Spotify's recent royalty payout of $10 billion to musicians worldwide has shed light on the modest share received by African music markets, despite their growing global popularity. According to reports, Nigeria and South Africa, two of Africa's largest music markets, received a combined total of $59 million, a small fraction of the total payout.
This disparity is particularly notable given the significant presence of African artists on the Spotify platform. Data from the company reveals that approximately 250 million user-created playlists feature at least one Nigerian artist, while 220 million playlists include a South African artist. These numbers are a testament to the growing global appeal of African music, with artists like Tems, DJ Maphorisa, Tyla, Burna Boy, Rema, Davido, and Wizkid gaining international recognition.
Despite this, African music markets still account for a small percentage of royalties disbursed by Spotify each year. According to Jocelyne Muhutu-Remy, Spotify's managing director for Sub-Saharan Africa, "What we're seeing is an excellent evolution around more and more mid-tier or up-and-coming artists making a living." This suggests that while African artists are gaining traction, there is still a long way to go in terms of bridging the gap between their global popularity and the royalties they receive.
In 2024, Nigerian artists received royalties of over 58 billion Nigerian naira ($38 million), a significant increase from 2023. South African artists, on the other hand, received 400 million rand ($21 million) in royalties, a 54% increase from the previous year. Notably, a large portion of their earnings came from outside their own markets, with Nigerian artists' export growth increasing by 49% and South Africa's by 104% over the last three years.
The growth of African music exports is also reflected in the number of artists earning significant amounts from their music. In Nigeria, the number of musicians making ten million naira per year has tripled since 2022, while in South Africa, the number of artists earning between 100,000 and 500,000 rands has more than quadrupled in the last three years. These numbers suggest that while the royalties may be modest, African music is gaining traction globally, and artists are reaping the benefits.
The implications of this trend are significant, not only for African artists but also for the music industry as a whole. As African music continues to gain global popularity, it is likely that we will see a shift in the way royalties are distributed, with African markets potentially receiving a larger share of the pie. Additionally, this growth could lead to increased investment in the African music industry, further solidifying its position on the global stage.
In conclusion, while the modest share of Spotify's royalty payout received by African music markets may be a cause for concern, it is also a testament to the growing global appeal of African music. As the industry continues to evolve, it will be interesting to see how this trend develops and what implications it may have for African artists and the music industry as a whole.