by Background music finds widespread usage in various retail outlets and public spaces like stores, malls, hotels, restaurants, and others to create positive atmosphere. Background music helps in improving sales and customers spending in retail stores by acting as a distraction from waiting times and improves mood. The global Background Music Market is estimated to be valued at US$ 1495.12 Mn in 2023 and is expected to exhibit a CAGR of 4.7% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
The growing adoption of background music in retail outlets is one of the key trends spurring the market growth. Playing calming yet upbeat background music has been found to improve customer experience in retail stores and positively impact their purchasing decisions. Various retailers provide background music customized to their brand image to attract more customers and maximize sales. Moreover, switching to curated streaming services has elevated the demand for background music solutions in retail outlets as they offer large digital music libraries at affordable subscriptions. This growing preference for customized streaming services from retailers is expected to drive the background music market during the forecast period.
SWOT Analysis
Strength: Background music market has strong demand from businesses like retail stores, restaurants, hotels to enhance customer experience. It helps in improving brand image and increasing sales.
Weakness: Licensing costs and payment structures for background music subscriptions can be complex. Small businesses may find it difficult to optimally utilize the services.
Opportunity: Growing adoption of streaming services across industries provides an opportunity to expand customer base. Developing personalized music solutions catering to different customer segments can boost demand.
Threats: Presence of free music services poses a pricing challenge. Shift towards user generated music content on social media platforms can reduce reliance on curated background music services.
Key Takeaways
The Global Background Music Market Size is expected to witness high growth over the forecast period owing to evolving needs of commercial establishments. Regional analysis reveals North America currently dominates the market led by U.S. owing to wide acceptance of these services across retail, hospitality and other industries. However, Asia Pacific is anticipated to register fastest growth led by China, India and other developing economies on account of rapid economic development and growth of organized retail & entertainment sectors.
Key players operating in the background music market are PlayNetwork, Inc., TouchTunes Music Corporation, Sirius XM Holdings, Inc., Almotech Media Solutions, Imagesound, Easy on Hold, Soundnet Limited (Soundjack), Xenox Music & Media B.V., Qsic Pty Ltd., Express Melody, OpenEar Music, Auracle Sound, Cloud Cover Music, and Mood Media Corporation. These companies are focusing on strengthening their portfolio through innovations and partnerships. For instance, PlayNetwork partnered with Anthropic to develop artificial intelligence powered music solutions.
The global background music market size for 2023 is estimated at US$ 1495.12 Mn. North America is expected to maintain its lead position owing to growing integration of music services across business segments in the region. However, Asia Pacific is projected witness fastest growth over the forecast period on back of increasing commercial infrastructure and economic expansion.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. With an MBA in E-commerce, she has an expertise in SEO-optimized content that resonates with industry professionals.
