Music publishing revenues climbed 12% in 2023 to outperform the 9.1% growth in record label trade revenues. That pushed global music publishing revenues past $10.1 billion, underscoring the growing heft of the sector.
MIDiA Research has released its 2024-2031 global music publishing forecast, noting the drivers of that growth. It mentioned the recovery of live revenues post-COVID and improved royalty rates from streaming for the increase. Growth in music streaming has persisted, and better-placement and negotiation have accounted for much of that continued effort.
According to MIDiA, maturation of the streaming marketplace has meant that publishers have been able to fight for a greater piece of the streaming economy. Effective lobbying and licensing strategies ensured improved terms for royalties, in particular, from new-fangled platforms like TikTok and Meta. What this means is that we are living in an era of music publishing businesses led by streaming, as streaming contributed more than a 50% share of total industry revenue in the year 2022. According to MIDiA, global music publishing revenues might almost double by 2031 and strongly indicate potential for long-term growth.
As Mark Mulligan of MIDiA noted, in the early days of streaming, publishing was very much the secondary cousin to labels and digital service providers calling the shots. Fast forward into a maturing market; publishing rights rose center stage. Favorable rate board rulings in the U.S., active lobbying efforts, and more effective licensing strategies have greatly benefited publishing's share of the pie in the streaming economy, with even more improvements expected.
This trend underlines how important it is for artists and musicians to be aware of their publishing rights and know how to maximize them. It's also a huge benefit for investors looking to build wealth by investing their money into publishing royalties.
Investing In Publishing Royalties
As music streaming continues to grow, so does revenue for artists, songwriters, and producers. If you are looking for some of the best ways to invest money to build wealth and create passive income, now you can do so on Royalty Exchange. On Royalty Exchange you can sign up as an investor and search through thousands of music catalog listings that include producer and songwriter royalties to some of the biggest songs of the past few decades.
Take this Kendrick Lamar listing for instance. This catalog features hit songs from Kendrick's debut album like "M.A.A.D. City" and classics from the late Nipsey Hussle like "Double Up". The investor acquired this catalog in July 2019 for $162,000 and has already collected $170,283 in publishing royalties in just over 5 years. The investor of this catalog can hold onto the songs and earn for life! The earnings from this catalog are extremely stable so in time of economic and market uncertainty, investors are finding music royalties to be amazing passive income investments. If you are looking for one of the best passive income ideas, look no further than music royalty investing.
We’ve prepared this guide on Royalty Investing Made Easy to help you out if you want to get started investing in music royalty catalogs.
At Royalty Exchange, you can choose from thousands of the most popular songs to invest in. There are a ton of legendary pop catalogs from artists such as Rihanna, SZA, even Miley Cyrus just to name a few. We offer hundreds of catalogs that are up for auction today, so sign up as an investor to get started.
Discover why so many investors today are actively searching for the next best music catalog investment deals.
