Luminate Reports Only 15% Of Fans Spend Money On Music
Discover the latest insights from Luminate's groundbreaking report on superfans, revealing how 15% of the general population drives 80% of music consumption. Dive into the spending habits of Afrobeat and K-POP enthusiasts, and explore which demographics are dominating physical music purchases. Uncover the global music listening trends and witness the rapid growth of Asian and LATAM streaming markets. Stay updated on the ever-changing music landscape with 112 ISRC codes generated daily and witness the shift in genre preferences. Explore the power of passionate music fans shaping the future of the music industry.
Lloyd Laing, Music Analyst -
In a recent report released by Luminate, a leading music analytics firm, a fascinating trend has emerged in the music industry – superfans.
The report revealed that approximately 15 percent of the general population falls under the category of superfans, an ardent group that engages with artists and their content in at least five distinct ways.
However, what sets these superfans apart is their impact on the music economy.
Despite constituting just a fraction of the overall population, they are responsible for a staggering 80 percent of music's paid consumption.
Moreover, they are 128 percent more likely to purchase physical music products like CDs, cassettes, and vinyl records, indicating their strong preference for tangible music experiences.
When examining genre-specific trends, the report highlighted Afrobeat fans as leading the charge.
This diasporian genre's fans spend a remarkable 121 percent more on music compared to enthusiasts of other genres like K-POP and EDM.
Speaking of K-POP fans, the report showcased that they have their unique way of supporting their favorite artists. They are 70 percent more likely to purchase premium artist products and surprisingly, 1 in 4 K-POP fans has bought a cassette in the last 12 months, showing an unexpected resurgence of the vintage format.
But the burning question remains – who exactly is driving the music market?
According to Luminate, Gen X members of the LGBTQ+ community are the primary consumers of physical music products across all categories.
On the other hand, Gen Z males have emerged as the highest spenders on music, averaging a significant $259 USD per year.
The report also shed light on the global music listening habits, revealing that around 70 percent of US music listeners are tuned in to artists originating outside of the United States.
An encouraging sign of cultural openness, 40 percent of these listeners are engaged with non-English music, showcasing a diverse and inclusive music landscape.
Geographically, Asia has emerged as the fastest-growing streaming market, with an impressive 107 percent increase in recent times.
Additionally, the LATAM (Latin American) market's 70 percent growth provides another positive sign for that industry's global expansion.
As the music landscape continues to evolve, the report highlighted the rapid pace of music production.
A staggering 112,000 International Standard Recording Codes (ISRC codes) are generated each day, reflecting the continuous influx of new music from artists worldwide.
Lastly, the report brought forth a notable shift in genre preferences.
Reggae, once a top 10 genre, has seen its prominence wane in recent times, making way for newer sounds and styles that resonate more with the new "contemporary" audience.
