Continual shifts from physical to digital media production and distribution have had a marked effect on the operations of music production labels in the Independent Label Music Production industry. The three major record labels (Warner, Universal and Sony) are slowly adapting, while smaller independent labels are diversifying revenue streams to adjust to the changing landscape. Sales of physical media and digital downloads have declined steadily over the past five years in response to emerging subscription-based streaming services. Labels are expected to focus on growing revenue from nontraditional revenue streams to offset declines in both physical sales and digital downloads.
Independent record labels find musical talent, finance the production of music and distribute recordings to retail and digital outlets. These labels have smaller budgets and operations than those of major labels, and independent labels frequently outsource manufacturing and distribution of physical records. Major labels are included in the Major Label Music Production industry (IBISWorld report 51222).
This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.