Streaming in 2025: Reading the Market like an Executive
In 2025, streaming is not just the dominant format — it is the infrastructure of the recorded music business. The sheer scale of its reach, the concentration of its power, and the speed at which audience habits shift mean every decision an artist or label makes now lives within this ecosystem. Success comes from reading the market as it is, not as it used to be, and aligning release strategy, audience development, and content formats with where the numbers — and the culture — are moving.
Category:
Market Trends
Author:
PRMD Analytics
Read:
7 mins
Location:
Stockholm
Date:
Aug 8, 2025
Understanding the Shape of the Market
Streaming is no longer a trend. It is the foundation. In 2025, the global market reached $62.3B, growing nearly 10% year over year. Subscriptions now account for 72% of total streaming revenue, while ad-supported models have slowed to a crawl at 1.2% growth. The balance of power is concentrated. Spotify holds 31.7%, Tencent Music 14.4%, and Apple Music 12.6%. Together, the top three now own almost 59% of the market. That consolidation means fewer gatekeepers but higher stakes. Getting noticed on one of these platforms has more impact than ever before. What is worth noting is where the growth is happening. Mature markets like North America are stable, while regions such as the Middle East, North Africa, and Sub-Saharan Africa are expanding at over 22% annually. These are audiences that are still forming habits, and the artists who reach them early will benefit from long-term loyalty.
Who’s Listening and What That Means for You
Gen Z now represents 38% of all streaming users and spends around 148 minutes a day listening. Millennials are close behind, and together the two groups make up 72% of the entire audience. They are also the most likely to pay for music, with 65% holding a premium subscription. This is an overwhelmingly mobile-first environment. 89% of all listening happens on smartphones, and that figure climbs even higher for younger listeners. For artists and labels, this means every point of contact, from cover art to lyric videos to marketing assets, needs to be designed for a small screen. Discovery is not uniform across generations: Gen Z’s entry point is social platforms, particularly TikTok. Millennials lean on algorithmic recommendations and curated playlists. Gen X prefers personal recommendations. Boomers still look to radio. Effective campaigns acknowledge these differences, tailoring their discovery strategy for each audience segment rather than applying a single blanket approach.
Positioning for the Next Phase
The next stage of streaming growth will be less about finding new listeners and more about deepening relationships with existing ones. AI-driven personalization is projected to influence a third of all listening time within five years. Non-music formats including podcasts, audiobooks, and live audio will make up nearly 30% of the audio market by 2030. For the industry, this points to three clear priorities: Content breadth — expanding beyond music to include spoken word, live formats, and exclusive features. Community tools — collaborative playlists, direct fan engagement, and in-platform social features to retain audiences. Regional nuance — adjusting pricing and release strategy to fit the realities of emerging markets, where free tiers dominate. Those who treat streaming platforms as partners rather than pipelines, feeding them quality content, strategic metadata, and consistent engagement, will find their catalog working harder for them over time.
