(fyiteam)
In 2024, 43.6 billion vinyl records were sold in the U.S., while revenue from sales increased for the 18th consecutive year, reaching $1.4 billion.
It is the highest amount since 1984 and accounts for nearly three-quarters of total revenue from overall “physical” music format sales (e.g., CDs, cassettes).
Vinyl records have become cool again in the U.S., and around the world, for many years now.
But what helps them remain in fashion?
Vinyl records, CDs, and cassettes were “spared” from the decision of the Trump administration to impose tariffs on imports under $800 (overturning the “de minimis” exemption).
This happened because physical music formats are covered by a Cold War–era amendment that protects “informational materials” (books, records, etc.) from tariffs.
If tariffs had applied, vinyl prices would have reached $40–$50, as most are produced outside the U.S. (mainly in the Czech Republic).
(fyiteam)
Gen Z, following the hipster millennials, continues the “trend” of physical music formats, collecting vinyl and in many cases doing “vinyl hauls” on social media—videos in which they talk about and show the records they bought.
Notably, according to a 2024 survey in the United Kingdom, nearly 60% of people aged 18–24 said they listen to music on “physical” formats, the highest percentage of any demographic group.
(fyiteam)
Taylor Swift has a unique ability to influence the market through her decisions about how to release her music, according to experts.
In 2024, five of her albums were among the 10 best-selling vinyl records in the U.S., with The Tortured Poets Department reaching #1 (nearly 1.5 billion sales).
As a result, the 7+ different vinyl “editions” of her new album, released just a few days ago, are expected to boost sales once again.
Artists’ main source of income is not streams, but merchandise.
On Spotify, artists earn about $0.003–$0.005 per stream (depending on their deal with their record label), an amount that is usually not enough to make a living.
Most of their income, aside from live performances, comes from physical sales (e.g., records, hats, T-shirts), from which they typically receive 10–25% in royalties.
