The key trends and developments in the music business industry

Did you know that the global music business generated a revenue of $26.2 billion in 2022? This staggering number was shared by Statista, showcasing 2022 as an excellent year for the industry and highlighting the size of the industry, given the enormous profit it generates.

The music business industry has always been a popular sector with a global impact. K-pop artists have become a hit around the world and ‘Naatu Naatu’, a song from India, just recently won an Oscar for Best Soundtrack. Just like any other business, the music industry is going through many changes and is often influenced by trends and technology.

With new music streaming platforms and old songs gaining popularity again, or becoming instant hits on social media, it’s always good to stay updated on what’s next. Trends in the music industry are synonymous with chart toppers and also increase competition in an already competitive sector.

This means that if you want to stay ahead, you must be aware of all the new trends and experiments taking place in the music business industry. Here are some interesting and recent developments that will be useful for all aspiring musicians and those looking for jobs in the music industry. 

What are the current key trends in the music industry?   

The music industry is ever evolving and not just in terms of genres of music but style, equipment, and even technological tools. Here are some of the current trends that are impacting the music industry:

• Non-existent language barriers

According to Spotify, ‘Pink Venom’ by BLACKPINK and ‘That That’ by PSY and BTS are some of the top-ranking chartbusters of 2023. Both the hit numbers are Korean and doing extremely well across the globe. Similarly, according to Republic World, many Indian numbers have made it to the Billboard Global Excl. US charts.

This shows that no matter what language a song is in, it can still produce incredible numbers. Music is no longer restricted by geographical boundaries.

• Streaming services

Apple Music, Spotify, Amazon Music, and Youtube Music are growing each day and redefining the way consumers access music. They have built a lucrative ecosystem where people pay to get easy and convenient access to their favourite music and the artist generates revenue for their creation.

President of Sony Music, Dennis Kooke, stated the importance of streaming platforms at the International Federation of the Phonographic Industry Global Music conference. He spoke about how they are needed to convince people of the value of music and that paid subscription services will help further the growth of the industry.

• Music is part of digital content

Another popular trend impacting the music industry is using music on various social media channels such as Facebook, Instagram, and TikTok. Not only do artists use these platforms to promote their music, but, often, influencers and other users use licensed songs to enhance the aesthetic of their product.

When online storytelling is combined with music, it gives users the chance to hear new releases while scrolling through their social media feeds. It becomes an interesting form of marketing as it allows users to discover both new and old music.

Brands that use music in their content often have more engagement. According to SonoSuite, nearly 65% of TikTokers prefer brand content that has music.

What are the current opportunities in the music industry?

New trends and technological innovations have changed the music industry tremendously. Pitch correction software - for improving rhythm and beat, along with AI Mastering - for balancing elements of a song, are two trending technologies, amongst many others, that have helped to reshape the industry. According to Techaeris, these technologies are driving the music business industry to new heights.

In this scenario, students have to prepare for a more technologically advanced music industry offering innovative job opportunities such as the following:

• Video and sound engineers

Video and sound engineers manage the technical aspect of sound and create better audio quality. They also artistically place sound effects in TV shows and movies which gives them an excellent feel. Some examples of movies with good sound engineering are Gladiator, Chicago, and Black Hawk Down.

• Music director

A music director is responsible for overseeing the musical elements of a performance or production, such as a concert, opera, musical theatre, film, or television. They work with the performer to achieve the desired sound and interpretation of the music and ensure that it is integrated effectively into the overall production.

• DJ

A DJ, or disc jockey, is responsible for selecting and playing music for a live audience, typically at a nightclub or a bar. DJs sometimes also produce and record their own music, collaborate with other artists, and promote themselves through social media and other marketing channels.

• Songwriter

The role of a songwriter is to create songs based on client requirements. For this, they analyze existing songs topping the charts and music industry trends.

What is the value of business knowledge in the music industry?

Technical skills and a passion for music are not enough to succeed in the music industry. You will need comprehensive knowledge of business to help musicians, producers, and other industry professionals understand how to navigate the complex landscape of the music industry.

There are other aspects of the music sector, such as a solid understanding of business principles like marketing and finance, which are equally important. With this knowledge, musicians can make informed decisions about their careers which can increase their chances of success.

An artist looking to launch their music career needs to understand marketing strategies and ways to promote their music along with building a fanbase. They also need to negotiate a deal with a record label and understand how different revenue streams work.

By understanding these business principles, musicians can easily navigate the complex network of relationships, agreements, and legal frameworks that underpin the music industry.

If you are a student keen to build a career in the music industry and looking to understand the business fundamentals of this sector, check out the Music Business Administration program offered by Trebas Institute Quebec Inc.

This program equips students with the necessary business principles to help them navigate and succeed in the music industry. Expertise gained from the Music Business Administration program works equally well for artists looking to grow in this sector or entrepreneurs interested in starting their own music business.

Along with a cutting-edge curriculum, Trebas Institute Quebec Inc. also offers world-class training with excellent learning tools. Our faculty is comprised of subject experts with years of experience, who bring their experiential knowledge to the classroom, giving students an edge in their learning.

To learn more about Trebas Institute Quebec Inc. and what you can gain from studying in Montreal, click here!

This article is written by Nandita Kaushal and edited by Candice McDowell                                                                         

Sources

Statista , Spotify , Republic World , Musically, SonoSuite