A new report suggests that music sales defied the recession last year, although overall revenue still dropped.
The music industry has spent the best part of ten years in crisis. The threat of the internet caused some labels to abandon all sense (hello EMI!) while others began using brand new sales techniques.
After years of turmoil, many predicted that the recession would finally finish off the beleaguered labels. However a new report reveals the news that music releases have fared better than expected.
Sales last year dropped by their smallest amount in five years. Despite the recession, sales dropped by a mere 0.8% last year according to data gathered by the Entertainment Retailers Association (ERA).
Some commentators have pointed out to CDs being ‘recession proof’ – i.e. cheap enough to survive any trading conditions. However given the plight of video and game software – down over 10% each – it seems as if other factors are at work.
Kim Bayley, director general of the ERA, attributed the success of the music industry to big name acts.
“Surging download sales and the huge appeal of SuBo and Gaga show music still has huge appeal for the British public,” she told the BBC.
“It is too soon to call an end to music’s decline, but in 2009 entertainment retailers discovered music has still got a lot to offer.”
Meanwhile, fans of retro technology can rejoice – sales of VHS video cassettes doubled year on year, rising to 95, 201.
