Enders Analysis today published a major report on the digital music sector, as part of its long term commitment to independent music industry analysis and research.
The music industry’s extraordinary recovery and digital transformation over the past 15 years has resulted in the establishment of a dynamic and competitive sector that provides a broad range of services to labels and artists in distributing recorded music.
This report explains that digital technologies have profoundly changed the music industry, and that the emergence of a large number of digital-first service providers (ALSPs) in a crowded and dynamic marketplace provides artists and labels with a myriad of choices. Those choices exist through a wide spectrum of offerings from many suppliers to meet the diverse needs of artists, labels and end-consumers. From “pipes only” products that provide an easy and direct path to access the large network of digital service providers (DSPs), through to broader service offerings, with matching breadth of service fees. Our analysis of the market shows high levels of competition, as well as innovation, making it easy and routine for artists and labels to switch providers to meet their needs.