Music sales in Australia in 2012 increased by 4% giving the Australian Music Industry its first upward trend since 2009.
According to the Australian Recording Industry Association, 46% of revenue came from digital music including new streaming services such as Deezer and Spotify that entered the market during the year.
Physical sales were down 6.42% for the year but still dominated the market with physical product still making up a 53.7% of sales. However, the physical figure is slightly misleading as nearly 100% of single sales now are digital as there are hardly any CD singles anymore. This is signalling a still strong demand for CDs, DVDs and vinyl from Australian music consumers.
Revenue for recorded music in 2012 was $398,134,000. That broke down to $184,302,651 digital sales and $213,830,970 physical sales.
ARIA CEO Dan Rosen saw the result as very positive for the business. “2012 proved to be a formative year for the Australian recorded music industry, as digital music consumption grew with an influx of new streaming services, both ad-supported and subscription-based, yet with the physical retail sector continuing to prove its worth in the hearts and minds of Australian music fans. The continued innovation in new music services, means fans of all types, can now get their music when and how they want, whether by streaming, downloading or visiting their local record store. This access, combined with a host of great local and international releases, means it is a great time to be a music fan in Australia.”
ARIA Chairman Denis Handlin was equally enthusiast about the result. “It is very pleasing to see the Industry achieve growth in 2012,” he said. “The Record Industry has revolutionised over the past decade and has led the way in new business models, in particular licensing digital services, whilst strongly supporting traditional CD retailers. While our work with Government and ISPs to ensure artists and their record labels are properly rewarded for their creative efforts is still far from finished, the demand for music is as strong as ever and Australian music fans are embracing the many legitimate platforms where an incredible range of local and international music is widely available. This is testament to the continued creative work of our brilliant artists and the innovative approach of our local industry in marketing and taking music to fans across the country. ”
Music fans can look forward to new albums in 2013 from Australian acts Nick Cave & The Bad Seeds, Bernard Fanning, Matt Corby and Hilltop Hoods and international acts David Bowie, Bon Jovi, Jack Johnson, Vampire Weekend and Eminem.