(last updated Jun 2023)
What has been happening in the music retailing sector
The music retailing business in the UK has seen many changes over the past few decades, in particular:
- the entry into the market of non-specialist retailers particularly the supermarket chains
- the huge rise of ecommerce, including online giants like Amazon and the massive success of eBay
- the rise of music downloading through paid-for services like iTunes - and streaming services like Spotify, Youtube and Apple Music
- the huge influence of television programmes such as the X Factor and The Voice on the public's mainstream music buying habits
As a result of a sharp increase in competition from non-specialist retailers and ecommerce giants and the huge increase in demand for digital music, independent record shops were having a difficult time and the number of independent outlets fell quite dramatically. However, the independent sector has benefited hugely in recent years from a revival in interest in vinyl which has seen sales of vinyl albums increase hugely since the late 2000s. In 2022, sales of vinyl records in the UK reached the highest figure since 1990 with sales of 5.5 million vinyl records. A similar picture was seen in the US.
Independents sell nearly 50% of all vinyl albums, with the annual Record Store Day promotion now a very important generator of sales. (Record Store Day was launched in the late 2000s and has over 260 participating independent record shops. These benefit from the significant media attention that Record Store Day attracts, as well as from the large number of Record Store Day exclusive vinyl releases by artists and labels.)
Many independents and high street shops have also changed tack. Some now thrive by offering their customers an 'experience' involving café sales, books and live gigs alongside the sale of recorded music. Branching out into selling online through their own websites and through online marketplaces like eBay and Amazon has benefited many independents, particularly those that target niche markets.
Keep up to date with the music retailing sector
Joining a trade association is an excellent way of keeping up with developments in your industry. The music industry is represented by the British Phonographic Industry (BPI) Ltd. The BPI produces an annual statistical handbook that contains a great deal of useful information on the sector and there is further helpful guidance on the BPI website.
The Digital Entertainment and Retail Association (ERA) represents record shops in the UK and also produces a great deal of useful statistical information about the sector.
There are also a number of information and news websites available for the music industry, including Digital Music News and the Music Industry News Network (Mi2N).
Trade shows
You will be able to obtain a lot of useful information if you go to a trade show or exhibition for the music retailing sector. The Exhibitions UK website includes for details of upcoming events.
