If you missed the Part-1 of Why China Music Market, read it here!
Once when we talk about music market in China, we first thought about piracy. While things have been changed by the end of 2015, along with the copyright restriction order from the Chinese government. After that, exclusive partnerships between the country’s biggest internet groups and major international record labels surged the copyright competitions in the market, as well as the value of copyright.
Paid online music is expected to rise to RMB 8.35 billion ($1.2 billion) by 2020 with growth rate 30.3%, according to iResearch from China. (Source: http://report.iresearch.cn/report_pdf.aspx?id=3144)
The strong social character of Chinese streaming services makes it is really easy for users to access new music and independent music. Streaming services like QQ Music and NetEase Music can be seen as “music social media”, which build communities around a group of music lovers to chat and share their appetites to music.
On Chinese music streaming services, user-generated playlists and comments play main part of the services, for example, on NetEase Music, all the playlists can reach 80% play-rate, and almost every user has grown the habit to comment and read the comments while listening to music, most of the comments and tracks will also then be shared to other social media platforms (e.g., Weibo and Wechat). (Source: http://report.iresearch.cn/report_pdf.aspx?id=3144 http://www.sohu.com/a/204539092_403354 )
Among Chinese online music users, 70.2% of them are under 30 years old, and on Tencent QQ Music, according to Tencent Music Entertainment Group VP Andy Ng, the percentage even reached 80%. The young generation is the main user group of Chinese music market.
Besides, in China, people in the age from 15 to 30 are educated to appreciate the content, thus, they know music has a value, and they respected that, so they are willing to pay for the music services. According to a report from iResearch China, over 70% of under-30-years-old music users in China have purchased at least once premium accounts on streaming services, and over 65% of them have purchased at least one digital album online. (Source: http://report.iresearch.cn/report_pdf.aspx?id=3144; http://www.questmobile.com.cn/blog/blog_108.html; http://musically.com/2017/06/06/tencent-music-andy-ng-china-midem/)
CVR FI24789448 | © Musicinfo 2018 | All rights reserved.