Last week at the All That Matters conference in Singapore, Scott Ryan, EVP, Commercial at Luminate, delivered an update focused on key music trends in the APAC + ANZ (Australia and New Zealand) region. But one market stood out in his presentation as a driving force on the area’s role in global premium streaming: Japan.
While APAC overall trails the global average in Premium streaming adoption, Japan has emerged as the clear leader, with Luminate Music Consumption Data showing the market accounted for nearly one in three Premium streams across the region.
Japan has historically valued physical music formats such as CDs. And while they are still very popular and command significant spend, younger audiences are increasingly gravitating toward streaming platforms.
New consumer research data in Japan Music 360 from Luminate Insights reveals that 66% of Gen Z listeners identify as music streamers. Notably, the percentage of Gen Z who are Premium music streamers has risen to 42%, up from 36% in 2023. Concurrently, reports of free streaming usage have decreased slightly since 2023, indicating a successful conversion rate from free to Premium services.
Premium as the Global Standard
Premium accounts for 82% of on-demand music streams worldwide, compared with just 62% across APAC. This gap illustrates both the challenge and opportunity for the region.
Alongside South Korea, Singapore and Taiwan, Japan is pushing Premium adoption forward, laying the foundation for more sustainable streaming growth in Asia.
Japan’s Role in Global Music Consumption
The clear leadership of Japan has ripple effects across the global music economy. By driving Premium volume in a region still catching up to global norms, the country is shaping consumption patterns, licensing models and fan expectations. Its role ensures artists and labels alike see meaningful revenue returns in a part of the world where ad-supported and free streaming have historically been more common.
For international artists, this also underscores the importance of treating Japan as a core market — not a secondary one — when planning release strategies, touring and marketing campaigns.
Premium Listeners as Loyal Fans
Subscribers to Premium are the most engaged and loyal streaming audience, driving higher per-capita revenue for artists. Additionally, Luminate Insights consumer research recently found that 51% of Gen Z in Japan listen to artists to participate in fandom, suggesting a Premium subscription is key to engaging with these online communities.
Looking Ahead
As the global music industry anticipates the next wave of growth, Japan’s success offers a roadmap in the APAC region. Building Premium adoption in Asia won’t happen uniformly, but Japan shows how strong infrastructure, consumer demand and cultural investment in music can accelerate the shift.
