The global vinyl records market size is estimated to grow by USD 663.77 million from 2022 to 2027, according to Technavio. The market is estimated to grow at a CAGR of 8.41% during the forecast period. North America is estimated to account for 32% of the global market growth.
Vinyl Records Market – Segmentation Assessment
Segment Overview
This report extensively covers market segmentation by product (LP/EP vinyl records and single vinyl records), distribution channel (online and offline), and geography (APAC, North America, Europe, Middle East, and Africa, and South America).
- The market share growth by the LP/EP vinyl records segment will be significant for market growth during the forecast period. Most of the record labels use LP vinyl as the standard format for vinyl records. The segment growth can be attributed to the increasing demand for retro music. Different colors in LP vinyl records for retro music with creative packaging are also offered by various market vendors to attract customers to the market. Furthermore, EP (extended play) vinyl records were introduced as singles through the vinyl format. Moreover, the rising popularity and promotional activities of EP records would further propel the demand for LP/EP vinyl records. Hence, such factors boost the segment growth during the forecast period.
Geography Overview
By geography, the global vinyl records market is segmented into North America, APAC, Europe, South America, and Middle East and Africa. The report provides actionable insights and estimates the contribution of all regions to the growth of the global vinyl records market.
- North America is projected to account for 32% of market growth during the forecast period. The existence of several music publishers and vinyl record-pressing plants across North America drives the market growth in the region. Furthermore, the high GDP per capita indicates the high spending capacity of the population, which allows them to spend on vinyl records. Such factors are likely to increase the revenue generated by the music market in the country. Hence, such factors boost the regional market growth during the forecast period.
Vinyl Records Market – Market Dynamics
Key factor driving market growth
The aesthetic appeal of vinyl records drives the market growth during the forecast period. The medium of music has changed in form and content over the years. But for an audiophile or a music lover, vinyl records are still considered an auratic product.
The ability to represent important events in pop music history and heritage while providing a sense of the cultural background, which is modern and urbane is considered an important feature in vinyl records. Moreover, music enthusiasts collect vinyl records as collectibles, as most records are packaged artistically and presented creatively. Hence, such factors drive the growth of the market during the forecast period.
Leading trends influencing the market
Promoting vinyl records as special editions or deluxe products is an emerging trend in the market. Young people listen to music on many devices and in different formats. But they increasingly invest in vinyl records for their most loved recordings.
Thus, various market players try to differentiate their product offerings by launching special and deluxe editions of their copies. Additionally, various artists and labels promote their products as deluxe products, quoting a higher price to increase revenue. Hence, such trends boost the market growth during the forecast period.
Major challenges hindering the market growth
Digital music formats challenge the growth of the market during the forecast period. The music industry is going through a transition and the current trend is the streaming format. This format has witnessed significant growth over the past few years.
Moreover, a fast Internet connection has allowed people to access music directly via cell phones or other electronic devices. Hence, such factors will hinder the growth of the market during the forecast period.
