Nielsen SoundScan reports that digital track sales in Q1 this year in the US slipped by 12.5% (to 312m units) from the same period 2013. To exacerbate matters, digital album sales also dropped 14.2% (27.8m units) in the same period. Collectively, total digital sales fell by 13.3% in the quarter. Billboard suggests that on-demand streaming (so excluding services such as Pandora and iTunes Radio) “appears to be making up the slack, on a revenue basis at least”. On-demand streams stood at 25.44bn in Q1 2013 but in Q1 this year they had grown to 34.28bn. Not only that, but the (average) per-stream rate has increased from $0.00375 to $0.005 meaning that, according to Billboard’s tabulations, a total of 1,500 streams now “equals the wholesale costs of an album”. Talking of albums, the CD market in the US continued to tank, dropping 20.5% to 31.9m units. Electronica was the only major genre to record growth (up 2.7%) and 16 tracks passed the 1m mark, led by ‘Happy’ by Pharrell (with 3.6m sales), compared to 15 tracks that sold over 1m each in Q1 2013.

EarPods and phone

Tools: platforms to help you reach new audiences

Tools: Kaiber

In the year or so since its launch, AI startup Kaiber has been making waves,…

Read all Tools >>

Leave a comment

Your email address will not be published. Required fields are marked *