Music is life and there is no gainsaying that it is now a big business in Nigeria just like the reputable film industry, Nollywood, as it has recorded significant growth over the years.
The nation’s music revenue grew from about $36 million in 2014 (about N1.596 billion) to $53 million (about N1.908 billion) in 2018 and last year, the Minister of Information and Culture, Lai Mohammed projected that the nation’s music industry would generate $86 million revenue in 2021, the biggest in Africa, with digital consumption expected to contribute the largest portion. In 2020, when the COVID-19 pandemic put a hold on public shows and concerts, this didn’t stop the music industry, as there were significant sales in digital songs and online streaming. Internet music subscribers rose to 154.3 million as of December 2020, according to the International Trade Administration (ITA), an agency in the United States Department of Commerce.
As there are stakeholders in every business, in the same way, the stakeholders in the music industry are artistes, producers, promoters, managers, distributors, and marketers. Each of them has their respective roles to play to enable a self-sustaining industry.
The roles of musicians are commendable due to the fact that their talents, skills and knowledge are put to test to gain recognition locally and internationally, like Buna Boy, Wizkid, Tiwa Savage, Dbanj, Rema, to mention a few. Their recognitions attract more investments from several sources like Spotify, the world’s largest music streaming service provider. The investments have helped in the production of world-class quality music as Nigerian musicians keep developing a vast spectrum of music genres.
Nigeria’s music industry is one of the fastest-growing industries in the world and has the potential to become one of the nation’s major sources of income evidently after the motion picture and music recording industry exceeded 2020 projected $806 million revenue, contributing about N730 billion (about $1.8 billion) to the country’s GDP.
It is necessary to note that some of the top music record labels in the country like DMW (Davido Music Worldwide), Mavin Records, and Starboy Entertainment, YBNL nation worth $50 million, $45 million, $43 million and $40 million respectively. With rising numbers of artistes, record labels and studio productions, one can arguably say the figures are economically comforting.
Music is inescapable in most Nigerian States, especially, Lagos State, whose over 14.8 million inhabitants can listen to trending songs blaring out of speakers or in the form of mobile phone ringtones.
The gradual extinction of television and radio as the world becomes a global village is also an advantage to Nigerian music stars who continue to evolve and leverage on digital streaming services that gives their audience a very wide variety of content to listen to. Notably, the advent of social, which makes music more available outside, beyond the shores of the country.
As challenging as it may seem to collect tax from most sectors in the country, especially the informal sector, it can be easier in the music industry since the majority of its earnings are from telecommunications firms (mobile ringtones) and other corporations through brand endorsements, as well as music downloads.
Fehamb Media 