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Recording Industry In Numbers 2009 The Definitive Source Of Global Music Market Information

www.ifpi.org Recording Industry In Numbers 2009 The Definitive Source Of Global Music Market Information

www.ifpi.org It all started in a café in Bristol, England in 1934, when dance musicians were replaced by vinyl records played on a phonograph. Back then, PPL had just two FOR 75 YEARS, members – EMI and Decca. Now we have over 3,400 record companies and, following a merger with the principal performer societies, 39,500 performers. In addition, our reach has extended to include international repertoire and overseas PPL HAS BEEN royalties through 42 bilateral agreements with similar organisations around the world. PPL licenses businesses playing music, from broadcasters to nightclubs, from GROWING INTO A streaming services to sports studios, from internet radio to community radio. Licensees are able to obtain a single licence for the entire PPL repertoire, a service which is seen as increasingly valuable for both rightholders and users alike as MODERN SERVICE consumption of music continues to grow. Broadcasters such as the BBC have commented that they simply would not be able to use music at such a scale, across nine TV channels, sixty radio stations, the iPlayer and numerous online services ORGANISATION without a licence from PPL. The PPL licence is equally valuable to other users, such as commercial radio stations, BT Vision, , Last.fm and even the fourteen oil rigs that want to keep their oil workers entertained on their tours of duty. FOR THE MUSIC For the performers and record companies who entrust their rights to PPL, the income from these new distribution outlets is becoming increasingly valuable. Total income (including music videos which are licensed through VPL) now tops INDUSTRY, READY £140m and continues to increase. All the income generated, less the actual costs of licensing and distribution, is distributed direct to the record companies and performers whose recordings have been played. PPL takes no profit for itself. AND WILLING For most record companies and performers – featured artists, session musicians, orchestral players, backing vocalists and others – this revenue is an important income source. This significant additional income stream also helps the record TO TACKLE THE industry to continue the essential investment in new recordings. Each week PPL receives electronic details of approximately 6,500 new recordings. CHALLENGES OF THE This information is now essential to almost every area of the music business. As well as underpinning PPL’s licensing and distribution operations, this data is also passed on to PRS for Music for mechanical licensing, to the Official Charts DIGITAL WORLD. Company and to BPI and IFPI for anti-piracy purposes. PPL HAS COME A LONG WAY IN 75 YEARS. NOW THE CHALLENGES ARE GLOBAL, DIGITAL AND DELIVERING AN EVER BETTER SERVICE TO THE RECORD COMPANIES AND PERFORMERS. PPL LOOKS FORWARD TO A BRIGHT FUTURE. To find out more:+44 (0) 20 7534 1000 www.ppluk.com

STANDING UP FOR MUSIC RIGHTS.

PPL289IFPIAd.indd 1 1/5/09 09:36:47 IFPI Recording Industry In Numbers 2009 01

Contents

3 : Introduction 4 : Sources & Notes 5 : Recorded Music Sales In 2008 11 : New Business Models 14 : Unauthorised Downloading 16 : Top Sellers 2008 23 : Broader

North America Asia 27 : 58 : China 28 : USA 60 : 61 : 62 : Indonesia 63 : 30 : 65 : Malaysia 31 : 66 : 32 : Bulgaria 67 : Singapore 33 : Croatia 68 : 34 : 69 : 36 : Denmark 70 : 38 : Finland

39 : 41 : Australasia 42 : 71 : 43 : 72 : 44 : 45 : Netherlands Latin America 46 : Norway 73 : 47 : 74 : 48 : 75 : 49 : Russia 76 : 50 : Slovakia 77 : 51 : 78 : 53 : 80 : 54 : 81 : 55 : 82 : 56 : UK Africa 83 :

Appendix 85 : World Rankings 2008 89 : Physical Market Repertoire Origin 2008 86 : Recorded Music Volume Trend 90 : Certification Award Levels 87 : Recorded Music Sales 2008 92 : Local Music Industry Association Contacts 88 : Digital Share By Market 2004 – 2008 94 : Taxes On Sound Recordings & Exchange Rates

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Introduction Recognising The Value Of Music

Economic headlines in 2008 were almost obtain music as part of a bundled package unremittingly gloomy, with countries with their ISP subscription or mobile phone worldwide slipping into recession purchase. All these different channels and chaos hitting the financial have thing in common – they pay markets. The music industry the creators of the music their was not immune from this customers are enjoying. turbulence but, as the figures in this 16th edition of the Investing In Artists Recording Industry in Numbers Despite rapid changes in the show, the picture was not sector, music companies bleak across the board. remain the largest investors in artists. They invest around The global decline in recorded 20 per cent of their revenues music sales of eight per cent in discovering, nurturing was driven largely by the and developing talent. The , the largest skills and financial backing market in the world for our they provide enable artists to industry. The US was responsible concentrate full-time on their for 56 per cent of the decline in music career. Record labels can revenues generated by physical sales also open the door for artists to worldwide. Excluding the US, global work with the best and recorded music sales (including digital John Kennedy, IFPI Chairman & CEO studio producers in the business. sales and performance rights) would have fallen by a more modest 3.9 per cent. are moving in an encouraging direction. Record labels of all sizes succeed because In the meantime, music companies are they aggregate artists together. For every In Asia there was a different and more continuing to experiment and innovate successful act that forges a career in positive picture. Japan, the second largest with models that get music to consumers music, several more fail to connect with market for recorded music worldwide, in any way they want it and which pay the public and cannot recoup the advances saw overall sales growth of one per cent. creators the rewards they deserve. they have been paid through sales. That There was also growth in China, India, is the investment risk that record labels Thailand and South Korea. These markets Anyone who earns a living from creativity face. The role of the is evolving have been transformed and driven by will have been heartened in April to see in the 21st century, but they are needed digital sales. the conviction of the operators of The more than ever to discover great acts and Pirate Bay. The trial of those individuals develop their talent. Europe offers a mixed picture. In some has been much misrepresented in the markets, such as the UK, revenues from blogosphere. In fact, the outcome was Protecting The Value Of Music digital services rose sharply and mitigated, great news for creators who need to know The trade value of the recorded music to some extent, falling CD sales. In other that their rights can still be protected market has been shrinking remorselessly markets, such as Italy, digital platforms by law from deliberate and systematic for the last nine years. Increasing digital continue to underperform. violators like The Pirate Bay. sales have not offset falling physical sales. This development has coincided with For the music business, the challenge A Brand New Sector the explosion in availability of copyright- remains creating a thriving online business Today’s digital music market is dominated infringing music on file-sharing networks. that gives consumers access to the music by services that in some cases did they want in a way which also rewards and not even exist six years ago: iTunes, Governments now emphatically agree there respects creators, artists and producers. AmazonMP3.com, Nokia’s Comes With is a problem to solve: it is grave and mere Music, Sony Ericsson’s PlayNow Plus, debate and talk are simply not going solve In France an enlightened approach to , YouTube, TDC PLAY, We7, Dada, it. The debate over the future of music controlling internet piracy led to the Play.com and MySpace Music. in the digital age is fundamentally about government proposing the Creation and recognising the value of creativity. Creating Internet law which would oblige ISPs to Music companies have embraced new music costs money. People who work take steps to deter their subscribers from technological change and are working to create an and bring it to the public repeated unlawful file-sharing. At with a huge variety of partners to bring need to earn a livelihood like anyone else. of publication, the proposed law is being great music to the public. New services Operators of music services need to see a debated in the French National Assembly. are offering users a huge variety of ways return on their investment, not face unfair The music and businesses are looking to legally access music. Fans can now competition from online piracy. Music has a for other governments to follow this buy a-la-carte downloads, listen to free real value and that should be respected and approach. Several, from the UK to Taiwan, streamed music, watch music videos or recognised by all parties.

03 04 IFPI Recording Industry In Numbers 2009

Sources & Notes

Sources bundled subscriptions were included Compiled by Francesca Jacobson and in the digital sales figures in 2008. Laura Childs. › Population, median age: The World IFPI has revised 2007 digital sales Factbook (www.cia.gov) for the major markets to include these Produced and edited by Gabriela Lopes. new digital categories and in order to › Exchange rates: Oanda (www.oanda.com) reflect true year-on-year digital growth. For further information visit www.ifpi.org

› Broadband lines: Point Topic Online sales include single track Designed by: band: www.bandlondon.co.uk (www.point-topic.com) and album downloads, downloads, streams, bundles and kiosk Photographer credits: › Internet users: Internet World Stats sales. Mobile music sales include master (p 7) – Soren Starbird 2008 (www.internetworldstats.com) ringtones, single track downloads to Duffy (p 18) – Julian Broad mobile, ringback tones, music video Taylor Swift (p 21) – Joseph Anthony Baker › Mobile subscriptions: Mobile downloads to mobile, streams, mono/ Utada (p 62) – Y. Kikuma operator figures polyphonic ringtone income, embedded music on mobile phones (pre-loaded), Published by IFPI, May 2009. Copyright © IFPI. › Top independent labels: IFPI national mobile bundles, greetings and dedications groups (unless otherwise stated) income. Subscription revenues include All data, copy and images are subject to online, mobile and bundled subscriptions. copyright and may not be reproduced, › Portable player users: Screen Digest, translated or made available without Futuresource Consulting Ltd. › Performance rights revenues: monies permission from IFPI. received by record companies from Notes music licensing companies for licenses granted to third parties for the use of sound › Trade value: or wholesale value refers recordings and music videos in broadcasting to record companies’ revenue, net of (radio and TV), public performance discounts, returns and taxes. Promotional (nightclubs, bars, restaurants, hotels) goods and non-music related sales or and certain internet uses. non-recording artist related products are excluded. All analysis, growth and Performance rights revenues refer to trends, are based on trade values unless distributions to record companies – otherwise stated. it excludes non-allocated distributions and non-recurring distributions such as › Retail value: estimate of the final value settlement amounts. Distributions for paid by the consumer for the purchase of the current year refer to monies collected music products, inclusive of relevant sales by music licensing companies in the taxes and retailer mark-up. Retail values previous year (e.g. distributions for 2008 are estimates only and refer to physical refer to monies collected in 2007). Figures and digital sales only (performance rights are provided by the respective music not included). licensing companies to IFPI.

› $US (fixed): historical local currency values › Repertoire origin: proportion of the re-stated at the 2008 exchange rate. physical market value (trade) accounted for by each repertoire type. IFPI does › Physical sales: CD sales ordered via the not report repertoire splits for the digital internet (e.g. ) are reported as market. Classification is based on artist physical sales. Figures are provided by country of signing, unless otherwise the record companies in the respective stated. is generally not reported markets to the local IFPI body. IFPI under classical repertoire. applies a ‘coverage factor’ to the figures to account for non-reporting companies, › Rounding: figures are subject to therefore representing 100% of the market. rounding, which may affect overall totals and percentages. › Digital sales: refers to sales via online and mobile channels and via subscriptions. IFPI figures may differ from local industry Income from ad-supported services, groups’ reports due to different methodologies. mono/polyphonic ringtone income and

04 IFPI Recording Industry In Numbers 2009 05

Recorded Music Sales In 2008

Global recorded music sales totalled US$ 18.4 billion in 2008 in Recorded Music Sales By Sector trade values, a decline of 8.3% on 2007. While music sales on physical formats continued to fall, digital sales and performance n Physical n Digital n Performance Rights rights revenues grew strongly. On a retail basis, the global recorded music market was worth an estimated US$ 27.8 billion. 2% 3% 3% 4% 100 5% 98% 10% 95% 15% Global Recorded Music Sales In 2008 (US$ Millions) 21% 87% 80 82% Trade Value 2007 2008 % change 75% Physical sales 16,350 13,829 -15.4% Digital sales 3,050 3,784 24.1% 60 Performance rights 690 802 16.2% Total 20,091 18,415 -8.3% 40

Source: IFPI

20 Global Recorded Music Sales (US$ Billions, Trade Value)

25 0 2004 2005 2006 2007 2008 23.0 22.2 21.8 Source: IFPI 20 20.1 18.4

15 Recorded music sales in physical formats continued to fall in 2008. Factors explaining this trend include:

10 › The continued impact of illegal downloading on CD sales, particularly affecting younger consumers’ purchasing

5 › Shrinking shelf space for recorded music in physical stores leading to limited purchase locations for CD buyers

0 2004 2005 2006 2007 2008 › Difficult economic conditions, with many shop closures taking Source: IFPI place during 2008

› Increasing competition from other products On a volume basis, full-length product sales (including vinyl, cassette, CD, music video and digital ) totalled 1.6 billion › Partial shift towards legal online purchasing, particularly among units globally, a drop of 12% on 2007. Digital albums were the younger consumers fastest growing format, up 76%, now accounting for 7% of full-length product sales. Music sales on vinyl also grew strongly › Worsening economic environment, particularly impacting sales by 60%, but its share of album sales remained low at 1%. during 2008

Albums remain a popular format despite the recent boom in › Increasing ubiquity of music, leading to digital consumption single track consumption. As much as 79% of all revenues from without purchase music products sold via retail channels are in the album format – with digital albums accounting for 4% of overall album revenues. › The continued impact of physical piracy in many markets

Singles volumes (including physical singles and online single track downloads) were up 24% in 2008, totalling 1.5 billion units. Single track downloads now account for 94% of singles sales.

05 06 IFPI Recording Industry In Numbers 2009

Digital Growth 2008 Digital Share % Total Sales 2008

100 60 n Growth 2007 – 2008 100% 60% n Share Of Digital 2008 50 80

40 60 62% 36%

51% 30 48%

40 42%

22% 20 21% 20% 29% 24% 20 15% 14% 10 12% 10% 11% 8% 6% 2% 0 Online Mobile Subscriptions Ad To tal 0 South US Asia Global Japan France UK Latin Europe Germany Supported Digital Korea America Source: IFPI Source: IFPI

Digital music sales continue to grow strongly – up 24.1% in 2008 Performance rights income – revenues derived from music used totalling US$ 3.8 billion, with single track downloads crossing in broadcast and public performance – remain an important the US$ 1 billion mark for the first time. Digital revenues include and growing revenue stream, now accounting for 4% of global downloads, mobile sales, subscriptions and additional categories, music sales. Performance rights revenues to record companies such as revenues from ad-supported models, income from social totalled US$ 802.0 million, up 16.2% on 2007. While Europe networking sites, income from own company websites, bundled accounts for the majority of revenues in this sector, it was North subscriptions and video-on-demand streaming. America that saw the biggest growth in performance rights in 2008, driven by satellite radio and webcasting in the US. The music industry commands the second highest digital sales share among a number of entertainment and media industries. Only the games industry has a higher digital share (35%). Digital Recorded Music Sales By Region music sales now account for 21% of total industry revenues, 2007 - 2008 % Change (Trade Values) up from 15% in 2007 and 2% in 2004. The newspaper and film Performance industries both have a digital share of 4% (PWC). Physical Digital Total Rights US -31.2% 16.5% 133.3% -18.6% Digital platforms are also opening up new opportunities, enabling Europe -11.3% 36.1% 11.3% -6.3% the music market to grow in countries where the industry’s Asia -4.9% 26.1% 14.6% 1.0% presence has been traditionally limited. In parts of Asia and Latin Latin America -10.3% 46.6% 16.7% -4.7% America, digital sales are driving the music market with China,

India, Japan, Thailand, and Colombia all seeing Source: IFPI digital growth offset the decline in physical sales.

06 IFPI Recording Industry In Numbers 2009 07

US Sees Strong Digital Growth But Suffers A Big Drop In CD Sales

Global Decline Excluding US : -3.9%

The global decline in the physical market in 2008 was driven by a 31% reduction in sales in the US, the biggest music market in the world. The impact of unauthorised downloading was complemented by other factors, including for example the absence of high-selling holiday releases like Josh Groban’s 2007 Noel. The US alone accounted for 56% of lost physical revenues to the recording industry in 2008. Excluding the US, global recorded music sales (including digital sales and performance rights) would have fallen by a more modest 3.9%.

The steepest decline in CD buying was among younger (13–17) digitally-connected consumers. Teenagers’ overall music spend has declined steadily over the past three years. Though P2P incidence rates in the US have stabilised, the teen and college age groups with fast internet access remain the heaviest users, and continue to increase the volume of unauthorised music they download (NPD Group). While this group accounted for the largest share of music purchases ten years ago, their share of spending has been eclipsed by older groups. Although the lack of a credit card may be a barrier for some teenagers when buying music online, there are alternatives available. Up to 60% of teens purchase songs at iTunes using gift cards (NPD Group).

Despite the large decline in CD sales, digital sales continued to grow strongly in the US, which now accounts for as much as 47% of global digital revenues. The growth in 2008 online sales was largely attributable to an expanding music-buying demographic, with new buyers coming into the market. New digital buyers are older, possibly an impact of AmazonMP3’s growth. According to NPD Group, 87% of digital music buyers in the US used iTunes to download music in 2008. Amazon’s digital store followed with 16%. Three out of four digital consumers are repeat buyers.

Young adults are driving the US digital music economy. US Metallica consumers aged 18-35 were the highest spenders in music in 2008, with their increased spend on digital formats compensating for the decline in CD buying. CD buying still contributed to the Music Discoverers: Why You Want To Know Them majority of music spending among this age group, indicating that a significant proportion of downloaders have not abandoned Research in the US by The Taylor Group (2008) looked into the CD format altogether. This finding that music buyers are the habits of music ‘discoverers’ – those who are always simultaneously buying in physical and online formats is echoed looking for new acts, who like finding out about new elsewhere in the world. Research in the UK found that only 15% artists and like listening to different music to most people of music consumers who download music legally they have of their age. It found that this group accounts for 13% of stopped buying CDs altogether (Entertainment Media Research). the US population and 28% of music purchases in the US. The mean age of a music discoverer is 33 years old and they are much more likely to purchase music than non- discoverers. Discoverers are particularly strong purchasers Distribution Of Music Buyers In The US (2008) of digital albums, accounting for 40% of digital album sales in the US. 10%

n CD only Looking at their buying behaviour, the research found that this group is spending less on music than they used 25% n CD and digital 65% n Digital only to. The key factors as driving this decline in spending were the growing number of sources of music that satisfy consumption removing the need to buy; an Source: NPD Group, 2008 increase in the incidence of file-sharing among this group; and the economic environment.

07 08 IFPI Recording Industry In Numbers 2009

Japanese Market Remains Resilient Asia Delivers Positive Results

Asian Market : US$ 4.8 billion % Change : +1.0% “We tend to release chaku-uta (mastertones) one or two Digital Share : 22% months before the physical release for test-marketing Asia Excl. Japan : US$ 663.3 million and use the market’s response to judge the song’s hit % Change : +1.9% potential in physical form.” Digital Share : 37% Takashi Kimoto, Managing Director Of Sales, Marketing And Digital, Universal Music Japan Japan, the second biggest music market in the world, saw an overall market growth of 0.9% with the increase in digital sales and performance rights offsetting the decline in physical sales. “It’s about working with our business partners and coming In 2008 Japan overtook the US as the country with the most up with consumer-friendly options. We are starting with the physical music sales. consumer and working backwards which is proving a successful approach.” Digital sales in Japan grew by 25.4% and continued to be Lachie Rutherford, President, Warner Music Asia dominated by mobile platforms, which accounted for 88% of the digital market. Single track downloads to mobile remained the leading mobile format in Japan.

Japan’s success can be partly attributed to Label Mobile, a joint venture between twelve record labels that runs all of its stakeholders’ mobile commerce activities. The synergy between physical and digital formats, as well as constant mobile product innovation, have also contributed to Japan’s positive performance.

Illegal downloading of mastertones and full tracks to mobile phones continued to threaten the Japanese market, but Japan’s piracy rate is significantly lower than the global average. Out of all downloads in Japan (online and via mobile phones, legal and illegal) in 2008 40% were unauthorised. Globally 95% of all music downloads are unauthorised. Research shows that the bias towards mobile consumption is a key factor in Japan’s Thelma Aoyama lower piracy rate. This reduced impact of piracy also helps explain Japan’s market resilience.

Asia was the only region to show overall growth (+1.0%). Excluding Japan, the region grew by 1.9%. Asia (excl. Japan) has the highest share of digital sales in the world, now at 37%. Four Asian markets saw overall market growth: China (+8.0%), India (+6.3%), South Korea (+16.0%) and Thailand (+7.3%). Asia also showed the highest growth in performance rights (+46.8%), although from a small base. Japan’s performance rights revenues grew more modestly, by 3.5%.

Top Asian Music Markets (Trade Values)

US$ (millions) % Change 07-08 % Digital Japan 4,109.0 0.9% 20% South Korea 140.6 16.0% 60% India 140.4 6.3% 21% China 82.0 8.0% 62% Thailand 68.3 7.3% 37%

Source: IFPI

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08 IFPI Recording Industry In Numbers 2009 09

Europe’s Digital Growth Outpaces Global Average

European Market : US$ 7.3 billion European Million Selling Albums By Origin % Change : -6.3% Digital Share : 10% n EU acts n US acts n Other

100 Music sales in Europe fell by 6.3% in 2008, driven by a steep 11% 12% 16% 12% 7% 6% 12% 19% decline in physical sales (-11.3%). Europe’s digital market on the 28% 37% 30% 28% 44% 28% other hand grew strongly, up 36.1% on 2007 now accounting for 80 37% 31% 10% of music sales in the region.

65% Since 2004, broadband connections across Europe have grown 60 59% 60% 60% by almost 95% and now outstrip those in the US. This growth 57% 50% has opened up opportunities in the digital sector, with new 47% 40 44% online services entering the market and new business models being introduced. However, the European digital market still has enormous untapped potential with widespread online piracy in 20 many markets acting as a major barrier to growth.

0 There are also marked differences in internet penetration levels 2001 2002 2003 2004 2005 2006 2007 2008 across Europe, with Northern Europe showing faster adoption of Source: IFPI Platinum Europe Awards. Based on artist nationality, other includes compilations/ PCs and the internet. Nordic countries have an internet penetration soundtracks and other nationalities rate of 76% on average compared to 45% in Southern Europe.

Top 50 Global Best Sellers By Origin The top two European markets showed modest overall market declines of less than 5% in 2008. While digital sales helped offset the UK physical n US acts n EU acts n Other decline, in Germany, CD sales saw a less steep decline. The UK and France were the fastest expanding digital markets with digital growth 100 rates well above the global average. Eastern European markets also 23% 21% 7% 12% 10% 10% 10% 23% 19% 24% 26% delivered strong digital growth, including Poland, Russia and Turkey. 14%

80 26% 18% 26% 25% The performance rights sector in Europe is a more mature 74% 74% market than elsewhere in the world and accounted for more 66% 60 64% 61% than 70% of global performance rights revenues. Europe is also 64% home to the top three music licensing companies – PPL in the 51% 52% UK, GVL in Germany and SCPP in France. 40

Top European Music Markets (Trade Values) 20 US$ (millions) % Change 07-08 % Digital UK 1,845.4 -2.5% 14% 0 Germany 1,627.8 -4.2% 8% 2001 2002 2003 2004 2005 2006 2007 2008

France 1,049.6 -11.4% 15% Source: IFPI. Other includes compilations/soundtracks and title sales from other nationalities Italy 326.1 -17.0% 9% Spain 302.4 -7.8% 10%

Source: IFPI

In terms of its creative output and exports, Europe remains a major repertoire source to the world. Half of all albums with certified sales of one million in 2008 in Europe were of European origin. Among the top 50 global top sellers, European acts accounted for 25% of sales in 2008, up from 23% in 2007, while the share of US acts declined for the fourth consecutive year.

Looking at acts of 2008 (p 17), out of the 17 new acts reaching platinum status, 13 were of European origin including 4 from the UK, 2 from Spain and 2 from .

Within Europe, the UK remains the continent’s most important centre of artist and repertoire. Artists such as Duffy, , Leona Lewis, Seal, Radiohead and Dido sold significantly around the world in 2008. In the US, British artists accounted for 1 in 10 artist albums sold and there were large increases in shares recorded in France and Germany. Amaia Montero (Spain)

09 10 IFPI Recording Industry In Numbers 2009

Latin America Sees Strong Growth In Digital Sales And Performance Rights

Music sales in Latin America fell by 4.7% in 2008. Four markets The opportunities are huge however. Brazilians spend more saw overall music sales grow: Brazil (+8.1%), Central America time on the internet than any other nation and social networks (+10.3%), Colombia (+5.0%) and Venezuela (+19.2%). and services such as YouTube, MySpace and Orkut have attracted big audiences. Ad-supported models have started Latin America saw the sharpest rise in digital sales in 2008, to grow in the region as a result. growing by nearly double the global rate (+46.6%). While this is a positive development, digital sales in the region remained Illegal downloading has hit a key audience in the region – below the global average, reaching a 12% share in 2008. Mobile young consumers, digitally savvy, from AB/C+ economic continued to account for the bulk of digital revenues in the brackets. Research in Mexico highlighted that as many as region (80%), with embedded music on mobile phones proving 39% of the downloading population fit in the AB/C+ economic a successful model in markets like Brazil. group while this segment accounts for 20% of the Mexican population. 90% of file-sharers in Mexico are aged between The online digital market has been held back in Latin America by 12 and 26 years old (Ipsos MediaCT, 2008). a number of factors, including widespread illegal downloading, low levels of trust online and lower credit card penetration. Performance rights growth in Latin America also outpaced the global average, up 16.7% on 2007. Performance rights now account for 5% of music revenues in the region. “Expanding our business in Latin America today is about developing partnerships between music creators, music services and technology, and in turn, using technology to connect “We are excited about digital services opening new revenue consumers with artists. The music industry is driving these streams in new markets. For example, the number of mobile partnerships with the mobile and online worlds to develop new phone users in developing markets such as India, Russia or products and new distribution channels for delivering music to Latin America is huge. We have the opportunity of reaching fans. The result has been a variety of new offerings across a wide them with some of these new business models. We now have range of services that have proven popular with consumers, partners we can work with on a scalable international basis.” ranging from ring tunes and full track downloads, to advertising- Francis Keeling, Vice President, Digital, supported video services and subscription models. The future International offers huge potential for us to continue creating even more new ways for all kinds of fans to experience and enjoy music.” Sergio Lopes, VP, EMI Marketing / Digital Development and Distribution, EMI Music Latin America

Padre Marcelo Rossi

10 IFPI Recording Industry In Numbers 2009 11

New Business Models For A New Era

Music companies and their partners have introduced a variety This diversification in the business models reflects the different of new legitimate services to supplement traditional business ways people wish to consume music. Some consumers are models and adapt to new forms of consumer demand. These passionate collectors with specialist interests, others prefer include music access services, fully-interoperable download to access a wide range of repertoire. Some will be high-value stores, and advertising-supported offerings. At the same time, customers prepared to spend hundreds of dollars a year on music companies are working to develop new revenue streams, music, others will want to pay as little as possible for a basic ranging from creating value in the music experience, be it through service or not pay at all. Music companies and their partners are games or merchandising products, to brand partnerships and reaching out to all different segments of music fans by offering improved broadcast and public performance rights. content in multiple platforms while placing emphasis on service quality to increase consumers’ propensity to pay for content.

“In 2008 we saw the emergence of new partners and business models that have diversified the number of ways consumers ”The market will rely on an increasingly complex range of multi- can acquire music. We look forward to seeing these new faceted models. That means more opportunities for fans to models start to blossom in 2009 and 2010.” connect with artists and vice versa - but being able to manage Thomas Hesse, President Global Digital Business, such complexity is a challenge for artists and labels. To be Entertainment relevant to today’s music consumers and today’s artists, music companies must develop and offer a new set of marketing skills (especially in digital), starting with deep consumer insight, and “We are extremely active in developing new business models, a truly global and demand-driven approach.” new sources of revenues. We are working with all the big Elio Leoni Sceti, Chief Executive, EMI Music names in the field of internet, telecom equipment companies, big media companies and this is a big opportunity. I really believe we are at the turning point for the music industry.” Music companies are broadening the way they secure revenue, Jean-Bernard Levy, CEO of Vivendi (quoted in the Financial Times) introducing an approach which relies on business partners being able to deliver a fair average revenue per user (ARPU) and developing scalability. Some of these partners do not require consumers to pay at the point of listening, but bundle music into a broader range of services such as broadband subscription packages, mobile devices or cable TV subscriptions.

Examples of ’music access’ models launched in 2008 and early 2009 include Nokia’s Comes With Music available in the UK, Italy, Sweden, Singapore and Australia; Sony Ericsson’s PlayNow service first launched in Sweden as well as a service launched by local telecom TeliaSonera; Denmark’s TDC PLAY; Vodafone Spain’s unlimited music service; a music service from Finnish ISP DNA and a number of such partnerships in France with ISPs and mobile operators including Neuf Cegetel, Orange and SFR.

Meanwhile consumer choice in the traditional à-la-carte sector is improving. Many services now offer their music catalogues free of digital rights management (DRM), allowing for interoperability between devices. Early 2009 marked the introduction of variable pricing in the downloads market. On iTunes, while many songs are still sold at 99 cents, some new releases cost US$1.29 and many older catalogue songs now sell for 69 cents. Amazon and other retailers are also offering songs at different prices.

Devices like the iPhone are also helping drive mobile music consumption. While still a niche device, accounting for around 2% of UK mobile users, iPhone users are much more likely to consume music. 66% of iPhone owners listen to music on their mobile compared to 41% of smartphone users and 23% of all mobile users in the UK (comScore, March 2009).

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% Share of Monthly Spend on Content Among U.S. Music Buyers

24% 24%

8% 19% 7% 16%

Video Games Movie Tickets DVD / BD Movies Music Recorded DVD Rental Music Concerts

Source: The NPD Group/Entertainment Trends in America, Wave 4

www.npd.com IFPI Recording Industry In Numbers 2009 13

Music companies are also working hard to monetise Music Companies Investing In Music the rapidly growing area of social networks. Research carried out by the BPI in the UK in 2008 a free-to-user experience found that 24% of record companies’ revenues were predominates, presenting spent on marketing and promotion in 2007. It is this a very different business marketing investment that raises artists’ profiles and model. Spending by advertisers has tilted creates demand. The same research found that record towards online platforms in the last few years, companies invested an average of 21% of their revenues with the internet now accounting for 10.3% of in A&R over the years 2005-2007 – all of which record global advertising spend or US$ 49.9 billion. This companies fund upfront in the hope that the recordings means online advertising has exceeded radio will be a commercial success and they will recover this advertising for the second consecutive year investment. A&R includes artist advances, recording and (ZenithOptimedia). As this sector grows, the opportunities for origination costs (e.g. studio, engineering and production content industries online expand. costs), video costs, tour support, A&R staff overheads and TV advertising expenditure. Increasingly, music platforms on social networks link the unlimited streaming discovery environment with purchase opportunities. The investment record companies put into the marketing As fans experience music in abundance and discover new and promotion of an album prior to its release is vital to the favourites, their likelihood to purchase increases. By integrating artist’s chances of success. Research by IFPI found that on the ‘free’ streaming experience with opportunities for consumers average, 56% of the total sales of an album’s life-cycle will to buy and permanently own tracks, music companies can open be achieved within the first four weeks of release. up additional revenue streams. Consumers are bombarded with information and various Research by NPD Group in the US found that ad-supported industries are competing for consumers’ limited spend. services have the potential to reach minimally 9-15 times the Moreover, competition is also fierce in the music scene, current US subscription population. Younger consumers aged with millions of artists hoping to expand their fan-bases. 13-34 years old are the most likely to be interested in an An example of this is the number of acts with profile ad-supported service. Consumers are willing to look at a pages on the social networking site MySpace. There are reasonable number of ads. 47% of internet users aged 13-55 more than 2.5 million acts alone on MySpace were extremely/very interested in a free service with the features and 1.8 million rock acts. Record companies need to they liked that required viewing ads. Moreover, consumers will ensure that their marketing spend goes towards focusing accept a limited number of free-to-own songs (they don’t demand the public’s attention on the artist’s work, ensuring the unlimited ownership), opening up opportunities for premium artist’s work reaches as many potential fans as possible. services/up-selling. All of that while trying to create a ‘connection’ between fan and artists – a fundamental part of long-term artist development and consumer loyalty. “In the 90s, 70% of video product could not find a home and was never played. Today there is a home on the internet for every piece of content, but without getting selected, filtered In 2008 online video established itself as the most popular and eventually pushed by a trusted entity, it remains unplayed. online entertainment application, with more than 1 in 4 (28%) Distributing content is not pushing content. It may not be Europeans watching short or full-length videos – an increase fashionable to admit it but the push model is as relevant as ever.” of over 150% since 2006 (Forrester Research). Music videos Peter Ruppert, Founder & President, Entertainment Media remained one of the top video categories online, evidenced by Research Ltd the top most-watched videos on YouTube. Over half of the top 30 most-watched videos on YouTube are licensed music videos from artists such as Avril Lavigne, Chris Brown and Rihanna. “The growth of non-retail services has been the biggest development in 2008 for us, but it also poses challenges. In April 2009 Universal Music Group and Google partnered People are choosing to consume music in many different to create a new music video service called , a central ways and it is our responsibility to monetise those rights.” repository for all of Universal’s visual content such as music Simon Wheeler, Director Of Strategy, Beggars Music Group videos, interviews and concert footage. YouTube will provide the technology behind the service, and will be the first online streaming video service to syndicate the content. Negotiations to “The artist has created an asset and consumers are indicating bring the catalogue of other labels into the service are ongoing. they appreciate that asset and assign a value to it. So we The service is due to launch towards the end of 2009. need to establish an appropriate system in which rights holders get paid for the use of this asset.” Richard Story, COO, Sony Music Continental Europe

13 14 IFPI Recording Industry In Numbers 2009

Unauthorised Downloading Blights The New Legitimate Online Business

The legitimate digital music sector has grown strongly but remains Unlawful file-sharing has proved most popular among younger far short of its potential. Unlawful downloading and swapping of consumers – the early adopters of digital technology. While music online is not the only cause of the unfulfilled potential of the 16% of the general internet population in Europe file-share on digital music revolution – but it is a major one. Illegal music services a regular basis, among the 15-24 year olds this figure jumps to pose unfair competition to legitimate start-ups. In some cases they 34%. This is three times the proportion of 15-24s consuming make millions of dollars from selling online advertising and bundled music via legitimate à-la-carte services. In the UK 37% of file- software on the back on unauthorised content distribution. sharers are aged 16-24 and more than 70% are aged under 35 (Harris Interactive/BPI). Peer-to-peer (P2P) file-sharing is the application producing most internet traffic – ahead of web browsing, media streaming, P2P networks have not only had an immensely damaging effect e-mail or . Its share varies, but it is estimated on adoption of legitimate online services – be it à-la-carte, to range between 43-70% of all internet traffic depending on subscriptions or ad-supported, etc. – but they have also greatly the market (ipoque, Internet Study 2008/2009). P2P technology impacted the CD market for music. CD sales dropped by 34% has been of great interest to music companies as a legitimate globally in trade revenues to record companies between 1999 business tool. It has also, however, been a vehicle for mass- and 2008. This coincides with the key period of growth scale violation of creators’ copyrights. in usage of P2P.

In the US 18% of internet users aged 13+ used P2P services The link between the fall in recorded music sales and growth in 2008. That figure has remained stable for the past three years in file-sharing is verified by numerous studies by academics despite an increase in the volume of files illegally downloaded and by the industry. The majority of studies available around (NPD Group). In Europe, 16% of internet users regularly swap the world find that file-sharing has had a significant impact on music on P2P (Forrester Research), again a figure that has recorded music sales. These include studies by Michael (2006), remained relatively stable over the past few years. In the UK, Rob & Waldfogel (2006), Zentner (2003) and Liebowitz (2006). 15% of online users frequently file-share (Harris Interactive/BPI). Numerous consumer studies commissioned by the music In Japan 10% of internet users were found to file-share in 2008, industry worldwide also support the claim that unauthorised a slight increase compared to 2007 (Media Interactive/RIAJ). file-sharing harms sales.

14 IFPI Recording Industry In Numbers 2009 15

A well-publicised study by Oberholzer and Strumpf (2004) found While consumer behaviour is clearly shaped by the lure of free, no link between the fall in music sales and illegal downloading. consumers also clearly understand the importance of paying This study was reviewed by Liebowitz who concluded that “it creators. There is evidence that consumers generally believe is probably something of an understatement to say that [their] in the core principles of copyright, that is rewarding artists and results did not hold up well under this re-examination” (How creators for their work: Reliable is the Oberholzer and Strumpf Paper On File-Sharing?). › Research commissioned by the Canadian Government Research suggests the free availability of music is the driving (Environics’ Annual Social Values Monitor) found that 90% of force behind the popularity of such services. A study by consumers backed strong copyright laws to protect creators Entertainment Media Research in the UK found that 71% of music consumers who said they file-shared more heavily in 2008 › In the UK 91% of non-file-sharers believe that artists deserve cited ‘because it’s free’ as the main reason for their activity. In compensation for their work and that paying for music is the Norway, research by Norstat in 2009 found that the most cited ‘right and moral thing to do’ (Harris Interactive/BPI) reason for downloading music from unauthorised P2P sites was also ‘because it’s free’. Only 4% of Norwegians said they › Research by Ipsos in France found that 80% of the French downloaded illegally because there was a lack of good enough population aged 15+ believes that artists and authors must be legal alternatives. Research in Japan indicated that the main remunerated when their songs are downloaded on the internet reason for use of P2P is ‘to download free music’, followed by ‘to download free movies’, ‘to download free music videos’ and › In Norway, 84% of Norwegians feel that it is reasonable that ‘to download music files before they are released’. Moreover, those who have created the music should decide whether their 68% of P2P users in Japan claimed they didn’t purchase the music should be sold or given away free (Norstat AS, 2009) music after downloading it (RIAJ/Media Interactive).

“The papers that have examined the impact of file-sharing can be categorised by result and by methodology. By results the classification is quite simple. There is one study (Oberholzer and Strumpf, 2004) that claims to find a zero impact. All the other studies find some degree of negative relationship between file-sharing and sales of sound recordings.” Stan J. Liebowitz (University of Texas), ‘How To Best Ensure Remuneration For Creators In The Market For Music: Copyright And Its Alternatives’

Recorded Music Sales Top 20 Markets

TRADE VALUES MARKET SPLIT RETAIL VALUES POSITION country us$ M LOCAL CURRENCY M % CHANGE PHYSICAL DIGITAL PERF. RIGHTS US$ M LOCAL CURRENCY 1 US 4,976.8 USD 4,976.8 -18.6% 63% 36% 1% 8,597.8 8,597.8 2 Japan 4,109.0 JPY 425,159.5 0.9% 78% 20% 2% 5,600.7 579,504.0 3 UK 1,845.4 GBP 1,015.0 -2.5% 79% 14% 7% 2,430.3 1,336.7 4 Germany 1,627.8 EUR 1,106.9 -4.2% 87% 8% 5% 2,355.4 1,601.7 5 France 1,049.6 EUR 713.7 -11.4% 77% 15% 8% 1,559.6 1,060.5 6 Canada 456.3 CAD 488.2 -8.1% 79% 17% 4% 600.9 642.9 7 Australia 389.2 AUD 467.0 -6.0% 84% 13% 3% 578.4 694.1 8 Italy 326.1 EUR 221.7 -17.0% 82% 9% 9% 462.8 314.7 9 Spain 302.4 EUR 205.6 -7.8% 78% 10% 12% 409.9 278.7 10 Netherlands 271.9 EUR 184.9 -9.9% 76% 6% 18% 373.5 254.0 11 Brazil 221.8 BRL 408.2 8.1% 81% 13% 6% 328.3 604.0 12 Russia 220.8 RUB 5,492.2 -2.4% 95% 3% 2% 410.2 10,201.0 13 Switzerland 192.5 CHF 207.9 -5.4% 90% 7% 3% 243.6 263.1 14 Belgium 192.1 EUR 130.6 -4.8% 76% 10% 14% 268.9 182.9 15 Austria 147.3 EUR 100.2 -9.9% 84% 7% 9% 272.9 185.5 16 Mexico 145.9 MXP 1,629.5 -22.0% 89% 11% 0% 231.5 2,586.0 17 Sweden 143.2 SEK 944.0 -6.9% 84% 8% 9% 215.7 1,421.4 18 South Korea 140.6 KRW 155,111.9 16.0% 40% 60% 0% 294.8 325,078.2 19 India 140.4 INR 6,151.9 6.3% 64% 21% 16% 179.3 914.5 20 Denmark 124.5 DKK 635.0 -9.5% 73% 16% 12% 179.3 914.5 Other 1,391.5 – – -5.0% 78% 15% 8% 2,205.8 – Total 18,415.2 – – -8.3% 75% 21% 4% 27,824.6 –

Source: IFPI

15 16 IFPI Recording Industry In Numbers 2009

Coldplay

Top 50 Global Best Selling Albums

Coldplay’s fourth studio album, or Death and All Best Sellers By Genre His Friends, was the best-selling album of 2008 reaching sales of 6.8 million units globally. This sales mark is the highest for › Best Selling Rock Album: Coldplay, Viva La Vida or a number one album since 2005, when Coldplay topped the Death and All His Friends global chart with X&Y. › Best Selling Pop Album: Duffy,

Combined sales of the global top 50 albums fell by 7.7% › Best Selling Rap/Hip-Hop Album: Lil Wayne, Tha Carter III in 2008, following a small increase in 2007. The top 10 › Best Selling Classical Album: Il Divo, The Promise album sales fell by a more modest 5.4%, with three acts crossing the five million sales mark – Coldplay’s Viva La Vida or › Best Selling Country Album: Taylor Swift, Fearless Death and All His Friends, AC/DC’s Black Ice and Mamma Mia! › Best Selling Compilation: Mamma Mia! The Movie Soundtrack The Movie Soundtrack.

Two debut albums featured in the top 10 – Duffy’s Rockferry and Frontline & Catalogue Sales Leona Lewis’ Spirit – both UK acts. This compares with only one debut album in the top 10 in 2007, Mika’s , Catalogue sales (titles over 18 months old) represented 42% also a UK act. of overall album sales in the US, up from 39% in 2007 and 36% in 2001. The growth in catalogue sales is also present While the share of digital album sales remains relatively low in the digital sector, with catalogue representing 48% of on average, it grew in 2008 to 6.1% of all album sales, from all digital albums sold in 2008, compared to 46% in 2007 4.3% in 2007. In the top 10, digital albums accounted for 6.5% (Nielsen SoundScan). of all sales. However, there were big variations in digital share. Madonna’s Hard Candy saw 18% of sales in digital format. In the UK, catalogue sales (titles released two years prior to Other albums with a digital share of over 15% were: the current year) accounted for 29% of sales in 2008, slightly OneRepublic’s (17%), Jason Mraz’s up on 2007 (28%) (BPI based on data from The Official UK We Sing, We Dance, We Steal Things (16%), Twilight OST (15%) Charts Company). and ’s (15%).

16 IFPI Recording Industry In Numbers 2009 17

Adele

Number Of Albums Receiving A Platinum Award New Artists Receiving Platinum Awards 2007-2008 2008

Albums released Albums released Platinum New Artist Country where in 2008 receiving in 2007 receiving Sales (first album Platinum Award Company a Platinum a Platinum Level* released in 2008) was received Award in 2008 Award in 2007 US 21 36 1,000,000 UK XL Recordings Japan 52 51 250,000 Amaia Montero Spain Sony Music UK 27 32 300,000 Amanda Jenssen Sweden Sony Music Germany 21 17 200,000 Cistercian Monks Austria, Belgium Universal Music France 27 28 200,000 of Heiligenkreuz Australia 42 48 70,000 Austria, Belgium, Brazil 14 7 100,000 Duffy Germany, New Universal Music Canada 14 25 80,000 Zealand, Sweden, UK Sweden 26 21 40,000 Gabriella Cilmi Australia Warner Music New Zealand 18 23 15,000 Geoffrey Gurrumul Australia MGM Belgium 19 17 20,000 Yunupingu Julien Dore France Sony Music Source: IFPI. *Level applies to domestic repertoire threshold. For list of all national levels see GaGa Australia Universal Music page 84. Los Pikadientes US Sony Music de Caborca Michael Hirte Austria Sony Music N-Dubz UK Universal Music Pitingo Spain Universal Music New Zealand, The Priests Sony Music Sweden, UK The Script UK Sony Music The Ting Tings UK Sony Music Thomas Godoj Germany Sony Music

Source: IFPI

17 18 IFPI Recording Industry In Numbers 2009

Top 50 Global Best Selling Albums 2008 Physical & digital formats included

ARTIST TITLE COMPANY ARTIST TITLE COMPANY 1 Coldplay Viva La Vida Or Death EMI Music 25 Enya And Winter Came... Warner Music And All His Friends 26 E=MC2 Universal Music 2 AC/DC Black Ice Sony Music 27 The Circus Universal Music 3 Various Artists Mamma Mia! Universal Music 28 Day & Age Universal Music The Movie Soundtrack 29 Usher Here I Stand Sony Music 4 Duffy Rockferry Universal Music 30 T.I. Paper Trail Warner Music 5 Metallica Universal Music/ 31 Kanye West 808’s & Heartbreak Universal Music Warner Music 32 Michael Jackson Thriller Sony Music 6 Leona Lewis Spirit Sony Music (25th Anniversary Edition) 7 Winehouse Universal Music 33 EMI Music 8 Various Artists High School Musical 3: Walt Disney Records/ 34 Exile Exile Ballad Best Avex Marketing Inc. Senior Year Universal/EMI 35 Ne-Yo Year Of The Gentleman Universal Music 9 Lil Wayne Tha Carter III Universal Music 36 Amy Macdonald This Is The Life Universal Music 10 Rihanna Universal Music 37 Abba Gold Universal Music 11 Madonna Hard Candy Warner Music 38 Namie Amuro Best Fiction Avex Marketing Inc. 12 Beyoncé I Am... Sasha Fierce Sony Music 39 Brothers / 13 P!nk Funhouse Sony Music Universal Music 14 Guns N’ Roses Universal Music 40 Seal Soul Warner Music 15 Britney Spears Circus Sony Music 41 Sugarland Love On The Inside Universal Music 16 Jack Johnson Sleep Through The Static Universal Music 42 Celine Dion My Love Essential Sony Music 17 Il Divo The Promise Sony Music Collection 18 Taylor Swift Fearless Big Machine/ 43 Exile Exile Catchy Best Avex Marketing Inc. Universal Music 44 Dido Sony Music 19 Jonas Brothers Hollywood Records/ 45 Taylor Swift Taylor Swift Big Machine/ Universal Music Universal Music 20 Various Artists OST Walt Disney Records/ 46 Chris Brown Exclusive Sony Music Universal/EMI 47 Twilight Twilight OST Warner Music 21 Kings Of Leon Sony Music 48 Jason Mraz We Sing, We Dance, Warner Music 22 Dark Horse Warner Music/EMI Music We Steal Things 23 Miley Cyrus Breakout Walt Disney Records/ 49 One Republic Dreaming Out Loud Universal Music Universal Music 50 Various Artists Now That’s What EMI Music 24 Kid Rock Warner Music I Call Music! 71

Source: IFPI

Duffy

Katy Perry

e n y a W Lil

18 IFPI Recording Industry In Numbers 2009 19

Top 10 Global Best Selling Best Selling Albums Digital Singles 2008 By Company 2008 Digital only Physical & digital formats included

ARTIST TITLE COMPANY SALES (M UNITS) EMI Music 1 Lil Wayne Lollipop Universal Music 9.1 Artists Title 2 Thelma Aoyama Sobaniirune Universal Music 8.2 Coldplay Viva La Vida Or Death And All His Friends 3 Flo Rida feat. T-Pain Low Warner Music 8.0 Katy Perry One Of The Boys 4 Leona Lewis Sony Music 7.7 Various Artists High School Musical 3 – Senior Year 5 Apologize Universal Music 6.2 Various Artists Now That’s What I Call Music! 71 6 GreeeeN Kiseki Universal Music 6.2 Heart Station 7 Katy Perry EMI Music 5.7 Various Artists Now That’s What I Call Music! 28 8 No One Sony Music 5.6 9 Usher feat. Young Jeezy Sony Music 5.6 Lenny Kravitz It Is Time For A Love Revolution 10 Chris Brown With You Sony Music 5.5 Various Artists The Old Time Radio Hour Christmas Program Various Artists Now That’s What I Call Music! 70 Source: IFPI. Chart includes online single tracks, audio and video mastertones, ringback tones and full track downloads to mobile. Period of 12 months to November 2008. Sales figures are rounded. Various Artists Now That’s What I Call Music! 69 Combined all versions of the same song.

Sony Music Artists Title AC/DC Black Ice Leona Lewis Spirit Beyoncé I Am... Sasha Fierce P!nk Funhouse Britney Spears Circus Il Divo The Promise Kings Of Leon Only By The Night Usher Here I Stand Michael Jackson Thriller (25th Anniversary Edition) Celine Dion My Love Essential Collection

Universal Music Artists Title Various Artists Mamma Mia! The Movie Soundtrack Duffy Rockferry Amy Winehouse Back To Black Lil Wayne Tha Carter III Rihanna Good Girl Gone Bad Guns N’ Roses Chinese Democracy Jack Johnson Sleep Through The Static Taylor Swift Fearless Il Divo Jonas Brothers A Little Bit Longer Miley Cyrus Breakout

Warner Music Artists Title Madonna Hard Candy Kid Rock Rock N Roll Jesus Enya And Winter Came... Nickelback Dark Horse Metallica Death Magnetic T.I. Paper Trail Seal Soul Various Artists Twilight Original Motion Picture Soundtrack Jason Mraz We Sing, We Dance, We Steal Things Disturbed Indestructible

Source: IFPI. List includes independent releases distributed by major labels.

19 20 IFPI Recording Industry In Numbers 2009

IFPI Platinum Europe Awards

IFPI’s Platinum Europe Awards were launched in 1996 to honour Award Winning 2008 Releases artists who achieve album sales of one million units in physical and digital formats across Europe. To this day the ‘Plats’ are an Artist Album Level Company established hallmark of success for artists in Europe. Duffy Rockferry 3 Universal Music AC/DC Black Ice 2 Sony Music 2008 Milestones Viva La Vida Or Death Coldplay 2 EMI Music and All His Friends › 52 albums received a Platinum Award in 2008, down from Metallica Death Magnetic 2 Universal Music 57 in 2007 Mamma Mia! The OST 2 Universal Music Movie Soundtrack › 13 albums (25%) achieving a Platinum Award were Take That The Circus 2 Universal Music 2008 releases Enya And Winter Came... 1 Warner Music › The highest selling release of 2008 was Duffy’s Rockferry, Guns N’ Roses Chinese Democracy 1 Universal Music with sales of over 3 million in Europe Kings Of Leon Only By The Night 1 Sony Music Madonna Hard Candy 1 Warner Music › The highest award level reached in 2008 went to Norah High School Musical Disney Music OST 1 Jones’ 2002 release which reached 3 – Senior Year Group sales of 7 million Seal Soul 1 Warner Music The Killers Day & Age 1 Universal Music

Source: IFPI

Mamma Mia! Madonna

Amy Winehouse

Flo Rida

20 IFPI Recording Industry In Numbers 2009 21

Best Selling Albums Since Launch Of Awards 2008 Award Winners AWARD 2008 (1996-2008) ARTIST TITLE COMPANY LEVEL ENTRY Artist Album Level Company Norah Jones Come Away With Me EMI Music 7 Celine Dion 9 Sony Music Amy Winehouse Back To Black Universal Music 6 Celine Dion Let’s Talk About Love 9 Sony Music Duffy Rockferry Universal Music 3 • Take That Beautiful World Universal Music 3 1 9 EMI Music The Best Of 1990-2000 Universal Music 3 Celine Dion D’eux 8 Sony Music AC/DC Black Ice Sony Music 2 • Bon Jovi Crossroad 8 Universal Music Amy Macdonald This Is The Life Universal Music 2 Spice Girls Spice 8 EMI Music Bryan Adams Unplugged Universal Music 2 U2 The Best Of 1990-2000 7 Universal Music Coldplay Viva La Vida Or Death EMI Music 2 • Shania Twain 7 Universal Music And All His Friends Alanis Morissette 7 Sony Music Warner Music 2 Leona Lewis Spirit Sony Music 2 Madonna 7 Warner Music Metallica Death Magnetic Universal Music 2 • Norah Jones Come Away With Me 7 EMI Music Michael Bublé It’s Time Warner Music 2 Michael Bublé Call Me Irresponsible Warner Music 2 Source: IFPI OST Moulin Rouge Universal Music 2 OST Mamma Mia! Universal Music 2 • The Movie Soundtrack OST High School Musical Disney Music Group 2 Ta-Dah! Universal Music 2 Final Straw Universal Music 2 Take That The Circus Universal Music 2 • Westlife Unbreakable – Sony Music 2 Greatest Hits Alicia Keys Sony Music 1 • Amy Winehouse Frank Universal Music 1 • Diana Krall The Girl In The Universal Music 1 • Other Room Enya And Winter Came... Warner Music 1 • Franz Ferdinand You Could Have It So Domino Records 1 • Much Better Girls Aloud The Sound Of Girls Aloud Universal Music 1 • Gregory Lemarchal La Voix D’Un Ange Universal Music 1 • Guns N’ Roses Chinese Democracy Universal Music 1 • Il Divo Siempre Sony Music 1 • James The Best Of James Universal Music 1 • Johnny Cash I Walk The Line: Legend Universal Music 1 • Of Johnny Cash Kaiser Chiefs Yours Truly, Angry Mob Universal Music 1 • Kanye West Universal Music 1 • Kings Of Leon Only By The Night Sony Music 1 • Linkin Park Live In Texas Warner Music 1 • Madonna Hard Candy Warner Music 1 • Muse Absolution Warner Music 1 • Neil Diamond The Best Of Universal Music 1 • Neil Diamond OST High School Musical 2 Disney Music 1 • Group OST High School Musical 3 – Disney Music 1 • Senior Year Group Taylor Swift One Chance Sony Music 1 • Queens Of The Universal Music 1 • Stone Age Scorpions Best EMI Music 1 • Seal Soul Warner Music 1 • Sheryl Crow The Very Best Of Sheryl Crow Universal Music 1 • Stevie Wonder The Definitive Collection Universal Music 1 • The Cure Greatest Hits Universal Music 1 • The Killers Universal Music 1 • The Killers Day & Age Universal Music 1 • Westlife The Love Album Sony Music 1 • Westlife Back Home Sony Music 1 •

Notes: Award level refers to million units sold, cumulative, across Europe since the launch of the awards in 1996 up to 2008. 2008 entry refers to first IFPI Platinum Europe Award being given in 2008.

21 'LOBALLEADERSINMUSIC AND$6$DATA

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Guitar Hero

The Broader Music Industry In 2008

Music companies are at the heart of Although the retail value of recorded music Revenue from performance rights saw a broader music industry that is worth sales fell by 9.4% in 2008, IFPI estimates that the biggest percentage increase in 2008, over US$160 billion worldwide. Investment the overall music sector saw modest growth although it only accounts for 1% of the in developing artists’ careers and new of 0.6%. Other areas that experienced a fall in overall industry. Other sectors experiencing product release is at the heart of the music value included radio advertising and musical double-digit growth were the portable digital industry’s ecosystem, driving businesses instrument sales. Music instrument sales saw player market and sales from music-related as diverse as the live sector and portable persistent growth in the past five years, but in video games such as Guitar Hero, Rock Band player manufacturers. 2008 were hit by the economic downturn. and Singstar.

IFPI estimates that over two million people Broader Music Industry Value (US$ Billions) are employed in the broader music sector globally. Within the ‘core music’ sector 35 alone (including recorded music, live and 32.9 32.5 n 2007 n 2008 30 30.7 publishing/collecting societies), employment 27.8 is estimated at around 1.5 million people. 25 24.9 25.0 20 24.2 22.3 21.6 18.2 15 19.2 16.4

10 8.6 9.0 5 4.44.8 4.4 4.6 1.51.7 0 sales sales sales Radio digital sector players Musical Portable systems revenues revenues Recorded Publishing Live music instrument advertising advertising music retail Audio home Performance video games rights market Music related

Source: IFPI estimates. Music TV/mags

Broader Music Industry Value By Sector Note: IFPI does not track revenues from related industries directly. 2007 estimates may have been revised. Sources used: • Radio advertising 1% revenues: PWC Global Entertainment and Media Outlook 2008-2012 % n Radio advertising revenues 3% 3 • Recorded music retail sales: IFPI estimate based on trade value n Recorded music sales 5% 19% measurement • Audio home systems: estimate based on Euromonitor n Audio home systems home audio and cinema products (2007) • Live music sector: consists of 10% n Live music sector live performance revenues (ticket sales based on Pollstar data), plus an estimate of merchandising and ancillary revenues. Sponsorship revenues n Portable digital players are included (IEG) • Portable digital players: In-Stat • Music instrument 17% n Musical instrument sales 13% sales: The Music Trades Global Market Report 2008 and IFPI estimates n Music TV/mags advertising revenues • Music TV/mags advertising revenues: music magazine revenues are n Music related video games sales estimates based on PWC data. Music channels advertising revenues relate 14% 15% n Publishing to Viacom’s advertising and affiliate revenues • Music related video games: estimate based on Top Global Markets reported growth for top video n Performance rights market markets and NPD Group estimates • Music publishing: IFPI estimate

Source: IFPI estimates. • Performance rights market: IFPI data

23 24 IFPI Recording Industry In Numbers 2009

Country Data Index

North America Asia 27 : Canada 58 : China 28 : USA 60 : Hong Kong 61 : India 62 : Indonesia Europe 63 : Japan 30 : Austria 65 : Malaysia 31 : Belgium 66 : Philippines 32 : Bulgaria 67 : Singapore 33 : Croatia 68 : South Korea 34 : Czech Republic 69 : Taiwan 36 : Denmark 70 : Thailand 38 : Finland

39 : France 41 : Germany Australasia 42 : Greece 71 : Australia 43 : Hungary 72 : New Zealand 44 : Italy 45 : Netherlands Latin America 46 : Norway 73 : Argentina 47 : Poland 74 : Brazil 48 : Portugal 75 : Chile 49 : Russia 76 : Colombia 50 : Slovakia 77 : Ecuador 51 : Spain 78 : Mexico 53 : Sweden 80 : Peru 54 : Switzerland 81 : Uruguay 55 : Turkey 82 : Venezuela 56 : UK Africa 83 : South Africa

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RIN 09 country index.indd 3 7/5/09 15:29:13 26 IFPI Recording Industry In Numbers 2009 – Canada

North America Top Independent Labels (Alphabetical) Aquarius Records Ltd. Canada Arts & Crafts Productions Inc. Compagnie Larivée, Cabot Champagne (La) Disques Audiogramme Inc. (Les) Country Data World Ranking Déjà Musique Inc. Population (millions) : 33.2 Physical sales 6 Median Age (years) : 40 Groupe Analekta Inc. Digital sales 7 Currency : Canadian Dollar (CAD) Groupe Archambault Inc. Performance rights 11 Total market 6 US$ Exchange Rate : 1.07 Linus Entertainment Inc. Chart Compiler : Nielsen SoundScan Canada Maplecore Ltd. Digital Indicators (Millions) Chart Links : www.soundscan.com Nettwerk Productions Internet users 28.0 Prodat Inc. (Disques Victoire) Performance rights music licensing company : Broadband lines 9.6 Neighbouring Rights Collective of Canada Somerset Entertainment Mobile subs 21.1 Source: Canadian Independent Record Production Portable player users 8.2 Link : www.nrdv.ca Association (CIRPA)

Recorded music sales in Canada digital. Canada’s peak in recorded music offerings introduced in Europe, the US continued to fall in 2008, driven by revenues was 1998 – since then sales and Asia in 2008. a sharp decline in physical sales. have declined by 51%. Weak copyright Traditional retail outlets accounted for protection, particularly an outdated Inadequate IP protection is the key 58% of album sales, down 5% on 2007 copyright regime, remains the major reason for this lack of investment. (Nielsen SoundScan). Digital sales on factor underlying the relative weakness Canada lacks the marketplace integrity the other hand grew at a rate above the of Canada’s music market. online businesses need to be confident global average. Despite this positive they can earn a return on their investment. development, the proportion of digital More than a decade after signing the sales in Canada is still below the 21% WIPO Internet Treaties, Canada still lacks Similarly, weak laws and enforcement global benchmark and significantly below a modern, robust, digital-ready copyright contribute to extensive physical the 36% US level. regime. Copyright reform legislation counterfeiting in Canada. Since CRIA similar to laws in Europe, the US and began dedicated anti-counterfeiting Coldplay’s Viva La Vida was the best elsewhere has been introduced twice operations about two years ago, the selling digital album of the year, with by Canada’s Parliament, most recently in association and police have seized 46,700 units sold and was the second mid-2008, but neither bill was passed into almost 700,000 CDs and issued scores leading album of the year with 334,000 law. For Canadian consumers, this means of cease-and-desist orders against copies sold. AC/DC’s Black Ice topped continued uncertainty about what kind of retailers of illicitly copied music. the albums chart selling 341,000 units activities are acceptable on the internet. Following a CRIA investigation, a single and was not available in digital formats As a result, unauthorised file sharing has raid last year against one of Canada’s (Nielsen SoundScan). proliferated in2 Canada. most notorious music counterfeiters resulted in the seizure of more than Widespread file-sharing, other forms Another impact of outdated laws is 200,000 music CDs and , of digital swapping and physical the extremely limited choice of digital hundreds of thousands of blank discs, counterfeiting continued to erode services available to Canadian consumers and equipment capable of burning well 0legitimate sales – both physical and despite a flurry5 of innovative new digital over 10,000 CDs and DVDs a day.

26 7RIN 09 Canada - USA.indd 2 7/5/09 15:20:04 IFPI Recording Industry In Numbers 2009 – Canada 27

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 456.3 488.2 -8.1% Year Physical Digital Perf. Rights 2007 496.4 531.2 -14.1% 2008 359.1 77.0 20.1 2006 577.7 618.1 -6.1% 2007 424.0 53.0 19.5 2005 616.5 658.6 -2.7% 2006 527.3 32.2 18.1 2004 632.3 676.6 -0.6% 2005 598.8 16.6 – 2004 630.2 2.1 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 61% 27% 8% 4% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 56% 41% 3% – 2008 35.0 3.1 0.1 40.7 3.4 2006 58% 41% 1% – 2007 40.8 3.3 0.1 25.8 2.0 2005 70% 29% 1% – 2006 49.1 3.9 0.2 14.9 1.0 2004 97% – 3% – 20053 52.5 4.3 0.3 6.7 0.5 2004 54.8 5.2 0.5 – –

Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan).

% Top Selling Albums 2008 4 11% Artist Title Company 17% 7% 1 AC/DC Black Ice Columbia 35% 2 Coldplay Viva La Vida 24% 3 Metallica Death Magnetic Warner 79% 4 Nickelback Dark Horse Roadrunner 23% 5 Jack Johnson Sleep Through The Static Universal 46 Soundtrack Mamma Mia! Decca 7 Madonna Hard Candy Warner Recorded Music Digital Sales 8 Il Divo Promise Sony Music Sales By Sector By Format (Value) n n 9 Britney Spears Circus Sony Music Physical Online single track n Digital n Online album 10 Kid Rock Rock N Roll Jesus Atlantic n Performance rights n Mastertones n Subscriptions Source: Nielsen SoundScan 6n Other

27 8RIN 09 Canada - USA.indd 3 7/5/09 15:20:09 28 IFPI Recording Industry In Numbers 2009 – USA

North America Top Independent Labels (Alphabetical) Concord Records CURB USA Epitaph Records Koch Entertainment Country Data Madacy World Ranking Population (millions) : 303.8 Physical sales 2 Razor & Tie Median Age (years) : 37 Digital sales 1 Starbucks Currency : US Dollar (USD) Performance rights 5 Sub Pop Total market 1 US$ Exchange Rate : 1.00 Victory Records Chart Compiler : Nielsen SoundScan Walt Disney Records/Buena Vista/ Digital Indicators (Millions) Chart Links : www.soundscan.com Hollywood Records Internet users 248.2 Performance rights music licensing company : Broadband lines 79.1 Wind-Up Records Sound Exchange Mobile subs 261.5 Source: Nielsen SoundScan Link : www.soundexchange.com Portable player users 101.0

Though digital sales continued to grow at important piece of the US music industry simple social networking site to ‘a place a rapid pace in 2008 and constituted 36% landscape as fans acquire less music for music’ using its core community of the total market, they did not offset the through traditional means, but access it feature as its foundation. Other important sharp decline in physical sales in the US. online through an expanding number of partnerships in the social networking platforms such as social networking sites, sector include YouTube and iMeem. Digital sales continued to grow, up online video sites and other streaming 16.5%, with iTunes now the biggest services. The industry expects to see Music companies in the US are also music retailer in the US. Single track significant growth in performance income experimenting with new models that downloads crossed the one billion mark in the coming years. This is one of the give fans more flexibility in how and for the first time, reaching 1.1 billion reasons why music labels, songwriters where they can access their favourite units. Digital album sales grew at a and artists have demanded fair market music. Major labels began selling slightly higher rate than individual tracks. rates during industry and company digital downloads without DRM, so In the mobile sector, gains in mobile full negotiations with these services. fans will not have to worry about device track downloads and ringback tones were interoperability. Services such as Lala offset by a decline in mastertone sales. Lil Wayne’s Tha Carter was the biggest allow fans to enjoy unlimited streaming selling album of 2008 (2.9 million units), of tracks for a very low price, and act as The number of internet users paying for 22% fewer than Josh Groban’s Noel in a digital locker so users can listen to their digital music continued to grow in 2008. 2007. Deep catalogue sales saw the music from any computer with internet In 2008 NPD estimates that 36 million smallest decrease, falling by 7% in access. Starting in 2009, digital songs consumers downloaded at least one sales volume year-over-year. This began selling at varied price points, song from an a-la-carte service, such as compares to a2 19% drop in sales of allowing artists and record labels more iTunes or AmazonMP3, up from 28 million current albums (Nielsen SoundScan). flexibility to position their offerings as in 2007. This translates to one in every they see fit. five internet users. Not only is the market Looking at artist sales across all their growing, but there is plenty of headroom releases, the top selling artist of 2008 US Broadcast Right to attract more users. was Taylor Swift, who sold four million 0albums. AC/DC and Lil Wayne followed US corporate radio generated US$17.8 Equally significant, for the first time with 3.4 million units sold each. Rihanna billion in advertising revenues in 2008 ever, the share of internet users who was the best selling digital artist with (PWC). Despite massive revenues, downloaded music legally in the past nearly ten million single tracks sold. analogue stations pay nothing to year (20%) has surpassed the share of Coldplay claimed the top selling digital producers and performers for the music those who have downloaded a song album (600,000 units), with Viva La Vida they use to attract listeners. The US is illegally (18%), a major milestone in the becoming the best selling digital album the only developed free-market country development of the legal marketplace. ever. Digital downloads accounted for not to have a broadcast right, apart from 15% of all album sales in 2008, up from Singapore. In 2008 artists and other Though still a small part of the overall 10% in 2007 (Nielsen SoundScan). members of the music community came market, vinyl was a bright spot in the together to form musicFIRST (Fairness physical sector as shipments more than The US market saw the launch of new in Radio Starting Today) to campaign for doubled year-over-year to their highest digital services in 2008, expanding the US Congress to change the law and level since 1990, bolstered by demand for consumer choice.5 MySpace Music grant a broadcast right. Legislators have both new release and catalogue material. launched in September 2008 offering users introduced a performance rights bill in free unlimited audio and video streaming. response and it is hoped that 2009 will The performance rights sector also fared The service features a ‘buy button’ that see the US join the rest of the world in well in the US, with revenues more than directs users to AmazonMP3 for music ensuring radio stations pay a fair price doubling year-over-year. Performance downloads. This move represents a for the music that is essential to rights revenues represent an increasingly significant expansion of MySpace from a their business.

28 7RIN 09 Canada - USA.indd 4 7/5/09 15:20:09 IFPI Recording Industry In Numbers 2009 – USA 29

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 iTunes 2008 4,976.8 4,976.8 -18.6% Year Physical Digital Perf. Rights 2 2007 6,113.5 6,113.5 -8.1% 2008 3,138.7 1,783.3 54.8 3 2006 6,651.5 6,651.5 -5.1% 2007 4,559.1 1,530.9 23.5 4 Amazon 2005 7,011.9 7,011.9 -2.8% 2006 5,542.0 1,094.2 15.3 5 Target 2004 7,214.2 7,214.2 4.7% 2005 6,376.0 636.0 – 2004 7,002.7 211.5 – Source: NPD MusicWatch. Combined physical and digital retailers (% unit sales, Q4 2008) Note: Performance rights revenues included from 2006. Digital sales among the total US population aged 13+. included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 65% 24% 7% 4% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 60% 31% 7% 2% 2008 384.7 12.8 4.3 1,070.0 65.8 2006 56% 35% 9% – 2007 511.1 27.5 5.4 844.2 50.0 2005 56% 32% 12% – 2006 619.8 23.2 5.3 582.0 32.6 2004 62% 27% 11% – 20053 705.4 33.8 9.5 352.7 16.3 2004 767.0 32.8 14.3 142.6 5.5

Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan).

1% Top Selling Albums 2008 Artist Title Company 16% 1 Lil Wayne Tha Carter III Universal 7% 36% 39% 2 Coldplay Viva La Vida Parlophone 63% 3 Taylor Swift Fearless Big Machine 17% 4 Kid Rock Rock N Roll Jesus Atlantic 21% 5 AC/DC Black Ice Columbia 46 Taylor Swift Taylor Swift Big Machine 7 Metallica Death Magnetic Warner Recorded Music Digital Sales By Format (Value) 8 T.I. Paper Trail Atlantic Sales By Sector n n Online single track 9 Jack Johnson Sleep Through The Static Universal Physical n Digital n Online album 10 Beyonce I Am... Sasha Fierce Columbia n Performance rights n Mastertones n Subscriptions Source: Nielsen SoundScan n Other

Album Sales By Retail Channel (% Units) 2007 2008 Mass merchants 40% 37% Chains 36% 33% Non-traditional outlets 18% 23% Independent stores 6% 7% 6

29 8RIN 09 Canada - USA.indd 5 7/5/09 15:20:14 30 IFPI Recording Industry In Numbers 2009 – Austria

Europe Austria

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 8.2 Echo-Zyx Music Physical sales 16 Median Age (years) : 42 Edel Musica Digital sales 23 Currency : Euro (EUR) Hoanzl Performance rights 13 Total market 15 US$ Exchange Rate : 0.68 Lotus Records Chart Compiler : Media Control Austria MCP Digital Indicators (Millions) Chart Links : www.austriatop40.at Preiser Internet users 4.7 Performance rights music licensing company : Rebeat Broadband lines 1.8 LSG SPV Mobile subs 10.0 Link : www.lsg.at Portable player users 1.2

Recorded music sales in Austria fell by 9.9% in 2008. Digital sales grew by 6.2% – one of the lowest growth rates in Europe. Digital sales still account for 7% of total revenues compared to a European average of 10%. Online sales continued to drive the digital market, with digital album sales growing strongly. Streaming services, such as YouTube, are becoming increasingly popular. In the mobile sector, mastertones still lead the field although the market continues to shift towards single track downloads to mobile. Online sales of physical product account for 11% of sales in Austria, with the share of specialist retail decreasing from 6% to 5%. 65% of the Austrian market is accounted for by larger retail outlets such as Cosmos, Libro and Media-Saturn. The mail order business, including club sales, accounted for around 3% of the total market (GfK). The broader Austrian music industry generates around €2 billion, accounting for 1.25% of GDP. In terms of value creation and employment, the music industry is therefore more important than the textile industry, paper industry, chemical industry or plastics industry (IFPI Austria). Austria has some of the best facilities for performing arts venues in Europe, with 54% of all Austrian performance venues located in Vienna.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Media-Saturn 2008 147.3 100.2 -9.9% Year Physical Digital Perf. Rights 2 Libro 2007 163.5 111.2 -1.2% 2008 123.6 10.2 13.5 3 Amazon 2006 165.5 112.6 -1.4% 2007 140.8 9.6 13.1 4 Cosmos 2005 163.2 111.0 -4.5% 2006 144.9 8.4 12.2 2004 170.9 116.2 -6.8% 2005 158.2 5.0 – 20042 169.4 1.6 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 52% 46% – 2% Year CD Music Video Other Physical Single Tracks Digital Albums 02007 42% 58% – – 2008 8.2 1.1 0.9 3.0 0.3 2006 31% 69% – – 2007 10.0 0.6 1.2 2.0 0.2 2005 31% 67% 2% – 2006 10.1 0.7 1.1 1.2 0.1 2004 17% 83% – – 2005 10.5 0.6 1.3 0.6 – 2004 9.7 0.6 1.8 – – Note: Other includes ad-supported revenues and other digital amounts.

Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH

% Top Selling Albums 2008 9 11% 7% Artist Title Company 35% 1 El Canto Del Loco Chant - Music For Paradise Universal 7% 2 Amy Winehouse Back To Black Universal 3 Soundtrack Mamma Mia (Der Film) Universal 84% 24% 23% 4 Kiddy Contest Kids Kiddy Contest Vol.14 SME5 5 AC/DC Black Ice SME 6 Metallica Death Magnetic Universal Recorded Music Digital Sales 7 Amaral Was Muss Muss – Best Of Capitol Sales By Sector By Format (Value) 8 Soundtrack High School Musical 3 Capitol n Physical n Online single track 9 Coldplay Viva La Vida Capitol n Digital n Online album 10 Ich + Ich Vom Selben Stern Universal n Performance rights n Mastertones n Subscriptions n Other

30 7RIN 09 Austria - Belgium.indd 2 7/5/09 15:02:26 IFPI Recording Industry In Numbers 2009 – Belgium 31

Europe Belgium

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.4 ARS Physical sales 14 Median Age (years) : 41 CNR Digital sales 16 Currency : Euro (EUR) NEWS Performance rights 9 Total market 14 US$ Exchange Rate : 0.68 PIAS Chart Compiler : /Gfk V2 Digital Indicators (Millions) Chart Links : www.ultratop.be Internet users 5.5 Performance rights music licensing company : Broadband lines 2.9 SIMIM Mobile subs 11.0 Link : www.simim.be Portable player users 1.3

Belgian music sales dropped by 4.8% in 2008 following a modest decline in 2007. Performance rights continued to outpace digital sales, accounting for 14% of all music revenues compared to a digital share of 10%. In 2008 experimentation with new business models paid off with bundled subscription revenues seeing significant growth. Subscriptions now account for nearly a third of all digital revenues. Ad-supported models are also emerging, led by services such as Daily Motion and YouTube. Local artists continue to sell well with over 20% of the top selling albums coming from Belgian artists, such as Helmut Lotti, Clouseau, dEUS and Milk Inc. While music sales declined, entertainment spending grew by 6% in Belgium in 2008, led by video games and video (BEA).

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 192.1 130.6 -4.8% Year Physical Digital Perf. Rights 2007 201.8 137.2 -0.4% 2008 146.2 19.8 26.1 2006 202.6 137.7 6.4% 20073 169.5 13.4 18.9 2005 190.3 129.4 -7.2% 2006 179.2 11.4 12.0 2004 205.0 139.4 -1.9% 2005 186.7 3.6 – 2004 203.9 1.1 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 58% 9% 32% 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 54% 33% 12% 1% 2008 11.6 1.0 0.7 5.3 0.4 2006 54% 46% – – 2007 13.2 1.2 1.0 5.2 – 2005 70% 23% 7% – 2006 17.5 1.1 2.0 3.2 – 2004 34% 66% – – 2005 14.0 1.0 2.8 1.0 – 2004 15.6 1.6 3.6 – – 4Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital albums source: BEA/Media Control GfK International GMBH

Top Selling Albums 2008 14% 11% Artist Title Company 5% 1 Coldplay Viva La Vida EMI 10% 36% 16% 2 Enfoirés Les Sécrets Des Enfoirés Sony Music 3 Amy Winehouse Back To Black Universal 76% 4 Francis Cabrel Des Roses Et Des Orties Sony Music 32% 5 Clouseau Clouseau 20 EMI 6 AC/DC Black Ice Sony Music Recorded Music Digital Sales 7 Christophe Mae Mon Paradis Warner Sales By Sector By Format (Value) 8 Renan Luce Repenti Universal n Physical n Online single track 9 Duffy Rockferry Universal n Digital n Subscriptions 10 Amy MacDonald This Is The Life Universal6n n Performance rights Online album n Mastertones Source: Ultratop/GfK n Other

31 8RIN 09 Austria - Belgium.indd 3 7/5/09 15:02:30 32 IFPI Recording Industry In Numbers 2009 – Bulgaria

Europe Bulgaria

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 7.3 Ara Music Physical sales 46 Median Age (years) : 41 Payner Company Digital sales – Currency : Lev (BGL) Stefkos Music Performance rights – Total market 47 US$ Exchange Rate : 1.28 Sunny Music Ltd.

Source: Bamp Digital Indicators (Millions) Internet users 2.4 Broadband lines 0.6 Mobile subs 10.3 Portable player users –

Physical sales in Bulgaria fell by 18.7% in 2008. Although there is a mobile-based digital music market in Bulgaria, these figures are not yet reported to IFPI. The near 100% internet piracy rate is a key reason behind the recent market decline. Bulgaria takes the first place in Europe for speedy broadband connections – 46.5% of the fixed broadband lines have more than 10Mbps speed according to the European Commission. However, Bulgaria’s legal framework dealing with the internet and ISP activity is inadequate. Inept criminal investigations and the lack of both administrative capacity and effective court performance fail to prevent law infringers. In such an environment, there has been little investment in developing the legal online market in Bulgaria. Legal sites such as www.mp3.bg, www.m.dir.bg and www.novialbumi.com focus on local repertoire but so far have failed to take off. In February 2009 a joint project of the Bulgarian Telecommunication Company BTC, the biggest ISP in Bulgaria, and Universal Music Group, created the first subscription based legal music portal www.4fun.bg. The service offers access to more than 100,000 tracks from Universal’s catalogue.

Recorded Music Sales (Trade Value) Top Retailers Year US$ (M) Local Currency (M) Change 1 Ciela 2008 6.3 8.1 -18.7% 2 Fashion Music 2007 7.8 9.9 – 2006 – – – Source: Bamp 2005 – – – 2004 3.8 4.9 -22.7% 2 Note: No digital or performance rights revenues reported. 2006 values not available.

Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 02008 1.0 – 0.1 – – 2007 0.8 0.1 0.2 – – 2006 0.7 – 0.5 – – 2005 – – – – – 2004 0.4 – 0.5 – – Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette5 and other.

32 7RIN 09 Bulgaria - Croatia.indd 2 7/5/09 15:10:56 IFPI Recording Industry In Numbers 2009 – Croatia 33

Europe Croatia

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.5 Croatia Records Physical sales 43 Median Age (years) : 41 Hit Records Digital sales – Currency : Kuna (HRK) Scardona Performance rights – Total market 43 US$ Exchange Rate : 4.94 Performance rights music licensing company : Digital Indicators (Millions) ZAPRAF Internet users 2.0 Link : www.zapraf.hr Broadband lines 0.4 Mobile subs 5.6 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Croatia Records Shop 2008 12.5 61.8 -12.9% Year Physical Digital Perf. Rights 2 Sirius 2007 14.4 71.0 -8.0% 2008 12.5 – – 3 Aquarius Records Shop 2006 15.6 77.2 27.2% 2007 14.4 – – 4 Dancing Bean Shop 2005 12.3 60.7 -10.8% 2006 12.5 – 3.1 5 Mercaton 2004 13.8 68.1 -8.1% 2005 12.3 – – 6 Spar 2004 13.8 – – 7 INA Note: Performance rights revenues included from 2006.

Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 2008 3.9 0.2 0.1 – – 2007 4.9 0.1 0.1 – – 2006 2.1 – 0.1 – – 2005 1.6 – 0.1 – 3– 2004 2.6 – 0.2 – – 4Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other.6

33 8RIN 09 Bulgaria - Croatia.indd 3 7/5/09 15:10:58 34 IFPI Recording Industry In Numbers 2009 – Czech Republic

Europe Czech Republic

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.2 BESTI.A Physical sales 33 Median Age (years) : 40 Good Day Records Digital sales 40 Currency : Czech Crown (CZK) Championship Records Performance rights 25 Total market 35 US$ Exchange Rate : 17.10 Indies Records Chart Compiler : IFPI Czech Republic Indies Scope Digital Indicators (Millions) Chart Links : www.ifpicr.cz Multisonic Internet users 5.1 Performance rights music licensing company : Popron Music Broadband lines 1.9 Intergram Supraphon Mobile subs 13.3 Link : www.intergram.cz Tommü Records Portable player users 1.1

The Czech recorded music market was and Vodafone are the main mobile players iPhone 3G in its first weeks since launch in one of the few markets showing overall in a market with over 100% penetration September 2008. On the other hand, Nokia growth in 2008. Music sales were up of mobile phones. phones with MP3 players are very popular. 14.0%, with physical sales growing by 15.6%. This increase was driven by the In the online sector, the most successful Regarding piracy, at the beginning of exceptional success of kiosk sales. service is i-legalne.cz, which offers 2008 IFPI Czech Republic monitored a-la-carte downloads and a monthly more than 90 hubs with about 65,000 The digital market in the Czech Republic subscription with DRM. Other legitimate users daily. By November 2008 there grew in 2008, but by a very modest rate services in Czech Republic include were approximately 60 hubs with less of 5.3% – well below the global average. Allmusic and t-music. iPods are not very than 25,000 users. The most popular file- Mobile accounted for 44% of digital popular in the Czech Republic and iTunes sharing servers are Rapidshare, stahuj.cz, sales, with master ringtones and ringback is not present in the market. T-Mobile uloz.to and speedyshare.com. Usage of 0tones leading the sector. T-Mobile, O2 and Vodafone 2reported modest sales of bittorrent sites is rising.

Michal Horacek

5Mamma Mia!

34 7RIN 09 Czech Rep - Denmark.indd 2 7/5/09 15:32:24 IFPI Recording Industry In Numbers 2009 – Czech Republic 35

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Bontonland 2008 41.8 714.4 14.0% Year Physical Digital Perf. Rights 2 Davay 2007 36.6 626.6 -1.0% 2008 34.1 2.1 5.6 3 Vltava Stores 2006 37.0 632.8 6.6% 2007 29.5 2.0 5.2 4 Music Records 2005 34.7 593.7 -21.9% 2006 31.3 1.2 4.5 2004 44.5 760.6 1.4% 2005 34.7 – – 2004 44.5 – – Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 47% 44% 1% 8% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 36% 59% – 5% 2008 11.5 – 0.3 – – 2006 1% 98% – 1% 2007 4.5 0.2 – – – 2005 – – –– 2006 2.9 0.3 0.1 – – 2004 – – –– 20053 3.2 0.2 0.2 – – 2004 3.7 0.2 0.5 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other.

Top Selling Albums 2008 % 14 15% Artist Title Company 5% 26% 1 Jarek Nohavica Ikarus Jarek Nohavica 7% 2 Various Mamma Mia! OST Universal 8% 81% 3 Michal Horacek Ohrozeny Druh Sony Music 9% 22% 4 Metallica Death Magnetic Universal 13% 5 AC/DC Black Ice Sony Music 46 Enya And Winter Came... Warner 7 Ebenove Bratri Chlebicky Sony Music Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Il Divo Promise Sony Music n Physical n Online stream 9 Various Once OST Sony Music n Digital n Mastertones 10 Lucie Vondrackova Fenix Tommü Records n Performance rights n Ringback tones n Online single n Ad-supported n Online album 6n Other

35 8RIN 09 Czech Rep - Denmark.indd 3 7/5/09 15:32:29 36 IFPI Recording Industry In Numbers 2009 – Denmark

Europe Denmark

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 5.5 ArtPeople Physical sales 21 Median Age (years) : 40 Bonnier Amigo Music Digital sales 17 Currency : Danish Kroner (DKK) MBO Performance rights 12 Total market 20 US$ Exchange Rate : 5.10 Playground Music Chart Compiler : Nielsen Music Control Voices Music & Entertainment Digital Indicators (Millions) Chart Links : www..nu Internet users 3.8 Performance rights music licensing company : Broadband lines 2.0 Gramex Mobile subs 7.6 Link : www.gramex.dk Portable player users 1.2

Recorded music sales in Denmark fell by TDC’s PLAY service, launched in April 2008, expects this to rise to 100 million before 9.5% in 2008 driven by a steep decline in is offered to TDC’s broadband and mobile the end of the second quarter of 2009. physical sales. The Danish digital market customers. Customers can sign up to the is performing well, now accounting for service and get unlimited tethered music Music consumption on the PLAY service 16% of overall sales. In 2008 digital sales downloads in WMA format from a catalogue is very different to the iTunes experience. in Denmark grew at nearly double the of 3 million tracks. The tracks are free, The majority of downloads are albums global average pace, up 45.3%. Revenues bundled into the standard cost of a broadband instead of singles. The unlimited nature from performance rights now account for or mobile subscription. Songs can be kept of the service is the main reason for this 12% of music sales. for as long as the user continues to be a TDC trend. Most downloads are done via the customer. In April TDC also introduced an PC rather than via mobile phone. Within the digital market, subscriptions a-la-carte service, allowing its customers to saw the biggest rise in 2008, led by purchase tracks for permanent use. Results of PLAY for TDC have also been TDC’s PLAY bundled subscription service positive. Preliminary figures indicate that the which had a measurable impact on the Since launch PLAY has aggregated 92,000 churn in mobile customers has dropped by market, bringing in new consumers to the active monthly users. PLAY generates 30-40% and in broadband customers by legitimate online market. Subscriptions around 7.2 million tethered downloads a some 60%. This loyalty-effect creates a lot now account for 39% of digital revenues, month. Total downloads crossed the 54 of value for TDC. Moreover, TDC reports that 0up from 13% in 2007. million mark at2 the end of 2008 and TDC PLAY is helping them attract new customers.

Sys5 Bjerre

Duffy

36 7RIN 09 Czech Rep - Denmark.indd 4 7/5/09 16:12:15 IFPI Recording Industry In Numbers 2009 – Denmark 37

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 124.5 635.0 -9.5% Year Physical Digital Perf. Rights 2007 137.5 701.5 -5.6% 2008 90.4 19.4 147.7 2006 145.6 742.7 11.6% 2007 111.4 13.4 12.8 2005 130.5 665.4 -3.7% 2006 122.7 7.8 15.0 2004 135.5 690.9 -3.7% 2005 128.6 1.8 – 2004 135.5 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 51% 8% 38% 3% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 70% 14% 13% 3% 2008 7.4 0.1 0.1 6.1 0.4 2006 64% 20% 15% 1% 2007 8.6 0.2 0.1 4.7 – 2005 82% 18% – – 2006 9.8 0.3 0.1 2.2 – 2004 – – –– 20053 9.6 0.3 0.2 0.5 – 2004 9.7 0.4 0.2 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH.

Top Selling Albums 2008 12% 13% Artist Title Company 1 Duffy Rockferry Universal 16% 39% 2 Martin Show The World Sony Music 21% M:G:P 2008: It’s Just 72% 3 Various Something We Leger! Universal 4 SYS Bjerre Makes It Even Universal 27% 5 Nik & Jay The Greatest EMI 46 AC/DC Black Ice Sony Music 7 Metallica Death Magnetic Universal Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Loc Melankolia/XxxCouture EMI n Physical n Subscriptions 9 Creedence Clearwater Revival Best Of Universal n Digital n Online single track 10 Kim Larsen Forgotten Of Children EMI n Performance rights n Online album 6n Other

37 8RIN 09 Czech Rep - Denmark.indd 5 7/5/09 16:12:20 38 IFPI Recording Industry In Numbers 2009 – Finland

Europe Finland

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 5.2 Bonnier Amigo Music Finland Physical sales 23 Median Age (years) : 42 Edel Records Finland Digital sales 31 Currency : Euro (EUR) Johanna Kustannus Oy Performance rights 17 Total market 24 US$ Exchange Rate : 0.68 Ondine Oy Chart Compiler : Finnish National Broadcasting Company Oy FG-Naxos Ab Digital Indicators (Millions) Chart Links : www.yle.fi/top40 Internet users 3.6 Performance rights music licensing company : Broadband lines 1.6 Gramex/IFPI Finland Mobile subs 5.9 Link : www.gramex.fi Portable player users 0.7

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 95.9 65.2 -0.2% Year Physical Digital Perf. Rights 2007 96.1 65.4 -5.8% 2008 80.7 4.4 10.7 2006 102.1 69.4 6.8% 2007 82.6 3.7 9.9 2005 95.6 65.0 -3.4% 2006 89.4 2.2 10.4 2004 98.9 67.3 -13.5% 2005 95.6 – – 2004 98.9 – – Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 68% 23% – 9% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 63% 36% 1% – 2008 6.5 0.4 0.1 1.0 – 2006 61% 38% 1% – 2007 6.4 0.4 0.2 0.8 – 2005 – – –– 2006 6.9 0.4 0.3 0.4 – 2004 – – –– 2005 7.4 0.4 0.3 0.1 – 2004 7.4 0.3 0.5 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International).

2% 5% 11% 5% 9% 033% 19% 84% 32%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Online single track n Digital n Online album n Performance rights n Mastertones n Ad-supported n Mobile single track n Other 5

38 7RIN 09 Finland - France - Germany.indd 2 7/5/09 15:35:01 IFPI Recording Industry In Numbers 2009 – France 39

Europe France

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 64.1 Harmonia Mundi Physical sales 5 Median Age (years) : 39 Naïve Digital sales 4 Currency : Euro (EUR) Pschent Performance rights 3 Total market 5 US$ Exchange Rate : 0.68 V2 Chart Compiler : SNEP/IFOP Wagram Digital Indicators (Millions) Chart Links : www.disqueenfrance.com Internet users 36.2 Performance rights music licensing company : Broadband lines 17.5 SCCP Mobile subs 58.1 Link : www.sccp.fr Portable player users 11.6

Music sales in France fell by 11.4% in and warn repeat infringers of copyright Neuf Cegetel, the French ISP, has been 2008 despite strong growth in digital and infringement. As a last resort, ISPs running a “music access” service since performance rights revenues. Physical could suspend repeat infringers’ internet 2007, offering unlimited downloads from sales in France fell by 19.9% and the accounts for between one and 12 months. 150,000 tracks from Universal Music. market saw new lows in new artists Consumers are offered two options, signed. Local repertoire fell more sharply Internet piracy has hit the French market Neuf Music Initial, which is available than international sales in 2008, now hard. An estimated 18% of the French for no extra cost and offers unlimited representing 57% of the French market internet population currently download downloads from one of nine music (excluding classical). Music sales via music on a monthly basis via p2p genres, or Neuf Music Optimal which supermarkets saw a 6% decline in 2008, services (Jupiter Research). Research costs an additional €4.99 and offers now representing 34% of physical retail by Ipsos in 2008 found that 74% of the unlimited downloads of all Universal sales – a decline from a 49% share in 2003. French population aged 15+ perceive Music tracks. ISP warnings coupled with a temporary France has been the government to act internet ban as a better alternative to Orange’s Musique Max offers unlimited most decisively to curb online piracy, fines. An estimated 88% of illegal file- downloads to its internet and mobile proposing legislation that would encourage sharers say they would stop their activity customers for an additional €12 per legal music consumption and deter illegal after two warnings in order to avoid month. The service offers more than music sharing. At the time of going to temporary disconnection.3 one million songs from major and press in May 2009, the National Assembly independent labels, which are also was debating clauses of the ‘Creation France is now also experimenting with new available for permanent purchase and Internet’ bill. The proposed law aims ‘music access’ models with partnerships and can be transferred to five other to implement a system of graduated between labels and ISP/mobile operators digital music players or compatible 4response by the ISPs who will educate such as Neuf Cegetel, SFR and Orange. mobile phones.

Coldplay

Amy Winehouse 6

39 8RIN 09 Finland - France - Germany.indd 3 7/5/09 15:35:13 40 IFPI Recording Industry In Numbers 2009 – France

Europe France

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 1,049.6 713.7 -11.4% Year Physical Digital Perf. Rights 2007 1,184.0 805.2 -15.5% 2008 803.8 160.3 85.5 2006 1,401.4 952.9 -4.6% 2007 1,004.0 102.4 77.7 2005 1,468.6 998.6 -1.7% 2006 1,241.9 83.4 76.1 2004 1,493.6 1,015.6 -13.6% 2005 1,435.5 33.0 – 2004 1,473.6 20.0 – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 30% 44% 19% 7% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 23% 59% 17% 1% 2008 53.8 3.2 4.9 21.5 2.1 2006 38% 62% – – 2007 62.6 4.9 8.1 10.0 – 2005 43% 53% 4% – 2006 75.7 5.7 18.7 5.9 – 2004 17% 82% 1% – 2005 96.2 14.8 26.6 2.7 – 2004 106.4 9.0 27.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International). Digital albums source: Media Control GfK International GMBH.

Top Selling Albums 2008 8% Artist Title Company 20% 15% 24% 01 Francis Cabrel Des Roses & Des Orties Columbia 2 Seal Soul Warner 5% 19% 3 Les Enfoirés Les Secrets Des Enfoirés Sony Music 77% 10% 4 Christophe Maé Mon Paradis Warner 10% 12% 5 Coldplay Viva La Vida Parlophone 6 AC/DC Black Ice Sony Music 7 Duffy Rockferry Universal Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Renan Luce Repenti Universal n Physical n Mobile single track 9 Johnny Hallyday Best Of Warner n Digital n Subscriptions 10 Amy Winehouse Back To Black n Performance rights n Online single track n Online album n Mastertones n Ad-supported 5n Other

40 7RIN 09 Finland - France - Germany.indd 4 7/5/09 15:35:17 IFPI Recording Industry In Numbers 2009 – Germany 41

Europe Germany

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 82.4 Edel Physical sales 4 Median Age (years) : 43 Indigo Digital sales 5 Currency : Euro (EUR) Soulfood Music Performance rights 2 Total market 4 US$ Exchange Rate : 0.68 SPV Chart Compiler : Media Control ZYX Music Digital Indicators (Millions) Chart Links : www.musicline.de Internet users 55.2 Performance rights music licensing company : Broadband lines 23.4 GVL Mobile subs 101.2 Link : www.gvl.de Portable player users 17.4

While some European markets saw a double-digit sales decline, in Germany revenue from the sale of music products fell by a more modest 4.2%. Physical sales remain the backbone of the German music industry, accounting for 87% of all sales. German music companies have increased the number of physical formats available, introducing CDs with enhanced material including booklets and attractive additional content, helping maintain sales in the physical sector. Of the 10 best selling albums of 2008, eight were available in deluxe versions. At the same time companies continued to work towards expanding the digital sector. Digital albums continued to grow at a faster pace than single tracks, now accounting for 26% of digital sales. However, Germany’s digital share of the market remains well below the global average, at only 8%. As much as 40% of the German population is now older than 50 years old. This demographic profile also bodes well for physical music formats and may explain a slower take-up of digital services, despite the fact that digital purchasing among 33-49 year olds grew in 2008. The share of 50+ consumers buying digital music remained stable at 8% in 2008. The strength of physical retail and relatively low rates of credit card usage are also partly attributable for the slower shift towards digital consumption.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Amazon 2008 1,627.8 1,106.9 -4.2% Year Physical Digital Perf. Rights 2 Karstadt 2007 1,698.4 1,154.9 -2.9% 2008 1,416.0 123.4 88.3 3 Media Markt 2006 1,749.3 1,189.5 2.0% 20073 1,494.5 111.8 92.1 4 Mueller 2005 1,714.7 1,166.0 0.4% 2006 1,578.4 81.8 89.1 5 Saturn 2004 1,708.0 1,161.5 -3.2% 2005 1,668.6 46.1 – 2004 1,690.4 17.6 – Source: GfK Note: Performance rights revenues included from 2006. Digital sales included from 2004. Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 73% 11% 7% 9% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 70% 21% 5% 4% 2008 107.1 7.4 10.8 34.2 3.7 2006 58% 39% 3% – 2007 113.3 9.1 15.3 34.5 2.8 2005 65% 35% – – 2006 114.4 10.3 21.6 26.0 2.0 2004 63% 36% 1% – 2005 114.7 10.3 26.5 17.5 1.4 2004 116.1 9.5 36.5 – – 4Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Media Control GfK International GMBH). 5% Top Selling Albums 2008 8% Artist Title Company 35% 1 Amy Winehouse Back To Black Universal Music 32% 2 Ich + Ich Vom Selben Stern Universal Music 3 Paul Potts One Chance Sony Music 87% 7% 4 Die Ärzte Jazz Ist Anders Universal Music 26% 5 Udo Lindenberg Stark Wie Zwei Warner Music 6 Coldplay Viva La Vida EMI Music Recorded Music Digital Sales 7 AC/DC Black Ice Sony Music Sales By Sector By Format (Value) 8 Amy MacDonald This Is The Life Universal Music n Physical n Online single track 9 Metallica Death Magnetic Universal Music n Digital n Online album 10 Duffy Rockferry Universal6 Music n n Performance rights Subscriptions n Other Source: Media Control

41 8RIN 09 Finland - France - Germany.indd 5 7/5/09 15:35:22 42 IFPI Recording Industry In Numbers 2009 – Greece

Europe Greece

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.7 Aerakis Physical sales 30 Median Age (years) : 42 Alpha Records Digital sales 29 Currency : Euro (Eur) Etairia Ekdoseon (Lyra-MBI-Legend) Performance rights 26 Total market 32 US$ Exchange Rate : 0.68 General Music Chart Compiler : IFPI Greece/Deloitte Heaven Music Digital Indicators (Millions) Chart Links : www.ifpi.gr Internet users 3.8 Broadband lines 1.7 Mobile subs 15.4 Portable player users 0.5

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 58.0 39.4 -23.4% Year Physical Digital Perf. Rights 2007 75.7 51.5 -3.0% 2008 46.9 5.6 5.5 2006 78.1 53.1 1.9% 2007 65.7 5.7 4.3 2005 76.6 52.1 -6.4% 2006 70.9 4.6 2.6 2004 81.9 55.7 -5.7% 2005 76.6 – – 2004 81.9 – – Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 14% 66% 9% 11% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 13% 80% – 6% 2008 5.6 0.2 0.1 0.6 – 2006 7% 89% – 4% 2007 7.6 0.3 0.2 0.3 – 2005 – – –– 2006 6.9 0.3 0.2 0.2 – 2004 – – –– 2005 7.0 0.3 0.4 0.1 – 2004 6.9 0.3 0.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan International).

Top Selling Albums 2008 9% Artist Title Company 10% 26% 01 Michael Xatzhgiannhss 7 Universal 39% 2 Elena Paparizou Vrisko To Logo Na Zo Sony Music 7% 3 Ploutharhos Yannis Oti Gennietai Stin Psixi (Special) Minos - EMI 81% 4 Michael Xatzhgiannhss Zontana Sto Likavitto07/08 Universal/M2 8% 9% 11% 5 OST Mamma Mia! Universal 6 Mazoo and the Zoo Mazoo and the Zoo Legend/EGE 7 John Parios Poy Pame Meta Minos - EMI Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Pandelis Thalassinos Apo Alla Peribolia MBI/EGE n Physical n Ringback tones 9 Ntalaras George/ Afieroma Ston Leftieri papadopoulo - Tha Pio Legend/EGE Papadoupoulos Lefteris Apopse To Feggari - Zontani Ikhografisi n Digital n Mastertones 10 Apagorevmeno Sony Music n Performance rights n Subscriptions n Mobile single track n Online single track 5n Other

42 7RIN 09 Greece - Hungary.indd 2 7/5/09 15:37:00 IFPI Recording Industry In Numbers 2009 – Hungary 43

Europe Hungary

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 9.9 CLS Physical sales 35 Median Age (years) : 39 Fekete Szemek Digital sales 42 Currency : Forint (HUF) Hammer Music Performance rights 20 Total market 36 US$ Exchange Rate : 172.70 Hungaroton Chart Compiler : MAHASZ Record Express Digital Indicators (Millions) Chart Links : www.mahasz.hu Internet users 4.2 Performance rights music licensing company : Broadband lines 1.2 MAHASZ Mobile subs 11.2 Link : www.mahasz.hu Portable player users 0.9

The Hungarian music market saw a steep decline in 2008, with sales falling by 24.2%. The physical market performance drove this decline (-29.9%) while digital sales also fell. The worsening economic climate impacted heavily on the Christmas sales period, with nearly all retail outlets suffering declining sales. In the digital market, sales of mastertones fell significantly due to the wide availability of software that allows consumers to create their own mastertones, sideloading and Bluetooth mobile sharing. The online market is still struggling to take off and subscription services are still very much in their infancy. Mobile internet services are on the rise in Hungary and stiff competition among service providers resulted in a steady decrease in access prices. 3G phones, iPods and many other music enabled devices are becoming more common. One key factor influencing consumers’ decision when buying mobile phones is the handset’s ability to play music. However the majority of the music played on consumers’ mobiles is not paid for. Internet piracy remains a big challenge for the Hungarian music industry. While online downloading is expanding rapidly, many consumers order burned CDs online. Torrent sites and DC++ are the main channels for obtaining music illegally. Locally-based FTP servers offering downloads for money (typically via highly priced SMS) from local and foreign web-hosting sites is an ongoing problem. The FTP servers typically host content which is available for download through a “store front” website that provides information to users on how to register and pay via SMS for access to the illegal content on the servers. A few successful raids in key locations concerning major servers have had a significant, even if only short term, effect in decreasing the volume of illegal traffic. Performance rights is the most promising sector for the Hungarian industry. Users of copyrighted sound recordings, such as jukebox operators, shop owners and DJs, are increasingly aware of 3their obligation to pay for the music they use (via licensing). With the publicity around performance rights affairs, the awareness has started to penetrate strongly and visibly into the general public.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 33.2 5,731.0 -24.2% Year Physical Digital Perf. Rights 2007 43.8 7,561.3 -5.0% 2008 25.5 1.2 6.5 2006 46.1 7,959.6 19.4% 2007 36.4 1.2 6.2 2005 38.6 6,666.0 -15.1% 2006 40.1 0.6 5.3 2004 45.5 7,855.6 -4.4% 2005 38.6 – – 2004 45.5 – – Note: Performance rights revenues included from 2006. Digital sales included from 2004. 4Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 47% 40% – 13% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 22% 59% – 19% 2008 2.9 0.4 90.4 – – 2006 22% 74% – 4% 2007 4.5 0.2 0.2 – – 2005 – – –– 2006 4.7 0.2 0.5 – – 2004 – – –– 2005 4.2 0.2 0.9 – – 2004 5.4 0.2 2.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD and VHS. Other physical includes singles, vinyl, cassette and other.

20% Digital Sales By Format (Value) 28% 32% n Mastertones 4% Recorded Music n Ad-supported Sales By Sector n Online single track 76% 8% n Physical 6n Online album 13% n Digital 9% n Online streams n Performance rights 10% n Other

43 8RIN 09 Greece - Hungary.indd 3 7/5/09 15:37:05 44 IFPI Recording Industry In Numbers 2009 – Italy

Europe Italy

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 58.1 Edel Physical sales 8 Median Age (years) : 43 Sugar Digital sales 14 Currency : Euro (EUR) Time Performance rights 8 Total market 8 US$ Exchange Rate : 0.68 Chart Compiler : FIMI/AC Nielsen Digital Indicators (Millions) Chart Links : www.fimi.it Internet users 33.7 Performance rights music licensing company : Broadband lines 12.2 SCF Mobile subs 87.4 Link : www.scfitalia.it Portable player users 11.1

Recorded music sales in Italy fell by 17.0% in 2008 – the biggest decline among the top five European music markets. Physical sales fell by 21.4%, well above the global average. Digital sales rose by only 2.4%, against a 24.1% growth in digital sales at a global level. Mobile sales saw a significant decline in 2008, now accounting for 35% of digital sales in Italy (compared to 53% in 2007). There was progress in the online sector in 2008 and ad-supported models now account for 7% of digital revenues in Italy. Performance rights grew by 25.7% in 2008, outpacing the global average. Domestic repertoire accounted for 56% of CD sales, with international sales claiming 39% and classical 5%. In 1999, the peak year for the Italian music market, 43% of music sales came from domestic repertoire, 52% from international and 5% from classical. Illegal downloading continues to hamper the development of a legal online business in Italy. It is estimated that 99% of all files downloaded in Italy are unauthorised. 18% of internet users download music illegally according to research.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Feltrinelli 2008 326.1 221.7 -17.0% Year Physical Digital Perf. Rights 2 2007 392.7 267.0 -16.9% 2008 268.5 28.9 28.6 3 Mediaworld 2006 472.4 321.2 -6.3% 2007 341.7 28.2 22.8 4 Mondadori 2005 504.1 342.8 -0.3% 2006 422.7 27.9 21.8 5 SGM (Marco Polo) 2004 505.8 343.9 -7.1% 2005 485.7 18.4 – 20042 501.4 4.3 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 51% 35% 2% 12% Year CD Music Video Other Physical Single Tracks Digital Albums 02007 44% 53% – 3% 2008 – – – 6.6 – 2006 30% 57% 1% 12% 2007 25.5 1.1 0.4 4.9 – 2005 30% 69% 1% – 2006 28.8 1.7 0.7 2.9 – 2004 23% 77% – – 2005 31.6 1.8 1.0 1.1 – 2004 33.1 2.0 1.4 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. 2008 physical volumes not available. Single tracks refer to online single track sales only (source: Nielsen SoundScan International).

Top Selling Albums 2008 9% Artist Title Company 9% 19% 25% 1 Safari Universal Music 6% 2 Vasco Rossi Il Mondo Che Vorrei EMI 12% 3 Primavera In Anticipo WMI 82% 20% 4 Ligabue Secondo Tempo WMI518% 5 Guisy Ferreri Non Ti Scordar Mai Di Me Sony Music 6 Amy Winehouse Back To Black Universal Music Recorded Music Digital Sales By Format (Value) 7 Madonna Hard Candy WMI Sales By Sector n Online single track 8 G Nannini Gianna Best Universal Music n Physical n Online album 9 Alla Mia Eta’ EMI n Digital n Mastertones 10 Ferreri Giusy Gaetana Sony Music n Performance rights n Mobile single track n Online streams n Other

44 7RIN 09 Italy - Netherlands.indd 2 7/5/09 15:44:48 IFPI Recording Industry In Numbers 2009 – Netherlands 45

Europe Netherlands

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 16.6 Artist & Company Physical sales 11 Median Age (years) : 40 Challenge Record Services Digital sales 19 Currency : Euro (EUR) CNR Records Performance rights 6 Total market 10 US$ Exchange Rate : 0.68 Play It Again Sam Chart Compiler : GfK Megacharts BV Rough Trade Digital Indicators (Millions) Chart Links : www.megacharts.nl Internet users 15.0 Performance rights music licensing company : Broadband lines 5.8 NVPI/SENA Mobile subs 18.4 Link : www.nvpi.nl | www.sena.nl Portable player users 2.9

Music sales in the Netherlands fell by 9.9% driven by a steep decline in physical sales (-14.8%). Digital sales continued to grow, now accounting for 6% of the Dutch music market. Netherlands is the sixth biggest market for performance rights, which now account for 18% of music sales.

Domestic repertoire performed well in 2008. Five out of the top 10 best selling albums were local acts. Overall entertainment product sales (CDs, DVDs and games) rose 2.8% in 2008, with games leading this growth. Sales of DVDs fell by 5.2%.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 BOL.com 2008 271.9 184.9 -9.9% Year Physical Digital Perf. Rights 2 Free Record Shop 2007 301.9 205.3 -1.9% 2008 207.9 15.1 48.9 3 Vanleest 2006 307.7 209.3 6.2% 20073 243.9 12.4 45.5 4 Media Markt 2005 289.8 197.0 -14.3% 2006 264.2 9.7 33.8 5 Music Store 2004 338.1 229.9 -9.3% 2005 283.9 5.8 – 2004 336.8 1.3 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 83% 9% 3% 5% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 83% 15% 2% – 2008 18.4 1.2 0.5 8.7 1.3 2006 80% 19% 1% – 2007 18.8 3.0 1.1 2.9 – 2005 76% 18% 6% – 2006 19.3 3.5 1.8 2.5 – 2004 61% 36% 3% – 2005 20.4 4.6 2.2 1.3 – 2004 23.2 5.3 3.1 – – 4Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International). Digital album source: Media Control GfK International GMBH 4% Top Selling Albums 2008 5% % Artist Title Company 18 7% 1 Amy Winehouse Back To Black Universal 6% 10% 40% 2 Amy Macdonald This Is The Life Universal 3 Marco Borsato White Light Universal 76% 34% 4 Coldplay Viva La Vida EMI 5 Nick & Simon Today Artist & Company 6 Jan Smit Silence In The Storm Artist & Company Recorded Music Digital Sales By Format (Value) 7 Duffy Rockferry Universal Sales By Sector n Online single track 8 Alain Clark Live It Out 8Ball n Physical n Online album 9 Anouk Who’s Your Momma EMI n Digital n Online streams 10 Madonna Hard Candy Warner6n Mastertones n Performance rights n Ad-supported n Other

45 8RIN 09 Italy - Netherlands.indd 3 7/5/09 15:44:52 46 IFPI Recording Industry In Numbers 2009 – Norway

Europe Norway

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.6 Bonnier Amigo Music Norway Physical sales 19 Median Age (years) : 39 Playground Music Digital sales 22 Currency : Norwegian Krone (NOK) Tuba Records Performance rights 18 Total market 21 US$ Exchange Rate : 5.65 Tylden (Bare Bra Musikk) Chart Compiler : Ns Newspaper/IFPI Norway Voices Music & Entertainment Digital Indicators (Millions) Chart Links : www.ifpi.no Internet users 4.1 Performance rights music licensing company : Broadband lines 1.4 Gramo Mobile subs 5.2 Link : www.gramo.no Portable player users 1.0

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 124.0 700.7 -11.6% Year Physical Digital Perf. Rights 2007 140.3 792.7 -2.3% 2008 103.1 10.8 10.2 2006 143.6 811.6 -5.3% 2007 122.6 8.1 9.6 2005 151.8 857.5 -11.7% 2006 131.2 5.0 7.5 2004 171.9 971.2 1.9% 2005 149.7 2.0 – 2004 171.9 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 75% 23% 1% 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 63% 37% – – 2008 8.2 0.3 0.1 4.9 – 2006 54% 46% – – 2007 9.2 0.4 0.3 3.4 – 2005 61% 39% – – 2006 9.7 0.4 0.4 1.3 – 2004 – – –– 2005 11.0 0.3 0.6 0.5 – 2004 12.4 0.3 1.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International)

8% 7% 9% 10% 35% 011% 83% 37%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Online single track n Digital n Online album n Performance rights n Mobile single track n Mastertones n Other 5

46 7RIN 09 Norway - Poland.indd 2 7/5/09 15:49:53 IFPI Recording Industry In Numbers 2009 – Poland 47

Europe Poland

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 38.5 Agora Physical sales 20 Median Age (years) : 38 Fonografika Digital sales 32 Currency : Zloty (PLN) Metal Mind Production Performance rights 27 Total market 23 US$ Exchange Rate : 2.41 Reader’s Digest Chart Compiler : ZPAV/Pentor Research Institute Sonic Digital Indicators (Millions) Chart Links : www.zpav.pl Internet users 16.0 Performance rights music licensing company : Broadband lines 4.2 ZPAV Mobile subs 44.0 Link : www.zpav.pl Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Empik 2008 112.2 270.3 10.1% Year Physical Digital Perf. Rights 2 Media Markt 2007 101.9 245.6 16.4% 2008 102.9 4.4 4.8 3 Carrefour Polska 2006 87.6 211.0 1.9% 2007 95.5 2.7 3.7 4 Auchan Polska 2005 85.9 207.0 -7.5% 2006 85.1 0.4 2.0 5 Kolporter 2004 92.9 223.9 -4.8% 2005 85.9 – – 2004 92.9 – – Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 9% 65% – 26% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 3% 96% 1% – 2008 9.9 0.8 0.4 – – 2006 14% 85% 1% – 2007 9.8 0.5 0.1 – – 2005 – – –– 2006 7.9 0.6 0.3 – – 2004 – – –– 20053 9.0 0.4 0.4 – – 2004 10.5 0.6 1.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

% Top Selling Albums 2008 4% 4 15% Artist Title Company 26% 1 Feel Feel Gorgo/Pomaton 13% 2 Rózni Wykonawcy Kids...The Best Ever! Pomaton 3 Soundtrack Mamma Mia! Polydor UK 92% 22% 24% 4 Rózni Wykonawcy Love...The Best Ever! Pomaton 5 Rózni Wykonawcy The Best Christmas...Ever! Pomaton 46 Rózni Wykonawcy ...The Best Movie Ever! Pomaton 7 Metallica Death Magnetic Mercury UK Recorded Music Digital Sales Radio Zet Power Of Music Sales By Sector By Format (Value) 8 Various Summer 2008 Magic Records n Physical n Ad-supported 9 Various RMF FM Best In Polish Music Vol.2 Izabelin n Digital n Ringback tones 10 David Gilmour Live In Gdansk EMI n Performance rights n Mastertones n Mobile single track 6n Other

47 8RIN 09 Norway - Poland.indd 3 7/5/09 15:49:58 48 IFPI Recording Industry In Numbers 2009 – Portugal

Europe Portugal

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 10.7 Espacial Physical sales 25 Median Age (years) : 39 Farol Musica Digital sales 33 Currency : Euro (EUR) iPlay Performance rights 32 Total market 27 US$ Exchange Rate : 0.68 Vidisco Chart Compiler : AFP/AC Nielsen Digital Indicators (Millions) Performance rights music licensing company : Internet users 7.8 Audiogest AFP Broadband lines 1.6 Mobile subs 14.3 Portable player users 0.8

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 FNAC 2008 68.8 46.8 -11.3% Year Physical Digital Perf. Rights 2 Sonae 2007 77.6 52.8 -13.4% 2008 61.8 4.4 2.6 3 Auchan 2006 89.6 60.9 -6.0% 2007 71.2 3.8 2.6 4 El Corte Inglés 2005 95.4 64.9 -8.9% 2006 83.6 3.7 2.4 5 Media Markt 2004 104.7 71.2 -25.6% 2005 95.4 – – 2004 104.7 – – Note: Performance rights revenues and digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 34% 56% 9% 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 24% 75% 1% – 2008 4.3 0.8 0.2 0.8 – 2006 15% 85% – – 2007 4.7 0.8 0.2 0.4 – 2005 – – –– 2006 6.0 1.0 0.3 0.2 – 2004 – – –– 2005 7.0 0.8 0.7 0.1 – 2004 9.1 0.8 2.9 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Nielsen SoundScan International).

4% Top Selling Albums 2008 6% 17% Artist Title Company 24% 01 Tony Carreira O Homem Que Sou Farol Musica 6% 2 Just Girls Just Girls Farol Musica 7% 13% 3 Banda Sonora Original Mamma Mia EMI 90% 9% 4 Mariza Terra EMI 12% 12% 5 Amy Winehouse Back To Black Universal 6 Kizomba Brasil Kizomba Brasil Farol Musica 7 Mariza Concerto Em Lisboa EMI Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Coldplay Viva La Vida EMI n Physical n Mastertones 9 Varios Artistas Morangos Com Acucar Vol. 10 Farol Musica n Digital n Online single track 10 Abba Abba Gold Universal n Performance rights n Online album n Mobile single track n Online streams n Ringback tones n Mobile streams 5n Other

48 7RIN 09 Portugal - Russia.indd 2 7/5/09 15:56:11 IFPI Recording Industry In Numbers 2009 – Russia 49

Europe Russia

Country Data World Ranking Population (millions) : 140.7 Physical sales 10 Median Age (years) : 38 Digital sales 25 Currency : Rouble (RUB) Performance rights 29 Total market 12 US$ Exchange Rate : 24.87 Performance rights music licensing company : Digital Indicators (Millions) RPA Internet users 32.7 Link : www.rpa-society.com Broadband lines 7.3 Mobile subs 163.7 Portable player users 4.9

The Russian recorded music market saw a modest decline in 2008 of 2.4%. Physical sales fell by 5.8% while digital revenues more than doubled. The performance rights sector is still in its infancy. In Eastern Europe, Russia acquired the most broadband subscribers in 2008. However, the digital market in Russia is still dominated by mobile sales. Ringback tones account for over half of all revenues, followed by mastertones and monophonic/polyphonic ringtones. 2008 saw some progress in the development of the online music sector. Online stores are at the initial stages, attracting and accumulating customers. Ad-supported streaming services and subscription services are generating more interest.

In the physical retail sector, there has been fast development in Moscow and St. Petersburg. CD sales are being driven by improved physical retail, but film DVDs are becoming more important at the expense of music. The high rate of piracy, the reduction in consumer spending following the economic slowdown and the devaluation of the local currency all have contributed to a decline in music sales in 2008.

In terms of repertoire, sales are split 72% domestic, 25% international and 3% classical (units). Russia’s domestic music industry is mainly driven by live performance. Most commercial music is electronic or dance-based. Rock bands are in ascendance as are acts that have had TV appearances (several Pop Idol-like shows are broadcast across the country).

Recorded Music Sales (Trade Value) 3Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 220.8 5,492.2 -2.4% Year Physical Digital Perf. Rights 2007 226.2 5,626.5 -1.6% 2008 209.2 7.6 4.0 2006 229.9 5,718.6 4.4% 2007 222.1 3.5 0.7 2005 220.2 5,477.4 -37.5% 2006 228.8 0.8 0.3 2004 352.3 8,762.8 44.3% 2005 220.2 – – 2004 352.3 – – Note: Performance rights revenues and digital sales included from 2006. Note: 2008 performance rights figures refer to monies collected in 2007 and distributed in 2008.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 42008 20% 80% – – Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 70.1 – 4.1 – – 2006 – 100% – – 2007 75.0 – 8.2 – – 2005 – – –– 2006 72.1 – 12.9 – – 2004 – – –– 2005 68.5 0.4 27.7 – – 2004 58.0 0.3 60.7 – –

Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

2% 3%

Recorded Music 40% Digital Sales Sales By Sector 55% By Format (Value) 95% n Physical n Ringback tones n Digital 5% 6n Mastertones n Performance rights n Other

49 8RIN 09 Portugal - Russia.indd 3 7/5/09 15:56:15 50 IFPI Recording Industry In Numbers 2009 – Slovakia

Europe Slovakia

Country Data World Ranking Population (millions) : 5.5 Physical sales 45 Median Age (years) : 37 Digital sales – Currency : Slovak Koruna (SKK) Performance rights 31 Total market 45 US$ Exchange Rate : 21.17

Digital Indicators (Millions) Internet users 2.7 Broadband lines – Mobile subs 5.5 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 9.8 207.4 -0.8% Year Physical Digital Perf. Rights 2007 9.9 209.0 -2.4% 2008 6.6 – 3.2 2006 10.1 214.2 -0.9% 2007 7.3 – 2.6 2005 10.2 216.0 – 2006 8.4 – 1.7 2004 – – – 2005 10.2 – – 2004 – – – Note: Performance rights revenues included from 2006.

Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 2008 1.7 0.1 – – – 2007 1.1 – – – – 2006 1.0 0.1 – – – 2005 1.2 – – – – 2004 – – – – –

Note: Music video refer to DVD. 2

033% 67%

Recorded Music Sales By Sector n Physical n Digital 5

50 7RIN 09 Slovakia - Spain - Sweden.indd 2 7/5/09 15:59:06 IFPI Recording Industry In Numbers 2009 – Spain 51

Europe Spain

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 45.2 Avispa Physical sales 9 Median Age (years) : 40 Blanco Y Negro Digital sales 11 Currency : Euro (EUR) Discmedi Performance rights 7 Total market 9 US$ Exchange Rate : 0.68 Divucsa Chart Compiler : GfK/Nielsen Music Control Harmonia Mundi Iberica Digital Indicators (Millions) Chart Links : www.promusicae.es Internet users 25.6 Performance rights music licensing company : Broadband lines 8.9 AGEDI Mobile subs 52.5 Link : www.agedi.es Portable player users –

Spanish music sales fell by 7.8% in 2008, of illegal downloaders are from a middle- featured in the top 50 chart. The economic lead by a sharp drop in physical sales class background and a further 29% from environment as well as conservative media (-12.4%). Digital sales grew modestly in upper middle-class. coverage that focuses on established acts 2008 by 7.5%, and accounted for 10% of has led many record companies to cut overall music sales in Spain. Performance Physical piracy remains a problem in down in new local artist signings. rights on the other hand saw a 19.2% Spain. 10% of the population aged 16+ increase on 2007. The Spanish market buy pirated discs. Over a third of pirate CD In an effort to stimulate the digital market, peaked in 2001 and music sales have buyers are from a low income background, Vodafone has launched a music access since fallen by 56%. most are not digitally engaged and 14% service, offering an unlimited download don’t have Spanish nationality (GfK Group). service to its data plan customers without Spain’s piracy rate is among the highest additional cost. The service is powered by in Western Europe. 22% of the Spanish As a result of the country’s soaring piracy RealNetworks and offers users the ability population aged 16+ download music rates, very few new local artists achieve to purchase downloads in DRM-free illegally. This translates to 62% of internet commercial hits. In 2008 there were only format. Movistar, another subscription users (GfK Group). Among consumers three local artists in the top 50 albums service launched in 2007, offers access under 24 years old, 81% of internet users (Ainhoa Arteta, Amaia Montero and to over one million songs for a monthly 4download content from P2P sites. 44% Pitingo). Five3 years ago 10 new local artists fee of €6.

El Canto Del Loco 6

51 8RIN 09 Slovakia - Spain - Sweden.indd 3 7/5/09 15:59:11 52 IFPI Recording Industry In Numbers 2009 – Spain

Europe Spain

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 302.4 205.6 -7.8% Year Physical Digital Perf. Rights 2007 328.1 223.1 -19.9% 2008 237.4 29.1 36.0 2006 409.6 278.5 -5.6% 2007 270.9 27.0 30.2 2005 434.0 295.1 -5.1% 2006 364.6 20.0 25.0 2004 457.2 310.9 -12.1% 2005 429.1 4.9 – 2004 454.8 2.4 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 29% 62% 4% 5% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 17% 72% – 11% 2008 19.8 1.4 0.2 7.3 – 2006 17% 80% – 3% 2007 21.1 2.0 0.7 7.2 – 2005 24% 76% – – 2006 25.9 2.5 1.2 1.8 – 2004 7% 93% – – 2005 31.1 3.4 1.8 0.3 – 2004 34.0 3.6 1.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: Nielsen SoundScan International).

Top Selling Albums 2008 12% Artist Title Company 19% 10% 31% 01 El Canto Del Loco Personas Sony Music 5% 2 Miguel Bose Papito Warner DRO 6% 3 Amy Winehouse Back To Black Universal 78% 7% 18% 4 Serrat & Sabina Dos Pajaros De Un Tiro Sony Music 14% 5 Manolo Garcia Saldremos A La Lluvia Sony Music 6 Estopa Allenrok Sony Music 7 Amaral Gato Negro Dragon Rojo EMI Music Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Rosario Parte De Mi Universal/Vale Music n Physical n Mastertones 9 Amaia Montero Amaia Montero Sony Music n Digital n Mobile single tracks 10 Fito Y Los Fitipaldis Por La Boca Vive El Pez Warner DRO n Performance rights n Online single tracks n Online album n Ringback tone n Mobile music video 5n Other

52 7RIN 09 Slovakia - Spain - Sweden.indd 4 7/5/09 15:59:14 RECORDING INDUSTRY IN NUMBERS 2009IFPI Recording Industry In Numbers 2009 – Sweden 53

Europe Sweden

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 9.0 Bonnier Amigo Music Group Physical sales 17 Median Age (years) : 41 Family Tree Music Digital sales 21 Currency : Swedish Krona (SEK) Playground Music Scandinavia Performance rights 16 Total market 17 US$ Exchange Rate : 6.59 Roxy Recordings Chart Compiler : GLF/IFPI Sweden Sound Pollution Recordings Digital Indicators (Millions) Chart Links : www.sveringetopplistan.se Internet users 7.0 Performance rights music licensing company : Broadband lines 2.9 IFPI Sweden Mobile subs 10.2 Link : www.ifpi.se Portable player users 2.1

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 CD On 2008 143.2 944.0 -6.9% Year Physical Digital Perf. Rights 2 Ginza 2007 153.9 1,014.4 -9.3% 2008 119.9 10.8 12.5 3 Åhléns 2006 169.8 1,118.9 -1.1% 2007 130.5 10.2 13.2 4 Statoil 2005 168.0 1,106.9 -9.0% 2006 148.3 9.1 12.4 5 Maxi/ICA 2004 184.7 1,216.9 -17.4% 2005 164.4 3.5 – 6 Coop 2004 184.4 0.2 – 7 Media Markt Note: Performance rights revenues included from 2006. Digital sales 8 Skivlagret included from 2004. 9 Bengans 10 Rocks

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 59% 23% 16% 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 58% 33% 8% 1% 2008 11.6 0.4 1.0 3.5 – 2006 42% 47% 8% 3% 20073 13.0 0.6 1.0 3.0 – 2005 48% 47% 5% – 2006 15.2 0.6 1.0 1.8 – 2004 16% 78% 6% 2% 2005 15.4 0.6 1.4 0.5 – 2004 16.6 0.9 1.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Source: Nielsen SoundScan International).

Top Selling Albums 2008 9% 16% Artist Title Company 8% 6% 29% 1 Duffy Rockferry Polydor 2 Eros Ramazzotti E2 Ariola 8% 83% 3 Metallica Death Magnetic Mercury 16% 25% 44 AC/DC Black Ice Columbia 5 Il Divo The Promise Syco 6 Sanna, Shirley, Sonja Our Christmas Lionheart Records Recorded Music Digital Sales 7 Coldplay Viva La Vida Parlophone Sales By Sector By Format (Value) 8 Takida Bury The Lies Ninetone n Physical n Online album 9 Amanda Jenssen Killing My Darlings Epic n Digital n Online single track 10 Hâkan Hellström För Sent För Edelweiss Dolores n Performance rights n Subscriptions n Mobile single track n Mastertones 6n Other

53 8RIN 09 Slovakia - Spain - Sweden.indd 5 7/5/09 15:59:19 54 IFPI Recording Industry In Numbers 2009 – Switzerland

Europe Switzerland

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 7.6 K-Tel International AG Physical sales 13 Median Age (years) : 41 Musikvertrieb AG Digital sales 20 Currency : Swiss Franc (CHF) Phonag Records AG Performance rights 22 Total market 13 US$ Exchange Rate : 1.08 TBA AG Chart Compiler : Media Control AG Tudor Recording AG Digital Indicators (Millions) Chart Links : www.hitparade.ch | www.media control.de Internet users 5.8 Performance rights music licensing company : Broadband lines 2.6 SUISA Mobile subs 7.9 Link : www.suisa.ch/en/ Portable player users 1.5

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 FNAC 2008 192.5 207.9 -5.4% Year Physical Digital Perf. Rights 2 Manor 2007 203.5 219.7 -3.9% 2008 172.9 13.2 6.3 3 Media Markt 2006 211.8 228.7 -11.1% 2007 186.2 11.8 5.5 4 Ex Libris 2005 238.4 257.4 -3.5% 2006 204.0 7.0 0.9 5 City Disc 2004 246.9 266.7 -7.2% 2005 234.9 3.5 – 2004 246.9 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 80% 12% 6% 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 76% 23% 1% – 2008 11.4 0.3 0.3 6.0 0.7 2006 79% 21% – – 2007 11.6 0.3 1.0 5.6 0.6 2005 77% 21% 2% – 2006 12.7 0.4 1.4 1.9 0.2 2004 – – –– 2005 15.1 0.4 2.3 – – 2004 18.2 0.7 2.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (source: Media Control GfK International GMBH).

3%

7% 11% 6% 06% 39% 90% 38%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Online single track n Digital n Online album n Performance rights n Mastertones n Subscriptions n Other 5

54 7RIN 09 Switz - Turkey.indd 2 7/5/09 16:02:39 IFPI Recording Industry In Numbers 2009 – Turkey 55

Europe Turkey

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 71.9 Avrupa Müzik Yapim Physical sales 24 Median Age (years) : 29 Dogan Müzik Yapim Digital sales 44 Currency : Turkish Lira (TRY) Emre Grafson Müzik Sanat Performance rights 21 Total market 26 US$ Exchange Rate : 1.31 Kalan Müzik Yapim Performance rights music licensing company : Seyhan Müzik Prodüksiyon Digital Indicators (Millions) MU-YAP Internet users 26.5 Link : www.mu-yap.org Broadband lines 5.8 Mobile subs 62.3 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 80.9 106.0 -9.8% Year Physical Digital Perf. Rights 2007 89.7 117.5 -8.9% 2008 73.7 3.6 3.6 2006 98.5 129.0 -8.6% 2007 84.8 2.1 2.8 2005 107.7 141.1 -7.5% 2006 96.2 0.5 1.8 2004 116.5 152.6 17.7% 2005 107.7 – – 2004 116.5 – – Note: Performance rights and digital revenues included from 2006. Note: Digital and performance rights values provided by MU-YAP.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 35% 65% – – Year CD Music Video Other Physical Single Tracks Digital Albums 2007 10% 90% – – 2008 10.7 – 1.8 – – 2006 12% 88% – – 2007 13.3 – 4.3 – – 2005 – – –– 2006 13.5 – 9.4 – – 2004 – – –– 20053 12.5 – 14.7 – – 2004 14.6 – 28.9 – – Note: Splits provided by MU-YAP to reflect sales by sector including independent label sales. Note: Other physical includes singles, vinyl, cassette and other.

3% 6%

28% 35%

91% 20% 417% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tone n Digital n Online single track n Performance rights n Mastertones n Internet 6

55 8RIN 09 Switz - Turkey.indd 3 7/5/09 16:02:43 56 IFPI Recording Industry In Numbers 2009 –

Europe United Kingdom

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 60.9 All Around The World Physical sales 3 Median Age (years) : 40 B Unique Digital sales 3 Currency : British Pound (GBP) Crimson Performance rights 1 Total market 3 US$ Exchange Rate : 0.55 Decadence Chart Compiler : OCC/Millward Brown Domino Digital Indicators (Millions) Chart Links : www.theofficialcharts.com Ministry Of Sound Internet users 41.8 Performance rights music licensing company : Red Box Broadband lines 17.4 PPL Rolled Gold Mobile subs 74.3 Link : www.ppluk.com Sanctuary Portable player users 19.0 V2 Music XL Recordings

Source: OCC

Despite a turbulent year, the UK music This was followed by the show’s Harris Interactive estimates that five industry managed to post a loss in sales finalists’ version of Mariah Carey’s Hero. services account for around 70% of of less than 5%, thanks to strong growth These two titles were also the biggest P2P usage in the UK. The Pirate Bay, in digital sales and a strengthening selling physical singles of the year with uTorrent and Mininova were chosen by performance rights sector. In the final cumulative sales of nearly a million. a large proportion of heavy file-sharers quarter of 2008, the UK industry faced (those illegally downloading 20+ songs closures of retail outlets Woolworths and In the albums market Duffy’s debut per month). Among female P2P users , as well as the distributors EUK and Rockferry topped the annual chart with Limewire was the most popular service. Pinnacle going into administration due to 1.7m copies sold. There were several other the current recession. UK artists among the best sellers, including There has been a clear move towards Take That, Leona Lewis and Coldplay. All in-home leisure spending in the UK with The UK digital market saw an increase three editions of the Now compilation series that sector growing by 4.4% in 2008 of 58.3% in 2008 in trade value. 109.8 made the top 10, as did the Mamma Mia! (Sheffield Hallam University), but games million single tracks were downloaded in soundtrack which underpinned an improved and DVD sales fared better compared 2008, up 42% on 2007. Digital album sales year for compilation sales which fell by only to music. Game software sales grew by also rose sharply, up 65% (OCC). The UK 1.4% in 2008. 21% in value, led by the popularity of the hosted the launch of the first Nokia Comes Nintendo (GfK Chart-Track/ELSPA). With Music service late in 2008 as well Digital music piracy2 remains a big threat Games also have a higher number of as AmazonMP3’s entry in the European to the UK music industry and until robust, retailers in the UK compared to music or market. Growth in online sales came practical measures are put in place to restrict film. While the number of music retailers primarily from consumers aged over 45 access to unlicensed music online, legitimate fell by 7.7% between 2005 and 2008 (Entertainment Media Research). services seeking to establish themselves (Millward Brown/OCC), the number of in the marketplace will suffer unfairly. It is games retailers grew by 1.2% (GfK Chart- 0British artists continued to drive local hoped that the ‘Digital Britain’ process will Track). The DVD market was up 0.1% in sales, accounting for 49% of artist album lead to either a self-regulating agreement 2008 (OCC/BVA). Illegal downloading has sales. The popularity of the TV show X between rights holders and the telecoms started to impact the film industry and Factor is clearly reflected in the 2008 sector or legislation to ensure the protection that sector also saw a reduction in retail singles chart. Winner Alexandra Burke’s of copyright online. In the UK market alone, space in 2008. cover of ’s Hallelujah was the music industry lost £180 million in 2008, the biggest selling single of the year, with and will lose more than £1 billion by 2012 if sales of nearly 900,000 copies. nothing is done (Jupiter Research, 2007).

5Leona Lewis

Rihanna

56 7RIN 09 UK.indd 2 7/5/09 16:06:16 IFPI Recording Industry In Numbers 2009 – United Kingdom 57

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 HMV 2008 1,845.4 1,015.0 -2.5% Year Physical Digital Perf. Rights 2 Tesco 2007 1,892.8 1,041.0 -12.6% 2008 1,458.8 252.2 134.4 3 Zavvi 2006 2,164.6 1,190.5 -1.7% 2007 1,614.6 159.4 118.8 4 Woolworths 2005 2,201.0 1,210.6 -2.9% 2006 1,931.5 120.2 112.9 5 Asda 2004 2,267.0 1,246.9 -0.4% 2005 2,131.8 69.2 – 6 Amazon 2004 2,248.8 18.2 – 7 iTunes Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Other 2008 78% 13% 7% 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 72% 23% 3% 2% 2008 131.2 4.5 7.0 109.8 10.3 2006 64% 34% 2% – 2007 139.0 5.2 11.8 77.5 6.2 2005 58% 38% 4% – 2006 164.4 7.3 19.8 52.5 2.2 2004 58% 32% 10% – 20053 172.6 8.3 27.9 26.4 – 2004 174.6 7.7 32.6 5.8 –

Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only. (Source: OCC/BPI).

Top Selling Albums 2008 Album Sales By Genre 2008 (Units) Artist Title Company Rock 36% 1 Duffy Rockferry A&M Pop 25% 2 Take That The Circus Polydor R&B 11% 3 Kings Of Leon Only By The Night Hand Me Down Dance 8% 4 Leona Lewis Spirit MOR/ 7% 5 Coldplay Viva La Vida Parlophone Classical 4% 6 OST Mamma Mia! Polydor Hip Hop/Rap 2% 47 Various Artists Now Thats What I Call Music! 71 EMI TV/UMTV Country 2% 8 Various Artists Now Thats What I Call Music! 70 EMI TV/UMTV Jazz 2% 9 Various Artists Now Thats What I Call Music! 69 EMI TV/UMTV Folk 1% 10 Rihanna Good Girl Gone Bad Mercury Other 3%

Source: BPI Source: OCC/BPI Music Sales By Chart Position Chart Position % Change 2007-2008 7% 9% 1-10 +10.2% 5% Recorded Music Digital Sales 11-20 +4.0% 14% 6% Sales By Sector 40% By Format (Value) 21-30 -5.6% n Physical 7% n Online single track 31-40 -10.9% 79% n Digital n Online album 41-50 -9.6% n n Subscriptions Performance rights 33% 51-100 -9.6% 6n Mobile single track n Mastertones Top 100 -2.5% n Other Source: BPI

57 8RIN 09 UK.indd 3 7/5/09 16:06:21 58 IFPI Recording Industry In Numbers 2009 – China

Asia China

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 1,330 HY Brothers Physical sales 34 Median Age (years) : 34 Modern Sky Digital sales 9 Currency : Renminbi (RMB) | Yuan (CNY) Taihe Rye Music Co. Ltd. Performance rights – Total market 25 US$ Exchange Rate : 6.96 Performance rights music licensing company : Digital Indicators (Millions) CAVCA (for Karaoke Videos) Internet users 298.0 Link : www.cavca.org Broadband lines 83.4 Mobile subs 627.3 Portable player users –

Music sales in China grew by 8.0% in China has the highest number of internet In early 2009 major music labels 2008 aided by strong digital growth. users in the world. As much as 80% of all partnered with Google China and China has one of the highest digital internet users in China are under the age Top100.cn to offer a new legitimate shares in the world, with 62% of music of 35 years old and nearly 80% of internet music service to Chinese consumers. sales coming from digital platforms. users have broadband access. Research Through the service Google Music Digital piracy continued to underscore by CNNIC showed that 87% of Chinese Search music labels can offer their the potential of the digital music sector internet users have listened to online catalogue legitimately to consumers in China, with an estimated piracy level music in the past six months, with 71% on an ad-supported basis. of 90%. having downloaded music in the past six months. The majority of music sales in China The Chinese digital market is dominated come from international and regional by mobile sales, which accounted for Despite this, the legitimate online sector repertoire. Chinese music buyers’ over 80% of digital revenues. Ringback has failed to take off in China due to high tastes lie in Mandarin recordings tones are by far the most important piracy levels. The biggest infringers are produced in or outside China. music format, although single track the country’s largest internet companies, Hong Kong and Taiwan are the downloads to mobile are on the rise. Baidu, Sohu-Sogu and Yahoo China, main exporters of Mandarin repertoire Music companies currently receive 5% which provide specialized ‘deep link’ into China. Many Chinese artists or less from sales of mobile music in services giving users direct access to record and sign their contracts in China, highlighting a big gap between millions of copyright-infringing music those territories – where the recording content owners’ and mobile operators’ files. Critical for the long-term success infrastructure is more developed. remunerations. China Mobile’s value- of the mobile 2music business in China In addition, many Cantonese acts from added service market reached US$ 18 is the ability to control piracy in this Hong Kong record Mandarin versions billion in 2008 (iResearch). The expected environment. The fact that credit card of their releases for exploitation in China introduction of 3G services in China use is limited in China has also held and Taiwan. Market barriers faced by non- should further expand the Chinese mobile back the online market, favouring mobile Chinese record companies also hampers 0music market. operators’ 5billing systems. the development of Chinese artists.

58 7RIN 09 China.indd 2 7/5/09 15:24:53 IFPI Recording Industry In Numbers 2009 – China 59

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 82.0 570.5 8.0% Year Physical Digital Perf. Rights 2007 75.9 528.2 -10.4% 2008 31.5 50.4 – 2006 84.7 589.8 24.5% 2007 41.2 34.7 – 2005 68.0 473.6 -35.0% 2006 54.0 30.7 – 2004 104.8 729.1 – 2005 68.0 – – 2004 104.8 – – Note: Digital sales included from 2006. 2004-2003 sales are not comparable.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 16% 82% – 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 19% 78% 3% – 2008 7.7 2.1 – – – 2006 5% 74% 8% 13% 2007 13.1 1.5 – – – 2005 – – –– 2006 16.6 6.9 2.6 – – 2004 – – –– 20053 19.7 10.1 9.9 – – 2004 33.1 10.3 19.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

5% 6% 8% 38% 9% 62% 61% 411% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mobile single track n Performance rights n Mastertones n Online streams n Online single track n Other 6

59 8RIN 09 China.indd 3 7/5/09 15:24:56 60 IFPI Recording Industry In Numbers 2009 – Hong Kong

Asia Hong Kong

World Ranking Country Data Top Independent Labels (Alphabetical) Physical sales 32 Population (millions) : 7.0 Avex Asia Ltd. Digital sales 26 Median Age (years) : 42 BMA Records Ltd. Performance rights 23 Currency : Hong Kong Dollar (HKD) East Asia Music (Holdings) Ltd. Total market 33 US$ Exchange Rate : 7.79 Emperor Entertainment (Hong Kong) Ltd. Digital Indicators (Millions) Performance rights music licensing company : Forward Music Co. Ltd. Internet users 4.9 PP(SEA)L and HKRIA Gold Typhoon Entertainment Ltd. Broadband lines 2.3 Link : www.ppseal.com | www.hkria.com HNH International Ltd. (Naxos) Mobile subs 11.5 Neway Star Ltd. Portable player users – Worldstar Music International Ltd. WOW Music Ltd.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 CD Warehouse 2008 55.8 434.4 -11.0% Year Physical Digital Perf. Rights 2 HMV 2007 62.7 488.1 -5.7% 2008 42.4 7.2 6.2 2006 66.4 517.3 0.5% 2007 49.8 6.5 6.3 2005 66.1 514.8 -1.5% 2006 56.5 4.6 5.4 2004 67.1 522.7 -12.6% 2005 66.1 – – 2004 67.1 – – Note: Performance rights and digital revenues included from 2006. Note: Performance rights revenues include PP(SEA)L figures only.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 6% 49% 41% 4% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 2% 50% 48% – 2008 3.4 0.6 0.1 – – 2006 5% 72% 23% – 2007 4.4 0.5 0.1 – – 2005 – – –– 2006 4.7 0.7 0.1 – – 2004 – – –– 2005 5.8 0.9 0.1 – – 20042 6.1 0.6 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Performance rights revenues include PP(SEA)L figures only.

11% 022% 13% 41% 76% 17%

20%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Subscriptions n Digital n Ringback tones n Performance rights n Mobile music video n Other 5

60 7RIN 09 Hong Kong – India.indd 2 7/5/09 15:39:33 IFPI Recording Industry In Numbers 2009 – India 61

Asia India

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 1,148.0 (India) Physical sales 22 Median Age (years) : 25 India Digital sales 12 Currency : Indian Rupee (INR) Super Cassettes Industries Performance rights 10 Total market 19 US$ Exchange Rate : 43.82 Times Music Performance rights music licensing company : Ltd. Digital Indicators (Millions) PPL Venus Records & Tapes Ltd Internet users 81.0 Link : www.pplindia.org Broadband lines 5.4 Mobile subs 346.9 Portable player users –

Music sales in India were up 6.3%, with growth in digital and performance rights revenues offsetting the decline in physical sales. film soundtracks remain the biggest genre in India, making up 40% of total music sales (PWC).

The peaked in 2001 when recorded music revenues totalled US$ 176.4 million. Since then music sales have dropped by 20%. The Indian music industry is plagued by physical and digital piracy, facing declining prices for entertainment products, struggling to keep pace with rapidly changing music consumption and technology, facing competition from the mushrooming of radio channels, and with movie content taking precedence over all else. A study by Ernst & Young India revealed that as many as 800,000 direct jobs and US$ 4 billion are lost by the entertainment industry as a result of theft and piracy.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 140.4 6,151.9 6.3% Year Physical Digital Perf. Rights 2007 132.1 5,787.6 12.4% 2008 89.6 29.0 21.8 2006 117.5 5,147.8 4.6% 20073 97.4 21.8 12.8 2005 112.3 4,922.1 -0.3% 2006 107.3 10.2 12.4 2004 112.7 4,939.1 2.7% 2005 112.3 – – 2004 112.7 – – Note: Performance rights revenues included from 2007. Digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 – 98% – 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 36.0 0.2 38.5 – – 2006 – 100% – – 2007 37.2 0.1 46.8 – – 2005 – – –– 2006 42.5 – 56.4 – – 2004 – – –– 2005 36.3 – 67.3 – – 42004 26.2 – 104.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

7% 16% 14%

21% 63% 17% 62%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mastertones n 6 n Performance rights Mobile single track n Other

61 8RIN 09 Hong Kong – India.indd 3 7/5/09 15:39:37 62 IFPI Recording Industry In Numbers 2009 – Indonesia

Asia Indonesia

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 237.5 Aquarius Musikindo Physical sales 36 Median Age (years) : 27 Musica Studios Digital sales 13 Currency : Indonesian Rupiah (IDR) Virgo Ramayana Performance rights – Total market 34 US$ Exchange Rate : 9,684.89

Digital Indicators (Millions) Internet users 25.0 Broadband lines 0.3 Mobile subs 117.8 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 53.2 515,669.2 -2.8% Year Physical Digital Perf. Rights 2007 54.8 530,701.4 -18.2% 2008 24.3 28.9 – 2006 67.0 648,411.7 33.2% 2007 32.3 22.5 – 2005 50.3 486,851.7 -15.2% 2006 40.5 26.4 – 2004 59.3 574,164.8 -14.8% 2005 50.3 – – 2004 59.3 – – Note: Digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 – 99% – 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 5.8 3.4 3.5 – – 2006 – 84% 16% – 2007 5.0 2.7 11.7 – – 2005 – – –– 2006 4.3 2.6 16.9 – – 2004 – – –– 2005 4.4 0.7 25.0 – – 2004 4.6 1.2 34.0 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

6%

046% 54% 94%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Other 5

62 7RIN 09 Indonesia - Japan - Malaysia.indd 2 7/5/09 15:42:23 IFPI Recording Industry In Numbers 2009 – Japan 63

Asia Top Independent Labels (Alphabetical) Avex Marketing Inc. Being Inc. Japan Columbia Music Entertainment Inc. Dreamusic Inc. Forlife Music Entertainment Inc. World Ranking Country Data Physical sales 1 Geneon Universal Entertainment Japan, LLC Population (millions) : 127.3 Digital sales 2 Median Age (years) : 44 King Record Co. Ltd. Performance rights 4 Currency : Yen (JPY) Nippon Crown Co. Ltd. Total market 2 US$ Exchange Rate : 103.47 Inc. Chart Compiler : RIAJ Sony Music Entertainment (Japan) Inc. Digital Indicators (Millions) Internet users 94.0 Chart Links : www.riaj.or.jp Teichiku Entertainment Inc. Broadband lines 30.3 Tokuma Japan Communications Co. Ltd. Performance rights music licensing company : Mobile subs 110.6 VAP Inc. RIAJ Portable player users 13.4 Link : www.riaj.or.jp Victor Entertainment Inc. Yamaha Music Communications Co. Yoshimoto R and C Co. Ltd.

Music sales in Japan bucked the trend of sales in Japan. Two Japanese acts illegal downloading has particularly in 2008 growing by 0.9%. Digital sales featured in the global digital single tracks affected the 16-19s legal downloading combined with performance rights chart – Thelma Aoyama and GreeeeN. patterns, followed by the 25-29s (RIAJ). revenues continued to offset the decline in physical sales. Digital revenues were Mobile-based piracy continued to impact Unlike in the US and Europe, music up 25.4%, with mobile sales accounting the industry in Japan, despite the fact sales in Japan outperformed other for 88% of digital revenues. Full track that Japan has one of the lowest digital entertainment sectors in 2008. The downloads to mobile accounted for over piracy rates in the world. 35% of mobile Japanese video game software sector half of mobile revenues. Performance users access illegal sites to download shrank by 7.9% in retail value in 2008, rights grew by 3.5% in 2008. mastertones/full tracks via their mobiles. despite sales growth for the three As many as 60% of 16-19 year olds major systems (Wii, PS3 and ) Domestic repertoire sales continued to illegally download music content, up from (Enterbrain). Video sales also shrank, do better than international repertoire 45% in 2006. 70% of music downloaded by 11.1% in retail value (Japan Video 4and continued to account for the majority is of Japanese3 origin. The increase in Software Association).

Utada

6Kobukuro

63 8RIN 09 Indonesia - Japan - Malaysia.indd 3 7/5/09 15:42:29 64 IFPI Recording Industry In Numbers 2009 – Japan

Asia Japan

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 4,109.0 425,159.5 0.9% Year Physical Digital Perf. Rights 2007 4,072.9 421,426.7 0.0% 2008 3,215.6 820.8 72.7 2006 4,074.3 421,562.7 2.9% 2007 3,348.3 654.5 70.2 2005 3,961.0 409,845.3 0.6% 2006 3,565.5 654.5 69.4 2004 3,936.1 407,265.0 1.4% 2005 3,665.4 295.6 – 2004 3,813.5 122.5 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 10% 88% 1% 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 8% 91% 1% – 2008 165.4 17.1 49.8 459.0 20.0 2006 9% 91% – – 2007 176.5 17.3 59.8 – – 2005 9% 91% – – 2006 197.5 18.9 65.8 – – 2004 4% 96% – – 2005 211.8 20.3 66.7 – – 2004 201.3 20.5 88.1 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks include mobile singles (RIAJ).

2% Platinum Certified Album 2008 10% Artist Title Company 6% 20% Koda Kumi Kingdom Avex Marketing 10% 0 53% Utada Hikaru Heart Station EMI Music Japan Exile Exile Catchy Best Avex Marketing 78% 21% B’z B’z The Best (Ultra Pleasure) Vermillion Records Greeeen A, Domo. Ohisashiburi Desu Universal Music K.K. Exile Exile Entertainment Best Avex Marketing Namie Amuro Best Fiction Avex Marketing Recorded Music Digital Sales Sales By Sector By Format (Value) Ayumi Hamasaki A Complete (All Singles) Avex Marketing n Physical n Mobile single track Mariya Takeuchi Expressions Warner Music Japan n Digital n Mastertones Exile Exile Ballad Best Avex Marketing n Performance rights n Ringback tones Mr. Children Supermarket Fantasy Toy’s Factory n Online single track n Other Source: RIAJ 5

64 7RIN 09 Indonesia - Japan - Malaysia.indd 4 7/5/09 15:42:33 RECORDING INDUSTRY IN NUMBERS 2009IFPI Recording Industry In Numbers 2009 – Malaysia 65

Asia Malaysia

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 25.8 Hup Hup Sdn. Bhd. Physical sales 40 Median Age (years) : 25 Interglobal Music (Malaysia) Sdn. Bhd. Digital sales 28 Currency : Ringgit (MYR) New Southern Records Sdn. Bhd. Performance rights 28 Total market 38 US$ Exchange Rate : 3.34 Rock Records (M) Sdn. Bhd. Performance rights music licensing company : Suwah Enterprise (M) Sdn. Bhd. Digital Indicators (Millions) PPM Internet users 15.9 Link : www.ppm.org.my Broadband lines 1.6 Mobile subs 26.2 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 25.3 84.4 -7.0% Year Physical Digital Perf. Rights 2007 27.2 90.7 -14.0% 2008 14.7 6.2 4.4 2006 31.6 105.5 20.7% 2007 18.5 4.8 3.9 2005 26.2 87.4 -9.9% 2006 22.9 4.9 3.8 2004 29.0 97.0 0.8% 2005 26.2 – – 2004 29.0 – – Note: Performance rights and digital revenues included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 4% 95% – 1% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 4% 96% – – 2008 1.6 0.4 0.1 – – 2006 – 98% 2% – 2007 2.1 0.5 0.2 – – 2005 – – –– 2006 2.2 0.5 0.6 – – 2004 – – –– 20053 2.2 0.7 1.4 – – 2004 2.3 0.7 2.2 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

17% 20%

58% 10% 425% 70% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mastertones n Performance rights n Other 6

65 8RIN 09 Indonesia - Japan - Malaysia.indd 5 7/5/09 15:42:37 66 IFPI Recording Industry In Numbers 2009 – Philippines

Asia Philippines

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 96.1 Alpha Music Corporation Physical sales 41 Median Age (years) : 22 Galaxy Records Digital sales 38 Currency : Philippine Peso (PHP) Polyeast Records Performance rights – Total market 42 US$ Exchange Rate : 44.57 Praise Inc. Performance rights music licensing company : Star Recording Inc. Digital Indicators (Millions) PMPPSI Universal Records Internet users 14.0 Vicor Music Corporation Broadband lines 1.0 Viva Records Mobile subs 66.0 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 15.8 702.6 -3.0% Year Physical Digital Perf. Rights 2007 16.2 724.2 -19.2% 2008 13.4 2.3 – 2006 20.1 896.5 -14.7% 2007 15.2 1.1 – 2005 23.6 1,050.9 3.2% 2006 19.3 0.8 – 2004 22.8 1,018.0 -11.3% 2005 23.6 – – 2004 22.8 – – Note: Digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 7% 73% – 20% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 2.6 0.5 0.2 – – 2006 – 97% 3% – 2007 3.0 0.4 – – – 2005 – – –– 2006 3.9 0.5 0.3 – – 2004 – – –– 2005 3.6 0.6 0.7 – – 2004 3.7 0.7 1.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

7% 15% 7% 28% 018%

85% 21% 19%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mastertones n Ad-supported n Mobile single tracks n Online streams n Other 5

66 7RIN 09 Philippines - Singapore.indd 2 7/5/09 15:54:22 IFPI Recording Industry In Numbers 2009 – Singapore 67

Asia Singapore

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.6 EQ Music Pte. Ltd. Physical sales 38 Median Age (years) : 36 HIM International Music Pte. Ltd. Digital sales 41 Currency : Singapore Dollar (SGD) Life Records Industries Pte. Ltd. Performance rights 37 Total market 39 US$ Exchange Rate : 1.42 Ocean Butterfly Music Pte. Ltd. Performance rights music licensing company : Rock Records (S) Ltd. Digital Indicators (Millions) RIPS Internet users 3.1 Link : www.rips.com.sg Broadband lines 0.9 Mobile subs 6.3 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 CD Rama 2008 23.3 33.0 -16.0% Year Physical Digital Perf. Rights 2 Gramophone 2007 27.7 39.3 -16.5% 2008 20.5 1.4 1.4 3 HMV 2006 33.2 47.1 -14.2% 2007 26.1 1.0 0.6 4 Sembawang Music 2005 38.6 54.9 -13.5% 2006 29.7 1.1 2.4 5 That CD Shop 2004 44.7 63.4 -8.9% 2005 38.6 – – 6 Mobile 1 2004 44.7 – – 7 Nokia Music Store Note: Performance rights and digital revenues included from 2006. 8 Singtel IDEAS 9 Soundbuzz 10 Stanhub/PLAY

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 16% 67% 10% 7% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 5% 86% 9% – 2008 1.9 0.1 – – – 2006 18% 81% 1% – 20073 2.4 0.1 – – – 2005 – – –– 2006 2.7 0.2 0.1 – – 2004 – – –– 2005 4.6 0.2 0.1 – – 2004 4.0 0.2 0.1 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

6% 6% 10% 7% 28% 9%

88% 10% 25% 411% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mobile single track n Performance rights n Mastertones n Subscriptions n Online single track n Online streams n Other 6

67 8RIN 09 Philippines - Singapore.indd 3 7/5/09 15:54:27 68 IFPI Recording Industry In Numbers 2009 – South Korea

Asia South Korea

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 48.4 KTF Music Physical sales 26 Median Age (years) : 37 Loen Entertainment Digital sales 6 Currency : South Korean Won (KRW) Mnet Media Performance rights – Total market 18 US$ Exchange Rate : 1,102.84 Neowitz Bugs SM Entertainment Digital Indicators (Millions) Internet users 36.8 Broadband lines 15.5 Mobile subs 44.5 Portable player users –

Music sales in South Korea grew by 16.0% in 2008 with an 18.8% increase in physical sales and a 14.3% rise in digital sales. The physical market grew for the first time in seven years, due in part to successful domestic and international albums released during the year. South Korea was the first Asian market where the digital music market surpassed sales of physical products. South Korea is now the second biggest digital market in Asia, only behind Japan, and sixth in the world. In 2008, 60% of music sales came from digital platforms.

In March 2009, the Copyright Law was amended to provide record producers and performers with the right to equitable remuneration for the public performance of their sound recordings. This will take effect in September 2009.

Physical piracy in South Korea has been overtaken by digital piracy. The National Assembly recently amended the Copyright Law in early 2009 to include provisions which establish graduated sanctions against repeat online infringers. These provisions grant the Ministry of Culture Sports and Tourism the power to order suspension, of up to six months, of the accounts of users who continue to infringe copyright after three warnings.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Evan Records 2008 140.6 155,111.9 16.0% Year Physical Digital Perf. Rights 2 Kyobo Hottracks 2007 121.2 133,667.2 -8.4% 2008 56.4 84.3 – 3 Intenponk 2006 132.4 145,970.5 84.1% 2007 47.5 73.7 – 4 Yes 24 2005 71.9 79,270.0 -19.6% 2006 58.4 74.0 – 5 Bugs Music 2004 89.4 98,585.4 -22.0% 2005 71.9 – – 6 Cyworld 20042 89.4 – – 7 Melon Note: Digital sales included from 2006. 8 Mnet 9 Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 02008 7.1 0.2 0.1 – – 2007 6.3 0.1 0.1 – – 2006 7.9 0.1 0.2 – – 2005 9.4 0.2 1.1 – – 2004 10.9 0.1 2.4 – –

Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

Digital Sales By Sector Year Online Mobile Subscriptions Other 24% 2008 52% 25% 23% – 40% 37% 2007 54% 33% 13% – 60% 11% 2006 43% 46% 11% – 2005 – – –– 9% 10% 59% 2004 – – ––

Note: Other includes ad-supported revenues and other digital amounts. Recorded Music Digital Sales By Format (Value) Sales By Sector n Subscriptions n Physical n Online single track n Digital n Online album n Mastertones n Ringback tones n Other

68 7RIN 09 South Korea - Taiwan.indd 2 7/5/09 16:01:03 IFPI Recording Industry In Numbers 2009 – Taiwan 69

Asia Taiwan

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 22.9 Avex Physical sales 29 Median Age (years) : 36 Forward Music Co. Ltd. Digital sales 24 Currency : New Taiwan Dollar (TWD) HIM International Music Incorporated Performance rights 38 Total market 31 US$ Exchange Rate : 31.56 Linfair Records Limited Performance rights music licensing company : Rock Records (Taiwan) Co. Ltd. Digital Indicators (Millions) ARCO/AMCO Source: IFPI members Internet users 15.1 Link : www.arco.org.tw Broadband lines 4.7 Mobile subs 22.9 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 59.1 1,864.7 -15.8% Year Physical Digital Perf. Rights 2007 70.2 2,214.9 -2.2% 2008 49.6 8.1 1.3 2006 71.8 2,265.1 -29.4% 2007 62.1 8.1 – 2005 101.7 3,210.5 -25.9% 2006 67.0 4.8 – 2004 137.3 4,334.6 -1.1% 2005 101.7 – – 2004 137.3 – – Note: Performance rights revenues included from 2008. Digital sales included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 36% 44% 14% 6% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 41% 48% 11% – 2008 4.1 0.4 0.3 – – 2006 29% 65% 6% – 2007 5.4 0.3 0.3 – – 2005 – – –– 2006 5.7 0.4 0.7 – – 2004 – – –– 20053 9.4 0.6 0.3 – – 2004 14.9 0.8 0.3 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

2%

14% 30% 52% 84% 13% 45% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Subscriptions n Performance rights n Mastertones n Other 6

69 8RIN 09 South Korea - Taiwan.indd 3 7/5/09 16:01:07 70 IFPI Recording Industry In Numbers 2009 – Thailand

Asia Thailand

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 66.0 GMM Grammy Public Co. Ltd. Physical sales 31 Median Age (years) : 33 Nopporn Silver Gold Co. Ltd. Digital sales 15 Currency : Baht (THB) Platinum Marketing and Distribution Co. Ltd. Performance rights 45 Total market 28 US$ Exchange Rate : 33.27 RS. Promotion Public Co. Ltd. Performance rights music licensing company : Sure-Audio Co. Ltd. Digital Indicators (Millions) Phonorights (Thailand) Ltd. Internet users 13.4 Link : www.1stopmusic.com Broadband lines 0.6 Mobile subs 48.8 Portable player users 0.5

Note: Portable player users refer to devices sold in 2008.

Recorded Music Sales (trade value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 B2S 2008 68.3 2,271.0 7.3% Year Physical Digital Perf. Rights 2 GMS Major 2007 63.6 2,117.4 -14.1% 2008 43.0 25.0 0.3 3 Imagine 2006 74.1 2,464.7 -20.6% 2007 48.1 14.9 0.6 4 Mangpong 2005 93.3 3,103.1 -19.7% 2006 59.5 14.5 – 5 Media Network 2004 116.2 3,865.9 0.0% 2005 93.3 – – 6 gmember.com 2004 116.2 – – 7 pleng.com Note: Performance rights revenues included from 2007. Digital sales 8 sure-audio.com included from 2006. 9 truemusic.com 10 you2play.com

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 8% 71% 18% 3% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 4% 96% – – 2008 6.1 7.2 – – – 2006 1% 99% – – 2007 6.2 8.1 1.0 – – 2005 – – –– 2006 7.8 7.4 3.5 – – 2004 – – –– 2005 11.8 10.9 5.3 – – 20042 11.8 15.6 7.8 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

17% 037% 10% 63% 55% 18%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Subscriptions n Mastertones n Other 5

70 7RIN 09 Thailand - Australia.indd 2 7/5/09 16:04:25 IFPI Recording Industry In Numbers 2009 – Australia 71

Australasia Australia

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 21.0 Inertia Physical sales 7 Median Age (years) : 37 MGM Digital sales 8 Currency : Australian Dollar (AUD) Rajon Performance rights 15 Total market 7 US$ Exchange Rate : 1.20 Shock Chart Compiler : ARIA Stomp Digital Indicators (Millions) Chart Links : www.aria.com.au Internet users 16.7 Performance rights music licensing company : Broadband lines 6.7 PPCA Mobile subs 21.3 Link : www.ppca.com.au Portable player users 5.0

Music sales in Australia were down 6.0% driven by a steep decline in physical sales. Digital sales, on the other hand grew significantly, now accounting for 13% of sales in Australia, up from 8% in 2007. Digital album sales saw significant growth alongside single track downloads. Performance rights also saw a double-digit increase. Home grown talent still appeals to Australian music fans, with domestic music making up about one third of all acts in the Australian charts. While chart heavy-weights such as AC/DC, Kasey Chambers and Sneaky Sound System continued to further their previous successes, there was a strong batch of new names gracing the Australian charts – Gabriella Cilmi, Cut Copy and The Presets to name a few. Sales in the final quarter of 2008 were strong, led by blockbuster releases from artists such as P!nk, Kings of Leon and AC/DC. Andre Rieu drove music DVD sales, accounting for nine different titles at number one, across 36 weeks of the year. Despite the global economic outlook, the Australian industry is optimistic that overall industry sales will remain solid through 2009, due to a strong schedule of releases and extensive tour activity.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 389.2 467.0 -6.0% Year Physical Digital Perf. Rights 2007 413.9 496.7 -9.6% 2008 325.2 51.2 12.8 2006 458.0 549.6 -1.3% 20073 369.7 33.0 11.3 2005 463.8 556.6 -13.0% 2006 423.4 23.8 10.9 2004 532.9 639.5 -5.8% 2005 455.6 8.2 – 2004 531.7 1.3 – Note: Performance rights revenues included from 2006. Digital sales included from 2004.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 69% 29% – 2% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 60% 40% – – 2008 30.2 3.9 1.4 20.0 3.0 2006 52% 48% – – 2007 33.8 4.5 2.6 15.0 0.8 2005 41% 59% – – 2006 38.1 4.1 4.7 9.0 0.4 2004 47% 53% – – 2005 37.7 3.8 8.0 2.0 0.1 2004 39.5 4.5 9.9 – – 4Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (ARIA). 3% Top Selling Albums 2008 13% Artist Title Company 13% 9% 1 Kings Of Leon Only By The Night RCA/SBME 40% 2 P!nk Funhouse LAF/SBME 15% 3 AC/DC Black Ice ALB/SBME 84% 4 Coldplay Viva La Vida CAP/EMI 23% 5 The Presets Apocalypse MOD/UMA 6 Soundtrack Mamma Mia! PDR/UMA Recorded Music Digital Sales 7 Chris Brown Exclusive JVE/SBME Sales By Sector By Format (Value) 8 Metallica Death Magnetic MER/UMA n Physical n Online single track 9 Rihanna Good Girl Gone Bad DFJ/UMA n Digital n Online album 10 Jason Mraz We Sing, We Dance, We Steal Things ATL/WAR6n n Performance rights Mastertones n Mobile single track n Other

71 8RIN 09 Thailand - Australia.indd 3 7/5/09 16:04:30 72 IFPI Recording Industry In Numbers 2009 – New Zealand

Australasia New Zealand

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 4.2 174 East Ltd. Physical sales 28 Median Age (years) : 36 Border Music Ltd. Digital sales 30 Currency : New Zealand Dollar (NZD) Dawn Raid Music Ltd. Performance rights 33 Total market 30 US$ Exchange Rate : 1.43 Liberation Music NZ Ltd. Chart Compiler : Media Sauce/RIANZ Rhythmethod Ltd. Digital Indicators (Millions) Chart Links : www.nztop40.com Shock Records Internet users 3.4 Performance rights music licensing company : Broadband lines 0.9 PPNZ Mobile subs 3.9 Link : www.rianz.org.nz Portable player users 1.0

Recorded music sales in New Zealand were down 7.0% in 2008. A 10.1% fall in physical sales was partly offset by a 21.7% increase in digital sales and a 21.7% rise in performance rights revenues. Digital sales now account for 9% of New Zealand’s music market despite the demise of two digital music providers – Coke Tunes and Txt tunes. The opening of the 12,000 capacity Vector Arena as a centre for live events has seen a marked increase in the number and frequency of bigger international acts performing in New Zealand. Recent performances at Vector Arena include Kings of Leon, Coldplay, Red Hot Chili Peppers, , Billy Joel and Eric Clapton. Proposed amendments to the Copyright Act 1994, addressing copyright infringing online file-sharing activity were postponed by the new National Government. The proposed provision requiring ISPs to adopt a reasonable policy for terminating the internet accounts of repeat copyright infringers will now be reworked to provide greater clarity for ISPs as to how they will need to address the infringing peer-to-peer file-sharing activity that is negatively impacting the legitimate sales of recorded music. The New Zealand government has announced a US$1.5 billion investment to deliver ultra-fast broadband to 75% of the population within 10 years through public-private partnerships.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 iTunes 2008 59.1 84.5 -7.0% Year Physical Digital Perf. Rights 2 JB HiFi 2007 63.6 90.9 -9.1% 2008 51.6 5.2 2.3 3 The CD & DVD Store 2006 69.9 100.0 -9.1% 2007 57.4 4.3 1.9 4 The Warehouse 2005 76.9 110.0 -1.7% 2006 65.4 3.0 1.5 5 Vodafone 2004 78.3 111.9 -7.4% 2005 76.9 – – 20042 78.3 – – Note: Performance rights and digital revenues included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 54% 44% – 1% Year CD Music Video Other Physical Single Tracks Digital Albums 02007 37% 63% – – 2008 4.8 0.8 – 3.0 – 2006 5% 95% – – 2007 4.8 0.6 3.2 – – 2005 – – –– 2006 6.0 0.6 2.4 – – 2004 – – –– 2005 6.7 0.5 1.6 – – 2004 6.7 0.5 0.8 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only.

% 4 8% Top Selling Albums 2008 9% Artist Title Company 30% 1 Billy T James The Comic Genius of Billy T James Sony Music 26% 2 Kings Of Leon Only By The Night Sony Music 3 Mamma Mia Cast Mamma Mia: The Movie Universal 87% 4 Duffy Rockferry 5Universal 14% 22% 5 Amy Winehouse Back To Black Universal 6 Coldplay Viva La Vida Parlophone/EMI Recorded Music Digital Sales 7 Metallica Death Magnetic Universal Sales By Sector By Format (Value) 8 P!nk Funhouse Sony Music n Physical n Online single track 9 Tiki Taane Past, Present, Future Dirty Dub/ Rhythmethod n Digital n Online album 10 The Feelers The Best: 1998-2008 WEA/Warner n Performance rights n Mastertones n Mobile single track n Other

72 7RIN 09 New Zealand - Argentina.indd 2 7/5/09 15:48:14 IFPI Recording Industry In Numbers 2009 – Argentina 73

Latin America Argentina

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 40.5 Distribuidora Belgrano Norte Physical sales 27 Median Age (years) : 30 EPSA Music Digital sales 37 Currency : Argentina Peso (ARS) Leader Music Performance rights 24 Total market 29 US$ Exchange Rate : 3.17 Music Brokers Chart Compiler : CAPIF Pop Art Digital Indicators (Millions) Chart Links : www.capif.org.ar Internet users 20.0 Performance rights music licensing company : Broadband lines 3.0 CAPIF Mobile subs 38.7 Link : www.capif.org.ar Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 10 Musica 2008 63.2 200.4 -0.1% Year Physical Digital Perf. Rights 2 Eden 2007 63.3 200.6 9.3% 2008 54.7 2.7 5.9 3 M24 2006 57.9 183.6 23.1% 2007 56.4 2.1 4.7 4 Musimundo 2005 47.0 149.1 28.2% 2006 53.1 1.1 3.7 5 Personal Musica 2004 36.7 116.3 24.3% 2005 47.0 – – 6 Ubbimusica 2004 36.7 – – 7 Yenny/El Ateneo Note: Digital sales and performance rights included from 2006. 8 Zapmusic

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 6% 81% – 13% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 1% 99% – – 2008 12.6 1.4 0.1 – – 2006 9% 91% – – 2007 15.0 1.3 0.1 – – 2005 – – –– 2006 14.4 1.0 0.3 – – 2004 – – –– 20053 13.8 0.6 0.6 – – 2004 11.4 0.3 0.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

2% Top Selling Albums 2008 8% 4% 9% Artist Title Company 11% 1 Various Life Is A Fiesta - Patito Feo EMI 2 Luis Miguel Complices Warner 15% 64% 3 Teenangels Teenangels Li Sony Music 87% 4 Coldplay Viva La Vida EMI 5 Ricardo Arjona Fifth Floor Warner 46 Serrat & Sabina Two Birds With One Stone Sony Music 7 AC/DC Black Ice (Deluxe) Sony Music Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Madonna Hard Candy Warner n Physical n Mastertones 9 Jonas Brothers Jonas Brothers Universal n Digital n Mobile single track 10 Various Camp Rock Universal n Performance rights n Ringback tones n Ad-supported 6n Other

73 8RIN 09 New Zealand - Argentina.indd 3 7/5/09 15:48:18 74 IFPI Recording Industry In Numbers 2009 – Brazil

Latin America Brazil

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 196.0 Atração Fonográfica Physical sales 12 Median Age (years) : 28 Biscoito Fino Digital sales 10 Currency : Real (BRL) CID Entertainment Performance rights 14 Total market 11 US$ Exchange Rate : 1.84 Deck Disk Chart Compiler : ABPD Indie Records Digital Indicators (Millions) Chart Links : www.abpd.org.br MD Music Internet users 67.5 Performance Rights Music Licensing Company : MK Music Broadband lines 9.4 ABRAMUS Som Livre Mobile subs 147.0 Link : www.abramus.org.br Portable player users –

Music sales in Brazil grew by 8.1% in 2008, following a sharp drop in revenues in 2007 and 2006. Physical sales grew by 1.2% while digital revenues were up 78.9%. The performance rights sector also experienced an increase of 12.8% compared to 2007. Focus group research carried out in 2008 among 16-29 year olds, middle/upper class background, in the three major cities of the country found that young Brazilians are digitally connected and tech savvy. All young consumers that took part in the study owned an iPod or an MP3 player, many using their mobile phone as their music player. PC and internet usage was also widespread, with around 70% using MSN, Orkut and email on a daily basis, 30% accessing sites to download music daily and 20% visiting YouTube every day. Demand for music remains high among young Brazilians, but most of this demand is met by P2P file-sharing. 80% of students claimed to have downloaded music from illegal file-sharing sites, although 53% still buy legitimate CDs. Only 20% of young consumers said they buy pirated CDs. Brazil’s physical piracy rate has gone down to about 48% from a high of 55% during the past two years. This decrease can be attributed to the work of the CNCP (the government’s anti-piracy council) and the successful merger of the music and film anti-piracy arms. Nevertheless, some of the decrease in physical piracy can be accounted for by a shift to internet piracy.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Lojas Americanas 2008 221.8 408.2 8.1% Year Physical Digital Perf. Rights 2 FNAC 2007 205.2 377.5 -25.1% 2008 179.0 29.7 13.1 3 Saraiva 2006 274.0 504.2 -21.8% 2007 176.9 16.6 11.6 4 Carrefour/Extra 2005 350.5 645.0 -12.3% 2006 257.1 6.0 10.9 5 Livraria Cultura 2004 399.8 735.7 17.5% 2005 348.3 2.2 – 20042 399.8 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 8% 79% 9% 4% Year CD Music Video Other Physical Single Tracks Digital Albums 02007 12% 79% 9% – 2008 25.4 5.8 – – – 2006 2% 96% 2% – 2007 26.6 5.7 – – – 2005 13% 87% – – 2006 33.0 6.0 – – – 2004 – – –– 2005 42.3 6.5 4.5 – – 2004 51.5 7.6 6.9 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

6% Top Selling Albums 2008 13% 13% Artist Title Company 7% 1 Padre Fábio de Melo Vida Som Livre 9% 2 Padre Marcelo Rossi Paz Sim, Violência Não (Volume 1) Sony Music 55% 3 Victor & Leo Borboletas Sony Music 81% 16% 4 Victor & Leo Ao Vivo Em Uberlândia Sony5 Music 5 Ivete Sangalo Multishow Ao Vivo No Maracanã Universal Music 6 Padre Marcelo Rossi Paz Sim, Violência Não (Volume 2) Sony Music Recorded Music Digital Sales 7 Zezé Di Camargo & Luciano Zezé Di Camargo & Luciano (2008) Sony Music Sales By Sector By Format (Value) 8 Roberto Carlos Roberto Carlos E Caetano Veloso Sony Music/ E A Música De Tom Jobim Universal Music n Physical n Mobile single track 9 Multishow Ao Vivo “Dois Quartos” Sony Music n Digital n Mastertones 10 Leonardo Coração Bandido Universal Music n Performance rights n Subscriptions n Online streams Source: ABPD n Other

74 7RIN 09 Brazil - Chile.indd 2 7/5/09 15:07:12 IFPI Recording Industry In Numbers 2009 – Chile 75

Latin America Chile

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 16.5 Alerce Physical sales 42 Median Age (years) : 31 ChileFilms Digital sales 34 Currency : Chilean Peso (CLP) La Oreja Performance rights 35 Total market 41 US$ Exchange Rate : 523.92 Mazapan Performance rights music licensing company : Producciones Star Sound Digital Indicators (Millions) IFPI Chile Internet users 8.4 Link : www.ifpichile.cl Broadband lines 1.3 Mobile subs 15.5 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 18.5 9,690.8 -25.3% Year Physical Digital Perf. Rights 2007 24.8 12,980.8 -0.6% 2008 12.7 4.1 1.7 2006 24.9 13,055.7 -3.4% 2007 20.5 2.8 1.5 2005 25.8 13,514.0 -4.5% 2006 22.3 1.0 1.6 2004 27.0 14,153.5 -16.9% 2005 25.8 – – 2004 27.0 – – Note: Performance rights and digital revenues included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 1% 94% – 5% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 2.5 0.3 0.1 – – 2006 – 100% – – 2007 3.5 0.8 – – – 2005 – – –– 2006 3.9 0.4 – – – 2004 – – –– 20053 4.1 0.9 0.4 – – 2004 4.0 0.5 0.4 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

9%

32% 31% 22% 69% 5% 25% 47% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Mobile single track n Digital n Mastertones n Performance rights n Ringback tones n Ad-supported n Other 6

75 8RIN 09 Brazil - Chile.indd 3 7/5/09 15:07:17 76 IFPI Recording Industry In Numbers 2009 – Colombia

Latin America Colombia

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 45 Codiscos Physical sales 37 Median Age (years) : 27 Discos y Cintas FM Digital sales 27 Currency : Colombian Peso (COP) Discos Fuentes Performance rights 34 Total market 37 US$ Exchange Rate : 1990.64 Origin Performance rights music licensing company : Digital Indicators (Millions) ACINPRO Internet users 13.7 Link : www.acinpro.org.co Broadband lines 1.2 Mobile subs 40.4 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 2008 29.5 58,699.3 5.0% Year Physical Digital Perf. Rights 2 Prodiscos 2007 28.1 55,894.4 -16.1% 2008 21.0 6.3 2.1 3 La Música 2006 33.5 66,587.6 6.3% 2007 22.0 4.1 2.0 4 Tango Discos 2005 31.5 62,636.3 5.7% 2006 30.1 1.5 1.8 5 Forum Discos y Libros 2004 29.8 59,284.8 -7.6% 2005 31.5 – – 2004 29.8 – – Note: Performance rights and digital revenues included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 7% 86% – 7% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – 100% – – 2008 4.0 0.4 – – – 2006 14% 86% – – 2007 3.7 0.4 – – – 2005 – – –– 2006 5.4 0.7 – – – 2004 – – –– 2005 6.7 0.3 0.2 – – 2004 5.6 0.3 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

Top Selling Albums 2008 7% Artist Title Company 24% 01 Silvestre Dangond El Original Sony Music 21% 29% 2 Fonseca Gratitud EMI Colombia 7% 3 Vicente Fernández Para Siempre Sony Music 72% 7% 22% 4 Juanes La Vida Es Un Ratico Universal 11% 5 Peter Manjarres Solo Clasicos Codiscos 6 Various Pombo Musical EMI Colombia 7 Orquesta Filarmónica Orquesta Filarmónica De Bogotá / 40 Años Vibra Music Recorded Music Digital Sales De Bogotá Sales By Sector By Format (Value) 8 Various Patito Feo / La Historia Más Linda EMI Colombia n Physical n Mastertones 9 Camilo Regalame Tu Corazón FM Discos Y Cintas n Digital n Ringback tones 10 Various Rockola Boleros / V. 19 Comusica n Performance rights n Mobile single track n Online streams n Ad-supported 5n Other

76 7RIN 09 Colombia - Ecuador.indd 2 7/5/09 15:27:03 IFPI Recording Industry In Numbers 2009 – Ecuador 77

Latin America Ecuador

Country Data World Ranking Population (millions) : 13.9 Physical sales 49 Median Age (years) : 24 Digital sales 51 Currency : US Dollar (USD) Performance rights 49 Total market 51 US$ Exchange Rate : 25,587.00 Performance rights music licensing company : Digital Indicators (Millions) ACINPRO Internet users 1.8 Link : www.acinpro.org.co Broadband lines 0.3 Mobile subs 11.5 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 1.6 41,554.8 -18.8% Year Physical Digital Perf. Rights 2007 2.0 51,163.8 -16.2% 2008 1.6 – 0.1 2006 2.4 61,042.9 -22.6% 2007 2.0 – – 2005 3.1 78,828.4 1.1% 2006 2.4 – – 2004 3.0 77,968.7 -32.9% 2005 3.1 – – 2004 3.0 – – Note: Performance rights revenues included from 2008.

Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 2008 0.2 – – – – 2007 0.3 – – – – 2006 0.4 – – – – 2005 0.5 – – – 3– 2004 0.5 – – – –

4% 496% Recorded Music Sales By Sector n Physical n Performance rights 6

77 8RIN 09 Colombia - Ecuador.indd 3 7/5/09 15:27:06 78 IFPI Recording Industry In Numbers 2009 – Mexico

Latin America Mexico

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 110 Compañía Fonográfica Internacional Physical sales 15 Median Age (years) : 26 Discos Ciudad Digital sales 18 Currency : Mexican Peso (MXN) Discos Denver Performance rights 41 Total market 16 US$ Exchange Rate : 11.17 Discos Musart/Balboa Records Chart Compiler : IPSOS Mexican Records Digital Indicators (Millions) Chart Links : www.amprofon.com.mx Multimusic Internet users 23.9 Performance rights music licensing company : Producciones Fonográficas Jasper Broadband lines 7.1 SOMEXFON Mobile subs 77.4 Link : www.somexfon.com Portable player users 7.5

Music sales in Mexico were hard hit in people downloaded songs illegally in the bulk of digital revenues in Mexico. 2008 falling by 22.0%. While physical Mexico during 2008, nearly double the Music acquisition via pre-loaded mobile sales continued to decline, the digital number recorded in 2007 (Ipsos Media). phones or purchase of current hit market remained relatively flat in 2008. mastertones remained popular. The continuing pressure from illegal Meanwhile the legal online market downloading and physical piracy as well struggles to take off despite Beon and The most successful examples of as the effects of the global economic Tarabú, the two main online music pre-loaded albums in 2008 involved downturn were the main causes for the stores in Mexico, seeing some positive Julieta Vengas’ MTV Unplugged and Mexican market decline. developments in 2008. The most Grupo RBD’s Empezar Desde Cero. downloaded songs in 2008 were Vicente Among the most successful mastertones Illegal downloading is a growing problem Fernández’s Para Siempre and Alejandro of 2008 were Nigga’s Te Quiero and in Latin America, fuelled by the rise in Fernández’s Me Dediqué a Perderte. The Juanes’ Me Enamora. Ad-supported broadband access. Some 14 million mobile sector2 continued to account for revenues continued to grow in 2008. 05

Luis Miguel Vicente Fernández

78 7RIN 09 Mexico.indd 2 7/5/09 15:46:31 IFPI Recording Industry In Numbers 2009 – Mexico 79

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 Mixup 2008 145.9 1,629.5 -22.0% Year Physical Digital Perf. Rights 2 Saharis 2007 187.1 2,090.1 -18.8% 2008 129.7 15.7 0.5 3 Mr. CD’s 2006 230.4 2,573.6 -10.1% 2007 171.0 15.5 0.6 4 Central de Discos 2005 256.3 2,862.8 10.2% 2006 222.0 8.3 0.1 5 Unicornio Musical 2004 232.7 2,598.7 9.3% 2005 255.8 0.5 – 2004 232.6 – – Note: Performance rights revenues included from 2006. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 15% 72% – 13% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 4% 96% – – 2008 22.4 1.4 0.1 11.0 0.8 2006 1% 99% – – 2007 30.5 1.8 0.1 – – 2005 8% 92% – – 2006 38.6 1.4 0.2 – – 2004 100% – –– 20053 46.3 1.4 0.9 – – 2004 53.2 1.6 1.7 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other. Single tracks refer to online single track sales only (Amprofon).

Top Selling Albums 2008 11% Artist Title Company 25% 1 Vicente Fernández Para Siempre Sony Music 33% 2 Luís Miguel Cómplices Warner Music 3 Alejandro Fernández De Noche: Clásicos a mi Manera Sony Music 89% 15% 5% 4 Alejandro Fernández 15 Años de Éxito Sony Music 6%7% 9% 5 Emmanuel Retro en Vivo Universal Music 46 Madonna Hard Candy Warner Music 7 Julieta Venegas MTV Unplugged Sony Music Recorded Music Digital Sales Sales By Sector By Format (Value) 8 Nigga Te Quiero TEMI n Physical n Mobile single track 9 Maná Arde el Cielo Warner Music n Digital n Mastertones 10 Jonas Brothers Jonas Brothers Universal Music n Ad-supported n Online streams Source: IPSOS n Online single track n Mobile music videos n Other Sales By Age 12-17 11% 18-25 24% 26-35 25% 36-45 16% 46-55 17% +55 7% 6

Source: IPSOS

79 8RIN 09 Mexico.indd 3 7/5/09 15:46:36 80 IFPI Recording Industry In Numbers 2009 – Peru

Latin America Peru

Country Data World Ranking Population (millions) : 29.2 Physical sales 48 Median Age (years) : 26 Digital sales – Currency : Nuevo Sol (PEN) Performance rights 42 Total market 50 US$ Exchange Rate : 2.96

Digital Indicators (Millions) Internet users 7.6 Broadband lines 0.6 Mobile subs 17.9 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 2.0 6.0 -5.5% Year Physical Digital Perf. Rights 2007 2.1 6.3 -9.4% 2008 1.6 – 0.4 2006 2.4 7.0 -10.0% 2007 1.9 – 0.2 2005 2.6 7.8 -6.9% 2006 2.2 – 0.2 2004 2.8 8.4 29.0% 2005 2.6 – – 2004 2.8 – – Note: Performance rights revenues included from 2006.

Recorded Music Sales Volume (Million Units) Physical Digital Year CD Music Video Other Physical Single Tracks Digital Albums 2008 0.2 – – – – 2007 0.1 – – – – 2006 0.3 – – – – 2005 0.4 – – – – 2004 0.4 – – – 2–

019% 81%

Recorded Music Sales By Sector n Physical n Performance rights 5

80 7RIN 09 Peru - Uruguay.indd 2 7/5/09 15:52:55 IFPI Recording Industry In Numbers 2009 – Uruguay 81

Latin America Uruguay

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 3.5 Contrapedal Physical sales 47 Median Age (years) : 33 Koala Records Digital sales – Currency : Uruguayan Peso (UYU) Nirmalam Performance rights 40 Total market 49 US$ Exchange Rate : 21.26 Perro Andaluz

Digital Indicators (Millions) Internet users 1.1 Broadband lines 0.2 Mobile subs 3.2 Portable player users 1.4

Note: Portable player users refers to imported equipment in 2008.

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Top Retailers Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 1 3D 2008 3.6 76.7 -0.3% Year Physical Digital Perf. Rights 2 AG Discos 2007 3.6 76.9 10.1% 2008 3.0 – 0.6 3 CD Wherhouse 2006 3.3 69.8 35.5% 2007 3.1 – 0.5 4 Palacio de la Música 2005 2.4 51.5 -1.8% 2006 2.9 – 0.3 5 Semifusa 2004 2.5 52.5 75.0% 2005 2.4 – – 6 Todo Música 2004 2.5 – – Note: Performance rights revenues included from 2006.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 15% 72% – 13% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 4% 96% – – 2008 0.5 – – – – 2006 1% 99% – – 2007 0.5 0.1 – – – 2005 8% 92% – – 2006 0.5 – – – – 2004 100% – –– 20053 0.4 – – – – 2004 0.4 – – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD.

Top Selling Albums 2008 Artist Title Company 17% 1 Various Murgas 2008 Montevideo MG 2 No Te Va Gustar El Camino Mas Largo Bizarro 3 La Trampa El Misero Espiral Del Encanto Bizarro 83% 4 Patito Feo La Vida Es Una Fiesta EMI 5 Sabina & Serrat Dos Pajaros De Un Tiro Sony Music 46 Teen Angels Teenangels 2 Sony Music Recorded Music 7 Ricardo Arjona 5to Piso Sello Sales By Sector 8 Agarrate Catalina El Viaje Montevideo MG n Physical 9 Tabare Cardozo El Murguero Oriental Montevideo MG n Performance rights 10 Coldplay Viva La Vida EMI6

81 8RIN 09 Peru - Uruguay.indd 3 7/5/09 15:52:58 82 IFPI Recording Industry In Numbers 2009 – Venezuela

Latin America Venezuela

Country Data World Ranking Population (millions) : 26.4 Physical sales 39 Median Age (years) : 25 Digital sales 43 Currency : Bolivar Fuerte (VEF) Performance rights 39 Total market 40 US$ Exchange Rate : 2.15

Digital Indicators (Millions) Internet users 6.7 Broadband lines 0.9 Mobile subs 26.7 Portable player users –

Recorded Music Sales (Trade Value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 20.3 43.5 19.2% Year Physical Digital Perf. Rights 2007 17.0 36.5 28.3% 2008 18.2 1.0 1.1 2006 13.3 28.5 24.9% 2007 15.6 0.8 0.7 2005 10.6 22.8 12.4% 2006 12.8 – 0.4 2004 9.4 20.3 221.1% 2005 10.6 – – 2004 9.4 – – Note: Performance rights revenues included from 2006. Digital sales included from 2007.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 – 88% – 12% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 – – –– 2008 1.0 – 0.1 – – 2006 – – –– 2007 1.4 0.1 – – – 2005 – – –– 2006 1.7 0.1 – – – 2004 – – –– 2005 2.0 – – – – 2004 2.6 0.1 – – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music2 video refers to DVD. Other physical includes singles, vinyl, cassette and other.

% 5% 5 8% 11%

012% 46% 90% 23%

Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Mastertones n Digital n Ringback tones n Performance rights n Ad-supported n Mobile single track n Other 5

82 7RIN 09 Venezuela - South Africa.indd 2 7/5/09 16:07:46 IFPI Recording Industry In Numbers 2009 – South Africa 83

Africa South Africa

Country Data Top Independent Labels (Alphabetical) World Ranking Population (millions) : 48.8 Bula Music Physical sales 18 Median Age (years) : 24 Cool Spot Digital sales 35 Currency : Rand (ZAR) Sarepta Performance rights 36 Total market 22 US$ Exchange Rate : 8.28 Select Performance rights music licensing company : Sheer Sound/Music/Iris Digital Indicators (Millions) RISA Internet users 4.6 Link : www.risa.org.za Broadband lines 0.4 Mobile subs 45.0 Portable player users –

Recorded Music Sales (trade value) Recorded Music Sales By Sector Year US$ (M) Local Currency (M) Change (US$ Million, Trade Value) 2008 119.7 990.9 -7.2% Year Physical Digital Perf. Rights 2007 128.9 1,067.5 2.3% 2008 114.6 3.4 1.7 2006 126.0 1,043.1 3.3% 2007 126.2 2.8 – 2005 122.0 1,010.2 10.3% 2006 124.0 2.0 – 2004 110.6 915.5 20.8% 2005 121.5 0.5 – 2004 110.6 – – Note: Performance rights revenues included from 2008. Digital sales included from 2005.

Digital Sales By Sector Recorded Music Sales Volume (Million Units) Year Online Mobile Subscriptions Other Physical Digital 2008 2% 83% 2% 13% Year CD Music Video Other Physical Single Tracks Digital Albums 2007 3% 97% – – 2008 18.7 2.3 2.1 – – 2006 1% 99% – – 2007 19.5 – 5.0 – – 2005 2% 97% 1% – 2006 18.7 2.2 3.4 – – 2004 – – –– 20053 17.6 1.7 4.0 – – 2004 14.8 0.9 5.6 – – Note: Other includes ad-supported revenues and other digital amounts. Note: Music video includes DVD, VHS and VCD. Other physical includes singles, vinyl, cassette and other.

3% 1%

20% 37%

19% 96% 424% Recorded Music Digital Sales Sales By Sector By Format (Value) n Physical n Ringback tones n Digital n Mobile single track n Performance rights n Mastertones n Other 6

83 8RIN 09 Venezuela - South Africa.indd 3 7/5/09 16:07:50 84 IFPI Recording Industry In Numbers 2009

Appendix Index

85 : World Rankings 2008 86 : Recorded Music Volume Trend 87 : Recorded Music Retail Sales 2008 88 : Digital Share By Market 2004 – 2008 89 : Physical Market Repertoire Origin 2008 90 : Certification Award Levels 92 : Local Music Industry Association Contacts 94 : Taxes On Sound Recordings & Exchange Rates

84 IFPI Recording Industry In Numbers 2009 85

World Rankings 2008

% Of Global Trade Revenues

Country Recorded Music Market Country Digital Market Country Performance Rights 1 US 27.0% 1 US 47.1% 1 UK 16.8% 2 Japan 22.3% 2 Japan 21.7% 2 Germany 11.0% 3 UK 10.0% 3 UK 6.7% 3 France 10.7% 4 Germany 8.8% 4 France 4.2% 4 Japan 9.1% 5 France 5.7% 5 Germany 3.3% 5 US 6.8% 6 Canada 2.5% 6 South Korea 2.2% 6 Netherlands 6.1% 7 Australia 2.1% 7 Canada 2.0% 7 Spain 4.5% 8 Italy 1.8% 8 Australia 1.4% 8 Italy 3.6% 9 Spain 1.6% 9 China 1.3% 9 Belgium 3.2% 10 Netherlands 1.5% 10 Brazil 0.8% 10 India 2.7% 11 Brazil 1.2% 11 Spain 0.8% 11 Canada 2.5% 12 Russia 1.2% 12 India 0.8% 12 Denmark 1.8% 13 Switzerland 1.0% 13 Indonesia 0.8% 13 Austria 1.7% 14 Belgium 1.0% 14 Italy 0.8% 14 Brazil 1.6% 15 Austria 0.8% 15 Thailand 0.7% 15 Australia 1.6% 16 Mexico 0.8% 16 Belgium 0.5% 16 Sweden 1.6% 17 Sweden 0.8% 17 Denmark 0.5% 17 Finland 1.3% 18 South Korea 0.8% 18 Mexico 0.4% 18 Norway 1.3% 19 India 0.8% 19 Netherlands 0.4% 19 0.8% 20 Denmark 0.7% 20 Switzerland 0.4% 20 Hungary 0.8% 21 Norway 0.7% 21 Sweden 0.3% 21 Turkey 0.8% 22 South Africa 0.6% 22 Norway 0.3% 22 Switzerland 0.8% 23 Poland 0.6% 23 Austria 0.3% 23 Hong Kong 0.8% 24 Finland 0.5% 24 Taiwan 0.2% 24 Argentina 0.7% 25 China 0.4% 25 Russia 0.2% 25 Czech Republic 0.7% 26 Turkey 0.4% 26 Hong Kong 0.2% 26 Greece 0.7% 27 Portugal 0.4% 27 Colombia 0.2% 27 Poland 0.6% 28 Thailand 0.4% 28 Malaysia 0.2% 28 Malaysia 0.5% 29 Argentina 0.3% 29 Greece 0.1% 29 Russia 0.5% 30 New Zealand 0.3% 30 New Zealand 0.1% 30 Romania 0.5% 31 Taiwan 0.3% 31 Finland 0.1% 31 Slovakia 0.4% 32 Greece 0.3% 32 Poland 0.1% 32 Portugal 0.3% 33 Hong Kong 0.3% 33 Portugal 0.1% 33 New Zealand 0.3% 34 Indonesia 0.3% 34 Chile 0.1% 34 Colombia 0.3% 35 Czech Republic 0.2% 35 South Africa 0.1% 35 Chile 0.2% 36 Hungary 0.2% 36 Central America 0.1% 36 South Africa 0.2% 37 Colombia 0.2% 37 Argentina 0.1% 37 Singapore 0.2% 38 Malaysia 0.1% 38 Philippines 0.1% 38 Taiwan 0.2% 39 Singapore 0.1% 39 Romania 0.1% 39 Venezuela 0.1% 40 Venezuela 0.1% 40 Czech Republic 0.1% 40 Uruguay 0.1% 41 Chile 0.1% 41 Singapore <0.1% 41 Mexico 0.1% 42 Philippines 0.1% 42 Hungary <0.1% 42 Peru <0.1% 43 Croatia 0.1% 43 Venezuela <0.1% 43 Lithuania <0.1% 44 Central America 0.1% 44 Turkey <0.1% 44 Ukraine <0.1% 45 Slovakia 0.1% 45 Barbados <0.1% 45 Thailand <0.1% 46 Israel <0.1% 46 Bulgaria <0.1% 46 Paraguay <0.1% 47 Bulgaria <0.1% 47 Croatia <0.1% 47 Central America <0.1% 48 Romania <0.1% 48 Lithuania <0.1% 48 Barbados <0.1% 49 Uruguay <0.1% 49 Slovakia <0.1% 49 Ecuador <0.1% 50 Peru <0.1% 50 Ukraine <0.1% 50 Bulgaria <0.1% 51 Ecuador <0.1% 51 Ecuador <0.1% 51 Croatia <0.1% 52 Lithuania <0.1% 52 Paraguay <0.1% 52 China <0.1% 53 Ukraine <0.1% 53 Peru <0.1% 53 Indonesia <0.1% 54 Paraguay <0.1% 54 Uruguay <0.1% 54 Philippines <0.1% 55 Barbados <0.1% 55 Israel <0.1% 55 South Korea <0.1%

Source: IFPI 85 86 IFPI Recording Industry In Numbers 2009

Recorded Music Volume Trend

Figures In Millions

Full-Length Formats LPs MCs CDs Music Video Other Digital Albums Total Units Singles 2008 9 53 1,329 90 5 113 1,599 2008 1,494 2007 6 82 1,545 110 4 64 1,810 2007 1,202 2006 3 114 1,760 120 3 39 2,038 2006 931 2005 4 186 1,938 149 10 18 2,304 2005 582 2004 7 368 2,065 151 13 6 2,609 2004 354 2003 6 492 2,043 154 5 – 2,700 2003 233 2002 8 534 2,190 110 1 – 2,843 2002 265 2001 10 659 2,310 80 1 – 3,060 2001 318 2000 12 736 2,454 12 1 – 3,215 2000 370 1999 14 847 2,411 16 1 – 3,289 1999 440 1998 23 897 2,374 –– – 3,294 1998 459 1997 17 1,034 2,232 –– – 3,283 1997 516 1996 21 1,188 2,162 –– – 3,372 1996 466 1995 33 1,200 1,983 –– – 3,216 1995 432 1994 49 1,354 1,784 –– – 3,188 1994 390 1993 109 1,382 1,419 –– – 2,909 1993 410 1992 175 1,476 1,185 –– – 2,836 1992 352 1991 292 1,493 998 –– – 2,782 1991 334 1990 339 1,447 777 –– – 2,564 1990 344 1989 450 1,540 600 –– – 2,590 1989 357 1988 510 1,390 400 –– – 2,300 1988 370 1987 590 1,150 260 –– – 2,000 1987 390 1986 690 970 140 –– – 1,800 1986 490 1985 730 950 61 –– – 1,741 1985 650 1984 800 800 20 –– – 1,620 1984 750 1983 850 660 6 –– – 1,516 1983 800 1982 900 570 – –– – 1,470 1982 680 1981 1,140 510 – –– – 1,650 1981 550 1980 878 474 – –– – 1,352 1980 526 1979 896 470 – –– – 1,365 1979 624 1978 942 428 – –– – 1,370 1978 600 1977 898 374 – –– – 1,272 1977 545 1976 743 289 – –– – 1,032 1976 516 1975 674 236 – –– – 910 1975 483 1974 655 209 – –– – 864 1974 515 1973 617 185 – –– – 802 1973 530

Source: IFPI Notes: Other includes SACD and DVD-A and other. Digital album volumes are estimates based on information from Media Control GfK, OCC and Nielsen SoundScan for selected markets. Singles include physical singles and online single tracks. Mobile singles not included. Online single tracks included from 2004. Figures are estimates based on information from Media Control GfK, OCC and Nielsen SoundScan for selected markets.

86 IFPI Recording Industry In Numbers 2009 87

Recorded Music Retail Sales 2008

US$ Millions

Physical Digital Total Canada 475.9 125.0 600.9 USA 5,758.5 2,839.3 8,597.8 Austria 255.3 17.6 272.9 Belgium 236.2 32.7 268.9 Bulgaria 8.5 - 8.5 Croatia 20.3 - 20.3 Czech Republic 55.9 3.5 59.4 Denmark 146.8 32.5 179.3 Finland 130.0 6.8 136.8 France 1,271.9 287.7 1,559.6 Germany 2,172.0 183.4 2,355.4 Greece 129.4 10.5 139.9 Hungary 39.2 2.0 41.2 Italy 416.3 46.5 462.8 Netherlands 351.4 22.1 373.5 Norway 195.9 16.8 212.7 Poland 159.5 7.8 167.3 Portugal 86.7 8.1 94.8 Russia 395.2 15.0 410.2 Slovakia 8.5 - 8.5 Spain 356.1 53.8 409.9 Sweden 197.8 17.9 215.7 Switzerland 223.6 20.0 243.6 Turkey 103.2 1.1 104.3 UK 2,045.8 384.5 2,430.3 China 47.3 135.7 183.0 Hong Kong 50.9 17.9 68.8 India 125.3 79.0 204.3 Indonesia 32.4 79.6 112.0 Japan 4,560.5 1,040.2 5,600.7 Malaysia 19.5 17.0 36.5 Philippines 17.0 5.5 22.5 Singapore 25.3 3.6 28.9 South Korea 81.4 213.4 294.8 Taiwan 54.6 20.4 75.0 Thailand 61.2 65.3 126.5 Australia 496.9 81.5 578.4 New Zealand 81.2 8.8 90.0 Argentina 115.1 5.2 120.3 Brazil 268.7 59.6 328.3 Central America 14.5 6.3 20.8 Chile 20.4 8.4 28.8 Colombia 45.2 12.6 57.8 Ecuador 2.5 - 2.5 Mexico 202.2 29.3 231.5 Peru 2.4 - 2.4 Uruguay 7.6 - 7.6 Venezuela 27.8 2.1 29.9 South Africa 170.7 6.7 177.4 Global 21,770.5 6,054.0 27,824.6

Source: IFPI estimates. Notes: For formats included please refer to the notes section. USA physical retail revenues are suggested list prices.

87 88 IFPI Recording Industry In Numbers 2009

Digital Share By Market 2004 – 2008

2004 2005 2006 2007 2008 Canada 0.3% 2.7% 5.8% 10.7% 16.9% US 2.9% 9.1% 16.8% 25.0% 35.8% Austria 0.9% 3.1% 5.5% 5.9% 6.9% Belgium 0.5% 1.9% 6.0% 6.6% 10.3% Czech Republic - - 3.7% 5.4% 5.0% Denmark - 1.4% 6.0% 9.7% 15.6% Finland - - 2.4% 3.8% 4.6% France 1.3% 2.2% 6.3% 8.7% 15.3% Germany 1.0% 2.7% 4.9% 6.6% 7.6% Greece - - 6.1% 7.5% 9.7% Hungary - - 1.6% 2.8% 3.7% Italy 0.8% 3.7% 6.2% 7.2% 8.9% Netherlands 0.4% 2.0% 3.6% 4.1% 5.6% Norway - 1.3% 3.7% 5.8% 8.7% Poland - - 0.5% 2.7% 3.9% Portugal - - 4.2% 4.9% 6.3% Romania - - - 12.1% 38.1% Russia - - 0.4% 1.5% 3.4% Spain 0.5% 1.1% 5.2% 8.2% 9.6% Sweden 0.1% 2.1% 5.8% 6.6% 7.6% Switzerland - 1.5% 3.3% 5.8% 6.9% Turkey - - 0.1% 0.5% 3.0% UK 0.8% 3.2% 6.0% 8.4% 13.7% China - - 36.2% 45.7% 61.5% Hong Kong - - 7.5% 10.4% 12.9% India - - 8.7% 16.5% 20.6% Indonesia - - 31.3% 41.1% 54.3% Japan 3.2% 7.5% 11.0% 16.1% 20.0% Malaysia - - 17.5% 17.6% 24.6% Philippines - - 3.9% 6.5% 14.7% Singapore - - 3.7% 3.6% 6.0% South Korea - - 55.9% 60.8% 59.9% Taiwan - - 6.6% 11.5% 13.8% Thailand - - 20.2% 23.5% 36.6% Argentina - - 2.0% 3.4% 4.2% Brazil - 0.6% 2.3% 8.1% 13.4% Central America - - 1.1% 8.0% 25.5% Chile - - 4.4% 11.2% 22.1% Colombia - - 4.8% 14.5% 21.4% Ecuador - - 0.1% 0.0% 0.0% Mexico - 0.2% 3.6% 8.3% 10.8% Venezuela - - 0.1% 4.5% 5.1% Australia 0.2% 1.8% 5.3% 8.0% 13.1% New Zealand - - 4.4% 6.7% 8.8% South Africa - 0.4% 1.6% 2.1% 2.8% Global 1.9% 5.5% 10.7% 15.2% 20.5% Europe - 2.4% 5.2% 7.1% 10.3% Asia - 6.3% 13.3% 17.9% 22.3% Latin America - 0.4% 2.9% 7.8% 12.1% Asia excl. Japan - - 25.4% 29.0% 36.6% North America - 8.6% 16.0% 24.0% 34.2% Top 20 2.0% 2.0% 5.7% 10.9% 15.6% Others 0.4% 0.4% 1.9% 8.3% 10.1%

Source: IFPI Basis: Trade values

88 IFPI Recording Industry In Numbers 2009 89

Physical Market Repertoire Origin 2008

By Value

Domestic International Classical Compilations Argentina 37% 58% 5% 0% Australia 22% 54% 6% 18% Austria 6% 56% 11% 27% Belgium 10% 62% 5% 22% Brazil 65% 32% 3% – Canada 20% 67% 2% 11% Central America 4% 88% 4% 4% Chile 12% 84% 2% 2% China 19% 61% 15% 4% Colombia 32% 49% 1% 18% Croatia 54% 34% 3% 9% Czech Republic 63% 28% 4% 5% Denmark 46% 43% 5% 6% Ecuador 1% 89% 3% 7% Finland 48% 37% 6% 10% France 57% 34% 9% – Germany 52% 31% 6% 11% Greece 69% 28% 2% – Hong Kong 31% 47% 11% 11% Hungary 40% 49% 11% – India 74% 5% 0% 20% Indonesia 67% 33% – – Italy 52% 36% 4% 8% Japan 80% 20% – – Malaysia 11% 74% 2% 13% Mexico 42% 47% 2% 9% Netherlands 28% 56% 4% 12% New Zealand 10% 90% – – Norway 35% 45% 4% 16% Peru 11% 78% 5% 5% Philippines 34% 42% 1% 23% Poland 24% 41% 9% 27% Portugal 36% 36% 3% 25% Russia 72% 25% 3% – Singapore 1% 72% 6% 21% Slovakia 53% 36% 2% 10% South Africa 43% 57% – – South Korea 49% 25% 18% 9% Spain 40% 41% 5% 14% Sweden 32% 43% 2% 23% Switzerland 10% 69% 5% 17% Taiwan 38% 42% 12% 8% Thailand 72% 28% – – Turkey 73% 27% – – UK 36% 38% 4% 22% Uruguay 35% 63% 2% – USA 93% 5% 2% –

Source: IFPI Notes: Digital sales not included. International repertoire can include regional repertoire. Italy: Jazz included in classical. Canada, Chile, Belgium, Hungary, Indonesia, Malaysia, Netherlands, Philippines, South Korea, Switzerland, UK : based on artist nationality. France: Based on language. Japan: Classical share included in domestic/international. UK: Figures based on units. Canada figures based on top 200 albums chart.

89 90 IFPI Recording Industry In Numbers 2009

Certification Award Levels

Albums (unit sales required)

Domestic Repertoire International Repertoire Silver Gold Platinum Diamond Silver Gold Platinum Diamond North America Canada – 40,000 80,000 100,000 – s s s USA – 500,000 1,000,000 10,000,000 – s s s Europe Austria – 10,000 20,000 – – s s – Belgium – 10,000 20,000 – – 15,000 30,000 – Bulgaria – 15,000 30,000 – – 10,000 20,000 – Croatia 3,000 7,500 15,000 30,000 s s s s Czech Republic – 6,000 12,000 – – 3,000 6,000 – Denmark – 15,000 30,000 – – s s – Finland – 15,000 30,000 – – 10,000 20,000 – France 35,000 75,000 200,000 750,000 s s s s Germany – 100,000 200,000 – – s s – Greece – 15,000 30,000 – – 5,000 10,000 – Hungary – 7,500 15,000 – – 3,000 6,000 – Iceland – 5,000 10,000 – – s s – Ireland – 7,500 15,000 – s s s – Italy – 35,000 70,000 350,000 s s s s Latvia – 8,000 15,000 – – 4,000 8,000 – Netherlands – 30,000 60,000 – – s s – Norway – 15,000 30,000 – – s s – Poland – 15,000 30,000 150,000 – 10,000 20,000 100,000 Portugal – 10,000 20,000 – – s s – Russia – 50,000 100,000 300,000 – 10,000 20,000 60,000 Slovakia – 3,000 6,000 – – 1,000 2,000 – Slovenia – 5,000 10,000 – – s s – Spain – 40,000 80,000 – – s s – Sweden – 20,000 40,000 – – s s – Switzerland – 15,000 30,000 – – s s – Turkey – 100,000 200,000 300,000 – – – – UK 60,000 100,000 300,000 – s s s – Ukraine – 50,000 100,000 500,000 – 25,000 50,000 100,000 Asia China – 40,000 80,000 – – 15,000 30,000 – Hong Kong – 15,000 30,000 – – 7,500 15,000 – India – 100,000 200,000 – – 7,500 15,000 – Indonesia – 35,000 75,000 – – 10,000 15,000 – Japan – 100,000 250,000 1,000,000 – s s – Malaysia – 10,000 20,000 – – 10,000 20,000 – Philippines – 15,000 30,000 – – 10,000 20,000 – Singapore – 6,000 12,000 – – 6,000 12,000 – South Korea – – – – – 5,000 10,000 – Taiwan – 20,000 40,000 – – 7,000 14,000 – Thailand – 50,000 100,000 – – 6,000 12,000 – Australasia Australia – 35,000 70,000 – – s s – New Zealand – 7,500 15,000 – – s s – Latin America Argentina – 20,000 40,000 250,000 – s s – Brazil – 50,000 100,000 500,000 – 30,000 60,000 250,000 Chile – 7,500 15,000 – – s s s Colombia – 10,000 20,000 – – 5,000 10,000 – Ecuador – 3,000 6,000 – – s s – Mexico – 40,000 80,000 400,000 – s s s Paraguay – 5,000 10,000 – – s s s Peru – 3,000 6,000 – – s s – Uruguay – 2,000 4,000 – – s s – Venezuela – 5,000 10,000 – – s s – Africa South Africa – 20,000 40,000 – – s s – Middle East Gulf States – 10,000 20,000 – – s s – Egypt – 25,000 50,000 – – 5,000 10,000 – Lebanon – 20,000 40,000 – – 5,000 10,000 –

Notes ‘s’ indicates same levels for both domestic and Middle East: Domestic repertoire = Arab Belgium: Domestic repertoire is divided into Netherlands: For jazz and classical repertoire international repertoire. repertoire non-Dutch/French repertoire and French/Dutch the respective levels are 10,000/20,000 for Finland ,Germany, Norway, Sweden, UK & repertoire and award levels vary. Different levels Gold/Platinum. USA: Digital album sales can be included for China: For regional repertoire levels are 75,000 for classical and jazz repertoire. Please contact certification. for Gold & 150,000 for Platinum. BEA for further information. Hungary: Classical/Jazz//Proze levels are 1500/3000 (regardless of origin). USA: Levels for Latin repertoire = 50,000 for Gold & 100,000 for Platinum.

90 IFPI Recording Industry In Numbers 2009 91

Music Videos Singles (unit sales required) (unit sales required)

Gold Platinum Diamond Silver Gold Platinum Diamond North America North America Canada 5,000 10,000 100,000 Canada – 5,000 10,000 100,000 USA 50,000 100,000 – USA – 500,000 1,000,000 – Europe Europe Austria 5,000 10,000 – Austria – 15,000 30,000 – Belgium 25,000 50,000 – Belgium – 10,000 20,000 – Czech Republic 1,500 3,000 – Czech Republic – 1,000 2,000 – Denmark 7,500 15,000 – Finland – 5,000 10,000 – Finland 5,000 10,000 – France 100,000 200,000 300,000 500,000 France 10,000 20,000 100,000 Germany – 150,000 300,000 – Germany 25,000 50,000 – Greece – 5,000 10,000 – Greece 5,000 10,000 – Hungary – 1,500 3,000 – Hungary 2,000 4,000 – Ireland – 7,500 15,000 – Iceland 5,000 10,000 – Italy – 10,000 20,000 – Ireland 2,000 4,000 – Lithuania – 3,000 6,000 – Italy 10,000 20,000 – Netherlands – 25,000 50,000 – Latvia 5,000 8,000 – Norway – 5,000 10,000 – Netherlands 40,000 80,000 – Portugal – 10,000 20,000 – Norway 5,000 10,000 – Spain – 20,000 40,000 – Poland 5,000 10,000 – Sweden – 10,000 20,000 – Portugal 4,000 8,000 – Switzerland – 15,000 30,000 – Russia 25,000 50,000 – UK 200,000 400,000 600,000 – Slovakia 500 1,000 – Asia Spain 10,000 25,000 – Japan – 100,000 250,000 1,000,000 Sweden 10,000 20,000 – Singapore – 5,000 10,000 – UK 25,000 50,000 – Taiwan – 7,000 14,000 – Asia Thailand – 50,000 100,000 – Japan 100,000 250,000 1,000,000 Australasia Australasia Australia 35,000 70,000 Australia 7,500 15,000 – New Zealand – 5,000 10,000 – New Zealand 2,500 5,000 – Africa Latin America South Africa – 10,000 25,000 – Argentina 4,000 8,000 – Brazil 25,000 50,000 100,000

Colombia 5,000 10,000 – Notes Mexico 10,000 20,000 – Belgium: Figures in table indicate domestic repertoire singles; levels for international repertoire are Uruguay 1,000 2,000 – Gold 15,000 and Platinum 30,000. Thailand: Figures in table indicate domestic repertoire singles; levels for international repertoire are Gold 20,000 and Platinum 40,000. Notes Denmark, Finland, Germany, Italy, Norway, Sweden & UK: Digital single sales can be included Brazil: Figures shown are for domestic repertoire. For international repertoire gold, for certification. platinum & diamond are 15,000, 30,000 and 125,000 respectively.

Digital Download Singles Master Ringtones (unit sales required) (unit sales required)

Gold Platinum Diamond Gold Platinum Diamond Argentina 10,000 20,000 – Argentina 10,000 20,000 – Brazil 50,000 100,000 500,000 Brazil 50,000 100,000 500,000 Canada 20,000 40,000 400,000 Canada 20,000 40,000 400,000 Denmark 15,000 30,000 – Egypt 20,000 40,000 – Egypt 20,000 40,000 – Japan* – – 1,000,000 Japan 100,000 250,000 1,000,000* Mexico 40,000 80,000 400,000 Mexico 40,000 80,000 400,000 USA 500,000 1,000,000 – Spain 20,000 40,000 – USA 500,000 1,000,000 – Notes Brazil: Figures refer to domestic repertoire. For international repertoire the levels Notes are 30,000/60,000/250,000 respectively. Brazil: Figures refer to domestic repertoire. For international repertoire the levels * Awards start at 500,000 - called ‘double platinum’. are 30,000/60,000/250,000 respectively. * ‘Million’ award.

91 92 IFPI Recording Industry In Numbers 2009

Local Music Industry Association Contacts

North America Czech Republic Hungary Portugal IFPI Czech Republic Magyar Hanglemezkiadók Associação Fonográfica Canada Na Kozacce 7 Szövetsége (MAHASZ) Portuguesa (AFP) Canadian Recording Industry CZ-120 00 Harcos tér 5 Av. Sidónio Pais, 20 - R/C DT° Association (CRIA) Prague 2 Budapest, 1113 1050-215 Lisbon 85 Mowat Avenue Tel: +420 2 2150 7624 Tel: +36 (1) 391 4200 Tel: +351 (213) 156 655 Toronto ON M6K 3E3 Fax: +420 (221) 507 673 Fax: +36 (1) 200 2679 Fax: +351 (213) 156 683 Tel: +1 (416) 967 7272 [email protected] [email protected] [email protected] Fax: +1 (416) 967 9415 www.ifpicr.cz www.mahasz.hu www.afp.org.pt [email protected] www.cria.ca Denmark Ireland Romania IFPI Denmark c/o: Irish Recorded Music Uniunea Producatorilor de USA Johan Schlüter Advokatfirma Association (IRMA) Fonograme din România (UPFR) Recording Industry Association Højbro Plads 10 Irma House, 1 Corrig Avenue Blvd Nicolae Titulescu, nr. 88b of America (RIAA) DK-1200 Kobenhavn K Dun Laoghaire, Co. Sector 1, Bucharest 1025 F. Street, NW Tel: +45 32 71 20 80 Tel: +353 0 (1) 280 6571 Tel: +40 21 222 20 45 10th Floor Fax: +45 32 71 21 00 Fax: +353 0 (1) 280 6579 Fax: +40 21. 222.20.43 Washington, D.C. 20004 [email protected] [email protected] www.upfr.ro Tel: +1 202 775 0101 www.musik.org / www.ifpi.dk www.irma.ie Fax: +1 202 775 7253 Slovak Republic www.riaa.com Estonia Italy IFPI Slovak Republic Eesti Fonogrammitootjate Ühing Federazione Industria Musicale Jakubovo nám. 14 Europe (EFU) Italiana (FIMI) 813 48 Bratislava Endla 3- 6101 Galleria del Corso 4 Tel: +421 (0) 2 5292 3886 Austria 10122 Tallinn 20122 Milano Fax: +421 (0) 2 5292 3886 IFPI Austria - Verband der Tel: +372 6307 210 Tel: +390 (2) 795 879 [email protected] Osterreichischen Musikwirtschaft Fax: +372 6307 296 Fax: +390 (2) 799 673 www.ifpi.sk Schreyvogelgasse 2/5 [email protected] [email protected] A-1010 Vienna www.efy.ee www.fimi.it Spain Tel: +43 (1) 535 6035 Productores de Musica de Fax: +43 (1) 535 5191 Finland Latvia España (Promusicae) [email protected] IFPI Finland The Latvian Association Of Edificio Iberia Mart II www.ifpi.at Yrjonkatu 3B Performers And Producers Calle Orense, 34- 8ª 00120 Helsinki Riga Mukusales 42 28020 Madrid Belgium Tel: +358 (9) 6803 4050 LV-1004 Tel: +34 (91) 417 04 70 Belgian Entertainment Fax: +358 (9) 6803 4055 Tel: 00 371 67605023 Fax: +34 (91) 556 92 72 Association (BEA) [email protected] Fax: 00 371 67500039 [email protected] Place de l’Alma 3 Bte 2 www.ifpi.fi [email protected] www.promusicae.es 1200 Brussels www.laipa.org Belgium France Sweden Tel: +32 2 779 4174 Syndicat National de l’Edition Netherlands IFPI Svenska Gruppen (IFPI Fax: +32 (2) 779 1669 Phonographique (SNEP) Nederlandse Vereniging van Sweden) [email protected] 131 boulevard de Sébastopol Producenten en Importeurs van Tegnérgatan 34 Box 1429 www.belgianentertainment.be 75002 Paris beeld-en geluidsdragers (NVPI) 111 84 Tel: +33 (1) 4413 6666 Albertus Perkstraat 36 Tel: +46 (8) 735 9750 Bulgaria Fax: +33 (1) 5376 0733 1217 NT Hilversum Fax: +46 (8) 273 745 Bulgarian Association of [email protected] Tel: +31 (35) 625 4411 [email protected] Music Producers (BAMP) www.disqueenfrance.com Fax: +31 (35) 625 4410 www.ifpi.se 8, Mitropolit Kiril Vidinski Str. [email protected] fl. 3, apt 3 Germany www.nvpi.nl Switzerland 1164 Sofia Bundesverband Musikindustrie Schweizer Landesgruppe der IFPI Tel: +359 2 963 2757 e.V. Norway (IFPI Switzerland) Fax: +359 2 866 0104 Oranienburger Strasse 67/68 IFPI Norway Toblerstrasse 76A [email protected] D-10117 Berlin Sandakervn. 52 CH 8044 Zurich www.bamp-bg.org Tel: +49 30 590 0380 0477 Oslo Tel: +41 (0) 252 5866 Fax: +49 30 590 03838 Tel: +47 (22) 221 788 Fax: +41 (0) 252 6167 Croatia [email protected] Fax: +47 (22)22 17 68 [email protected] Croatian Phonographic www.musikindustrie.de [email protected] www.ifpi.ch Association (HDU) www.ifpi.no Brozova 8 A Greece Turkey 1000 Zagreb IFPI Greece Poland Baglantılı Hak Sahibi Fonogram Tel: +385 1 3668 194 65 Aristotelous Street Zwiazek Producentow Audio (Mü-YAP) Fax: +385 1 3668 072 Halandri 15232 Video (ZPAV) Kuloglu Mah, Turnacibasi Fok [email protected] Tel: +30 2 10 685 1739 12/2 Kruczkowskiego Street No: 16, Kat; 5 www.hdu.hr Fax: +30 2 10 68 01 660 00-380 Warsaw 80070 Beyoglu Istanbul [email protected] Tel: +48 (22) 625 69 66 Tel: +90 (212) 292 46 13 /14/15/16 www.ifpi.gr Fax: +48 (22) 625 16 61 Fax: +90 (212) 292 46 17 [email protected] [email protected] www.zpav.pl www.mu-yap.org

92 IFPI Recording Industry In Numbers 2009 93

United Kingdom Philippines Latin America Uruguay British Phonographic Philippine Association of the Please contact Latin America office Industry (BPI) Record Industry (PARI) Argentina Riverside Building, County Hall Suite 207 Greenhills Mansion Cámara Argentina de Venezuela Westminster Bridge Road 37 Annapolis St., Greenhills Productores de Fonogramas y Asociacion de Productores SE1 7JA San Juan, Metro Manila Videogramas (CAPIF) Fonograficos de Venezuela Tel: 020 7803 1300 Tel: +63(2) 725 0770 Lavalle 534, Piso 4 Av. Principal de los Cortijos de Fax: 020 7803 1310 Fax: +63(2) 725 0786 C1047AAL Lourdes, Piso 3 [email protected] [email protected] Tel: +54 11 4326 6464 Edificio Los Hermanos, Caracas www.bpi.co.uk www.pari.com.ph Fax: +54 11 4326 7830 Tel: +58 212 238 0044 [email protected] Asia Singapore www.capif.org.ar Africa & Middle East Recording Industry China Association Singapore (RIAS) Brazil Israel Please contact Asia office 4 Leng Kee Road Associação Brasileira de IFPI Israel #03-07 SiS Building Produtores de Disco (ABPD) 10 Habonim Street Hong Kong Singapore 159088 Av. das Américas, 500 Bloco 11 Ramat Gan 52462 IFPI Hong Kong Group Ltd Tel: +65 (6220) 4166 Sala 204 Tel: +972 (3) 613 0715 /613 0716 16/F Guardian House Fax: +65 (6220) 9452 Barra da Tijuca - Rio de Janeiro RJ Fax: +972 (3) 575 6747 32 Oi Kwan Road, [email protected] 22640-100 www.ifpi.co.il Wanchai www.rias.org.sg Tel: +55 21 3511 9908 Tel: (+852) 2865 5863 Fax: +55 - 21 3511 9907 South Africa Fax: (+852) 2866 6859 South Korea [email protected] The Recording Industry [email protected] Please contact Asia office www.abpd.org.br of South Africa (RISA) www.ifpihk.org P O Box 367 Taiwan Central America Randburg 2194 India Recording Industry Please contact Latin America office Tel: +27 11 886 1342 The Indian Music Industry (IMI) Foundation in Taiwan Fax: +27 11 886 4169 Crescent Towers, 4F, No.85, Sec. 4, Bade Road Chile [email protected] 7th Floor, B-68, Veera Estate, Sungshan Chiu 105 Taipei IFPI Chile www.risa.org.za Off New Link Road, Andheri (W), Tel: +886 (2) 2718 8818 Av Antonio Varas No 2043 - 400 053 Fax: +886 (2) 2528 1998 Providencia, Santiago Regional Offices Tel: 91 22 26736301/02/03 [email protected] Tel: +56 2 379 3890 Fax: 91 22 26736304 www.ifpi.org.tw Fax: +56 2 434 0015 Head Office [email protected] [email protected] IFPI London www.indianmi.org Thailand www.ifpichile.cl 10 Piccadilly Thai Entertainment Content London W1J 0DD UK Indonesia Trade Association (TECA) Colombia Tel: +44 (0)20 7878 7900 Please contact Asia office 23/17-18 Soi Soonvijai, APDIF Colombia Fax: +44 (0)20 7878 7950 Rama 9 Road Carrera 14, No. 94 A - 10 - Oficina 402 [email protected] Japan Bangkapi Sub-District Edificio Chico 94 A www.ifpi.org Recording Industry Huay-Kwang District Bogotá D.C. Association of Japan (RIAJ) 10320 Tel: +57 (1) 622 7363 European Office 11F, Kita-Aoyama Yoshikawa Bldg Tel: +662 203 1002/3 Fax: +57 (1) 612 0310 IFPI Europe 2-12-16 Kita-Aoyama Minato-ku Fax: +662 203 1010 [email protected] Square de Meeûs 40 107-0061 [email protected] www.apdifcolombia.com 1000 Brussels, Belgium Tel: +81 (3) 6406 0510 www.teca.co.th Tel: +32 (0)2 511 9208 Fax: +81 (3) 6406 0520 Ecuador Fax: +32 (0)2 502 3077 [email protected] Australasia Please contact Latin America office [email protected] www.riaj.or.jp Australia Mexico Latin America Office Malaysia Australian Recording Industry Asociacion Mexicana de IFPI Latin America Recording Industry Association Association (ARIA) Productores de Fonogramas y 10451 NW 117th Avenue of Malaysia (RIM) Level 4, 19 Harris Street, Pyrmont Videogramas A.C.(Amprofon) Suite 105, Miami No. L-8-2, 8th Floor, Block L 2009 NSW Lafontaine 42 Florida 33178 No.2, Jalan Solaris Tel: +61 2 8569 1144 Col. Polanco Chapultepec USA Solaris Mont’Kiara Fax: +61 2 8569 1181 C.P.11560 Mexico D.F. Tel: +1 305 567 0861 50480 Kuala Lumpur [email protected] Tel: +52 5 55281 6035/38 Fax: +1 305 567 0871 Tel: +603 6207 2800 www.aria.com.au Fax: +52 5 55280 9079 Fax: +603 6207 2900 [email protected] Asia Office [email protected] New Zealand www.amprofon.com.mx IFPI Asia www.rim.org.my Recording Industry Association 16/F Guardian House of New Zealand (RIANZ) Paraguay 32 Oi Kwan Road, Wanchai Private Bag 78 850 Please contact Latin America office Hong Kong Lynn, Auckland Tel: +852 2 866 6862 Tel: +64 9 360 5085 Peru Fax: +852 2865 6326 Fax: +64 9 360 5086 Please contact Latin America office [email protected] [email protected] www.rianz.org.nz

93 94 IFPI Recording Industry In Numbers 2009

Taxes On Sound Recordings & Exchange Rates 2008

country SALES TAX IMPORT TAX country SALES TAX IMPORT TAX US$ Exchange Rates NORTH AMERICA LATIN AMERICA Country Rate Canada 6% Up to 12% Argentina 21% 16% Argentina 3.17 Jamaica 15% 45% Brazil 15% – 18% 16% Australia 1.20 USA 2% – 9% – Chile 18% 10% Austria 0.68 Colombia 16% 15% Belgium 0.68 EUROPE Ecuador 10% 15.6% Brazil 1.84 Austria 20% 20% Mexico 15% – Belgium 21% – Paraguay 10% 9% Canada 1.07 Bulgaria 20% 3.5% Peru 18% 12% Chile 523.92 Croatia 22% – Uruguay 23% 15% China 6.96 15% – Venezuela 14.5% – Colombia 1,990.6 Czech Republic 22% – Czech Republic 17.10 Denmark 25% – AUSTRALASIA Denmark 5.10 Estonia 18% 3.5% Australia 10% – Finland 0.68 Finland 22% 22% New Zealand 12.5% – France 19.6% – France 0.68 Germany 16% – Middle EAST Germany 0.68 Greece 19% Variable Bahrain – 10% Greece 0.68 Hungary 20% – Egypt 10% 70% Hong Kong 7.79 Iceland 7% 10% Israel 17% 2.5% – 5% Hungary 172.70 Ireland 21% Variable Kuwait – 4% India 43.82 Italy 20% 20% Lebanon 10% 5% Indonesia 9,684.9 Latvia 18% – Qatar – 4% Lithuania 18% – Saudi Arabia – 5% Ireland 0.68 Netherlands 19% – UAE – 4% Italy 0.68 Norway 25% – Japan 103.47 Poland 22% 22% AFRICA Malaysia 3.34 Portugal 21% – South Africa 14% – Mexico 11.17 Romania 19% 9% Zimbabwe 15% – Netherlands 0.68 Russia 18% 5% New Zealand 1.43 Slovakia 19% – Notes Canada: Federal tax reduced to 6% Jul 06; provincial tax varies Norway 5.65 Slovenia 20% 2% USA: Sales tax varies by state Spain 16% 16% Austria: Import tax for non-EU territories Philippines 44.57 Sweden 25% 4% Bulgaria: Import tax for non-EU territories Poland 2.41 Finland: Import tax for non-EU territories Switzerland 7.6% – Greece: Import tax for non-EU territories Portugal 0.68 Turkey 18% – Iceland: Sales tax reduced from 24.5% in Nov 06 Romania 2.53 Ireland: Import tax for non-EU territories UK 15% – Italy: Import tax for non-EU territories Russia 24.87 Ukraine 20% Variable Slovenia: Import tax for non-EU territories Spain: Import tax for non-EU territories Singapore 1.42 Switzerland: Import tax for non-EU territories is CHF 27.- per 100 kg South Africa 8.28 ASIA India: Import tax for CDs China 17% 17% Chile: Import tax not applicable to Mexico, 5% to Mercosur territories South Korea 1,102.8 Uruguay: Import tax applicable to non-Mercosur territories Hong Kong – – Egypt: 55% customs duty not included in import tax Spain 0.68 India 4% – 12.5% 17.3% Israel: 2.5% for MCs and 5% for CDs applicable to non-EU territories Sweden 6.59 and USA Indonesia 10% 20% Lebanon: No import tax on CDs and DVDs Switzerland 1.08 Japan 5% – Taiwan 31.56 Malaysia 10% 30% Thailand 33.27 Pakistan 16% – Turkey 1.31 Philippines 12% 10% UK 0.55 Singapore 7% – South Korea 10% 8% USA 1.00 Taiwan 5% – Venezuela 2.15 Thailand 7% 30% Source: Oanda

94 IFPI Recording Industry In Numbers 2009 95

Notes

95 96 IFPI Recording Industry In Numbers 2009

Notes

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