LP Records Surpass CD Sales in the US for the First Time in 35 Years... "Retro Boom Sparks Interest Among MZ Generation"

First Time Since 1987 That CD Sales Were Surpassed

Vinyl records, commonly known as 'LPs,' surpassed CD sales in the United States last year for the first time in 35 years.

According to the Wall Street Journal (WSJ) and others on the 10th (local time), the Recording Industry Association of America (RIAA) announced in its annual report that vinyl sales in the U.S. last year totaled 41 million units, exceeding CD sales of 33 million units. This is the first time vinyl sales have surpassed CDs since 1987.

As an analog storage medium, vinyl's market share sharply declined after the introduction of the digital storage medium CD in 1982. However, with the emergence and popularization of streaming services, vinyl's popularity has resurged. WSJ explained that demand for LPs has increased mainly among indie rock fans. The U.S. economic media outlet Business Insider reported that interest in vinyl is growing among Generation Z.

Comparing sales revenue from physical music formats excluding streaming, vinyl's U.S. revenue last year reached $1.224 billion (approximately 1.62 trillion KRW), a 17% increase from the previous year. This marks six consecutive years of sales growth and accounts for over 70% of revenue from physical music formats. Meanwhile, CD revenue was $480 million, down 18% from the previous year.

RIAA stated, "Since the remarkable revival in 2021, sales revenue from physical music formats (including vinyl and CDs) has steadily increased." Revenue from these formats excluding streaming rose from $1.163 billion in 2020 to $1.664 billion in 2021, and $1.731 billion in 2022.

Despite vinyl's popularity, streaming services still dominate the U.S. music market. Streaming industry revenue accounted for about 84% of the total music market.

Last year, subscription-based streaming revenue from platforms like Spotify increased 8% year-over-year to $10.2 billion, surpassing the $10 billion mark for the first time. The number of subscribers reached 92 million, a 10% increase from the previous year.