With over 88 million subscribers globally, Apple Music has become one of the top music streaming services worldwide. But what‘s behind this impressive user figure? How exactly is Apple Music performing in 2024 when it comes to subscribers, revenue, demographics and more?
Let‘s take an in-depth look at the key stats and trends shaping Apple Music right now.
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Apple Music by the Numbers: Key Usage Statistics
Since launch in 2015, Apple Music has experienced strong and steady growth:
- 11 million subscribers in year 1
- 36 million subscribers by 2018
- 60 million subscribers by 2019
- 72 million subscribers by 2020
- 88 million subscribers as of 2024
This represents a compound annual growth rate of around 25% per year. The global music streaming market is expanding rapidly, and Apple Music is riding this wave.
Apple Music now accounts for 15% of total music streaming subscribers. The market leader Spotify holds 31% market share.
Apple Music‘s monthly active users have stayed quite stable over time. The service had about 28 million MAUs in 2018, 27 million MAUs in 2019, and 28 million again in 2022 (Counterpoint Research). This suggests Apple Music has relatively low churn and high user retention compared to competitors.
How do Apple Music and Spotify compare on user retention? According to Midia Research, Apple Music retains about 47% of new users after 12 months. Spotify retains around 32% in the same period.
Inside Apple‘s Music Streaming Strategy
Apple Music represents a key part of Apple‘s services segment, which generated $68 billion in revenue in 2022.
Bundling Apple Music with other Apple subscription services has been a successful strategy. Over 45% of Apple Music subscribers also use Apple TV+, Apple Arcade, Apple News+, or iCloud.
Apple is investing heavily in promoting Apple Music, estimated to be hundreds of millions in advertising per year. Partnerships with major artists like Drake, Taylor Swift, and concerts like Coachella raise Apple Music‘s brand profile.
The seamless integration of Apple Music across Apple‘s ecosystem of devices like iPhone, iPad, Apple Watch and Mac strengthens retention. Apple Music‘s user interface highlights curated playlists and lyrics feature.
How does Apple Music stack up against the competition? Its music discovery and recommendations are not as robust as Spotify‘s algorithms. However, Apple Music outpaces Spotify in areas like audio quality and integration with Apple devices.
Demographic Profile: Who Listens to Apple Music?
Apple Music over-indexes on older listeners compared to Spotify:
- 50% of Apple Music subscribers are aged 35 and up
- Only 23% are aged 18-24
- The average Spotify user is under 30
Other key stats on Apple Music demographics:
- 56% male vs 44% female
- 59% of users are on a family plan
- Highest usage in the US, Japan, UK, Canada and Australia
What about listening habits? Apple Music users stream about 22 hours of music per month on average. Top genres are pop, hip hop, rock, indie and alternative. Apple Music is strong in rap and hip-hop due to partnerships with artists like Drake, Lil Wayne and DJ Khaled.
Apple Music Revenue Hits $4.1 Billion in 2020
Apple does not disclose Apple Music‘s revenue directly. However, analysts estimate it generated $4.1 billion in 2020 based on Apple‘s 15% streaming market share. This was up from around $3.5 billion in 2019.
Spotify reported $9.7 billion in 2020 revenue, for comparison. Deezer and YouTube Music also lag far behind Apple Music.
Regionally, Apple Music makes the most revenue from the Americas, followed by Europe and Asia-Pacific. Paid subscriptions in North America hit 59% compared to 38% in Asia-Pacific.
Going forward, forecasts predict Apple Music revenue will grow to around $7 billion by 2025. Continued expansion into new markets like Latin America and Africa can further boost revenues.
The Future Looks Bright for Apple Music
In summary, Apple Music has shown strong and steady momentum, leveraging Apple‘s brand and ecosystem to become a top streaming player. With 88 million subscribers globally, it is firmly established as the second biggest music streaming service behind Spotify.
Apple Music is growing revenues, expanding across new demographics and geographic regions, and retaining users through key partnerships and bundled services. If current trends continue, Apple Music looks poised for even further growth in subscribers and revenue in the coming years. The future looks bright.
