Sub-Saharan Africa’s recorded music market saw a significant boost in 2024, with revenues reaching an impressive US$110 (Sh14b) million. It was the first time surpassing the US$100 million mark.
South Africa continues to dominate the region, accounting for nearly 75 per cent of the revenue, and experiencing a solid 14.4 per cent growth.
Angela Ndambuki, the International Federation of the Phonographic Industry’s (IFPI) Regional Director for Sub-Saharan Africa, attributes this success to the strategic efforts by record companies to create opportunities for both artistes and fans. She praised the region’s impressive growth in digital revenues, especially in subscription streaming.
However, she points out that technology plays a key role in this growth and urges the region to improve national policies and regulatory environments to attract more investment into the music industry.
“The growth in streaming revenues across Sub-Saharan Africa is being driven by a convergence of several critical factors. First, the rapid increase in smartphone penetration and mobile internet access has made digital services more accessible to a broader population. Second, there’s a growing appetite for African music, with audiences’ eager to engage with content that reflects their identity, culture, and daily experiences,” says Martin Møller Nielsen, CEO at Mdundo.
Martin says platforms like Mdundo are tapping into this by offering tailored experiences that resonate with local audiences, which is absolutely central to the surge in music streaming across the continent.
“Listeners are eager to connect with content that reflects their culture, identity, and daily lives. Platforms like Mdundo are tapping into this trend by offering localized music experiences that resonate with African audiences. Mdundo is one of the many platforms embracing hyper-localization, boasting a catalog of over 800,000 tracks and working directly with more than 200,000 African artistes,” he says.
However, while streaming revenue continues to rise, ad-funded services are showing signs of decline. Martin describes this shift as the “maturation of the market, as consumers now prefer on-demand, ad-free, and personalised music experiences offered by subscription-based platforms like Spotify, Apple Music, and Boomplay.
Dennis Njenga, Co-Founder and Managing Director of Kaka Empire Music, believes the subscription model’s predictable revenue stream is more sustainable than ad-supported services, especially for artists.
With more people willing to pay for convenience and quality, subscription models are becoming “Today’s listeners want on-demand, ad-free, and personalized music experiences — which streaming platforms like Spotify, Apple Music, and Boomplay offer.
While ads still bring in some revenue, they don’t match up to the consistency and scale of income that streams generate, especially for artistes with large audiences. This hybrid approach allows us to serve a broad audience while steadily increasing average revenue per user (ARPU) in a sustainable way,” says Dennis
“It’s also more sustainable in the long run — people are willing to pay for convenience and quality. So, the music industry is naturally leaning into streaming because it aligns with how people consume content now — instantly and without interruption,” he points outt.
Last year in its annual report, Swedish audio streaming platform Spotify Wrapped 2024 had Bien as the top artiste in Kenya this year.
However, challenges remain, especially regarding internet accessibility. Many Sub-Saharan African markets still struggle with low internet penetration and high data costs.
To address this, Mdundo focuses on offering a data-light experience, allowing users to download music for offline listening and minimizing data consumption. Partnerships with telecom operators are crucial to providing affordable, bundled music packages, helping to overcome these barriers.
With markets in Sub-Saharan Africa still grappling with issues such as low internet penetration and affordability the issue of accessibility continues to linger and the call for partnerships across board, could not come at a better time.
“Our platform is designed to work seamlessly on low-end devices and with minimal data consumption. We offer a data-light experience, including the ability to download music for offline listening and a strong focus on reducing bandwidth use. Our partnerships with leading telecom operators across the continent allow us to offer users affordable, bundled music packages that remove barriers to access. This localized, mobile-first approach is key to reaching underserved markets,” says Martin.
At the same time, the question of sustainability and risks involved when it comes to subscription-based model which is on the rise in Sub-Saharan Africa hoovers those involved in music business.
“It’s a delicate balance, and we tackle it through smart partnerships and scalable infrastructure. By working closely with telecom operators, we’re able to offer music packages that are both affordable for users and revenue-generating for Mdundo and our artistes. We also invest heavily in data and analytics to ensure our promotional strategies drive both usage and monetization. Additionally, we keep our operations lean and tech-driven, which allows us to reinvest more into artist royalties and platform improvements. Transparency with artists and partners is key—we want everyone in the ecosystem to win,” reports Martin.