2015 saw the American music Industry taken over as streaming services grew to 317 billion streams, doubling from that of 2014 which was 164.5 billion streamed songs. Besides, digital track sales were down due to a rise in streaming, dropping to 12.5 percent to 964.8 million units in 2015, a notable decline from 1.1 billion units in 2014.
However, 2015 also saw growth of sales of vinyl, which were up by 30 percent, accounting to almost 9 percent of physical album sale. Streaming services though supplant a number of traditional album sales, the reason why overall sales continue dropping.
Due to streaming’s ascent and overall growth of 15.2 percent from that of 2014’s album consumption of 476.9 million to 549.4 million in 2015. Though streaming has risen, digital sales continue to fall drastically.
In addition, sales of vinyl grew in 2015. The stream equivalent albums grew to approximately 211.5 million stream equivalent albums.
Radio still on top
Radio has however kept its position intact despite the rise of streaming services. It is still the number one way that people discover new music. About 61 percent of people agree to having heard songs first on FM, AM or satellite radio, followed by 45 percent who say that word of mouth has lead them to discover songs. Movies and soundtracks pave the way for 31 percent people to hear new songs and 27 percent learn songs from streaming apps and websites.
Impact on Album sales
It is also noteworthy that streaming has impacted the sale of albums. Album sales were down in 2015 by 6 percent. According to a study, consumers chose not to subscribe to a paid service, as 83 percent felt that price was the major factor in doing so and that they found a service to stream music for free and hence, didn’t see the need to subscribe to one of the paid services.
Further studies reveal that in the US, on average consumers spend 4 hours listening to music, out of 91 percent Americans 75 percent listen to online music every week and 44 percent use their smart phone to cater to their music needs
The Best sellers
The best sellers of 2015 on streaming are:
• Bruno Mars featured ‘Upward Funk’ by Mark Ronson was the top scanned song with 5.53 million units.
• The best-selling album was Adele’s 25 with 7.44 million units
• Coming in second was ‘1989’ by Taylor Swift with 1.99 million units.
From the statistical reviews one can always say that streaming services need to cater to more than just on-demand customers. There should be an area where users can also learn about artists, new music, offers provided etc. It can also focus on fan-artist relationships wherein they can connect with each other, buy online music commodities and concert tickets. It also seems that many consumers are still unwilling to pay for any streaming service, hence a look on the pricing is also to be considered.