Albany, NY -- (SBWIRE) -- 01/28/2014 -- At $1.5 billion in advertising and subscription sales, the total revenue for the US streaming music market is small, and with high costs for music licensing, market leader Pandora has yet to show two consecutive quarters of profitability. In spite of these issues, leading tech companies are flocking to join the market, with an eye toward sales that might be a decade away, or a long-term transition from hardware and software sales to on-going services.
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Table of Content
Scope and Themes
What you need to know
Consumer survey data
Abbreviations and terms
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Rapid growth behind, rapid growth ahead
Figure 1: US sales and fan chart forecast of ad sales and subscription revenues for streaming music, 2009-18
Competing for ad dollars and consumer dollars with terrestrial and satellite radio
Pandora: twice the penetration of any competitor
Figure 2: Streaming music services used in past week, October 2013
Traditional radio still dominates, followed by internet radio and then satellite
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Issues and Insights
Is there a barrier to entry?
Why are the world’s largest tech firms in Pandora’s box?
Is the ownership model for music dying?
Trend: Click and Connect
Trend: Guiding Choice
Mintel Futures: Access Anything Anywhere
Market Size and Forecast
Annual sales at 37% growth
Figure 7: US sales and forecast of ad sales and subscription revenues for streaming music, at current prices, 2009-18
Figure 8: US sales and forecast of ad sales and subscription revenues for streaming music, at inflation-adjusted prices, 2009-18
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