Big data has turned the music industry on it’s head, changing the business model entirely.
Just as eight tracks were to records and CDs to cassette tapes, online music streaming has completely changed how people purchase their music.
Spotify, Pandora, iHeart Radio and many others have drastically altered music distribution and artist discovery, customizing the experience for users based on their on-platform behaviors and song preferences. And they do this via big data.
In fact, Spotify’s entire business is based on big data. Each day, around 600 GB of data is created by Spotify users as they listen and share songs, create playlists and use in-platform apps like Tunigo. Spotify then pulls from its 20+ million song library and tailors music discovery for individual users.
“With the surge of digital streaming technologies, the music industry has been forced to look elsewhere for serious revenue — and festivals and concerts provide.”