Music market focus: The unstoppable growth of Mexico’s digital music industry

Digital music is booming in Mexico. In just a few years, the Latin American country has evolved into one of the top music streaming markets.

The once hailed by Spotify as the world’s streaming Mecca has positioned itself as one of the 15th largest global economies and the second biggest one in Latin America, just behind Brazil.

Music has been a key driver in that sense, hugely contributing to the explosion of the Mexican economy.

Mexico undoubtedly is a land of opportunities for artists from all over the globe looking to increase their reach and connect with new audiences.

At the same time, it also is a hotspot for independent record labels, distributors, and other music professionals searching for business expansion and revenue growth.

The digital music industry in Mexico

Mexico, a paradise for music and video streaming

Streaming is taking the Mexican recorded music market to new levels, in terms of consumption, engagement, and revenues.

With over 20 million users signed to digital music platforms, Mexico has become one of the top-streaming destinations for labels that want to extend their catalog reach and maximize their revenues.

Mexican listeners are turning to digital channels like Spotify, Deezer, Claro Música, or iTunes / Apple Music (channels integrated with SonoSuite) to discover and listen to music.

In fact, according to IFPI’s Engaging with Music 2021 report, Mexico currently is one of the Top 5 countries in the world with more users spending the most time listening to music through paid subscription streaming services.

Music engagement in Mexico

Source: IFPI

 

It also holds the first spot as the world’s leading country when it comes to having the highest monthly use of short-form video apps.

Music video streaming is so popular in Mexico that platforms like TikTok tripled their user base in just one year.

With this in mind, it’s not surprising to see that more and more record labels are jumping to the digital world by licensing their catalogs to streaming and video streaming services to engage with Mexican audiences.

 

 

Digital music revenues in Mexico are expected to reach $402.90m in 2022

Looking at global figures, we find that Mexico currently is one of the biggest digital music territories.

The latest annual music report by IFPI shows that Mexico was a key driver of Latin America’s overall music revenue growth last year.

LATAM was the second-fastest-growing region, representing 3.9% of the world’s recorded music market, and the Mexican industry accounted for 27.7% of the revenues generated in the entire region.

Streaming was and will continue to be the dominant format.

Digital music in Mexico - Market forecast

Digital music in Mexico – Market forecast. Source: Statista

 

The digital music segment in Mexico is projected to reach US$402.90m in 2022, with streaming expected to hit the stunning figure of US$365.90m.

By 2026, the Mexican digital music industry will approximately be worth US$513.90m, according to the latest forecast by Statista.

Release your catalog to the best digital music services in Mexico with SonoSuite

Mexico is one of the most profitable digital music markets in the world and looking at how fast the market is evolving, we don’t see its magnetism slowing down anytime soon.

Do you want to distribute your catalog to the top streaming and digital services in Mexico such as Spotify, Deezer, TikTok, Apple Music, or Claro Música, and increase your royalty revenues along the way?

With SonoSuite’s white-label platform, you’ll be able to upload your content to more than 220 DSPs and manage your royalty collection and reporting from a single place.

 

 

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