We’ve uncovered key challenges shared by Latin American musicians that are also relevant to musicians worldwide. Join us as we reveal eye-opening facts about Latin music promotion and the economic landscape while highlighting exciting opportunities for the Latin market in the US.
In the article Marketing Music on Social Media like a Master, JamWith explored the challenges US musicians face when navigating social media for music and career promotion – based on our 2021 US survey. In this follow-up article, we share insights from a similar survey conducted in Latin America, in collaboration with sonGain, a South American musician accelerator based in Colombia.
Why the Latin music market?
The digital music market in Latin America has surged by more than 25% last year, being the fastest-growing global music presence and becoming a major contender as a top 5 favorite genre according to the 2023 IFPI report.
Globalization has propelled the blend, diffusion, and growth of Latin pop music in international markets. This is due to several factors, such as Latin migration and growth in the U.S. and Europe, easy access to free or low-cost online music platforms, and crossovers with mainstream English language artists like Drake, Beyonce, Jennifer Lopez, Khalid, and Nicki Minaj collaborating with Latino artists such as Anitta, Cardi B, Bad Bunny, J Balvin, Maluma, and Karol G, among others.
What does the data show?
Despite this surge, our data shows that many indie talents in the region still struggle with a few aspects of online music promotion. We compared 5 factors holding musicians back when doing social media marketing in both the U.S. and Latin America. Of those, 3 stood out as being more pronounced issues in Latin America. Access to professional marketing, monetizing talents online, and content planning.
After investigating the discrepancies between regions, in addition to discussing our results with sonGain’s CEO Melkys Obispo, we uncovered some important findings for each:
Access to Professional Marketing
Creating compelling content and effective marketing strategies requires digital media and marketing professionals, but they are scarce and expensive locally. A solution is to collaborate with students and beginners willing to work for free or cheap to gain experience.
Content Planning (How to get started, where and when to post)
Digital marketing literacy is essential for Latino musicians who want to create and promote their content effectively. To succeed in the music industry, Latino musicians need to master digital tools that are mostly in English. This can be challenging for those who are not fluent in the language. Moreover, they have to compete with other artists who can easily reach a global audience through digital platforms.
A common mistake among new artists is to spend money only on social media ads, without planning a strategic campaign. To succeed in their careers and promote their content, they need to attract, impress, and cultivate a faithful fan base.
Online Talent Monetization (Selling music, services, concerts, merchandise)
Limited disposable income in some Latin American populations limit their entertainment purchasing power. Resulting in musicians having fewer income opportunities from concerts, downloads, or physical media due to the popularity of music streaming and digital piracy. Moreover, the barriers include complex IP registration, royalty distribution, and the difficulty of making money from online services and concert promotions with high fees.
Think like an entrepreneur
An article by Billboard discovered that 112,000 new tracks are uploaded to Spotify every day (2023). This means that embarking on a music career resembles launching a new product or service in a highly competitive market.
While such fierce competition may be disheartening, it just means musicians must adopt an entrepreneurial mindset. Musicians can put themselves above the majority of the competition by equipping themselves with essential skills such as business strategy, marketing, branding, sales, and money management. Don’t go alone; the ability to strategize, collaborate, and bring in partners is crucial for independent music professionals.
Real opportunities in the Latin music market
Despite the challenges to overcome from both surveys, there’s hope for all kinds of artists in a rapidly growing market. The increasing Hispanic population, both domestically and abroad, is positively influencing the music landscape, opening spaces for a diversity of genres.
For instance, in late 2022, Spotify’s Newsroom revealed that Bad Bunny, a famous Latin Reggaeton and Trap singer, topped streaming charts for three years in a row; in addition, was honored with the top-streamed album the same year, showcasing the growing influence of Latino music on global platforms.
Additionally, the growing Latino population in the US and Europe presents a lucrative opportunity across various industries, including music, contributing to the Latino music market growth.
Despite having lower income levels compared to other ethnic groups, this demographic’s increasing purchasing power is evident. This trend has been highlighted in the IFPI report and the corporate music industry, where established artists have successfully crossed over genres, showcasing the potential of this market.
Hispanic market presence in the U.S.
Statistics collected by JamWith highlight the vast potential of this market within the United States.
- The Latino population in the U.S., whether foreign or native-born, was about 60.6 million in 2019.
This is comparable to the size of a large country. - Latinos are becoming a considerable economic force in the U.S. with $1 Trillion in purchasing power.
- 66,000 Young Latinos reach 18 years old every month. They will soon join the labor force with income and potential spending on entertainment.
- A younger group, Latinos in the U.S. consume more entertainment than other ethnic groups. Their average age is 29, which is 11 years lower than the combined average of 40 for other groups. Young Latino adults spend more time and money on various music genres in different languages, and they support artists through social media, downloads, streaming, and live shows.
- Many Latinos living in the U.S. and Europe support their families back home, helping to raise purchasing power. The world bank found that remittances to Latin America and the Caribbean reached $145 billion in 2022.
Let JamWith be your music promotion superpower
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Latin Americans Breaking Barriers
These statistics and facts reveal awesome opportunities. In essence, Latinos abroad, particularly the younger growing demographic, show progress with higher education levels, quality of life, and spending. While particularly beneficial for Latin musicians and producers; artists across all genres and regions can tap into this market.
Independent artists face many barriers to music and career promotion in a highly competitive industry. However, they can overcome these challenges by finding the right audience, mastering social media management, inventing cool strategies, creating appealing and unique music styles, and collaborating with other musicians and professionals across genres and regions. Their determination and resilience will pay off as they share their talents with the world.
In an upcoming article, JamWith will delve into crafting solid marketing strategies tailored for indie musicians. These insights, when combined with the tactics outlined in other articles, aim to provide a strong foundation for career growth.
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