(CelebrityAccess) — Global accountancy firm Price Waterhouse Coopers released its updated Global Entertainment & Media Outlook 2019–2023 report, revealing that ticket sales for live music events are expected to exceed $25 billion by 2023.
The study, which was first reported by IQ Magazine, also projected that aggregate industry revenues are also set to reach a record high of $31.5m during the same time frame.
The report cited an estimated compound annual growth rate for ticket sales of 3.33% from 2018 to 2023, while overall live music turner, which includes both ticket sales and sponsorships, will grow at 3.11% CAGR.
The report noted the power of legacy artists such as The Eagles, who grossed $166m in 2018, along with the Rolling Stones, U2 and Roger Waters, as key drivers for ticket sales. Successful tours by artists such as Taylor Swift, Beyonce, Ed Sheeran, and Jay-Z were also cited in the report.
“The live music sector had another strong year, as leading artists toured the globe. The ten highest-grossing global tours in 2018 each had ticket sales that exceeded $100m. Ed Sheeran was top earner, with a four-continent tour before an aggregate audience of close to 5m people and his 90-plus performances in more than 50 cities pulled in US$432m. Taylor Swift’s 36-stop global trip amassed US$345m in tickets sales, while a combined Beyoncé and Jay-Z managed to rack up almost US$255m,” the report said, per IQ.
The survey also highlighted the power of dance music in the global marketplace, noting that “electronic dance music (EDM) events again drew large and lucrative crowds, and EDM DJs were paid accordingly. Calvin Harris was the best remunerated, with the artist earning around $50m, ahead of US duo The Chainsmokers ($45m) and Dutch DJ/producer Tiësto ($33m),” IQ reported.
As well, the report examined the tectonic shifts occurring in the realm of recorded music, noting digital download’s precipitous decline, which fell by 23% in 2018, and the rise of music streaming. According to the report’s findings, established markets such as North America and Western Europe continue to drive global music revenue, but Asia Pacific will be the fastest-growing streaming region over the forecast period.
The report also noted the rise of the increasing importance of podcasts to content providers, with the business segment expected to be worth $3.2bn, in 2023. Esports was also highlighted as an area of growth, which has a CAGR of 18.3%.
A key finding of the report for all segments of live entertainment was tailoring offerings to closely align with a customer’s wants and needs.
“The personalization wave – fuelled by evolving customer behavior – is set to be amplified by the forces of technology, scale, and aggressive investing and competition,” global entertainment and media leader at PwC Netherlands Ennèl van Eeden said in the report. “The implications for organizations are profound. As the borders separating former media silos erode, companies need to think more broadly about the areas and segments in which they operate. At the same time, all E&M players must take the need to ‘know your customer’ more seriously, and marketers need to allocate their time and attention to new types of content and platforms – influencers, live events, ads inside apps and more.”