In a series of posts from Reportlinker, we review the latest music and tech news, with one series of important figures per news item.
There are dozens of video and music streaming services. How do they stack up? We compared five popular services. Here’s what you need to know:
One billion people use YouTube each month, helping to boost revenue for the Google-owned company to $4 billion in 2014. That’s a $1 billion increase from 2013. Half of all YouTube viewers access the site via mobile devices with the remaining half visiting via a computer. Additional viewers see YouTube videos imbedded in websites. In 2015, YouTube hopes to increase its revenue even further with the help of a targeted ad campaign. It will also earn revenue through partnerships. In 2006, Google bought YouTube for $1.65 billion. Source: The Wall Street Journal
60 million users are members of Swedish music service Spotify including 15 million paying customers as of January. Each day, 5 million playlists are edited or created. Over 20,000 songs are added to Spotify daily, adding to a catalogue that already boosts 20 million singles. So far, Spotify users have streamed more than 12 billion hours of music. In 2014, the most streamed song was Pharell Williams’ “Happy”. Spotify is one of the newer music streaming services, but already has more users than already established sites such as Rhapsody. It is available in 58 markets. As of November 2014, Spotify has paid $2 billion in royalties. Source: Digital Marketing Ramblings
2.5 million paid subscribers worldwide used Rhapsody in 2014, a nearly 60% increase from 2013. This is a remarkable feat considering it took Rhapsody ten years to reach 1 million subscribers, but it took less than five years to grow to 2.5 million. Rhapsody also has expanded from being available in three countries to being available in more than 30 in less than two years. Unlike many streaming music services, Rhapsody does not have a free membership. The streaming music service plans to grow by taking advantage of the growing popularity of streaming music. During the first half of 2014, 27% of music sales in the U.S. came from streaming music. Rhapsody will focus on increase its mobile presence. Last year, it agreed to offer a music service with T-Mobile. Source: CNet
Monthly active users on Pandora, the world’s largest streaming music site, grew 7% in 2014. Meanwhile, the average time users spend listening to music grew 20%. Monetisation and engagement also increased. Pandora has been able to take advantage of customer’s shift from album to digital music purchases. In the fourth quarter, Pandora had a 9.7% market share of radio listening hours. It paid $439 million in royalties, a 34% increase, and $8.9 million in commissions. Source: Nasdaq
In 2013, Last.fm reported $3.4 million in losses, a 20% drop year-over-year as revenue only reached $10 million. Globally, revenue from subscriptions has fallen everywhere except for the European Union. Last year, Last.fm, a CBS company, stopped offering its subscription radio service and began collaborating with other steaming music sites such as Vevo and Spotify. Source: Billboard
More from reportlinker next month!
Melina Druga is an American writer and editor. She is the author of Enterprising Women: Practical Advice for First Time Entrepreneurs.
Top photo via Shutterstock – Syda Productions