Resources

Table of Contents

0. Summary
1. Changes in K-pop Consumption Driving the Music Market
1.1 Expansion of Consumption in the Global Market
1.2 The Era of 1 Million Albums Sold in the First Week is Over—Now It's 4 Million
2. Major Changes in the Domestic Music Market as Seen in the 「Music User Survey」
2.1 Users Moving from Melon to YouTube
2.2 "I Had My MZ Era Too"
- The New Demand in the Online Music Market: The 60s Generation
2.3 The Generation Spending Money on Music Goods: Late 20s
2.4 Those Who Buy Albums Go to Concerts
- The Correlation Between Offline Performances and Album Sales
3. YouTube: The Game Changer in the Domestic Music Market
3.1 Changes in the Structure of the Music Market
3.2 The Music Industry is Moving at Double Speed
4. Conclusion and Recommendations
5. References

Summary

· There were concerns that K-pop had reached the limit of its growth and that the sales of major entertainment companies were concentrated on a few singers. However, the size of these companies is gradually expanding due to market growth and business diversification.

· With the high interest in K-pop overseas, major domestic entertainment companies are actively expanding into the global market.

· (Users who moved from Melon to YouTube) Looking at the results of the question about 'means or services of music use' in the <2022 Music User Survey>, the number of people who responded that they use music through streaming over the past three years was around 63% to 67%, while the number of people who used music through online video sites exceeded 80%.

· (60s emerging as a new demand for online music) According to the analysis of recent music user survey data, the experience of online videos related to music tends to steadily decrease from the 10s to the 50s. However, in 2020 and 2021, this trend was observed to rebound among those in their 60s. This trend is presumed to be due to the increased interest of the elderly in the trot audition broadcasts that were popular nationwide at the time. If appropriate content planning is implemented, it is expected that people over 60 years old could also become active online video consumers.

· (The generation that spends money on music goods is in their mid to late 20s) In 2019 and 2020, goods were purchased by those in their early 20s and 30s along with those in their mid to late 20s, but after COVID-19, the mid to late 20s became the main consumers of music-related products compared to other generations.

· (People who buy albums go to concerts_Correlation between album purchases and offline performances) Those who have purchased physical albums were found to be about 27% more likely to have attended an offline performance than those who have not. The relationship between these two seems to stem from the common denominator of fandom, suggesting that performances and album promotions should be carried out simultaneously in marketing planning.

· (Outlook on changes in the domestic music market system) As YouTube, a global platform, eliminates regional and linguistic boundaries, and infinite competition targeting people all over the world begins, the K-pop system is expected to take on a different form than before.

- Production: Large entertainment companies that already have a solid production system will produce new groups more precisely while targeting the emotions of Generation Z. Using the K-pop fandom scattered around the world as a stepping stone, the next K-pop artist is expected to have a stronger ripple effect than and .

- Distribution: As YouTube allows direct content delivery to consumers, it is expected that YouTube will weaken the role of traditional 'distributors.'