Are People Still Buying Physical Copies In The World Of Streaming Music?

The trajectory of the music industry is unmistakable. After the generational collapse of CDs and an all-time financial low in 2014, the sector rejuvenated itself through streaming. Ever since, it has gone to double its revenue as listeners moved on to subscriptions and on-demand platforms.  

Globally, streaming wasn’t just a trailblazer; it was the ultimate dominator in 2024. Streaming accounted for 69% of the total recorded music revenues, with subscription streaming alone increasing to 9.5% and crossing the $20 billion mark for the first time. Streaming was responsible for 84% of mid-year 2025 revenue. Conversely, paid subscriptions surged up to 105 million accounts and generated a whopping $3.2 billion on their own. The baseline is clear: streaming wasn't just a temporary fix for the music business, but the recovery itself.  

Instead of becoming obsolete, physical copies have found a new runway in the premium lane. IFPI’s global data reports a 3.1% decline in the physical category in 2024, but this mitigation comes right after a huge 14.5% jump from the prior year. Vinyl, the format that refuses to see the end, celebrated its 18th consecutive year of growth, rising up to 4.6%.  

The physical format is now a distribution system that creates demand through its scarcity. In the U.S., they still command value. In the first half of 2025, physical-format generated $576.4 million in revenue. 22.1 million units were moved, signaling its tenacity in the backdrop of the streaming era. Additionally, physical formats generated a solid $456.9 million, while CDs declined to 11.7 million units. Physical music revenue continues to grow as vinyl outsells CDs for the fifth year.  

By changing its semantics from default delivery systems to collectable goods, hard copies have found a way to stay relevant in an otherwise streaming era. Owning a vinyl now is a statement; it means having ownership over merch with cultural significance and tangibility; this has made physical copies a niche that streaming can’t replicate.