by Market Overview: The audio streaming market allows listeners to stream music, podcasts, and other audio content online without downloading files to a device. This on-demand model has gained immense popularity as it provides instant access to vast libraries of content for a low monthly subscription cost. Key services provide personalized recommendations, playlists, and daily mixes tailored to individual tastes and listening habits.
The global audio streaming market size is estimated to be valued at US$ 38.27 billion in 2024 and is expected to exhibit a CAGR of 14% over the forecast period from 2023 to 2030.
Key Takeaways
Key players: Key players operating in the audio streaming market are Apple Inc., Deezer, Alphabet Inc., Guvera Ltd., Hungama.com Pvt. Ltd., Microsoft Corp., Pandora Media Inc., Rhapsody International Inc., Saavn, LLC, Slacker Inc., and Spotify.
Growing demand: Rapid digitalization and increasing smartphone penetration have boosted audio streaming adoption globally. Younger demographics especially favor on-demand streaming over physically purchased or downloaded music files due to convenience. Expanding broadband connectivity will further support audio streaming growth.
Global expansion: Leading services are expanding their presence and content library across international markets to tap growing overseas demand. Regional licensing agreements are enabling localized content availability and driving audio streaming uptake in non-English speaking territories. Interface and payment localization efforts aim to enhance user experience.
Market key trends
Personalized listening experiences fueled by AI and machine learning algorithms are a major trend driving audio streaming market growth. Services analyze individual listening data to deliver hyper-targeted recommendations, upgrade playlists over time, and offer customized daily mixes showcasing newly discovered content. This personalized approach boosts user engagement while exposing listeners to a more diverse catalog that expands their music tastes. The shift towards individualized streaming has increased subscription retention and revenues for major players.
Porter’s Analysis
Threat of new entrants: The audio streaming market requires large startup investments and established distribution infrastructure which pose significant barriers for new entrants.
Bargaining power of buyers: Buyers have moderate bargaining power due to availability of substitutes and price sensitivity.
Bargaining power of suppliers: A few major music labels and artists hold substantial content libraries creating bargaining power for suppliers.
Threat of new substitutes: Alternatives like podcasts, radio and music downloads pose potential threats of new substitutes.
Competitive rivalry: Industry is dominated by major players like Apple, Google and Spotify resulting in high competitive rivalry.
The geographical region where the audio streaming market is concentrated in terms of value is North America. Major factors driving market growth in the region include high smartphone and internet penetration, early technology adoption and presence of key industry players.
The fastest growing region for the audio streaming market is Asia Pacific owing to rapid economic development, rising disposable incomes, growing youth population and increasing digitalization. Countries like China and India are expected to be major revenue generators for audio streaming services in the coming years.
*Note:
- Source: Coherent Market Insights, Public sources, Desk research
- We have leveraged AI tools to mine information and compile it
Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemical and materials, defense and aerospace, consumer goods, etc.
