Germany grossed 903.8 million euros (approximately 1.094 billion US dollars) on a retail basis in the first six months of this year from physical music sales and streaming, an increase of 12.4% over the previous year.
This is shown by new results that the Federal Association of the Music Industry (BVMI) published today (August 10) in its report for the first half of 2021.
The release of the BVMI’s H1 report follows news in March that the country’s recorded music revenue increased 9% year-over-year in 2020 to 1.79 billion euros (approximately $ 2.02 billion) a year 2020, despite the pandemic.
The breakdown of total H1 sales in Germany shows that audio streaming sales from Spotify, Apple Music, etc.
The share of audio streaming in total sales is now 70.6%, although the format only overtook CDs in Germany in terms of sales in the first half of 2018.
Elsewhere in the market, downloads only contributed 3.3% of total revenue, after a 25.9% decline in the first half of the year.
The total share of digital (streaming and downloads) in Germany is now 78.6% of the market.
In the physical sector, CD sales were down 16.4% year over year, while vinyl sales rose 49.5% in the first six months of 2021.
The growth of vinyl in H1 brings the format to almost 6% (5.9%) of the total market. The CD stills make up 14.5% of the market.
Overall, the physical business including vinyl and CDs currently still generates around a fifth of total sales (21.4%) in Germany.
“The half-yearly figures once again demonstrate the innovative strength of the industry and the strategic foresight of our members who, as partners of the artists, are continuously expanding the opportunities for digital value creation.”
Dr. Florian Drücke, BVMI
Dr. Florian Drücke, Chairman and CEO of BVMI, said: “In the first half of 2021, sales in the industry grew by a significant 12.4%. The digitally generated share rose to almost 80 percent, which is a new high.
“The fact that vinyl in the analog segment has even grown by around 50% in the last six months shows a special facet of our market.
“The half-year figures once again demonstrate the innovative strength of the industry and the strategic foresight of our members, who, as partners of the artists, are continuously expanding the opportunities for digital value creation.
“The dramatic effects of the corona pandemic on the entire live sector illustrate once again the importance of digital business for many, but also show how severely certain sub-sectors of the music industry are currently affected by the pandemic.”
“This continuous growth in sales benefits the broader music ecosystem.”
Frank Briegmann, Universal Music Central Europe and Deutsche Grammophon
Frank Briegmann, Chairman & CEO of Universal Music Central Europe and Deutsche Grammophon, said, “This continued revenue growth is benefiting the broader music ecosystem – from songwriters and publishers to artists and their labels and beyond.
“It’s proof that fans love the great music artists as well as the digital and physical offerings available.
“At a time when so many on the music scene are still bearing the brunt of the pandemic’s impact on live music, this shared success allows us to both support established artists and invest more in new talent, which is key to a successful future for our whole is industry as well as more cultural diversity. “
Music business worldwide