We’ll mention this early: MBW today forecasts that the recorded music market for Latin American artists in the United States will generate revenue of more than $1 billion in the 12 months of 2022.
We’re bullish on that forecast as new data was released today (April 12) in a report by the RIAA showing Latin music is being generated $886.1 million on a retail basis in the US in 2021.
That $886.1 million Transport increased by more than a third (+35.4%) on the revenue of Latin American music in the USA in the previous year.
This annual turnover now only has to increase by another plus 12.9% (+$114 million) in 2022 to reach the magic billion dollar mark.
Considering that US revenue from Latin music has increased 19.6% Year-on-year comparison 2020 and beyond 28.5% YoY in 2019, the smart money category finally breaking the billion dollar barrier in 2022.
latin music $886 million in retail sales in 2021 meant it claimed a market share of 5.91% in relation to the entire US recorded music industry according to MBW calculations.
(See below; our calculations are based on data in both the RIAA’s Latin American year-end report and the organization’s broader U.S. industry year-end report.)
That 5.91% The US market share achieved by Latin music in 2021 was greater than that of the category achieved in both 2020 (5.39%) and 2019 (4.96%).
In fact, if we go back five years to 2017, Latin music claimed a mere 3.97% of a (then much smaller) US music market, according to MBW’s reading of RIAA data.
Powered by superstars like Bad Bunny, Becky G and Anitta, stream Latin music revenue in the United States was adding up $857 million 2021 according to RIAA – catching up 97% of total Latin American revenue.
That $857 million figure that was above 36% YoY, includes all types of streaming earnings including:
- Advertising on interactive and non-interactive platforms
- Premium subscription platforms as well as limited tier paid platforms
- Both video (YouTube etc.) and audio (Spotify etc.) platforms.
Across these types of streaming platforms, the RIAA data analyzed by MBW shows that Latin music has achieved a 6.89% US streaming market share over the past year (see below).
In other words, out of every dollar made by the US streaming record industry in the past year, roughly one in 14 was made by Latin music.
This streaming market share in 2021 (6.89%) was both in 2020 (6.27%) and 2019 (5.93%).
Paid Music Subscriptions
drill deeper, paid Music streaming subscriptions continued to be the biggest driver of Latin music revenue growth over the past year.
Latin Music’s paid subscription revenue increased 35.0% to $593 million in 2021, according to the latest RIAA numbers. As a result, paid streaming users accounted for more than two-thirds of all US Latin American music revenue in 2021.
This money was generated by both full “premium” subscriptions (for Spotify Premium, Apple Music, etc.) and “limited” subscriptions for limited catalog services (pad for platforms with interactivity limitations by availability, device limitations, catalog limitations, etc.), demand access or others factors).
MBW’s calculations of the RIAA data show that Latin music claimed a 6.25% Market share of all revenue from paid subscription services (including “limited tier”) in the United States in 2021.
That was it 5.68% in 2020 and beyond 5.06% in 2019 (see below).
Ad-supported on-demand streaming platforms
Finally, let’s take a look at a long-standing stronghold of Latin music in the US: ad-supported on-demand streaming platforms – including YouTube and Spotify’s free tier.
Latin American music is generated through this type of streaming platform $187 million up in the US in 2021 46.1% Year for year.
According to MBW’s analysis of the RIAA numbers, this meant Latin music was eliminated 10.62% of all revenue generated by such platforms in the States in the past year.
That 10.62% Market share fell slightly 10.67% Market share achieved in 2020, but you have to consider the tremendous overall growth in ad-supported revenue for the US record industry over the past year.
The total revenue generated by the US recorded music industry from interactive, advertising-supported platforms in the past year amounted to $1.76 billionmore than $550 million Year for year.
Discussing the numbers in the RIAA’s latest year-end Latin annual report, Michèle Ballantyne, COO, RIAA said, “Latin music continues to grow – driving the entire music market and last year reporting its highest revenue on record at $886 million .
“With growth of 35% – well above the overall growth rate of recorded revenue – Latin music is historically connecting fans.
“Latin music continues to grow – it’s driving the entire music market and last year it reported its highest revenue in history at $886 million.”
Michele Ballantyne, RIAA
“In a year when Bad Bunny was the most-streamed artist on earth, stars like Becky G and Anitta pumped chart-topping after chart-topping, and audiences happily flocked to Latino-packed stadiums and arena shows as live performances picked up steam again won , Latin label teams and artists continue to soar to new heights.
“RIAA is proud to celebrate the cultural power and creative and commercial success of Latin music reflected in this report – and recognizes the incredibly talented artists and label teams who have given us so much in 2021.”music business worldwide
https://www.musicbusinessworldwide.com/latin-music-is-on-course-to-generate-over-1-billion-in-the-us-in-2022/ Latino music is expected to gross over $1 billion in the US in 2022