07.12.18

WINTEL 2018 – UK Independent sector growing at twice the rate of the majors

WINTEL 2018 is the third report mapping the global market share of the independent sector at copyright, rather than distribution level.

There are more positive stats for the health of global independent music this year, with market share increasing from 39.6% in 2016 to 39.9% in 2017 and growth outpacing that of the major labels, whose revenues only grew by 9.7% in the same period.

The statistics for the UK were very encouraging, with independent market share increasing from 22% to 23%. Year-on-year revenue growth for the independents was also more than twice that of the majors (9% vs 4% respectively).

Paul Pacifico, CEO of AIM said: “The data in this year’s WINTEL report supports the strengthening that we continue to feel in the U.K. independent sector which is growing at double the rate of the Majors (9% vs 4% respectively). Important challenges remain and we cannot afford to be complacent, but it is always encouraging to see that working with great artists in positive partnerships delivers commercial wins as well as cultural value.”

Global revenues increased from $6.2bn in 2016 to $6.9bn in 2017, which equates to strong year-on-year growth of 10.9%.

It is also worth noting that the independent sector outperformed the overall music market, which grew by 10.2% last year.

Causing the global industry to sit up and take note is the rapid rise of the so-called emerging markets with China enjoying a 36% rise in revenue growth, Asia & Australasia seeing a 5.4% spike in revenue and streaming growth of 38%, while Latin America powers ahead with overall growth of 17% and an almost 50% rise in streaming revenues.

WINTEL 2018 reveals that self-releasing artist revenues grew from $94m in 2016 to $101m in 2017. As these artists build teams around them to fulfil various label-like functions, this section of independent music community looks set to grow significantly – a fact which is also reflected in the newest members joining AIM.

It is important to emphasize that this report once again focuses on the criterion of value based on rights ownership rather than distribution when analysing market share.

You can find a link to the full report online here.