Music sales in Norway have increased by 7.8% over the last year, which was driven by music streaming.
According to the International Federation of the Phonographic Industry, or the IFPI for short, music sales in Norway have grown by 30 million NOK. With a reported growth to 333 million NOK, or $40.3 million for the first half of 2016, which is a large change from the reported 309 million NOK, or $37.4 million of the same period last year.
With this increase in revenues, returns from music streaming have also gone up to around 83% of all music sales for the first half of 2016, which is 3% higher than the sales in the same period in 2015.
What is interesting from this report is that downloads sales have actually “significantly reduced”, with downloads now only bringing in 4% of the overall revenue at 13 million NOK, or $1.6 million. This has been a massive drop of 55% from last year, when music downloads were worth 21 million NOK, or $2.5 million, which was 7% of all music revenues.
What is also very interesting is that physical sales of music have not been affected, and if anything has grown, with physical sales accounting for 13% of total music sales during the first half of this year, which is 43 million NOK, or $5.2 million.
So from the information it’s clear to see that streaming has completely taken over downloads in Norway, with very few music fans actually downloading their music, and instead are paying for a music streaming subscription. Where as surprisingly physical sales of music have not been affected.
CEO of IFPI Norway, Marte Thorsby, said: “It is positive that the sale of music continues to grow significantly in Norway. A total increase of 7.8% is among the international elite. Continued revenue growth in streaming services shows that the market is still not saturated and we believe in continued increase in sales in the years to come.”
Marte Thorsby also spoke about YouTube, concerning the case for legal action against the video streaming company to amend the amount it pays artists and record labels.
“Our concern is that the income from video streams including YouTube is still so low,” he continued. “Knowing that 25% of the population use YouTube daily, it is far from reasonable that they only pay a fraction of what competitors Spotify, Tidal and Apple Music pays to artists and record companies. It is necessary that we get a legal amendment that secures fair conditions of competition between these players.”
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