Spanish Music Industry Growth in 2024
The recorded music industry in Spain continued its upward trend in 2024, with revenues rising by 9.42% to reach 568.8 million euros (approximately 615.5 million US dollars at the average annual exchange rate as per IRS), up from 520 million euros the previous year.
According to the Promasicae sector organization, this information was published on Tuesday, February 25.
With € 249.8 million in revenue during the first half of 2024, the total recorded music income in Spain has reached 319 million euros in the second half of the year.
Impact of Streaming Services
This growth can be attributed to the digital sector, particularly streaming services, which continue to reshape how Spanish listeners consume music. Digital formats now comprise 89% of the market, contributing 454.5 million euros ($ 491.8 million) to the industry.
Streaming has emerged as a leading force in digital consumption, accounting for 99% of all digital sales, generating 450.1 million euros ($ 487.12 million) in revenue.
Audio platforms have generated 376.3 million euros ($ 407.25 million), marking an increase of 14.09% since 2023, while video platforms contributed 73.8 million euros, up 7.45%.
In 2023, royalties earned by Spanish artists on Spotify reached 123 million euros, nearly four times the royalties generated by Spanish artists in 2017.
“In Spain, we still have a long way to achieve the levels of more ‘responsible’ markets regarding recorded music consumption, where users largely opt for subscription services.”
Promasicae
Promasicae reports that around 20 million people in Spain currently use streaming audio platforms, with nearly 7 million subscribed to premium services, reflecting a 14% increase compared to the previous year.
Promusicae attributes this growth to an increase in consumer willingness to pay for an enhanced music experience. However, the organization noted that Spain still lags behind other markets that more extensively utilize subscription services.
“In Spain, we still have a long way to achieve the levels of more ‘responsible’ markets in terms of recorded music consumption, where users primarily choose subscription services, which strengthen the music sector,” stated Promusicae.
In contrast to the success of digital technologies, physical formats continued to decline steadily, decreasing by 13.25% year to 53.8 million euros ($ 58.22 million) in 2024. While vinyl records remain a notable physical format, accounting for 62.8% of physical sales, the total units sold fell by 8% year to 1.67 million in 2024, down from 1.81 million in 2023.
Sales of compact discs experienced an even sharper decline, plummeting 25.4% to 19.6 million euros ($ 21.21 million), while other physical formats, including DVDs, saw a 35% decrease, becoming increasingly marginal in the market.
“The market growth in 2024 is great news for the recorded music sector in our country, which continues to reap the rewards of the hard work, investment, and efforts of the recording industry, as well as the talent and dedication of our artists,” said PROMASICAE President, Antonio Gisasola.
While Gisasola acknowledged that the Spanish music industry has returned to the levels seen in 2004, approaching the peak recorded in 2001, he mentioned that the growth rate has started to slow.
“We must continue consolidating the streaming model, which allows consumers to access all recorded music, both present and past, at very competitive prices, available to enjoy at any point in their lives.”
Antonio Gisasola, Promasicae
“Even though we are on the right path, we cannot afford to relax in our efforts to return our sector to its former glory,” Gisasola added.
Gisasola also highlighted ongoing issues, particularly piracy, which affects about 30% of music consumers and results in estimated losses of 628 million euros.
He further emphasized the need for stronger consolidation of the streaming model while simultaneously encouraging the broader adoption of subscription services.
“We must continue to strengthen the streaming model, which allows consumers to access all present and past recorded music at very competitive prices, making it available for listening anytime,” he stated. The shift to subscription-based models ensures that “monetization becomes more suitable for the industry.”
Additional revenue streams for the Spanish music market included intellectual property rights, which grew 12.58% year to 56.3 million euros ($ 60.93 million), as well as music synchronization for audiovisual productions and advertisements, which contributed 4.1 million euros ($ 4.43 million) but saw a 2.14% decline from 2023.
The Promasicae report indicates that while the Spanish music industry is on a steady path to recovery, there remains ample opportunity for growth, especially as digital consumption continues to evolve.
All EUR to USD conversions were made at the average annual exchange rate published by IRS.
