a 2 i m

A2IM CEO Responds to MBW Global Market Share Analysis

A note from A2IM CEO Richard James Burgess:

Here is an interesting analysis of global music industry revenues and distribution of market share published by Music Business Worldwide on February 26th.

Unfortunately, the analysis allocates the market share of major label distributed independent labels to the major label distributor. This significantly diminishes the independent market share number. Nearly 50% of A2IM’s labels (U.S. only) are distributed by major label distributors (or their subsidiaries). The percentage of independents distributed through major label systems varies from country to country. 

The analysis does point out that these numbers are broken out by distribution not ownership. However, the article then juxtaposes a U.S. only analysis by ownership with global market share by distribution, further confusing matters. 

Since these distributed labels own their copyrights, there is no justifiable reason to assign their market share to their distributors. These misleading figures undermine the independent sector’s ability to conduct business based on its true worth.

About A2IM:
A2IM is a 501(c)(6) not-for-profit trade organization headquartered in New York City that exists to support and strengthen the independent recorded music sector. Membership currently includes a broad coalition of more than 700 Independently-owned American music labels. A2IM represents these independently owned small and medium-sized enterprises’ (SMEs) interests in the marketplace, in the media, on Capitol Hill, and as part of the global music community. In doing so, it supports a key segment of America’s creative class that represents America’s diverse musical cultural heritage. Billboard Magazine identified the Independent music label sector as 37.32 percent of the music industry’s U.S. recorded music sales market in 2016 based on copyright ownership, making Independent labels collectively the largest music industry sector.

Learn more about A2IM here.
For information about how to join our community, see here.