Madrid, 11^th April 2025

WIN and the Latin American Independent Music Observatory (OLMI) present a new report on digital distribution in Latin America. This study, conducted between 2023 and 2024, analyses the situation in eight countries in the region and highlights how presence on digital platforms and affiliation with independent record labels positively influences the economic sustainability of artists.

Among the report’s most relevant findings is that artists working with record labels have a higher percentage of monthly listeners and generate more revenues on digital platforms than those who are self-released. The study also shows that the existence of local infrastructure (such as digital distributors) is related to higher levels of professionalisation, income and knowledge of the digital value chain by artists, for example in relation to the types of existing contracts and the terms offered.

Noemí Planas, WIN CEO: These results reinforce the notion that the structural and financial support that labels provide to artists is key to their success in the music ecosystem. Public and private investment to promote a professional music infrastructure in the region is key to ensure the growth of all players.

The Latin American music industry faces multiple challenges. Despite the growth of streaming in recent years, there is still a heavy reliance on live performances, which account for 60% of the revenues of the artists surveyed. As evidenced during the pandemic, greater diversification of revenue sources is key to reducing the sector’s economic vulnerability.

This is a challenge, since although more than 60% of artists generate income through streaming, less than 10% earn more than US$5,000 per year. In the countries analysed using quantitative models (Chile, Costa Rica, Ecuador and Paraguay), artists with more than 500 monthly listeners barely represent 30%. Therefore, a large majority may be affected by the recent royalty payment reforms introduced by the main streaming platforms that contemplate the demonetization of content below thresholds of streams and listeners.

In addition to the high dependence on DIY digital aggregators, almost a third (32.2%) of respondents market their music through distributors that have recently integrated – or are in the process of doing so – with majors, denoting a clear trend towards market consolidation.

Noemí Planas, WIN CEO: Consolidation in the music sphere is concerning because of its impact on the dissemination of Latin American independent music, especially in the digital market, where we see that there are fewer and fewer independent operators. The concentration of power, information and access channels in the hands of three large multinationals translates into worse conditions for independents, such as streaming models that demonetise their content and that they have no choice but to accept.

The report highlights the importance of strengthening the relationship with record labels and investing in the education of key players. Collaborative networks such as trade associations and industry events play an essential role in promoting professionalisation and knowledge sharing in the region.

Cristóbal Dañobeitia, Director of OLMI: The report reaffirms the need to consolidate a professional, informed and collaborative ecosystem in Latin America. The union between key players and investment in education, research and technology are essential to ensure equitable and sustainable growth.

“La música independiente en Latinoamérica: cadena de valor y distribución digital” has been commissioned by WIN and developed by an interdisciplinary team of experts from OLMI, in collaboration with trade associations ABMI, IMICHILE and AMI PY, as well as AMPROFON, Sociedad Chilena de Autores e Intérpretes Musicales (SCD), Alianza Francesa Costa Rica and Universidad de los Andes.

About WIN
The Worldwide Independent Network connects and develops the global independent music community. WIN brings together trade associations representing thousands of independent music businesses around the world. WIN acts as a global coordination and support network for the independent sector, focusing on its long-term development and sustainability. WIN promotes a diverse and vibrant ecosystem with full market access and equal opportunities for all independents, through transparency, innovation and cooperation.

About IMPALA
IMPALA was established in 2000 and now represents over 6000 independent music companies in Europe. 99% of Europe’s music companies are small, micro and medium businesses and self-releasing artists. Known as the independents, they are world leaders in terms of innovation and discovering new music and artists – they produce more than 80% of all new releases and account for 80% of the sector’s jobs. IMPALA’s mission is to grow the independent music sector sustainably, return more value to artists, promote diversity and entrepreneurship, improve political access, inspire change, and increase access to finance. IMPALA works on a range of key issues for its members and started a new co-funded work programme as an EU cultural network in 2025. IMPALA runs various award schemes and has a programme aimed at businesses who want to develop a strategic relationship with the European independent sector – Friends of IMPALA