Digital Music - Thailand

Thailand

Highlights

In Thailand, revenue in the Digital Music market market is projected to reach US$187.60m in 2024.
Revenue in this market is expected to show an annual growth rate (CAGR 2024-2029) of 4.35%, resulting in a projected market volume of US$232.10m by 2029.
The largest market within this market in Thailand is Music Streaming, which is anticipated to have a market volume of US$100.70m in 2024.
In a global context, the majority of revenue will be generated the United States, which is expected to reach US$19.08bn in 2024.
Within Thailand's Digital Music market market, the number of users is expected to amount to 22.8m users by 2029.
User penetration is projected to be 29.0% in 2024 and is expected to increase to 31.6% by 2029.
The usage share of Spotify is estimated to account for 50.0% of the Digital Music market market in Thailand in 2023.
In the year 2023, a share of 38.7% of users is classified in the 38.7% group.
In Thailand, the digital music market is increasingly influenced by local artists leveraging social media platforms to enhance their visibility and engagement.

Key regions:

Market definitionIn-Scope/Out-of-scopeMarket structureReportsMethodology

The Digital Music market in Thailand has been experiencing significant growth in recent years, driven by changing customer preferences and advancements in technology.

Customer preferences: Thailand has a young and tech-savvy population, with a high percentage of smartphone users and internet penetration. This has led to a growing demand for digital music platforms and streaming services, as consumers increasingly prefer to access music on their mobile devices. Convenience and accessibility are key factors driving customer preferences, as users can easily stream or download their favorite songs anytime and anywhere. Additionally, the availability of a wide range of music genres and artists on digital platforms allows users to discover new music and explore different genres.

Trends in the market: One of the key trends in the digital music market in Thailand is the shift from physical music formats, such as CDs, to digital streaming and downloads. This can be attributed to the convenience and cost-effectiveness of digital music, as well as the declining popularity of physical music stores. Streaming services, both local and international, have gained significant traction in the market, offering users access to a vast library of music at affordable subscription prices. Furthermore, the rise of social media platforms and influencers has also contributed to the growth of the digital music market, as artists and labels leverage these platforms to promote their music and engage with fans.

Local special circumstances: Thailand has a vibrant and diverse music industry, with a rich heritage of traditional music as well as a thriving contemporary music scene. Local artists and bands have gained popularity not only within Thailand but also in neighboring countries, contributing to the growth of the digital music market. Thai music streaming platforms have emerged to cater to the specific preferences of the local audience, offering a curated selection of Thai songs and playlists. These platforms also provide opportunities for emerging artists to showcase their talent and reach a wider audience.

Underlying macroeconomic factors: Thailand's strong economic growth and increasing disposable income have also played a role in the development of the digital music market. As consumers have more spending power, they are willing to invest in digital music subscriptions and purchases. Additionally, the government's push for digital transformation and the development of a digital economy have created a favorable environment for the growth of the digital music market. The availability of high-speed internet and the expansion of mobile networks have further facilitated the adoption of digital music services. In conclusion, the Digital Music market in Thailand is experiencing significant growth due to changing customer preferences, advancements in technology, and favorable macroeconomic factors. The shift towards digital music formats, the rise of streaming services, and the influence of social media platforms are key trends driving the market. Local special circumstances, such as the vibrant music industry and the emergence of Thai music streaming platforms, further contribute to the growth of the market. With the continued economic development and increasing digitalization, the digital music market in Thailand is expected to continue its upward trajectory.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the Music, Radio & Podcasts market, which comprises all revenues generated by traditional and digital radio advertising, consumer purchases of live music event tickets, all sales of tangible audio recording formats, paid digital downloads of professionally produced single tracks / compilations, ad-supported services, and subscription-based, on-demand streaming services. All monetary figures refer to consumer spending on digital goods or subscriptions in the respective market. This spending factors in discounts, margins, and taxes.

Modeling approach / market size:

The market size is determined through a bottom-up approach. We use annual financial reports of the market-leading companies and industry associations, third-party studies and reports, survey results from our primary research (e.g., Consumer Insights), as well as performance factors (e.g., user penetration, price per product, usage) to analyze the markets. To estimate the market size for each country individually, we use relevant key market indicators and data from country-specific industry associations, such as various macroeconomic indicators, historical developments, current trends, and reported performance indicators of key market players. In particular, we consider average prices and annual purchase frequencies.

Forecasts:

We apply a variety of forecasting techniques, depending on the behavior of the relevant market. For instance, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption. The main drivers are GDP per capita, consumer spending per capita, and 4G coverage.

Additional notes:

The data is modeled using current exchange rates. The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic is considered at a country-specific level. The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the data is updated on an ad hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Consumer Insights data is reweighted for representativeness.