Japan's music industry seeks to expand abroad beyond CD sales
A new awards gala was held to spread Japan's pop music to the rest of the world, but the struggling domestic industry may have to ditch its traditional practices to enable expansion.
The inaugural ceremonies of Music Awards Japan were held at Rohm Theater Kyoto on May 21 and 22. The red carpet was rolled out for industry officials and artists, including guests from overseas.
One stated goal of the awards is to help 'spread the music of Japan and the rest of Asia to other parts of the world and forge global connections.'
The award organizers set up a number of categories honoring overseas songs, including 'Best Song Asia,' apparently in hopes of connecting the awards with other Asian nations.
Japanese music industry officials are eyeing the global market because of a sense of alarm about what is happening in Japan.
'The domestic market has matured fully and flattened off,' Tatsuya Nomura, chairman of the Music Awards Japan Executive Committee, told The Asahi Shimbun on May 22. 'Now is the time to expand geographical coverage.'
Figures of the International Federation of the Phonographic Industry show the global recorded music market was worth $29.6 billion (4.3 trillion yen) in 2024, up 1.6-fold from five years earlier.
By contrast, the Recording Industry Association of Japan said the production value of 'physical products' and sales of 'digital music' in Japan totaled 328.5 billion yen in 2024, up only 1.1-fold from 2019.
Despite the ease of digital streaming to push music beyond national borders, physical media remain dominant in Japan.
Popular idol groups affiliated with Smile-Up Inc., formerly Johnny & Associates Inc., have continued to emphasize CD sales.
The IFPI figures show that streaming accounted for about 70 percent of the global recorded music market in 2024.
However, streaming accounted for slightly more than 30 percent of total music revenue in Japan last year, the RIAJ figures show. CDs and other physical products made up more than 60 percent.
There are, however, signs of change.
The KinKi Kids and Snow Man idol units previously affiliated with Johnny & Associates embarked on a subscription streaming campaign in spring.
Gustav Gyllenhammar, a //global vice president// with music streaming service operator Spotify AB, told The Asahi Shimbun that he believes Japanese artists are now facing lower hurdles to reach out to listeners abroad.
Gyllenhammar pointed out, however, that Japanese music industry officials will have to make efforts on every front of the market, including artists and labels, if they wish to obtain more listeners.
(This article was written by Shiki Iwasawa and Kenichiro Shino.)
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