Data Analysis Relevance in Music Industry

Data analysis has greatly changed several industries in the last few years (Fuller 1; Innovative Enterprise par. 1; Salim par. 1). Record firms utilize analytics to capture critical information about listening to music online since several platforms allow users to consume music using modern technologies. While producers couldn’t collect information about listening habits after customers purchased CDs, companies are currently able to learn how often a song is played, the time, and the consumer. Firms analyze these pieces of information to foretell the performance of records in the future. Music production businesses are using music metric on social media platforms such as Facebook and Twitter to determine the popularity of artists, allowing them to know where they are drawing the most buzz and market accordingly (Innovative Enterprise par. 3)

In addition, data analysis in the music sector provides insights into effective planning of tours, which have become the main source of revenue for artists. Jay Z, for instance, planned a music tour in the United Kingdom cities relying on the analysis of Spotify data. The utilization of analytics to plan tours comes as a relief for the industry that has been negatively impacted by piracy and reduced profit margins. It is no surprise that companies are making use of all sorts of information in the music field such as ticket sales to increase revenues. It is critical to state that ticket revenues improved from “$1.5 billion twenty years ago to $4.6 billion ten years ago” (Innovative Enterprise par. 4). Looking into the future, stakeholders in the field hope that analytics will continue to achieve its main goal of promoting music brands and helping artists establish better relationships with their fans around the world. These relationships result in improved revenues for hit records.

Works Cited

Fuller, Michael. “Big data, ethics and religion: New questions from a new science.” Religions, vol. 8, no. 88, 2017, 1-11.

Innovative Enterprise. “How is analytics changing the music industry?”

Salim, Nashiya. “The impact of big data analytics and how it is changing the real estate industry.”

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