MR. NEWS – MUSIC RADIO NEWS

April 24, 2025 315 14 4

Streaming: Growth Slows, Competition Intensifies

Streaming remains the dominant force in music consumption, with platforms like Spotify, Apple Music, and YouTube continuing to grow their subscriber bases. Global recorded music revenues rose 4.8% in 2024, marking a tenth year of growth, though the pace is slowing compared to previous years. The streaming market is becoming more fractured and individualized, with an explosion of new music—over 120,000 tracks uploaded daily—making discovery both easier and harder than ever.

Algorithmic playlists and viral social media sounds are now the primary engines of music discovery, but artists have limited control over whether their music gets recommended15. As streaming platforms crack down on artificial streaming and fraud, artists must remain vigilant about their data and promotional strategies.

The Rise of the Superfan and Direct-to-Fan Models

With streaming payouts remaining low for most artists, the focus is shifting to superfans—those highly engaged listeners who drive the bulk of an artist’s revenue through merchandise, concert tickets, and exclusive experiences. Direct-to-fan platforms like Bandcamp, Patreon, and Shopify are booming, allowing musicians to bypass traditional labels and build independent careers. Superfans are now worth 10 to 100 times more than passive listeners, making fan engagement and data ownership top priorities for artists in 2025.

Live Music: Resilient but Challenging

Live music is more valued than ever, with stadium tours and festivals expected to thrive despite economic and political uncertainty. However, rising ticket prices, trade policies, and ongoing challenges for small venues and festivals mean that not all artists benefit equally. The adoption of virtual and augmented reality concerts is accelerating, offering new ways for fans to experience music from anywhere in the world.

Video and Visual Content Dominate Promotion

Short-form video is king for music discovery and promotion, with platforms like TikTok, Instagram Reels, and YouTube Shorts driving the majority of viral hits. Even as the future of TikTok in the US remains uncertain, artists are investing heavily in visual content—from DIY clips to immersive 3D animations—to capture attention and build their brands.

A Decentralized, Genre-Blurring Future

Musical genres are dissolving, replaced by mood- and moment-driven listening habits5. The industry is becoming more decentralized, with blockchain and NFTs offering new ways for artists to monetize their work and connect directly with fans. At the same time, the sheer volume of new releases and the rise of AI-generated music are making it harder than ever for independent voices to break through.

The Bottom Line

Being in the music business in 2025 means navigating a complex, tech-driven, and highly competitive environment. Success requires embracing AI as both a creative partner and a challenge, harnessing the power of superfans and direct-to-fan models, and standing out in a market flooded with new music and new technologies. For artists and industry professionals, adaptability, innovation, and a relentless focus on authentic fan engagement are the keys to thriving in this new era

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