As a fast growing music economy with an average of +21.3% growth over the past three years, India’s recorded music industry revenues increased to INR 1068.35 Cr in CY18, well positioning India to break into the top 10 music markets by 2022 (India is now ranked 15th in the world, per IFPI metrics). Mirroring the global growth in streaming revenues. India has seen increasing traffic towards legitimate sources of music (audio OTT platforms, video streaming platforms, etc.) driven by an increase in smartphone penetration and low data rates. The penetration of music services to tier II and tier III cities, along with an increasing subscriber base of internet users suggests that the scope for growth for audio streaming consumption (and therefore, revenues) remains large – as emphasized by the increasing competition in the audio OTT industry.
The recorded music industry in India has played a key role in ensuring that the burgeoning demand for music is met, through large investments in talent, content creation, marketing and promotion and active licensing policies to online and broadcasting platforms. Further, investments in innovative products such as Carvaan and services such as brand advertising solutions, highlight the continual efforts made by recorded music companies to provide better consumer experience through the popularity of recorded music. These efforts have seen marked growth in the revenues from physical formats (+21.2%) and synchronization revenues (+24.6%).