Background Music Market - Global Industry Size, Share, Trends, Opportunity, and Forecast, 2021-2031

The Global Background Music Market is projected to expand from USD 2.34 Billion in 2025 to USD 3.67 Billion by 2031, reflecting a compound annual growth rate of 7.79%. This industry centers on providing curated audio content for commercial settings, including retail stores, public spaces, and hospitality venues, with the aim of shaping consumer behavior and defining a distinct brand atmosphere. Growth is largely underpinned by the ongoing development of the global retail and hospitality sectors, where businesses are increasingly leveraging audio branding to improve customer engagement and extend dwell time. Data from the International Confederation of Societies of Authors and Composers (CISAC) indicates that global royalty collections for the live and background music sector rose by 9.6% in 2024, totaling €3.6 billion, which underscores the strong demand for public performance rights in physical establishments.

However, the market faces a significant obstacle regarding the intricate nature of music licensing and copyright compliance across various legal jurisdictions. Companies frequently encounter difficulties with disjointed rights management systems and inconsistent regulatory frameworks, leading to substantial administrative costs and burdens associated with legitimate adoption. This complexity in satisfying legal prerequisites often discourages small and medium-sized enterprises from committing to licensed services, effectively restricting the total addressable market for background music providers.

Market Drivers

The sustained growth of the retail and hospitality sectors acts as a primary catalyst for the global background music market, as commercial entities in these fields increasingly fund audio strategies to cultivate unique customer experiences. Physical establishments are prioritizing licensed music to extend visitor dwell time and reinforce brand identity, which directly contributes to the recovery and expansion of performance rights revenue. According to the 'Global Music Report 2025' released by the International Federation of the Phonographic Industry (IFPI) in March 2025, global revenues from performance rights rose by 5.9% to $2.9 billion in 2024, underscoring the enduring demand from commercial venues. This upward trend is mirrored in key regional markets; for instance, PRS for Music reported in their 'Financial Results 2024' from June 2025 that public performance revenues increased by 8.1% to £203.4 million, indicating strong licensing activity within traditional commercial industries.

Concurrently, the market is broadening its scope through rising adoption in wellness, corporate, and healthcare environments, where background audio is deployed to improve patient comfort and employee productivity rather than solely driving sales. Industrial facilities and corporate offices are incorporating audio environments to enhance workplace satisfaction, effectively diversifying the customer base for background music providers beyond the conventional retail and hospitality focus. As noted in PPL's 'Annual Review 2024' published in June 2025, the licensing sector for offices and factories experienced revenue growth of 8% in 2024, proving that there is tangible uptake of music solutions within these non-traditional professional settings.

Market Challenges

The complex nature of copyright compliance and the fragmentation of rights management across various jurisdictions represent major hurdles to the growth of the Global Background Music Market. Commercial organizations encounter significant administrative difficulties when trying to maneuver through the intricate web of licensing requirements needed for legal audio playback. This operational friction leads to increased costs and challenges in resource allocation, as businesses are often required to negotiate with numerous collection societies or rights holders to ensure comprehensive coverage. As a result, this complexity frequently discourages potential clients, leading them to choose silence or unlicensed alternatives over professional background music services, which ultimately reduces the size of the addressable market.

This hesitation to participate in formal licensing structures is especially evident among smaller businesses that lack dedicated legal teams. Although the economic potential of this sector is significant, it remains constrained by these structural barriers. According to the International Federation of the Phonographic Industry (IFPI), global revenue from performance rights, covering recorded music use in broadcasting and public venues, totaled US$2.9 billion in 2024. While this figure illustrates substantial existing demand, the challenges associated with achieving compliance restrict the conversion of many commercial spaces into paying subscribers, effectively limiting revenue potential for both rights holders and providers.

Market Trends

The market is being fundamentally transformed by the adoption of AI-driven real-time playlist curation and personalization, shifting background audio from static, pre-set loops to dynamic environments that adjust instantly. Algorithms are now capable of analyzing real-time factors - such as weather conditions, time of day, and the density of in-store foot traffic - to modulate energy levels, ensuring the audio remains contextually relevant to the consumer. This technological evolution is increasingly necessary given the vast volume of available content, which makes manual curation inefficient for large-scale operations. As highlighted in Luminate’s 'Midyear Music Report 2025' from July 2025, global on-demand audio streams rose by 10.3% to hit 2.5 trillion in the first half of the year, emphasizing the extensive catalog depth that businesses must manage through intelligent, automated solutions.

At the same time, the rise of royalty-free business models and direct licensing is disrupting traditional rights management by providing a simplified alternative to the fragmented systems of performance rights organizations. By offering a single-source license that encompasses all necessary copyrights, these platforms effectively circumvent the legal opacity and administrative friction that often discourage enterprise adoption. This model is gaining significant commercial traction as companies look to lower operational costs linked to multi-jurisdictional licensing while mitigating compliance risks. According to the 'Annual Report 2024' from Epidemic Sound in April 2025, the company saw a 29% increase in revenue to $181.6 million, illustrating the rapid adoption of these streamlined, rights-inclusive frameworks within the global business landscape.

Key Players Profiled in the Background Music Market

• Mood Media, LLC
• Sirius XM Radio Inc.
• Soundtrack Your Brand
• PlayNetwork, Inc.
• Cloud Cover Media, Inc.
• TouchTunes Music Company, LLC
• Qsic, Inc.
• Imagesound Ltd.
• CustomChannels.net, LLC
• Rockbot, Inc.

Report Scope

In this report, the Global Background Music Market has been segmented into the following categories:

Background Music Market, by Delivery Model:

• Streaming Services
• Pre-recorded Music Libraries
• Custom Music Composition

Background Music Market, by Licensing Type:

• Public Performance Rights
• Mood & Genre Specific Licensing

Background Music Market, by End-User Industry:

• Retail Stores
• Hospitality Industry
• Gyms & Fitness Centers
• Offices & Workplaces
• Others

Background Music Market, by Technology Platform:

• Standalone Music Players
• Software Applications
• Mobile Apps

Background Music Market, by Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

Competitive Landscape

Company Profiles: Detailed analysis of the major companies present in the Global Background Music Market.

Available Customization

The analyst offers customization according to your specific needs. The following customization options are available for the report:

• Detailed analysis and profiling of additional market players (up to five).

This product will be delivered within 1-3 business days.