The International Federation of the Phonographic Industry recently released its annual report, detailing what happened in the music industry worldwide in 2016.
Titled “Global Music Report 2017: Annual State of the Industry”, the report says that the worldwide music industry saw revenue grow by 5.9% in 2016, with digital making up 50% of total global revenue. Digital revenue grew by 17.7%, with the streaming sector of digital seeing a 60.4% growth in revenue. The revenue for physical and digital downloads shrank, 7.6% and 20.5% respectively.
The Japanese market in still the second largest in the world, behind the United States. It saw revenue grow by 1.1% in 2016, the second consecutive year of growth. Physical revenue declined by 1.3%, but digital revenue grew 12.6%.
It was noted that streaming is growing in Japan (but no specific figure is given), fueled not only by international services such as Apple and Spotify, but also by local services such as Line, AWA, and KKBox.
A segment of the Japanese market that is underperforming is performance rights, the revenue generated by the use of recorded music by broadcasters and public venues. The IFPI is focused on increasing performance rights, in Japan specifically by obtaining full performance rights. If this goal is met, it could result in another increase in the Japanese market.