Top Music Industry Trends Leading into the New Year
The trickle down effect from "safer at home" measures rippled strongly throughout the music industry in 2020. As the socially-starved turned towards their mobile devices for their primary source for connectedness, millions of people began to discover new music through social media platforms.
As we embark on a new year, KJPR has compiled three music industry trends born from the unexpected stay-at-home culture of 2020 that is surely here to stay (at least for awhile!):
1. Influencers are the New Music Video Stars:
And they are selling records!
Following the success of Lil Nas X's monster hit 'Old Town Road', TikTok has captured the music industry by storm. The social media app's impact during the pandemic has since seen multiple tracks reach the top of the charts.
From up and coming artists like Doja Cat and Roddy Ricch, to throwback tracks from Mariah Carey and Ke$ha, social media has the power to create a hit and bring old hits back into the charts through user-generated creativity.
2. New Licensing Opportunities in 2021
Good news for the creators! Short-form videos (TikTok, Triller), e-fitness (Peloton), and other platforms (Facebook) are just starting to license music IP from rightsholders, creating new sources of future monetization.
TikTok just signed an agreement with the National Music Publishers’ Association (NMPA) this July (approximately 50% of the music publishing market was unlicensed with TikTok before this). Other large platforms, such as Facebook and Peloton, have recently signed inaugural licensing deals with music rightsholders. These licensing deals create exciting new future sources of income for music creators.
3. Live Music Suffered in 2020 While Streaming Opened New Doors
Live music arguably suffered the most in 2020, and with stay-at-home orders still in place for most of the country as it reels from a surge in the pandemic, it might take a while for people to gather together in big venues again.
While this is not the best scenario for touring acts, it has opened doors for DJs and live artists to perform live in the comfort of their own homes. Twitch, for example, is the world's leading live streaming platform for gamers, and DJs like Dialjess and Sofi Tukker are using the platform to stream daily concerts to hundreds of fans at a time, earning a nice living from the comfort of their home office / DJ room.