Global Music Sales Slid Again in 2003
Industry Group Says Positive Signs
Are Emerging for This Year
DOW JONES NEWSWIRES
April 7, 2004 6:30 a.m.
LONDON -- Global recorded-music sales slid again in 2003 as rampant piracy and illegal downloading continued to inflict damage, but positive signs are emerging in 2004, a leading industry body said Wednesday.
The International Federation of Phonographic Industries, or IFPI, said global sales of recorded music fell 7.6% in 2003 from the prior year, measured by value. That suggests something of a pickup in the second half of the year, after a 10.9% decline in the first six months of 2003.
And strong U.S. album sales toward the end of 2003 have continued into 2004, the IFPI said.
In 2002, global music sales fell 7% from the 2001 level.
The global music market totaled $32 billion in 2003, down from around $38.5 billion in 1999, the last year the music industry experienced world-wide sales growth.
Sales of music videos rose 47% last year, offsetting a 9.1% drop in sales of CD albums and a 19% fall in sales of CD singles.
The IFPI said Internet piracy remains a significant factor in the decline in music sales, according to research. "Global music sales had another difficult year in 2003, under the combined effects of digital and physical piracy and competition from other entertainment products," said IFPI Chairman Jay Berman.
But he highlighted positive signs in 2004 and the growing importance of music videos. "However, there are some encouraging signs, particularly in the U.S. market where the increase in album sales of late 2003 has continued into this year, and in the U.K. and Australia," he said.
"Meanwhile, music video sales are rapidly becoming an important revenue stream for the industry," he said.
