Consulting firm Deloitte released a study which assesses and predicts how the Millennial generation, deeply immersed in digital lifestyles, consumes media. Deloitte discovered that music consumption ranks second behind Pay-TV, ahead of computer games, movies, and other categories.
Drilling into the specifics of music consumption, Deloitte’s survey found that its young respondents will spend $125 each on music. Aha, you might think, that is almost exactly one year of a $10/month music subscription. True, but not pertinent, as Deloitte notes that concert tickets takes up four-fifths of that expense ($100), leaving a precious $25/year for files and streaming. That’s an average, of course, and Deloitte also estimates that 40% of Spotify’s Premium subscribers are in the 18-24 demo.
In fact, they won’t consume it at all. There will be no less music when they are done listening to music, music having transitioned from product to service. Music demand once decremented supply controlled by its owners. Still happens, of course, but less and less, all in a Tarzan Economics shift from product to service. Shame on anyone who thinks consumption is the measure, unless it’s time or money that remain in short supply. In 2015, it’s not music that is consumed, it is audience eyeballs, ears and wallets.