The value of Japan’s overall recorded music business declined by 15% in 2013 in trade revenue terms – ie. inclusive of revenues additional to those generated by sales and streaming, particularly music videos.
According to figures from RIAJ, the trade body for the Japanese recording industry, total 2013 trade revenues totalled 312.1 billion yen (US$3.20 billion), compared to 365.1 (US$3.74 billion) billion yen in 2012.
[You can read the RIAJ 2014 report in full on MBW through here.]
Japan is the second largest recorded music market in the world, behind the US. The country’s recorded music market remains 85% physical, meaning a decline of 13% in the sector in 2013 was devastating to the total market.
Physical revenues stood at 310.8 billion yen in 2012, and declined to to 270.4 billion in 2013. The fall was attributed primarily to the lack of major album releases.
Digital revenues declined by 23% in 2013 – in contrast to a growing digital trend across the world – mainly due a sharp fall in demand for personalised mobile products such as ringtones.
Still, revenues from download and subscription services are growing sharply from a small base and are expected to see further growth in 2014, helped by anticipated new market entrants.
Download sales across PCs and smartphones increased by 122 per cent in value in 2013, while subscription services delivered a 518 per cent increase in revenues in 2013.
Like the UK market, no single album release sold more than one million copies in 2013.
There has been a stronger start to 2014 however, with physical format sales in January already up 21% year-on-year and one album release sold more than one million copies in January.
[Pictured: One Direction, whose Midnight Memories won the main international award at Japan’s Gold Disc Awards 2014]Music Business Worldwide
