Industry Analysis & Industry Trends
This industry is in decline as years of falling record sales have eaten into music publishers' royalty streams and weakened demand for sound recording studios. Large players dominate the industry, with the big four (i.e. EMI, Warner, Sony and Universal) accounting for an estimated 77.9% of industry revenue.
There are two distinct businesses within this industry: music publishers, which earn about 80% of revenue; and sound recording studios, which draw the other 20%. Demand for sound recording studios has weakened as the record companies have reduced their investment in producing recorded music. As they become increasingly budget-conscious, record labels are using less studio time and cutting back on the more expensive premium studio services... purchase to read more
Industry Report - Industry Key Buyers Chapter
Industry concentration indicates the extent to which major players dominate the industry. The industry is characterised by several big players that operate throughout the greater entertainment industry, and a large number of small businesses. The major labels account for an estimated 77.9% of industry revenue. According to IBISWorld definitions, any industry with major player dominance over 70% constitutes very high concentration. The remaining operators are referred to as independent labels and account for 22.1% of revenue.
Concentration vary by segment however. Within the sound recording segment, concentration is low and declining... purchase to read more