The first half of 2025 brought steady global growth for the music industry, according to Luminate’s Midyear Music Report, with streaming continuing to dominate consumption, physical formats finding selective momentum, and genre trends shifting in notable ways.
The data trafficking firm confirmed that worldwide on-demand audio streams rose 10.3% year-over-year, powered largely by gains outside the United States. International markets posted a 12.6% increase, while U.S. streaming growth slowed to 4.6%, a deceleration from last year’s pace. Streaming now accounts for 92% of total music consumption worldwide, underscoring its central role in how audiences access music.
While total physical album sales declined 3.2% in the first half of 2025, the number is heavily influenced by comparisons to 2024’s exceptional sales from Taylor Swift’s The Tortured Poets Department (3.6 million units in H1 2024). Removing that release from year-over-year calculations reveals a 5.5% gain in physical sales. Vinyl, in particular, grew 2% overall, and would have posted an 8% increase without the Swift factor.
Rock led market share growth, buoyed by Billboard-topping releases from acts like Sleep Token and Ghost. Latin music continued its upward trajectory, while Country gained ground on the strength of artists such as Morgan Wallen. Christian Gospel moved up one position in market share, surpassing World Music, and Blues experienced a lift tied to the cultural impact of The Color Purple soundtrack and film.
On the subgenre level, Regional Mexican, Alternative Rock, and Hard Rock posted some of the most significant gains. While overall R&B/Hip-Hop share dipped slightly, certain R&B subgenres saw measurable growth, reflecting a fragmented but resilient fan base.
Mapping the Fan Landscape
Luminate’s updated fan tier system highlights four engagement levels:
- Casual Fans rely on free or ad-supported streaming.
- Active Fans pay for streaming or purchase physical formats, averaging 15 listening hours per week.
- Engaged Fans allow music to influence lifestyle choices and are 48% more likely to attend live events.
- Super Fans dedicate both substantial time and financial resources to their favorite artists.
These distinctions give the industry a clearer lens on how different segments interact with music, and where opportunities exist for growth.
Music from the “Recession Pop” era (2007–2012) saw a 6.4% increase in U.S. streams, outpacing the national average. Economic uncertainty appears to be fueling nostalgia, with artists like Lady Gaga and Kesha releasing new music alongside surging catalog streams.
Luminate introduced an interactive gaming streaming metric, capturing nearly 200 million global streams in its first measurement period. The gaming audience is more evenly split by gender than anticipated (54% male, 46% female), creating a balanced demographic profile for future artist integrations.
Brazil strengthened its position in global music exports while maintaining a preference for domestic streaming. In Africa and the Middle East, Nigeria leads in local streaming share, while the UAE remains highly receptive to international content, with over 90% of streams coming from outside the region.
One in three U.S. listeners is comfortable with AI-generated instrumentals, but 44% remain uneasy about AI voices or fully AI-created songs. EDM and K-pop audiences are most open to AI integration, with AI-driven acts such as Avenethus surpassing 5 million streams.
The report points to potential stabilization in festival attendance, the growing role of music documentaries in driving catalog interest, as seen with Led Zeppelin’s all-time high streaming week following a documentary release, and continued evolution in AI’s role in music.
As streaming becomes nearly synonymous with music consumption, understanding nuanced audience behaviors across formats, genres, and engagement levels will be key to navigating the increasingly layered global music market.
