Music streaming platform, Spotify, has unveiled that it disbursed over N25 billion in streaming royalties to Nigerian artists throughout 2023.
This significant disclosure was made within the pages of its annual Loud & Clear report, a comprehensive analysis focusing on the Nigerian music market.
According to Spotify’s report, the earnings for Nigerian artists in 2023 more than doubled compared to the previous year, soaring past the N11 billion mark. Remarkably, this marks a staggering 2,500% increase in royalties to Nigerian artists since 2017.
While Spotify stands as a prominent player in the music streaming arena, it’s vital to acknowledge that various platforms, including YouTube Music, Apple Music, and Amazon Music, also contribute to artists’ revenue streams.
This marks the second instance where Spotify has provided detailed insights specifically tailored to Nigeria. The company emphasized that such transparency is crucial for the music industry, aiming to elucidate its royalty payments and dissect the global streaming economy, its stakeholders, and processes.
A global overview released earlier in the year revealed that Spotify disbursed a total of $9 billion in royalties to artists worldwide over the past year.
Additionally, Spotify’s data showcased a quadrupling in the number of Nigerian artists earning over N10 million in royalties since 2018. Notably, over half of these royalties were allocated to independent artists or labels, underscoring the democratizing influence of streaming platforms.
Furthermore, Spotify’s report unveiled that Nigerian artists were discovered by listeners almost 950 million times in 2023, attesting to their growing global appeal.
Jocelyne Muhutu-Remy, Spotify’s Managing Director for Sub-Saharan Africa, hailed the remarkable growth in royalties earned by Nigerian artists as a testament to their talent, creativity, and international allure.
She noted that while Afrobeats remains dominant, Nigeria’s music landscape is witnessing a genre renaissance, with local genres such as Highlife, Igbo Pop, and Fuji experiencing substantial surges in listenership.
The rise of technology has enabled African artists to transcend geographical boundaries, amplifying their reach and allowing them to reap financial rewards from their artistry.
This exponential growth in Africa’s music industry is underscored by the 2024 report from the International Federation of the Phonographic Industry, which heralds Sub-Saharan Africa as the world’s fastest-growing music market, boasting a remarkable 24.7% revenue growth.
Paid streaming services have emerged as a significant contributor to this growth, accounting for 24.5% of the revenue. Notably, Sub-Saharan Africa stands out as the only region surpassing the 20% growth threshold.
IFPI’s report accentuated the positive growth trajectory across the globe, with healthy revenue increases recorded in every region, and five regions registering double-digit percentage gains.
Sub-Saharan Africa’s steadfast growth reaffirms its position as a powerhouse in the global music landscape, reflecting a burgeoning industry ripe with potential and promise.
