenditure represents over 60% on all but one of the metrics represented here - compilations, where women account for 48.3%. Male spend constitutes over two thirds of the singles total and just under that when spend on artist albums is isolated.
The second set of data breaks down various paid streaming-related consumer groups in terms of gender and age make-up. Again men account for the larger share across the board and represent over 60% of those who bought music and accessed a paid streaming service. The 25 to 34 year olds are the key group throughout, even in the group who have either made a purchase or accessed a paid streaming service.
Demographics – Music Purchasers (% spend, across)
Female Male 13-19 20-24 25-34 35-44 45-54 55-64 65+
Any Music Purchase 36.2 63.8 10.4 6.9 15.8 17.0 22.7 15.0 12.3
Music Purchase - album 36.8 63.2 8.3 5.7 14.3 17.2 24.4 16.5 13.5
Artist album 34.0 66.0 8.1 5.5 14.3 17.5 25.0 16.3 13.4
Compilation 48.3 51.7 9.3 6.7 14.7 15.9 22.0 17.6 13.9
Music Purchase – Single 31.9 68.1 24.0 14.5 25.5 15.2 11.5 4.8 4.5
Demographics – Paid Streamers (% consumer, across)
Female Male 13-19 20-24 25-34 35-44 45-54 55-64 65+
Any music spend (purchase or paid streaming) 45.9 54.1 9.8 9.8 20.2 17.3 18.4 13.0 11.6
Paid Streaming 43.4 56.6 13.3 14.9 27.5 18.5 14.7 6.9 4.2
Paid Streaming only 44.8 55.2 14.3 13.8 28.9 20.0 12.9 5.7 4.4
Paid Streaming and Music Purchase 39.8 60.2 15.2 15.9 22.5 16.8 16.4 9.2 4.0
Source: Kantar Worldpanel
Men’s expenditure representsover 60% on all but one of themetrics represented here -compilations.
62 Music Consumers
Key Buyer Groups: LifestageEmpty nesters and retired key to physical purchasing
The data on this page breaks down the different paying consumer groups in 2016 in terms of lifestage, which centres around not just the age of the consumer but the presence of children in the home. For example, it can be seen that Empty Nesters (those aged 45 to 65 with no children at home) are the biggest consumer group in terms of physical purchasing, but the fourth largest for paid streaming. Older Pre-Family (defined as adults aged over 30 with no children) represent over a fifth (20.8%) of digital purchasers, while Younger Pre-Family (aged under 30 with no children) consumers constitute the biggest paid streaming group.
Although not paying consumers, free streamers are included by way of comparison. Teenagers are the second biggest group here and take a share almost three times as big as that within physical purchasers.
Consumer Group by Lifestage 2016 (% down)
ConsumerDefinition PhysicalPurchasers DigitalPurchasers PaidStreamers FreeStreamers
Teenager Aged 19 and under 6.9 13.0 13.3 19.1
Younger Pre-Family Aged under 30, no children 10.5 16.9 23.9 19.2
Older Pre-Family Aged over 30, no children 12.2 20.8 18.0 14.7
Young Family Youngest child aged 4 and under 5.3 6.1 6.8 8.0
Middle Family Youngest child aged between 5 and 9 7.0 7.3 8.8 7.0
Older Family Youngest child aged 10 to 15 7.9 7.7 8.5 8.1
Older Dependents Aged 45 and over, 3+ adults at home 13.7 8.4 7.7 8.5
Empty Nesters Aged 45-65, no children at home 21.4 14.3 9.3 10.4
Retired Aged 65 and over 15.1 5.5 3.8 5.1
Source: Kantar Worldpanel
63 Music Consumers
Heaviest Spenders: PurchasingMen represent three quarters of the biggest digital spenders
This page looks at the demographic profile of the heaviest spenders in 2016 (those who spent more than £62 on music to own). It also examines the profiles of those who were the heaviest spenders on physical music (those spending over £48) and downloads (those spending over £56).
Men account for three quarters of the biggest-spending digital buyers, with those males aged under 24 representing almost a quarter (24.1%) of all people in this purchasing group. The profile of these ‘heavy’ digital buyers is becoming more male too - in 2015 women constituted 25.7% of the total, but that share is now down to 25.0%.
The gender split among the heavy physical purchasers is less male-oriented but female share is also dropping in this group, down to 41.8% from 42.5% in 2015. The 45-54 age group is the most important, although the heaviest female buyers come from the 25-34 age bracket. Empty Nesters represent over a quarter of buyers from this group and they are also the largest in the overall music purchasing market, where they constitute over a fifth (20.4%).
Source: Kantar Worldpanel
Consumer Profile - Heaviest Spenders 2016 (% down)
Total Physical Purchasing Digital Purchasing
Female 35.8 41.8 25.0
Male 64.2 58.2 75.0
13-19 13.7 11.7 18.2
20-24 9.2 4.3 16.4
25-34 16.9 14.4 22.6
35-44 13.9 12.8 13.2
45-54 20.8 22.9 18.0
55-64 15.5 19.8 5.9
65+ 10.1 14.2 5.7
Teenager 13.7 11.7 18.2
Younger Pre-Family 12.6 7.8 22.6
Older Pre-Family 16.7 14.7 17.2
Young Family 3.9 2.5 6.0
Middle Family 6.4 5.9 6.6
Older Family 7.0 6.8 4.9
Older Dependents 11.1 13.5 8.4
Empty Nesters 20.4 25.5 12.3
Retired 8.3 11.7 4.0
35.8%Female
64.2%Male
Almost two thirds of the UK'sheaviest music buyers aremen
64 Music Consumers
Average Spend per ConsumerPaid streamers' expenditure rises considerably in 2016
Even though the percentage of the population either making a purchase or paying to stream decreased in 2016, the average spend of these music consumers increased, from £41.41 to £44.75. Males aged over 35 were the highest spending group - their expenditure was £53.48, up from £49.17. This group was also the highest spending when the expenditure of those who only paid to stream was analysed. While the expenditure of a subscriber paying £9.99 per month would work out at close to £120 annually, it has to be borne in mind that this figure will include those who only subscribed for part of the year, as well as those who were on free trials or bundled deals. It should be noted that this average spend rose considerably in 2016 however, by almost £12.
Any music spend (purchase or paid streaming)
Average Spend per Consumer
Total
Total
Females Under 35
Females Under 35
Females Over 35
Females Over 35
Males Under 35
Males Under 35
Males Over 35
Males Over 35
£41.41
£25.41
£36.66
£20.37
£30.78
£23.15
£46.11
£27.64
£49.17
£28.99
£44.75
£37.16
£40.09
£33.35
£32.17
£31.16
£48.92
£40.27
£53.48
£41.28
2015 2016
Paid streamers
Source: Kantar Worldpanel
65 Music Consumers
Lost, Retained and New Consumers20m people made a purchase or were classed as a paid streamer in 2016
According to Kantar Worldpanel 20m people either purchased music or were classified as a paid streamer at some point in 2016. This included 14.6m that had purchased music in 2015 as well, and 5.4m that were technically 'new' to the market in 2016 - equivalent to 29.0% and 10.7% of the population respectively. 13.6% of the population stopped spending money on music in 2016, however. Two thirds of those were solely music purchasers although it should be noted that a similar proportion of new consumers were from this group too.
Source: Kantar Worldpanel
Lost, Retained and New Music Consumers Compared to 2015
67.7%Music Purchase
24.8%Paid Streaming
7.6%Both
6.8m people stopped spending money on music in 2016
56.3%Music Purchase
26.8%Paid Streaming
16.9%Both
14.6m people carried on spending money on music in 2016
64.0%Music Purchase
30.5%Paid Streaming
5.5%Both
5.4m people started spending money on music in 2016
66 Music Consumers
Streamers: Account Type and UsageOver a third of paid streamers are using a shared acccount
Of those who had access to a paid streaming service in the four weeks ending 17 January 2016, over a third (34.4%) stated that they were sharing an account.
Almost three quarters (74.1%) of those with access to a subscription service were paying, with more than one in 10 on a free trial and a similar amount on a 'bundled' deal (such as via a mobile phone contract).
Around 2% of the population took up Spotify's trial offer in 2016 according to Kantar. In the four weeks ending 17th January 2017 triallists comprised 6.4% of Spotify's users but a much greater percentage (20.8%) of Apple Music users.
Family plans are also getting significant traction in the market place. As many as around one in seven (15.1%) of Apple Music users were accessing the service via such a deal in 2016.
Sharing of Paid Streamers’ Accounts (%)
Segmentation of Spotify and Apple Music Users – Dec 2016/Jan 2017 (%)
Paid Streamers – Type of Account (%)
In my name – myself and others use it
Free trial
Free Trial
In my name – only I use it
Bundled deal (free)
Free with other subscription
Owned by other but I also use it
Student membership
Standard paid tier
Family plan
Paying to use service
26.3%
6.4%
20.0%
65.7%
74.1%
67.2%
14.2%
28.3%
16.5%
43.3%
30.7%
15.1%
14.3%
6.5%
7.7%
26.2%
20.8%
13.5%
65.6%
16.9%
12.4%
8.2%
4 w/e 17 Jan 16
Spotify - Paid Users
4 w/e 15 Jan 17
Apple Music
Source, all tables: Kantar Worldpanel
In the four weeks ending17th January 2017 trialistscomprised 6.4% of Spotify’susers but a much greaterpercentage (20.8%) of AppleMusic users.
67 Music Consumers
Consumer CrossoverPhysical-only buyers remain a core consumer group
The diagram on this page segments music consumers in terms of how many were engaged in paid streaming, digital purchasing and physical purchasing and where those consumer behaviours crossed over. A growing percentage (26.9%, up from 22.1% in 2015) of consumers are only using paid streaming services but physical buyers still form a solid core and well over a third (38.8%) of all music consumers only purchased physical music in 2016.
By contrast, the groups who mixed consumption methods accounted for a smaller share - collectively they represented 22.2% of the total, down from 26.3% in 2015.
Consumer Crossover 2016 (%)
Source: Kantar Worldpanel
Consumer Crossover 2014-2016 (%)
2014 2015 2016
Paid streaming only 20.0 22.1 26.9
Physical only 40.5 38.8 38.8
Digital only 14.3 12.8 12.1
Paid streaming and physical 5.7 5.8 5.7
Paid streaming and digital 6.2 7.1 5.5
Physical and digital 10.0 9.6 8.1
Paid streaming, physical and digital 3.2 3.8 2.8
26.9%Paid streaming only
38.8%Physical only
12.1%Digital only
2.8% Paid streaming, physical and digital
8.1% Physical and digital
5.5% Paid streaming, and digital
5.7% Paid streaming, and physical
68 Music Consumers
Hardware OwnershipOver a third of households now own a wireless speaker
Technology consultancy Futuresource’s data for 2016 shows that 10m wireless speakers (such as Amazon’s Echo, Sonos’s Play and Bose’s Soundlink) are now in UK homes, with over a third (35%) of households having access to one. Their popularity has soared from a virtually standing start just five years previously. Systems with wi-fi functionality are also rising in popularity and even though the penetration of ‘dumb’ hi-fis is decreasing they are still present in 37% of households. Ownership of tablets is now falling but there was a small increase in the proportion of people in possession of a smartphone. Headphone sales remained steady, with wireless models now accounting for around a fifth.
Turntables were widely available in 2016 and GfK’s figures demonstrate just how in-demand they have become. The market is now worth £33m and 272 different models (produced by 60 different brands) were bought in 2016.
Hardware Ownership/Devices Used
In-Home Hardware
Installed Base (m) 2013 2014 2015 2016
Wireless Speakers 1.6 3.4 6.0 10.0
Household Penetration 6.0% 12.0% 21.0% 35.0%
Soundbars 0.8 1.7 2.8 3.8
Household Penetration 3.0% 6.0% 10.0% 13.0%
Hi-Fi Systems 12.4 11.7 11.1 10.5
Household Penetration 44.0% 42.0% 39.0% 37.0%
Integrated Hi-Fi Systems with Wireless Features 0.8 1.3 1.7 2.2
Household Penetration 2.8% 4.4% 6.0% 7.6%
Mobile Devices
Installed Base (m) 2013 2014 2015 2016
Smartphones 53.2 55.6 57.4 58.4
Personal Penetration 83.0% 86.3% 88.5% 89.4%
Tablets 19.3 24.2 24.2 22.7
Personal Penetration 30.1% 37.5% 37.4% 34.8%
Headphones
Shipments (m) 2013 2014 2015 2016
Total Headphones 12.1 12.0 11.8 11.8
Source: Futuresource Consulting Ltd. All Rights Reserved
Turntable Sales
2015 2016
Units (thousands) 204 330
Value (£m) 21 33
Source: GfK
GfK’s figures demonstratejust how in-demand turntables have become.The market is now worth £33m.
69 Music Consumers
Music Listening: Where and How Radio accounts for greatest share of listening time
The near-ubiquity of mobile phone ownership puts streaming within reach of most of the population, but CD players are still owned by a large percentage too. Almost half (47%) of AudienceNet's survey respondents reported having an in-car CD player,and almost as many (45%) a hi-fi with a CD. This is a not-inconsiderable installed base, but CDs accounted for only a tenth of their typical music listening, however, with traditional radio top and listening via mobile phones second. Almost a fifth of respondents stated that they owned a turntable, but vinyl only represnted less than 1% of total listening.
Almost two thirds (63.1%) of paid streamers reported listening while 'on the go' (e.g. commuting) - over two times the proportion of those on the free tier, who can use the service but would have to eat into their data allowance to do so, whereas subscribers can cache music for offline listening.
Share of Listening by Method (%)
Source: AudienceNet/Audiomonitor
Base: users of streaming services Source: Kantar Worldpanel
FM/AM radio
receiver
Mobile
DAB radio
receiver
Laptop/Netbook
Desktop
CD Player
iPod/
portable MP3
In-car CD TV
In-car phone
connection
Internet/wi-fi
connected radio
Tablet
Wireless
Speakers
Vinyl Player
Games Consoles
30
20
10
Where Streaming Occurs (%)
All Streaming Free Streaming Paid Streaming
At home 80.8% 82.6% 78.7%
On the go 46.3% 28.6% 63.1%
At work 22.9% 15.0% 30.2%
At school/college/university 8.6% 7.4% 9.8%
24.1%
15.6%
13.9%
7.9%
5.8%
5.5%
4.3%
4.3%
4.3%
4.0%
3.1%
3.0%
1.1%
0.9%
0.4%
Focus on Streaming
Streaming now accounts for well over three quarters of chart-eligible singles sales and over a third of album consumption as 2016 saw the first ever album to be certified on streaming alone when Kanye West's The Life Of Pablo went Silver.
Playlists were a hot topic in 2016. There was much debate about how labels and artists can maximise exposure to streaming audiences and curated playlists have an undoubtedly important role in that. New BPI research (published in this chapter) looks at the representation of both UK artists and independent labels. Debate also continues around the role of YouTube and how reliant people are on it for their music listening – on page 78 we examine some of those concerns.
72 Streaming: Chart Impact
73 Most-Streamed Artists
74 Playlists: Share of Audio Streams
75 Playlists: Usage
76 Playlists: British Artist/Independent Label Share
77 Streaming: Share of Listening
78 YouTube: Usage
79 Motivations for Subscription
Ed Sheeran was one of the most-streamed artists of 2016.
Ed Sheeran
72 Focus on Streaming
Streaming’s Share of Chart-Eligible Totals (%)Streaming: Chart ImpactStreams now account for a third of chart-eligible artist album sales
Streaming’s impact on chart-eligible totals for both the artist album and singles market increased markedly in 2016. From accounting for two thirds (66.4%) of the singles total in 2015 its share rose to well over three quarters (82.0%) in 2016, although commentators noted that its growing importance led to a slowing down of the singles chart. Streams now represent over a third (35.3%) of the albums total, up from 27.3% in 2015.
In the final month of the year streams represented 85.7% of the chart-eligible singles total, with the high for artist albums (43.4%) coming in August, when plays of Drake’s Views equated to over 20,000 album sales. Streaming has played a big part in the chart performance of some albums, representing over 50% of the 2016 chart-eligible total for Views as well as albums by Ed Sheeran, Rihanna, Kygo and Bryson Tiller, while in early 2017 Kanye West’s The Life Of Pablo became the first album to be certified Silver on streams alone.
Jan
2016 Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
100
50
Format Shares of Chart-Eligible Totals (%)
2015
2015
2016
2016
27.3%
75.7%
30.0%
77.9%
34.9%
79.3%
36.7%
80.1%
39.0%
80.9%
39.7%
81.8%
38.6%
82.0%
41.5%
83.3%
43.4%
84.1%
43.1%
84.5%
40.0%
85.5%
32.7%
85.7%
35.3%
50.1%
47.9%
22.6%
16.8%
66.4% 0.1% 33.5%
0.1% 17.9%82.0%
PhysicalStreams Digital
Source: Official Charts Company
Source: Official Charts Company
SinglesArtist Albums
Kanye West’s The Life OfPablo became the first albumto be certified Silver onstreams alone.
Artist Albums
Singles
22.9%
73 Focus on Streaming
Twenty One Pilots
07
Most-Streamed ArtistsDrake is the most-streamed artist of 2016
Official Charts Company analysis reveals that Drake was the most-streamed artist of 2016, moving up from third place in 2015. His One Dance was by far the most-played track of the year, while songs such as Too Good, Controlla and Hotline Bling all featured in the year-end top 100 streaming chart. Justin Bieber’s 2015-released Love Yourself and Sorry were again among the most popular songs of the year and he also scored a huge hit in his collaboration with Major Lazer, Cold Water. He was the second most popular streaming artist for a second consecutive year.
Ed Sheeran fell from first place in 2015 to ninth in 2016 but he released no new material in 2016 aside from a collaboration with Macklemore. Rihanna and Kanye West both made the top five, their new albums among a handful of high profile titles to be released - at least initially in Anti’s case - as streaming exclusives.
Source: Official Charts Company
MOST-STREAMED ARTISTS 2016
Ed Sheeran Eminem09 10
Sia08
Coldplay05 06
Rihanna Kanye West03 04
Drake Justin Bieber01 02
The Weeknd
Justin Bieber’s 2015-released Love Yourself and Sorrywere again among the most popular songs of the year
74 Focus on Streaming
Playlists: Share of Audio StreamsCurated playlists play an important role in discovery and consumption
Playlists have become increasingly important in the world of audio streaming. They can fulfil a number of functions, from serving as introductions and alerts to new artists and music to simply being a convenient place to access content that is already familiar.
The flowchart in this page depicts where plays on streaming services such as Spotify and Apple Music originate from. Debate is ongoing regarding the importance of ‘curated’ playlists in breaking artists and making hits. Undoubtedly these act as important points of introduction but often users will save tracks they like to their own collections, so not all plays of a popular track will come directly from a service’s
own lists. Another important source of plays is from the artist’s own page, or resulting from a user search for a track (‘Direct Plays’ in the flowchart). The consumption percentages are based on various estimates – the importance of each sector will vary from one company’s catalogue to another.
All Streams
Playlists
Curated/Editorial Own Collections/Saved Tracks
User- Created/ Owned
Direct Plays
Other
Playlists’ Share of Audio Streams
20-25%
85% 15% 50% 50%
75-80%
Source: BPI estimates based on various industry sources
75 Focus on Streaming
Playlists: UsagePlaylists growing in importance for streamers
A June 2016 survey by AudienceNet found that among those who listen to playlists on streaming services, lists created by the user are by far the most popular, accounting for almost two thirds (61%) of listening. This again underlines the importance of users saving tracks from curated lists to their own. A significant proportion (39%) of survey respondents stated that recommendations from friends were still their key source of music discovery, but Spotify playlists were cited by 16%.
MIDiA Research have looked at this area in some detail. Their own surveys have found that curated playlists are growing in importance and that playlisting is replacing albums for a growing proportion of the population. This is particularly pronounced among subscribers to streaming services – in MIDiA’s ‘Streaming Healthcheck’ survey in Autumn 2016, over two thirds (68%) said playlists were replacing albums for them.
Follower counts are no guarantee of regular user interaction but give a broad guide of popularity. Today’s Top Hits is Spotify’s biggest playlist, with 13.6m global followers in March 2017.
Listening by Playlist Type
Q: Of the playlists you listen to, what percentage are…
24%Playlists created by the platform
15%Playlists created by someone else
Source: Audiomonitor
Source: Spotify Source: MIDiA Research
Using curated playlists more than 6 months ago
‘Playlists are replacing albums for me’
Globally Most-Followed Playlists (Spotify) – March 2017
Followers
Today’s Top Hits 13.6m
Rap Caviar 5.8m
Baila Reggaeton 4.0m
Viva Latino 4.0m
Hot Country 3.5m
Attitudes Towards Playlists
60
20
37%
60%
56%
68%
Free streamers Subscribers
61%Playlists created
by myself
76 Focus on Streaming
Playlists: British Artist/Independent Label ShareUK artists typically account for around 40% of domestic playlist tracks
Two areas of audio streaming that BPI has been examining are the representation of UK artist and independent label content on curated playlists. Playlists can be curated either domestically or at a global level, so we took a sample of some of the most popular of each and analysed the nationality of the artists included and whether they were signed to a major or an independent.
The focus of the playlists in the sample varies, from new music to chart hits and themes/moods. In many cases British repertoire comprises at least a third of the tracks featured, although it can be seen that on those which are globally-curated that drops to around 12-14%. The representation of independent tracks is much more variable. On the UK version of New Music Friday it amounted to almost half, but on several others – including many domestically-curated lists – it is below 10%.
10
30
50
Best of
The Week
Today’s
Hits
The A-List:
Pop
Friday
Feeling
Hot Hits UK
Massive
Dance Hits
Feel Good
Friday
New Music
Friday UK
The Pop
List
Today’s
Top Hits
(Global)
New Music
Friday
(Global) TGIF
(Global)
48.5%
47.7%
6.0%
43.0%
6.4%
43.6%
5.0%
38.5%
10.3%
43.0%
21.4%
40.7%
8.6%
36.0%
49.0%
44.3%
13.1%
43.9%
16.7%
15.3%
36.6%
15.2%
20.0%
14.3%
UK IndependentsPlaylist Analysis – Streaming Services (%)
Methodology note: this research was conducted from August 2016 to March 2017 and is based on representation at title level on each particular playlist rather than percentage of plays
Source: BPI analysis
77 Focus on Streaming
Streaming: Share of ListeningStreamed music accounts for a quarter of 16-24 year olds’ listening
Ofcom’s 2016 Communications Market Report includes the results of their Digital Day research, which studies (among other indices) the listening behaviour of 1,500 respondents. It found that while live radio dominates, streamed music via services such as Spotify and Apple Music is a key growth area, accounting for 7% of listening time, rising to a notable 25% among 16 to 24 year olds.
Almost a fifth of the panel had streamed music on a weekly basis, again peaking within the 16 to 24 year olds age group (51%). The overall penetration rate of 19% put streamed music’s reach ahead of music videos and on-demand radio (both 13%) but behind listening to CD or vinyl (26%), personal digital audio (31%) and live radio (76%).
Respondents to Kantar’s Worldpanel survey reported streaming music on dedicated services for an average of 6.9 hours per week in December 2016/January 2017, with that figure rising to 7.2 among paid streamers.
Streaming’s Share of Listening (%)
Weekly Reach of Streamed Music by Age Group (%)
2014
2016
Period: 4 weeks ending 15/01/2017Base: Kantar Worldpanel
Source: Ofcom Communications Market Report 2016Base: weekly listening time
Source: Ofcom Communications Market Report 2016
Average Number of Hours Listened per Week
25%16-24
13%Adults 16+
19%Adults 16+
14%25-34
26%25-34
25%35-44
11%35-44
7%Adults 16+
8%25-34
8%35-44
6%45-54
2%55-65
1%65+
11%45-54
7%55-65
8%45-54
8%55-65
3%65+
2%65+
Any Streaming
Free Streaming
Paid Streaming
6.9
5.8
7.2
51%16-24
38%16-24
78 Focus on Streaming
YouTube: UsageOver a third of the population regularly use YouTube to access music
YouTube ‘s reach is impressive. A 2016 survey conducted for the BPI by AudienceNet found that only a fifth of the population never use it to listen to music, with well over a third (38.4%) regularly doing so. For almost half of respondents it is their first port of call when they want to listen to a piece of music that they don’t own, almost three times the amount for whom Spotify is their primary destination.
It is also heavily relied upon as a source of music for a core of its users. For almost a third it is where the majority of their music listening takes place.
AudienceNet’s survey also found that most respondents reported using YouTube to listen to music they already know - less than 15% of respondents said they used it to mainly or exclusively discover new music.
Reliance on YouTube
Q: How much of your listening takes place on YouTube?
Listening Destinations (%)
Q: When you want to listen to a piece of music that you don’t own, where is your first destination?
2.9%I rip it from YouTube
3.0%All of it (100%)
YouTube - Regularity of Usage (%)
Q: Do you use YouTube to listen to music/watch music videos?
13.5%Every day
24.9%Several times a week
19.3%No, never
42.3%Every now and then
9.5%Other
11.5%Most of it (75-99%)
16.6%I listen on an audio streaming service
(e.g. Spotify)
21.0%Some of it
(25-49%)
46.4%I stream it on
YouTube
15.2%Quite a lot
(50-74%)
9.8%I acquire it for free from another source
49.3%Not much (1-24%)
14.9%I pay to download it or buy it on CD/LP
Source for all: BPI/AudienceNet/Audiomonitor Base: all using YouTube to watch/listen to music
Only a fifth of the populationnever use YouTube to listen to music, with well over a third(38.4%) regularly doing so.
79 Focus on Streaming
Motivations for SubscriptionSurvey finds free trials a compelling route to subscription
AudienceNet’s 2016 Audiomonitor survey asked respondents who had subscribed to a streaming service such as Spotify what their main motivations for doing so were. The most widely-cited reason (by 60%) was that they had first used the paid tier on a trial and liked it. Almost a third (31%) had used the free tier but wanted to remove the adverts and usage on a mobile phone was attractive to over a quarter (at present mobile users of free tiers can only enjoy restricted track selection and have no offline listening capacity).
The survey also asked those who do not subscribe what the perceived barriers to doing so were. For almost half (48%) the concept simply doesn’t appeal, with cost a major consideration too – a quarter of respondents stated that they simply prefer not to pay for music.
Base: all who pay for a music subscription serviceSource: AudienceNet/Audiomonitor
Base: all who do not pay for a music subscription serviceSource: AudienceNet/Audiomonitor
Why Decide to Pay for a Music Subscription? (%) Why Decide Not to Pay for a Music Subscription? (%)
Used the full version on a free trial and liked it Doesn’t appeal to me
Too expensive
Happy using free version
Prefer not to pay/prefer free such as YouTube
Prefer to listen in a different way
Don’t understand what it is
Content range not good enough
Audio quality isn’t good enough
Not enough personalisation
Was using free version, liked it, wanted to remove adverts
60% 48%
31%
26%
25%
17%
6%
3%
2%
1%
26.9%
Was using free version, liked it, wanted to remove adverts
Wanted to use it on my mobile device
Recommendations from friends/family
Wanted to listen to a song/album exclusive to platform
Saw it advertised and liked the look of it
31%
28%
12%
9%
7%
World SalesGlobal music revenues rose by 5.9% to US$15.7bn in 2016, with digital accounting for half of that total. Drake was IFPI's global recording artist of the year, although three UK artists made the top five in David Bowie, Coldplay and Adele.
Despite four albums by UK artists appearing in IFPI's global top 10, the cumulative share of worldwide sales accounted for by UK acts fell in 2016. There were still notable successes, however, with new albums by The Rolling Stones, Radiohead and Robbie Williams making an impact as well as the final album by the late David Bowie. New artists such as Rag'n'Bone Man and Dua Lipa also began to make an international impression.
82 World Sales
83 Best Selling Albums and Artists
84 UK Music in North America
86 UK Music in Germany and France
87 UK Music in the Rest of the World
Adele's 25 was the biggest-selling album by a UK artist globally for a second year running.
Adele
82 World Sales
World SalesGlobal revenues grow by 5.9% in 2016
Global revenue data collated by IFPI revealed industry income grew by 5.9% in 2016. Digital (including streaming) now accounts for half of the overall value of the recorded music market and in the world's biggest territory, the USA, amounted to 70%. Worldwide streaming revenues grew by 60.4% and at the end of 2016 there were 112 million users of paid music streaming subscriptions.
The UK remained at third place in the global share table, with income growing by 5.1%. Canada moved above Australia to rank sixth while the Netherlands replaced Brazil in 10th place. Revenue accrued in the USA climbed by 7.6% to $5.3bn, equating to over a third of the worldwide total.
Top 10 International Markets 2016 (trade value)
Rank Country Physical Digital Performance Rights Synchronisation US$ (m) Local Currency (m) % change from 2015
1 USA 18% 70% 8% 4% 5,318.2 5,318.2 +7.6%
2 Japan 73% 20% 6% 1% 2,746.0 298,709.3 +1.1%
3 UK 32% 47% 19% 2% 1,251.1 925.8 +5.1%
4 Germany 52% 32% 16% 1% 1,212.0 1,090.8 +1.9%
5 France 38% 30% 29% 3% 849.6 764.6 +3.9%
6 Canada 27% 63% 9% 0% 368.0 475.2 +12.8%
7 Australia 23% 64% 11% 2% 357.3 496.8 +5.8%
8 South Korea 35% 59% 5% 0% 330.2 384,524.0 +23.4%
9 Italy 41% 34% 22% 3% 263.8 237.4 -1.0%
10 Netherlands 28% 43% 29% 1% 243.4 206.9 +9.3%
Source, all tables on this page: IFPI Note: values translated at 2016 fixed exchange rates
Revenue Split
Worldwide Recorded Music Trade Revenues 2014-2016 (US$ bn)
Breakdown of World Sales 2016
2%Synchronisation
50%Digital (incl. streaming)
34%Physical
14%Performance rights
5
10
15
2014
2015
2016
14.284
14.800
+5.9% change from 2015
15.679
83 World Sales
Best Selling Albums and ArtistsAdele's 25 is top selling album by a UK artist globally
Drake was named by IFPI as Global Recording Artist of the year for 2016, a measure which takes into account worldwide popularity across physical formats, downloads and streams. Three of the top five were British, including Adele, who was number one in 2015's list.
Adele's 25 was the second biggest album globally in 2016 behind Beyonce's Lemonade. Four of the top 10 were by UK acts compared to five in 2015, among them 2016-released albums by David Bowie and The Rolling Stones.
UK artists' collective share of sales in both Europe and the world fell in 2016. While there were some albums that achieved a high level of international success, there were only eight titles by British artists in IFPI's global top 50 albums list compared to 14 in 2015.
11.8
12.6
13.3
13.0
13.7
23.4
17.1
25.9
24.0
12.5
20.7
Source: IFPISource: BPI analysis based on IFPI, Oricon, ARIA, Nielsen/Billboard and Media Control GfK data Note: European data not separately available for 2010-2012
2012RadioheadA Moon Shaped PoolOverall position: 20
05
2012ColdplayA Head Full Of DreamsOverall position: 9
04
2012The Rolling StonesBlue & LonesomeOverall position: 6
03
2012David BowieBlackstarOverall position: 5
02
2012Adele25Overall position: 2
01
BEST SELLING ALBUMS BY UK ARTISTS WORLDWIDE 2016
Top 10 Global Recording Artists 2016
Artist Country
1 Drake CAN
2 David Bowie UK
3 Coldplay UK
4 Adele UK
5 Justin Bieber CAN
6 Twenty One Pilots USA
7 Beyoncé USA
8 Rihanna BAR
9 Prince USA
10 The Weeknd CAN
Source: IFPI
15
25
2010
2011
2012
2013
2014
2015
2016
UK Artists' Share of Sales (%)
Europe Global
Over one in five albumsbought in Europe in 2016 wasby a British artist.
84 World Sales
UK Music in North AmericaBritish artists' share remains solid in USA and Canada
British artists accounted for a smaller percentage of artist album sales in the USA and Canada in 2016, but the decreases were not unexpected owing to the phenomenal success of Adele in 2015. The shares (12.2% and 15.2% respectively) were still very respectable, however, and there were number one albums for Zayn and The 1975 as well as David Bowie's Blackstar. New releases by Radiohead, Bastille and The Rolling Stones charted in the top 10 in both territories and in February Adele's 25 passed the 25m sales mark in the USA. There was also singles success for artists such as Calvin Harris and Clean Bandit, while Mark Ronson, Ed Sheeran and Muse all tasted success at the Grammys.
Source for all tables: BPI research based on Nielsen/Billboard data
British Artists' Market Share by Format – USA and Canada 2016 (%)
USA Canada
All Music Consumption 10.0 13.6
Album Sales 12.2 15.2
Album Sales and Streams 10.0 13.8
Physical Albums 12.7 15.8
Download Albums 11.6 14.1
Track Streams 8.4 12.4
Track Downloads 9.9 12.2
UK Artists' Share of Album Sales in USA and Canada (%)
15
25
2008
2009
2010
2011
2012
2013
2014
2015
2016
Bastille
10.0
9.6
13.4
11.7
16.2
14.9
9.8
13.4
13.6
10.4
14.2
17.3
12.2
17.6
22.0
15.3
12.2
15.2
Canada USA
The decrease in album sales in 2016 was not unexpectedowing to the phenomenalsuccess of Adele in 2015.
85 World Sales
UK Music in North AmericaAdele continues to lead the UK charge in 2016
When artists were ranked by total music consumption - which takes into account album purchases, track downloads and streaming - Adele was the highest-placed of the UK artists in the USA in 2016, with close to 3.5m album equivalent sales. David Bowie was second, with 77% of his AES total coming from album sales alone, and Coldplay were placed third. The top three was slightly different in Canada, with Calvin Harris in second place owing to very strong streaming and track download totals. Adele was ranked as the top British artist however, and the biggest non-Canadian artist of the year overall.
Adele's 25 was the top selling album by a British artist in North America. It sold over 1.7m copies digitally and physically in the USA and over 195,000 in Canada.
Source: Nielsen/Billboard Base: album sales
2012Adele21Overall position: 36
05 2012The Rolling StonesBlue & LonesomeOverall position: 26
05
2012ColdplayA Head Full Of DreamsOverall position: 34
04 2012ColdplayA Head Full Of DreamsOverall position: 25
04
2012RadioheadA Moon Shaped PoolOverall position: 23
03 2012RadioheadA Moon Shaped PoolOverall position: 23
03
2012David BowieBlackstarOverall position: 18
02 2012David BowieBlackstarOverall position: 12
02
2012Adele25Overall position: 1
01 2012Adele25Overall position: 2
01
TOP FIVE ALBUMS BY BRITISH ARTISTS IN USA 2016
TOP FIVE ALBUMS BY BRITISH ARTISTS IN CANADA 2016
Top UK Artists in USA and Canada 2016
USA Canada
1 Adele Adele
2 David Bowie Calvin Harris
3 Coldplay David Bowie
4 The Beatles Coldplay
5 Calvin Harris The Beatles
Source: Nielsen/Billboard Base: all music consumption
86 World Sales
UK Music in Germany and FranceRadiohead, Bastille and Robbie Williams enjoy top 10 success
UK artists' share of album sales in France dropped fairly dramatically in 2016. In 2015 Adele's 25 was the second-biggest selling album overall, but no titles by British artists featured in the top 10 a year later, and only four titles made the top 50. There were some successes on the weekly charts, however - The Rolling Stones and Radiohead had top five albums with new releases by Sting and Eric Clapton going top 10.
Share held up slightly better in Germany at 12.6%. Robbie Williams, Bastille and Van Morrison were among those enjoying top 10 success in the albums market, while tracks by Calvin Harris, Jonas Blue, Rag'n'Bone Man, James Arthur and Clean Bandit all made the singles top 10 (the latter's Rockabye giving them a number one).
UK Artists' Share of Album Sales in Germany and France (%)
16.7%
15.9% 17.9%
14.5%
17.1%
17.0%
16.1% 18.3%
17.9%
13.4%
14.2%
11.5%
16.4%
15.5%
12.6%
9.8%
Source: BPI based on Media Control GfK data
James Arthur's Say You Won'tLet Go was an internationalhit in 2016.
James Arthur
Radiohead's A Moon Shaped Pool was a top five albumin both Germany and France.
10
20
2009
2010
2011
2012
2013
2014
2015
2016
Germany France
87 World Sales
UK Music in the Rest of the WorldDua Lipa and Rag'n'Bone Man among those breaking through
UK artists took a smaller share of 2016 album sales in almost all territories whose charts were analysed by BPI. One notable exception was Spain - Adele's 25 was not the number one album of 2015 there and the performance of titles such as Coldplay's A Head Full Of Dreams and David Bowie's Blackstar in 2016 helped push British artists' share up to 12.7%.
The Netherlands remains incredibly receptive to UK music, with Bastille, Little Mix and Steven Wilson among those charting in the weekly top 10. Australia too is an important market and Asking Alexandria, Jack Garratt and Catfish & The Bottlemen all made the top 10 with new albums. There was also singles success for many UK acts - Zayn, Calvin Harris, James Arthur and Clean Bandit all achieved number ones.
A number of acts had breakthrough success in 2016, with Dua Lipa, Anne-Marie, Calum Scott, Rag 'n' Bone Man and Jonas Blue among those having their first international top 10 hits.
A number of acts hadbreakthrough success in 2016,with Dua Lipa, Anne-Marie,Calum Scott, Rag 'n' BoneMan and Jonas Blue amongthose having their firstinternational top 10 hits.
UK Artists' Share of Album Sales – Selected Other Countries (%)
2014 2015 2016
Netherlands 19.1 33.4 22.9
Australia 22.4 28.3 21.4
Belgium n/a n/a 21.1
Italy 19.8 19.0 17.4
Switzerland n/a n/a 16.1
Sweden 14.0 16.7 14.1
Spain 11.9 12.4 12.7
Austria n/a n/a 12.6
Japan 4.0 3.7 1.7
Sources: BPI based on ARIA, GfK, Oricon data
Dua Lipa
Clean Bandit's Rockabye gave them a number one inseveral territories.
88
Picture Credits
Cover David Bowie Courtesy of Sony Music Adele Simon Emmett Clean Bandit Courtesy of Warner Music Drake Courtesy of Universal Music Little Mix Courtesy of Syco
6 Geoff Taylor Mary McCartney Rag'n'Bone Man John Marshall/JM Enternational
7 Stormzy Courtesy of Wired PR Adele Alasdair McLellan
11 David Bowie Courtesy of Sony Music Adele Simon Emmett Drake Courtesy of Universal Music Little Mix Courtesy of Syco Coldplay Julia Kennedy
13 Drake Courtesy of Universal Music
14 Adele Simon Emmett
16 Zara Larsson Courtesy of Warner Music
17 Lukas Graham Danny Clinch
19 Justin Bieber Courtesy of Universal Music
25 Sia Mary Ellen Matthews
27 Fleetwood Mac Herbert Worthington
28 David Bowie Courtesy of Sony Music Prince Courtesy of Warner Music
29 Prince Courtesy of Purple PR
31 Skepta Courtesy of Red Essential
32 Shawn Mendes Courtesy of Universal Music
33 Ed Sheeran Ben Watts
35 Blossoms Courtesy of Universal Music
36 Christine & The Queens Jeff Hahn Bruno Mars Courtesy of Warner Music
37 The Chainsmokers Rory Kramer
38 Ward Thomas Courtesy of Sony Music
39 The Weeknd Courtesy of Universal Music
40 Charlie Puth Jimmy Fontaine Little Mix Courtesy of Syco
41 Michael Bublé Courtesy of Warner Music Catfish & The Bottlemen Courtesy of Universal Music
42 Blink 182 Willie Toledo
43 Major Lazer Courtesy of Because Music
44 The 1975 John Marshall/JM Enternational
45 Calvin Harris Gavin Bond
47 Beyoncé Parkwood Entertainment
48 Oasis Jamie Fry
50 The Rolling Stones Claude Gassian
59 Fotolia.com
71 Ed Sheeran Ben Watts
72 Kanye West Courtesy of Universal Music
73 Drake Courtesy of Universal Music Justin Bieber Courtesy of Universal Music Rihanna Courtesy of Universal Music Kanye West Courtesy of Universal Music Coldplay Julia Kennedy The Weeknd Courtesy of Universal Music Twenty One Pilots Jabari Jacobs Sia Courtesy of Sony Music Ed Sheeran Ben Watts Eminem Courtesy of Universal Music
81 Adele Simon Emmett
84 Bastille Courtesy of Universal Music
86 James Arthur Courtesy of Syco Radiohead Courtesy of XL Recordings
87 Dua Lipa Courtesy of Warner Music Clean Bandit Rita Zimmermann
CANNES FRANCE
STEVE BARTELSDEF JAM RECORDINGS
WYCLEF JEAN DENIS LADEGAILLERIEBELIEVE DIGITAL
JULIAN MARSHALLSHAZAM
DANIEL MILLERMUTE
LAURENCE MULLERSNOOT
ANDY NGTENCENT MUSIC ENTERTAINMENT GROUP
MARJORIE PAILLONFRANCE 24
L.A. REIDEPIC RECORDS
MIKE SHINODALINKIN PARK
SARAH STENNETTFIRST ACCESS ENTERTAINMENT
DADDY YANKEEEL CARTEL RECORDS
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TUE. 6 – FRI. 9 JUNE 2017
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