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 News Music Industry 12/02/2018

Netease Cloud Music Seizes Competitive Advantages In China's Digital Album Market

Netease Cloud Music Seizes Competitive Advantages In China's Digital Album Market

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New York, NY (Top40 Charts / NetEase Cloud Music) With reference to data from 2018 China's Digital Music Consumption Report released by established Chinese third-party research institution iResearch Consulting Group on January 31, music streaming platform NetEase Cloud Music (NCM) seized competitive advantages in China's digital album market throughout 2017, especially in the field of European, American, and independent music.

As indicated in the report, digital albums have become a major engine of the digital music market's growth in . According to the public statistics stated in the report, during January to November 2017, 20 albums were added to music streaming platforms of China, among which, sales volumes of 13 albums sold on NetEase Cloud Music surpassed other platforms.

European and American music is popular on NetEase Cloud Music. Among those 20 digital albums, 8 were created by European and American musicians, and 6 were best-sellers on NetEase Cloud Music, including Sam Smith's The Thrill Of It All and Maroon 5's Red Pill Blues The albums mentioned in the report did not include the exclusive digital albums on the streaming music platform of a certain company, and the data was collected up to Nov. 12, 2017.

Just in December last year, the digital album Revival of Eminem was released on streaming music platforms of China, public data shows that its sales on NetEase Cloud Music has exceeded 2.9 million on February 10, which was nearly twice the sales of the second-highest platform.

NetEase Cloud Music has also become the most important platform for independent artists to release their digital albums in China. The sales of Haomeimei Band, Xie Chunhua and some other famous Chinese independent artists' new digital albums on NetEase Cloud Music exceeded the sum of total sales generated by other major platforms in China.

Why does NetEase Cloud Music achieve such a stunning performance? Result of the research report shows that NetEase Cloud Music has increased user engagement by building a music social platform, and this can help to boost the sales of digital albums on NCM. Taking the sales of Red Pill Blues of Maroon 5 and other albums as an example, the report states that NetEase Cloud Music increased user engagement by encouraging users to generate comments, playlists, short videos, radio programs, moments and other user-generated content (UGC). Apart from that, the interactions among artists, users and we-media on the platform brought users and music works closer. In addition, NetEase Cloud Music has explored various means to enhance users' consumption experience, which boost digital album consumption growth.

Through such investigation, this report also discovered some important features of Chinese digital music consumers: they enjoy taking part in social activities through music and prefer to accept independent and international music. NetEase Cloud Music is the largest music social platform and independent artists platform in China with over 400 million users, in which there are more than fifty thousand registered independent artists.

Based on the profile of Chinese digital music consumer, NetEase Cloud Music may play a more important role in the entire digital music market in China in the future.

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