3.Market Environment
The entertainment business has massive room for growth.
As the Internet and social media becomes more popular, our business environment is changing significantly. While sales of CDs and video packages are falling, we are experiencing positive effects from new media and devices. Digitization is enhancing the value of live performances, which Amuse has valued since its foundation.
The size of the market of live entertainment grows significantly exceeding pre-pandemic levels.
The market of live entertainment suffered a major blow with the spread of COVID-19. However, the number of events expanded to 140.3% of the FY2019 level in FY2023, which was before the pandemic, due to the impact of restrictions on hosting events were relaxed from the previous year, as well as numerous performances by overseas artists at large venues.For our revenue from live events, remained at the same level due to the contribution of contracted live production sales from outside artists, although there was a reactionary decline in the number of performances and attendance from the previous fiscal year Taking advantage of the significant recovery of the market, we will deliver the appeal of live events to more people.
Source: Graph created from basic research conducted by the All Japan Concert & Live Entertainment Promoters Conference.
- Data from All Japan Concert & Live Entertainment Promoters Conference are collected from official members only.
- Figures for Amuse are based on those in its consolidated financial statements.
The advertising market continues to expand along with the sudden rise of the Internet.
The advertising market is expanding in the medium to long term, and total advertising spending in 2023 reached even higher than in 2022, when it reached an all-time high.Internet advertising, which has shown clear growth, is leading the market against the background of the digitalization of society.Given that revenue from booking business (film/TV/live stage, etc.) and commercials also remains solid, more opportunities can be expected in the digital domain in the future.
Source: Graph created from statistics prepared by Dentsu.
- Figures for Amuse are based on those in its consolidated financial statements.
- Revenue from booking (film/TV/live stage, etc.) and commercials includes revenue from sources other than commercial advertisements such as appearances in films, TV, live stages etc.
The expansion of streaming services becomes a key driver in the music sales market.
In contrast to the shrinking packaged music market, the streaming music market is leading the world's music content market, with market share continuing to increase.The market for digital music, mainly streaming, also continues to grow in Japan, despite the shrinkage of the CD market.As music subscription flourishes, the value of past titles is being reevaluated and is becoming a new source of revenue. This expands opportunities for artists to achieve a breakthrough in Japan and overseas.
Source: Graph created from statistics from the Recording Industry Association of Japan.
- Figures for Amuse are based on those in its consolidated financial statements.
- Royalty revenue includes revenue from new and old release music.
Source: Graph created from statistics from the Recording Industry Association of Japan.
- Subscription sales include only "Subscription" out of Digital Music sales and "Ad-Supported" is included in "Other Digital Music Contents."
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