UK music gets physical
Digital music isn't having everything its own way. The number of UK bricks and mortar music stores selling music spiked in 2014, with 10,391 outlets selling music, an annual increased of 20.4%, according to the Entertainment Retailers Association. The growth in the number of physical outlets comes despite the explosion in digital services - industry estimates suggest there are now 76 digital music services platforms operating in the UK.
"Physical outlets seem to have the edge when it comes to impulse and gift purchases,” says ERA CEO Kim Bayley. “You cannot giftwrap a download or stream."
UK music-streaming revenues totalled £175 million last year, up an impressive 65% on the previous year’s £106 million. “Thanks to the ground-breaking technology and heavy investment of a new breed of entertainment retailers offering access services, we are witnessing a revolution in the entertainment industry, benefitting consumers, creators and content owners alike,” says Bayley.
The main driver is an increase in the number of supermarket convenience stores and generalist retailers like Wilko, BHS and Matalan selling limited ranges of music and video aimed at the impulse market.