Spain’s recorded music industry continued its upward trajectory in 2024, with revenues rising 9.42% to EUR €568.8 million (USD $615.5m at the average annual exchange rate as per the IRS), from €520 million the previous year.
That’s according to data from industry organization Promusicae released on Tuesday (February 25).
With €249.8 million in revenue in the first half of 2024, this means recorded music revenue in Spain reached €319 million in H2.
This growth was driven by the digital sector, particularly streaming services, which continue to transform how Spanish listeners consume music. Digital formats now account for 89% of the market, contributing €454.5 million ($491.8m) to the industry.
Streaming has emerged as the dominant force within digital consumption, representing 99% of all digital sales with €450.1 million ($487.12m) in revenue.
Audio platforms generated €376.3 million ($407.25m), up 14.09% from 2023, while video platforms contributed €73.8 million, up 7.45%.
In 2023, royalties generated by Spanish artists on Spotify exceeded €123 million, almost quadruple the royalties generated by Spanish artists back in 2017.
“In Spain we still have a long way ahead to reach the levels of more ‘responsible’ markets in terms of recorded music consumption, where users mostly choose subscription services.”
Promusicae
Promusicae reports that about 20 million people in Spain now use audio streaming platforms, with nearly 7 million subscribing to premium services, a 14% increase from the previous year.
Promusicae attributed this to consumers’ increasing willingness to pay for enhanced music experiences. However, the organization noted that Spain still lags behind other markets where subscription services are more widely adopted.
“In Spain we still have a long way ahead to reach the levels of more ‘responsible’ markets in terms of recorded music consumption, where users mostly choose subscription services, thus contributing to a greater strength of the music sector,” Promusicae said.
In contrast to digital’s success, physical formats continued their steady decline, falling 13.25% YoY to €53.8 million ($58.22) in 2024. While vinyl records remain the standout physical format, accounting for 62.8% of physical sales, the total number of units sold declined 8% YoY to 1.67 million in 2024 from 1.81 million in 2023.
CD sales experienced an even steeper drop, plummeting 25.4% to €19.6 million ($21.21m). Other physical formats including DVDs fell by more than 35%, becoming increasingly marginal in the market.
“The market growth of 2024 [has] been good news for the recorded music sector in our country, which continues to harvest the fruits of its work, investment and efforts of the recording sector as well as with our artists’ talent and creativity,” said Promusicae President Antonio Guisasola.
While Guisasola acknowledged that the Spanish recorded music industry has managed to reach 2004 levels and neared the peak recorded in 2001, the executive said the growth rate has slowed down.
“We must continue consolidating the streaming model, which allows consumers to enjoy, at very competitive prices, all present and past recorded music to be listened to at all moments of their life.”
Antonio Guisasola, Promusicae
“And even if we are on the right track, we cannot relax on our efforts to achieve that our sector gets back on the path,” Guisasola said.
Guisasola also highlighted ongoing challenges, particularly piracy, which accounts for about 30% of music consumers and represents estimated losses of €628 million.
He further stressed the need to further consolidate the streaming model while promoting greater adoption of subscription-based services.
“We must continue consolidating the streaming model, which allows consumers to enjoy, at very competitive prices, all present and past recorded music to be listened to at all moments of their life,” he said. Moving towards subscription-based models means “monetization is more adequate for the sector.”
Additional revenue streams for the Spanish music market included intellectual property rights, which grew 12.58% YoY to €56.3 million ($60.93m), and music synchronizations for audio-visual productions and advertising, which contributed €4.1 million ($4.43m), down 2.14% from 2023.
The Promusicae report indicated that while the Spanish music industry is recovering steadily, it still has room for growth as digital consumption continues to evolve.
All EUR to USD conversions have been made at the average annual exchange rates as published by the IRS.Music Business Worldwide
