Since the start of the COVID-19 pandemic, it's known that the dance music industry would be deeply affected. The annual IMS Business Report offers statistics on how the scene was faring before and after the pandemic. Prepared by London analyst Kevin Watson, the annual report is a tool for the industry, serves as a global baseline.
Usually the report is presented at a spring Ibiza summit, this year's online.
Amidst the pandemic, the value of the industry could fall by over 56%. Pre COVID-19, the electronic music industry grew by 2% to $7.3 billion. Over the past 5 years, electronic lost only to hip-hop/rap.
Other data includes how in Ibiza, clubbers contributed with €0.5 billion to the Ibiza economy, with two million club tickets sold. During the island's summer 2019 season, sales generated €80 million in revenue. Drinks and VIP sales added €67 million and €9 million, respectively. A "musical tourist" spends twice that of an average family while on the island.
Dance/Electronic clubs and festivals could lose 75% of income in 2020, roughly $3.3 billion. The pandemic impacted the festival and Ibiza seasons, it remains to be seen whether some events will be able to take place later in 2020. DJ and artist income fall from $1.1 billion in 2019 to $0.4 billion in 2020, a drop of 61%.
Germany saw the most event cancellations, followed by France, Netherlands, the UK and the USA, with brands switching to live streaming. And using different venues for performing, with DJs who performed in Fortnite increasing their Instagram follower growth by 10x during and after the event.