by Cathy Alianna Moore
Exclusive for unratedmag.com
COVID-19 had a massive impact on the music industry. One study from PLoS One found that the total monthly consumer spending on music decreased by more than 45% compared to pre-pandemic levels, with live music events and physical sales the most severely affected. Many thought that the damage would be permanent, especially for local live performers. However, now that the pandemic is largely behind us, the music industry has bounced back and is going from strength to strength. Here are five reasons why.
Global Ticket Sales Increasing
COVID-19 shut off nearly all live performances, which in turn has led to a huge demand for live music post-pandemic. The good news is that this demand is helping the industry bounce back, with the latest figures from PricewaterhouseCoopers showing that the value of ticket sales for live music events exceeded $25 billion for the first time in 2023. While most of these ticket sales were for the biggest names, with Ed Sheeran pulling in $432m, this has also had a positive effect on local music scenes. One survey found that 36% of US consumers asked if they planned on attending a concert. This demand for live music at every level has helped the industry bounce back.
YouTube Is Investing Heavily in the Industry
During the pandemic, many musicians turned to YouTube to continue to promote and perform their music. Post-COVID, YouTube is the top platform helping musicians find an audience and earn money, especially as it has become harder to earn from live performances. With over two billion music users, Music Business World reported that YouTube continues to be the biggest platform for the music industry. The company reported that it paid the industry $6 billion in 2022. YouTubeâs Global Head of Music, Lyor Cohen, said, âWe remain laser-focused on becoming the number one contributor of revenue for the industry while also building a connected music experience across all music formats for fans and artists that allows for discovery, consumption, and participation.â
Party Bands Providing Additional Revenue
With many venues closing down during the pandemic and struggling to reopen, one avenue that many bands have turned to is performing at an event or party. Performing at a wedding continues to be a lucrative contributor to the music industry, with Brides outlining how wedding bands in Palm Beach, Florida, range from $15,000 to $30,000, bands in Chicago range between $8,000 and $10,000, and in California prices range from $10,000 to $20,000 for the most experienced bands. This is a trend that is being seen across the globe, with the UK party band industry also providing a lifeline to musicians. A four-piece party music band in the UK can cost anywhere between ÂŁ1,652 ($2,057) to ÂŁ1,832 ($2,282), while a five-piece band ranges in the region of ÂŁ2,065 ($2,572) to ÂŁ2,290 ($2,852). This extra income source allows many musicians to have a successful side gig that allows them to continue supporting themselves and the music industry. One reason that party bands continue to be lucrative is the wide range of choices. The party bands for hire on Function Central show how these bands can range from brass bands to rock and roll cover brands, catering to every preference. With the number of weddings and events up post-COVID, musicians are finding revenue streams to help them bounce back and put money back into the music industry.
Employment in the Music Industry is Growing
Despite massive setbacks due to the pandemic, employment in the music industry continues to grow. A report by IBIS World found that there are 71,655 people employed in the Musical Groups & Artists industry in the US as of 2022, and the average business in the industry now employs more workers than it did 5 years ago. As listed in our post on â5 Behind-the-Scenes Careers For Music Loversâ, the landscape of the music industry is rapidly changing due to the rise of new developments such as online streaming. This has opened many more avenues for employment, ranging from social media managers to public relations specialists.
Physical Music Sales Growing
A surprising trend that emerged from the pandemic was an increased desire for physical music. Pre-pandemic streaming services had effectively replaced physical music sales, outselling them in 2018 and continuing to grow since. The main driver of this growth has been the number of vinyl sales, which has overtaken CDs for the first time since the 80s. This shows an increased desire for music fans to have a more active engagement with their favorite bands and follows the post-pandemic trend towards retro media items. For the music industry, this has meant more money going to artists, especially indie artists, which is helping them bounce back stronger post-pandemic.
