Spotify, A popular music streaming platform, has reported that Nigerian artists amassed more than N11 billion in earnings solely from its platform in 2022.
The company unveiled this information in its recent report detailing the progress of Afrobeats, which was published on Thursday. Spotify revealed that the streaming revenue for 2022 exhibited a 74% year-on-year growth, surpassing the 64% revenue increase witnessed by the entire Nigerian music industry in the same year.
In a bid to showcase transparency, Spotify’s Managing Director for Sub-Saharan Africa, Jocelyne Muhutu-Remy, underscored the significance of disclosing the revenue figures of artists. She commented, “Our commitment at Spotify is to ensure that professional musicians make a living from their work. Releasing the revenues generated by Nigerian artists in 2022 on our platform is our way of keeping ourselves accountable, and keeping true to our mission to enable artists to live off their art.”
The company additionally revealed a substantial rise in the number of artists earning over N10 million in royalties from the platform. Spotify’s report stated, “The number of Nigerian artists who generated more than 5 million NGN and 10 million NGN in royalties from Spotify alone has increased by nearly 25% over the last year. This figure represents revenue generated from Spotify alone and does not consider earnings from other services and recorded revenue streams, concert tickets, or merch.”
Spotify further highlighted that the revenues generated by Nigerian artists from its platform alone exceeded 11,000,000,000 NGN in 2022. While the overall revenues of the Nigerian music industry grew by 63% from 2021 to 2022 (according to IFPI), the revenues generated by Nigerian artists from Spotify alone experienced a 74% increase over the same period.
Pointing out the global resonance of Afrobeats, originating from Nigeria and Ghana, Spotify underscored that the genre’s expansion has transcended West Africa to reach international platforms. The rise of Afrobeats’ popularity can be attributed to factors such as international collaborations, the influence of social media, the surge in music streaming, and the engagement of the African diaspora.
Spotify noted that several cities beyond Lagos have exhibited strong streams for Afrobeats, including London, Paris, Abuja, Nairobi, Amsterdam, and Accra. As music streaming has contributed to democratizing the music industry, Spotify’s commitment lies in ensuring that African creators earn from their art. By exposing them to its 550 million active users, the platform intends to broaden their audience base and generate increased streams for the artists.
