Study: Mobile Market To Grow By 70% In 2021
February 4, 2015 at 3:52 AM (PT)
STRATEGY ANALYTICS has issued a "Global Mobile Music Market Forecast (2001-2021)" that predicts the total market value of the mobile music will grow by almost 70%, from $12.8 billion in 2014 to $21.3 billion in 2021 .
The rise is attributed to the combined effect increased mobile music streaming (paid subscription and ad-funded free listening) in all markets, the transition from physical to digital music consumption in JAPAN, and the increasing consumption of legal music content by mobile users in CHINA and other emerging markets.
The increasing popularity of mobile music streaming has been a trend across different markets, but other kinds of mobile music consumption do not just go away.
"Over the last two years, we have witnessed a fast growth in both demand for and supply of mobile music streaming services in particular in NORTH AMERICA and WESTERN EUROPE, which is coupled by a slow decline in pay-per-download sales," WIRELESS MEDIA STRATEGIES Dir. NITESH PATEL said. "The popularity of streaming services is also seen in ASIA PACIFIC, EASTERN EUROPE and LATIN AMERICA, though in these markets the sales from pay per download are still growing, albeit at a slower pace. On the supply side, in addition to the familiar names like SPOTIFY and DEEZER that continue to expand, including through partnerships with mobile carriers and device makers in different markets, there are also local services that have experienced fast growth as well, like SAAVN and GAANA in INDIA and TENCENT in CHINA. We expect the trends to continue in the forecast period."
"Meanwhile, we have also seen the slowdown in the highly profitable personalization services, like ringtone and ringback tone selling offered by mobile operators, particularly from CHINA and other Asian markets," WIRELESS MEDIA STRATEGIES Analyst WEI SHI said. "There are promising signs that Chinese consumers are embracing mobile streaming and more of them are consuming legal content. In JAPAN, the world's second largest music market, the mode of music consumption is transitioning from physical to digital. With smartphone penetration increasing, we expect the pace of transition to accelerate, which will provide a new impetus to the growth of the global mobile music market."