New study on music streaming raises the need to better recognize the value of creators in this growing market
The “Study on the place and role of authors and composers in the European music streaming market” published today, provides an in-depth analysis of bottlenecks and dysfunctions that prevent authors and composers from experiencing more sustainable growth in the music streaming market. It considers how to grow the revenue pie for creators and other rightholders, as well as how to ensure a fairer and more creator-friendly music ecosystem.
The study was commissioned by GESAC and prepared by journalist and renowned music sector expert Emmanuel Legrand, who conducted an extensive market analysis based on existing economic studies, market research, as well as interviews and direct contacts with a wide range of music sector professionals, online music services, creators, and music-tech businesses.
Music streaming has unquestionably become the predominant way of enjoying and engaging with music, by offering a user-friendly, high quality, and affordable access to the largest possible repertoire at any time, from any location, online or offline. The confinement resulting from the pandemic over the last two years has accelerated the markets’ digital transformation and growth of streaming as the primary form of music consumption, which now accounts 68% of all music engagement, has over 524 million subscribers, and offers over 70 million music tracks. The study identifies the main reasons why this successful and growing market is currently failing to generate adequate revenues for creators and outlines creators’ concerns and expectations for a better recognition of their input in the market.
GESAC President Gernot Graninger (CEO of AKM and AustroMechana) noted: “We can no longer accept an economic model that, despite an exponential increase of users and the offer, is incapable of properly remunerating creators.” He added: “We need to grow the overall revenue pie and address the systemic imbalances and dysfunctions in the operation of online platforms, so that authors and composers can benefit more favourably from the resulting success of this growing market”.
Véronique Desbrosses, the General Manager of GESAC said: “It is time to consider a more balanced and sustainable market that does not leave behind the creators who fuel this thriving economy. Thanks to authors and their societies, streaming services are offering access to a massive catalogue of music in a streamlined and user-friendly manner but falling short of answering the expectations of creators in terms of remuneration and recognition”. She added: “The study provides European policy makers with a useful insight into the market as well as a constructive approach towards a more author-friendly and culturally diverse music streaming ecosystem”.
The full study, its main takeaways for GESAC, and a FAQ document outlining the study’s main findings can be found on GESAC website.
About GESAC
GESAC groups 32 authors’ societies in the European Union, Iceland, Norway, and Switzerland. As such, we defend and promote the rights of more than 1 million creators and rights holders in the areas of music, audiovisual works, visual arts, and literary and dramatic works.
For more information
Véronique Desbrosses – General Manager
Veronique.Desbrosses@gesac. org | +32 2 511 44 54
www.authorsocieties.eu | Twitter: @authorsocieties