There might be a global recession out there but Australia Record Industry Association chairman Ed St. John is predicting a good year for the Australian music industry.
“I think the essential message here is that music is a very resilient product in times of economic instability,” says St John. “Not only are we seeing strong and consistent growth in digital music, we’ve also seen a strong surge in spending on music - both physical and digital - over the last quarter of 2008 and the first weeks of 2009.“The Australian music labels are much better placed than many of their US head office counterparts. For starters, Australia has always worked leaner and meaner than the United States.
Australian majors have always been amalgamated with their labels unlike the US where each label up until recently was run as an individual business and many still are.
The Australian music industry also has and always has had a healthy local roster. While the country accounts for only around 1% of music sold worldwide, Australia has over-achieved in the development of great acts dating back to AC/DC, INXS and Midnight Oil and continuing today with Kylie Minogue, Jet, Wolfmother and The Veronicas.
“The Australian music industry of 2009 is leaner, smarter and more diversified,” St John says. “In my observation, all the labels have restructured their operations to provide a better service for artists and consumers. We’ve embraced online marketing and digital distribution. And best of all, there’s so much amazing Australian talent that continues to resonate with fans of all ages. We’re excited about the future.”
ARIA has just released figures showing that digital sales have increased by 35%. Physical CD sales have also increased this year, up around 35% on the same week last year.
