Latin Music Thrives in the US, Generating $1.4 Billion in Recorded Music Revenue, Up 16% YoY

Latin music has emerged as a powerhouse in the United States' recorded music industry, marking yet another year of robust growth. According to the latest report from the Recording Industry Association of America (RIAA), Latin music revenues surged to $1.4 billion in 2023, representing a remarkable 16% year-over-year increase.

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The RIAA's year-end Latin Music Report underscores the genre's enduring appeal and its significant contribution to the US music market. Latin music has maintained its momentum, surpassing the $1 billion mark for the second consecutive year and solidifying its position as one of the industry's major success stories.

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Streaming remains the primary driver of Latin music's revenue growth, accounting for over 98% of total revenues in 2023. Paid subscriptions saw exceptional growth, constituting more than two-thirds of total revenues and experiencing a 21% increase to $915 million. Additionally, ad-supported on-demand streaming services contributed substantially, comprising nearly a quarter of total Latin music revenues and witnessing a 10% year-over-year growth to $336 million.

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Despite the dominance of streaming, Latin music revenues from physical formats experienced declines in 2023. CD revenues plummeted by 49% year-over-year to $1.6 million, while vinyl album sales dropped by 25% to $7 million. However, digital and customized radio services, such as Pandora and SiriusXM, saw a 5% increase to $77 million, accounting for 6% of streaming revenues for Latin music.

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RIAA executives emphasized the transformative impact of Latin music on the US market and the pivotal role of streaming in facilitating fan engagement and discovery. Rafael Fernandez Jr., RIAA's Senior Vice President of Public Policy & Latin Music, noted the genre's explosive growth fueled by a new generation of stars and the accessibility offered by streaming platforms.

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Matthew Bass, RIAA's Vice President of Research and Gold & Platinum Operations, underscored the genre's potential for further expansion, both in streaming and traditional formats like vinyl. He highlighted the collaborative efforts between artists and labels in cultivating Latin music's vibrant ecosystem and fostering deeper connections with fans.

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Latin music's ascendancy in the US market reflects a broader cultural shift, transcending language barriers and reshaping the music landscape. As streaming continues to democratize access to diverse musical genres, Latin music stands at the forefront, captivating audiences and driving unprecedented growth in the recorded music industry.

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