8003 DES IFPI WORLD SALES 9/4/01 12:47 pm Page 2. recording industry world sales april 2 1
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1 8003 DES IFPI WORLD SALES 9/4/01 12:47 pm Page 2 2 recording industry world sales april 2 1
2 8003 DES IFPI WORLD SALES 9/4/01 12:48 pm Page 3 World sales of recorded music for the year 2000 fell by 1.3% in value and by 1.2% in units compared with The global music market was worth US$ 36.9 billion in 2000, with total unit sales of 3.5 billion. In unit terms, CD album sales climbed 2.5%. However, sales of singles and cassettes fell sharply, by 14.3% and 9.4% respectively, driving the overall decline in unit sales. Markets experiencing slight decline in value were North and Latin America, Australasia and Asia. However there was growth in sales in Europe. Unit growth (album equivalent) 1.2% 3.5 billion units Value growth 1.3% US$ 36.9 billion CDs +2.5% 2.5 billion units MCs 9.4% 0.8 billion units Singles 14.3% 0.4 billion units LPs 13.3% 0.01 billion units Minidisc 33.5% 0.7 million units North America The US experienced a decline of 1.5% in value and 4.7% in units. The fall was caused by a sharp reduction in sales of both cassettes and singles, down in units by 38% and 46% respectively. While the decline in cassettes follows a familiar trend, the drop in singles sales represents a reversal from strong growth between 1995 and 1997 and a flat market during 1998 and Singles sales felt the effect of several factors including the availability of free music via the internet, US retailers purchasing more conservatively in response to fewer singles sales and uncertainty about the US economy. The Canadian market was down by 7.5% in value and 6.4% in units, where again free music on the internet was said to be a factor in the declining sales of singles. The market in North America as a whole was down by 4.8% in units and 1.8% in value. Europe Europe grew by 1.4% in value, with a 1.3% climb in unit sales. The European Union music market grew by 1.5% in unit terms, though there were notable differences between individual markets. Of the largest markets, the UK grew by 3.8% in value from increased unit sales of 6.2%, whereas France and Germany were both subject to a drop in value by 1.2%. Italy saw a drop of 4.1%. The increase in blank CDR sales and the growth of CD burning contributed to the decline in these three markets. Greece, Austria and Finland saw strong value growth, while Spain, the Netherlands and Denmark also saw value growth. In Eastern Europe, of the major music markets Russia and Bulgaria both grew in unit 2000 TOP 10 MUSIC MARKETS Country Retail Value (US$ millions) % of World Sales USA 14, % Japan 6, % UK 2, % Germany 2, % France 1, % Canada % Brazil % Mexico % Spain % Australia % TOTAL 30, % and value terms, whereas the Czech Republic fell by 11.5% in value and 2.9% in units. Asia & Japan Japan saw a 4.5% fall in value but an increase of 2.5% in units. The fall in market value has been linked to the economic recession, although the release of CD compilation sets in 2000 may explain the climb in unit sales, despite the fall in value. Sales in Asia as a whole fell by 4.4% in value despite an increase of 1.2% in units. Highest growth rates were seen in South Korea, Hong Kong and India, while there were falls in China, the Philippines and Taiwan, where music piracy continues to grow. Latin America Sales in Latin America fell in 2000 for the third year in a row, but less steeply than in 1998 and Unit sales were down by 3.3% but, in value terms, the market fell only slightly, by 1.0%. This reflects the continuing transfer from cassette to CD in the region. The region s largest market, Brazil, saw a unit increase of 7.6% and a 9.3% rise in value, but the market is still being held back by high levels of piracy. Mexico, the second largest market in the region, experienced a 5.2% growth in value terms. Argentina saw the second successive decline in terms of both units and value. The share of the market accounted for by the CD album format keeps on growing in the region, now accounting for 90% of all album sales by volume, compared to 86% in 1999 and 82% in Other markets Sales in Australasia were down by almost 2% in units but by 4.2% in value, the market feeling the effects of changes in retail tax in Australia. Middle Eastern markets largely saw improvement except in Lebanon and Kuwait. The Middle East region as a whole experienced a 2.1% decline in value and a 3.9% in units. In Africa, sales in South Africa were down in both units and value. Formats CD album sales now account for 76% of all album units sold, compared to 74% in The most significant contributions to this increase have come from Europe and Australasia, closely followed by Latin America. Cassette sales fell sharply in every region, particularly in North America, the EU countries and Latin America. Sales of LPs fell 13.3% in the year and singles fell by just over 14%. The minidisc declined by 34% in terms of units.
3 8003 DES IFPI WORLD SALES 9/4/01 12:48 pm Page 4 REGIONAL SUMMARY Region Unit Growth Value Growth US$ Value (billions) World 1.2% 1.3% 36.9 North America 4.8% 1.8% 14.9 Europe 1.3% 1.4% 11.2 EU 1.5% 0.5% 10.1 Asia 1.2% 4.4% 7.8 Asia excl. Japan 0.2% 3.7% 1.3 Latin America 3.3% 1.0% 1.9 Australasia 1.9% 4.2% 0.6 Middle East 3.9% 2.1% 0.3 Africa 0.0% 3.7% 0.2 notes The IFPI World Sales figures cover music from 76 countries. For comparability on an annual basis, adjustments have been made to global formats to account for nonreporting countries. Global and regional growths are reported in real terms (i.e. adjusted for fluctuations against the US dollar during 2000) and are weighted to account for the size of individual territories within the region. For unit growth rate calculations, three singles are equal to one album. National sales data represents the total legitimate market in each country unless otherwise stated. Value figures represent an estimate of the retail value of music market sales based on net shipments to wholesale. NORTH AMERICA 40.3 % EUROPE 30.3 % Average exchange rates used are from International Monetary Fund publications. For further information contact Market Research Department, IFPI Secretariat 54 Regent Street, London W1B 5RE Tel: +44 (0) , Fax: +44 (0) info@ifpi.org, Web: JAPAN 17.6 % LATIN AMERICA 5.0 % ASIA AUSTRALASIA MIDDLE EAST/ 3.6 % TURKEY AFRICA 1.8 % 0.9 % 0.4 % 2000 WORLD SALES (percentage of total value by region) 2000 FORMAT SPLIT TOTAL 2000 FORMAT SPLIT ALBUMS 2000 FORMAT SPLIT SINGLES Minidisc 0.02% Vinyl 0.4% Singles 3.6% Vinyl 0.4% Minidisc 0.02% Cassette 24.1% Cassette 23.2% Other 0.03% Vinyl 4.7% Cassette CDs 72.8% CDs 75.5% CDs 88.1%
4 8003 DES IFPI WORLD SALES 9/4/01 12:48 pm Page 5 World Sales2OOO Singles LPs MCs CDs Minidisc USD Currency Units USD Currency NORTH AMERICA Canada CAD 1, % 7.5% 7.5% Jamaica JMD % 59.1% 55.3% USA ,042.0 USD 14, % 1.5% 1.5% TOTAL , ,863.5 EUROPE Austria EUR % 10.5% 3.5% Belgium EUR % 22.1% 9.9% Bulgaria BGL 9, % 37.6% 59.1% Croatia CRK % 20.3% 7.3% Cyprus CYP % 6.2% 7.4% Czech Republic CSK 1, % 20.7% 11.5% Denmark DKK 1, % 11.6% 2.4% Estonia EEK % 3.0% 19.0% Finland EUR % 9.9% 4.2% France ,694.7 EUR 1, % 14.6% 1.2% Germany ,420.6 EUR 2, % 14.5% 1.2% Greece GRD 32, % 8.7% 9.2% Hungary HUF 16, % 2.9% 15.5% Iceland ISK 1, % 14.2% 6.8% Ireland EUR % 15.6% 13.8% Italy EUR % 17.1% 4.1% Latvia LVL % 3.6% 0.0% Lithuania LTL % 27.0% 27.0% Netherlands EUR % 12.9% 0.8% Norway NOK 2, % 10.9% 0.5% Poland PLZ % 1.0% 10.6% Portugal EUR % 10.2% 3.8% Romania ROL 642, % 14.0% 61.4% Russia RUB 5, % 28.7% 47.0% Slovakia SKK % 23.7% 14.4% Slovenia SIT 4, % 11.4% 8.6% Spain EUR % 12.0% 1.8% Sweden* SEK 2, % 10.6% 0.9% Switzerland CHF % 10.4% 0.7% UK ,828.7 GBP 1, % 2.8% 3.8% Ukraine UAH % 13.6% 13.8% TOTAL ,177.2 EUR 12,131.7 ASIA China CNY % 15.4% 15.4% Hong Kong HKD % 4.1% 4.5% India INR 10, % 9.1% 13.8% Indonesia IDR 902, % 15.5% 9.4% Japan ,496.9 JPY 700, % 0.9% 4.5% Malaysia MYR % 0.4% 0.4% Pakistan PKR % 17.0% 20.4% *Sweden retail growths reflect change in retail mark up
5 8003 DES IFPI WORLD SALES 9/4/01 12:49 pm Page 6 World Sales2OOO Singles LPs MCs CDs Minidisc USD Currency Units USD Currency ASIA Continued Philippines PHP 1, % 37.8% 29.7% Singapore SGD % 0.7% 1.0% South Korea KRW 338, % 21.3% 15.4% Taiwan TWD 7, % 20.5% 23.0% Thailand THB 4, % 13.8% 8.6% TOTAL ,824.9 LATIN AMERICA Argentina ARP % 36.7% 36.7% Bolivia Brazil RRC 1, % 8.4% 9.3% Chile* CLP 35, % 13.6% 9.0% Colombia COP 225, % 17.6% 2.1% Central America USD % 12.9% 12.9% Ecuador ECS 194, % 38.8% Mexico MXP 6, % 6.4% 5.2% Paraguay PYG 8, % 48.3% 42.2% Peru PEN % 28.1% 25.8% Uruguay UYP % 25.5% 20.5% Venezuela VEB 36, % 0.6% 13.0% TOTAL ,860.3 AUSTRALASIA Australia* AUD % 14.5% 5.2% New Zealand NZD % 11.6% 2.3% TOTAL MIDDLE EAST/TURKEY Bahrain BHD % 21.0% 21.0% Egypt EGP % 7.7% 0.3% Israel ILS % 5.2% 6.8% Kuwait KWD % 16.4% 15.8% Lebanon LBP 15, % 21.7% 21.7% Oman OMR % 17.2% 17.2% Qatar QTR % 13.2% 13.2% Saudi Arabia SAR % 10.8% 10.8% Turkey TRL 75,548, % 4.9% 42.0% UAE DHM % 10.3% 10.3% TOTAL AFRICA Ghana Kenya Nigeria South Africa ZAR 1, % 17.1% 5.8% Zimbabwe ZWD % 13.4% 28.1% TOTAL GRAND TOTAL , , Adjustments *Chile singles not comparable, not included in unit growth *Australia retail growths reflect change in sales tax
6 8003 DES IFPI WORLD SALES 9/4/01 12:49 pm Page 7 World Sales1999 Singles LPs MCs CDs Minidisc USD Currency Units USD Currency NORTH AMERICA Canada* CAD 1, % 8.8% 8.7% Jamaica* JMD USA ,251.4 USD 14, % 8.0% 8.0% TOTAL , ,142.6 EUROPE Austria EUR % 6.8% 2.8% Belgium EUR % 6.9% 2.9% Bulgaria BGL 6, % 1.7% 2.6% Croatia CRK % 5.9% 18.4% Cyprus CYP % 2.9% 1.9% Czech Republic CSK 1, % 34.1% 29.4% Denmark DKK 1, % 1.0% 3.1% Estonia EEK 95.5 Finland EUR % 8.2% 4.1% France ,983.4 EUR 1, % 7.6% 3.6% Germany ,832.5 EUR 2, % 6.0% 1.9% Greece* GRD 30, % 17.8% 15.0% Hungary HUF 13, % 3.7% 14.7% Iceland ISK 1, % 4.1% 6.2% Ireland* EUR % 8.3% 14.2% Italy* EUR % 1.7% 2.9% Latvia* LVL 3.8 Lithuania LTL % 54.3% 54.3% Netherlands EUR % 6.9% 3.0% Norway NOK 2, % 5.6% 2.4% Poland PLZ % 10.1% 2.8% Portugal* EUR % 5.6% 1.4% Romania* ROL 397,734.1 Russia RUB 3, % 26.0% 87.8% Slovakia SKK % 41.2% 31.0% Slovenia SIT 3, % 0.2% 9.2% Spain EUR % 6.1% 1.8% Sweden* SEK 2, % 1.7% 5.7% Switzerland* CHF % 5.2% 1.7% UK ,908.9 GBP 1, % 1.9% 4.3% Ukraine UAH % 27.9% 21.6% TOTAL ,442.2 EUR 11,678.2 ASIA China CNY % 9.0% 9.0% Hong Kong* HKD India* INR 9, % 21.3% 26.6% Indonesia IDR 995, % 102.1% 58.6% Japan ,436.6 JPY 733, % 6.5% 7.3% Malaysia MYR % 3.0% 0.3% Pakistan* PKR *Canada, India, Ireland, Latvia, Philippines, South Korea, Sweden, Switzerland adjusted to reflect improved estimate of member companies market percentage *Greece 1999 figures do not include premium sales *Colombia, Italy, Portugal, adjusted to reflect improved estimate of retail markup
7 8003 DES IFPI WORLD SALES 9/4/01 12:49 pm Page 8 World Sales1999 Singles LPs MCs CDs Minidisc USD Currency Units USD Currency ASIA Continued Philippines* PHP 2, % 32.4% 26.6% Singapore SGD % 13.7% 12.6% South Korea* SKW 293, % 43.7% 21.9% Taiwan TWD 9, % 4.0% 7.5% Thailand THB 4, % 9.5% 0.2% TOTAL ,824.2 LATIN AMERICA Argentina ARP % 12.1% 12.1% Bolivia* BOB 26.7 Brazil RRC 1, % 43.0% 10.8% Chile CLP 38, % 10.2% 0.7% Colombia* COP 229, % 17.9% 1.1% Central America USD % 5.3% 5.3% Ecuador ECS 65, % 61.4% Mexico MXP 5, % 15.2% 20.6% Paraguay PYG 14, % 29.6% 20.3% Peru PEN % 14.1% 0.8% Uruguay* UYP % Venezuela VEB 32, % 44.8% 39.0% TOTAL ,915.1 Australasia Australia AUD 1, % 8.2% 5.5% New Zealand NZD % 0.6% 0.7% TOTAL MIDDLE EAST/TURKEY Bahrain BHD % 40.0% 40.0% Egypt EGP % 3.9% 4.2% Israel ILS % 18.4% 10.9% Kuwait KWD % 12.5% 12.4% Lebanon LBP 19, % 0.0% 0.5% Oman OMR % 45.8% 45.8% Qatar QTR % 3.5% 3.5% Saudi Arabia SAR % 8.8% 8.8% Turkey TRL 53,185, % 0.0% 60.6% UAE DHM % 6.4% 6.4% TOTAL AFRICA Ghana Kenya Nigeria South Africa ZAR 1, % 7.3% 2.4% Zimbabwe ZWD % 33.9% 139.6% TOTAL GRAND TOTAL , , Adjustments *Hong Kong, Romania 1998/99 figures not comparable, figures adjusted to reflect improved estimate of member companies market percentage *Bolivia, Jamaica, Pakistan 1998/99 figures not directly comparable *Uruguay 1998/99 figures not comparable, figures adjusted to reflect improved estimate of retail markup
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