RIAA 2023 Year End Report – Vinyl Growth Continues
All Image Credit: RIAA
According to the Recording Industry Association of America (RIAA), 2023 Year End report, RIAA US recorded music industry revenues generated $17.1 billion in 2023, continuing to build on the upward trends of 2021 and 2022.
The RIAA report shows that on a retail basis, recorded music revenues in the US on streaming subscriptions, as well as physical and digital music, grew 8% year over year, marking the eighth consecutive year of growth for the world’s largest recorded music market. On a wholesale basis this translates to $11 billion, or a 7% increase in money going back into the pockets of record labels, distributors and artists.
The various 2023 revenue streams being split up as shown below, with streaming continuing to generate the lions share of revenue.
With vinyl again taking the lead, revenues from physical music formats continued to grow after their rebound in 2021. Total physical revenues of $1.9 billion were up 11% versus 2022. For the 7th year in a row revenues from vinyl records continued to grow hitting 10% and rising to $1.4 billion accounting for 71% of physical format revenues. Even though CD revenue rose in 2022, up 11% to $537 million in 2023, for the second time since 1987 vinyl albums outsold CDs in units, 43 million versus 37million accounting for 71% of physical format revenues in 2023.
Revenues from digitally downloaded music continues to decline in 2023, down 12% to $434 million. Both digital album sales and individual track sales were down double digits to $205 and $191 million respectively. Downloads accounted for just 3% of U.S. recorded music revenues in2023, down from a peak of 43% of revenues in 2012.
Streaming continues to account for the majority of recorded music revenues in 2023. Paid subscriptions, ad supported services, digital and customized radio, social media platforms, digital fitness apps and others grew 8%to a record high $14.4 billion in revenue. These services collectively accounted for 84% of total revenues for the second year in a row.
See the 2023 year end RIAA report here.
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