Background Music Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Delivery Model (Streaming Services, Pre-recorded Music Libraries, Custom Music Composition), By Licensing Type (Public Performance Rights, Mood & Genre Specific Licensing), By End-User Industry (Retail Stores, Hospitality Industry, Gyms & Fitness Centers, Offices & Workplaces, Others), By Technology Platform (Standalone Music Players, Software Applications, Mobile Apps), By Region and Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 2.34 Billion
CAGR (2026-2031)	7.79%
Fastest Growing Segment	Standalone Music Players
Largest Market	North America
Market Size (2031)	USD 3.67 Billion

Market Overview

The Global Background Music Market will grow from USD 2.34 Billion in 2025 to USD 3.67 Billion by 2031 at a 7.79% CAGR. Background music consists of curated audio content played in commercial environments, such as retail stores, hospitality venues, and public spaces, designed to influence consumer behavior and establish a specific brand atmosphere. The market is fundamentally supported by the continued expansion of the global retail and hospitality sectors, where businesses increasingly prioritize audio branding to enhance customer dwell time and engagement. According to the International Confederation of Societies of Authors and Composers (CISAC), in 2024, global royalty collections for the live and background music sector grew by 9.6% to reach €3.6 billion, reflecting the robust demand for public performance rights in physical venues.

However, a significant challenge impeding market expansion is the complexity of music licensing and copyright compliance across different jurisdictions. Businesses often struggle with fragmented rights management systems and varying regulatory frameworks, which create high administrative burdens and costs for legitimate adoption. This difficulty in navigating legal requirements frequently deters small and medium-sized enterprises from subscribing to licensed services, thereby limiting the addressable market for background music providers.

Key Market Drivers

The continued expansion of the hospitality and retail industries serves as a foundational driver for the global background music market, as businesses in these sectors increasingly invest in audio solutions to curate distinct consumer experiences. Physical venues are prioritizing licensed music to prolong dwell time and strengthen brand identity, directly fueling the recovery and growth of performance rights revenue. According to the International Federation of the Phonographic Industry (IFPI), March 2025, in the 'Global Music Report 2025', global revenues from performance rights increased by 5.9% to reach $2.9 billion in 2024, highlighting the sustained demand from commercial establishments. This positive trajectory is further evidenced in key regional markets; according to PRS for Music, June 2025, in the 'Financial Results 2024', public performance revenues grew by 8.1% to £203.4 million, reflecting robust licensing activity across traditional commercial sectors.

Simultaneously, the market is expanding through emerging adoption in healthcare, corporate, and wellness spaces, where background music is utilized to enhance employee productivity and patient comfort rather than solely for sales conversion. Corporate offices and industrial facilities are integrating audio environments to improve workplace satisfaction, diversifying the client base for background music providers beyond the traditional retail-hospitality axis. According to PPL, June 2025, in the 'Annual Review 2024', the licensing sector for factories and offices recorded a revenue growth of 8% in 2024, demonstrating the tangible uptake of music solutions within these non-traditional professional environments.

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Key Market Challenges

The fragmentation of rights management and the intricate nature of copyright compliance across diverse jurisdictions constitute a significant impediment to the expansion of the Global Background Music Market. Commercial entities face substantial administrative burdens when attempting to navigate the labyrinth of licensing requirements necessary for legal audio playback. This operational friction results in elevated costs and resource allocation challenges, as businesses must often negotiate with multiple rights holders or collection societies to secure full coverage. Consequently, this complexity frequently acts as a deterrent for potential clients, causing them to forego professional background music services in favor of unlicensed alternatives or silence, thereby shrinking the addressable market size.

This reluctance to engage with formal licensing frameworks is particularly pronounced among smaller enterprises lacking specialized legal teams. The economic scale of this sector is substantial yet constrained by these barriers. According to the International Federation of the Phonographic Industry (IFPI), global revenue from performance rights, which encompasses the use of recorded music in public venues and broadcasting, reached US$2.9 billion in 2024. While this figure demonstrates existing demand, the difficulty of achieving compliance limits the conversion of many commercial spaces into paying subscribers, effectively capping revenue growth for providers and rights holders alike.

Key Market Trends

The Adoption of AI-Driven Real-Time Playlist Curation and Personalization is fundamentally reshaping the market by transitioning background audio from static, pre-programmed loops to dynamic environments that adapt instantaneously. Algorithms now analyze real-time variables such as time of day, weather conditions, and in-store foot traffic density to modulate energy levels, ensuring the audio remains relevant to the immediate consumer context. This technological shift is becoming essential due to the overwhelming volume of content available, which renders manual selection inefficient for large-scale commercial operations. According to Luminate, July 2025, in the 'Midyear Music Report 2025', global on-demand audio streams reached 2.5 trillion in the first half of the year, a 10.3% increase that underscores the massive catalog depth businesses must navigate via automated, intelligent solutions.

Simultaneously, the Emergence of Direct-Licensing and Royalty-Free Business Models is disrupting traditional rights management by offering a streamlined alternative to the fragmented frameworks of performance rights organizations. By providing a single-source license that covers all necessary copyrights, these platforms effectively bypass the administrative friction and legal opacity that often deter enterprise adoption. This model has gained rapid commercial traction as businesses seek to mitigate compliance risks while reducing operational costs associated with multi-jurisdictional licensing. According to Epidemic Sound, April 2025, in the 'Annual Report 2024', the company’s revenues grew by 29% to reach $181.6 million, demonstrating the accelerating uptake of these simplified, rights-inclusive structures within the global business ecosystem.

Segmental Insights

Based on data from trusted market research, the Standalone Music Players segment is currently recognized as the fastest-growing category within the Global Background Music Market. This accelerated adoption is primarily driven by the critical need for operational stability in commercial environments, particularly within the retail and hospitality sectors. Unlike purely cloud-based streaming solutions, standalone hardware ensures uninterrupted audio playback by storing content locally, thereby safeguarding venues against network outages or bandwidth fluctuations that could disrupt the customer atmosphere. Furthermore, these dedicated devices offer robust support for digital rights management, facilitating strict compliance with licensing mandates enforced by Performance Rights Organizations. Consequently, business owners are increasingly prioritizing these resilient systems to maintain a consistent brand experience while mitigating the legal risks associated with unauthorized public performance.

Regional Insights

North America maintains a leading position in the global background music market, driven by a substantial concentration of retail, hospitality, and dining establishments. This dominance is supported by a robust regulatory framework regarding royalty management and copyright compliance, overseen by established entities like the American Society of Composers, Authors and Publishers (ASCAP). Additionally, the widespread adoption of licensed music services to influence consumer behavior in commercial spaces stabilizes market demand. This strong infrastructure allows the region to consistently generate significant revenue within the sector.

Recent Developments

• In February 2025, Mood Media introduced the AI-Powered Audio Messaging CoPilot, a new tool designed to revolutionize how retailers create and manage in-store voice messaging. This innovative platform leveraged generative artificial intelligence to enable businesses to script, edit, and produce professional-grade audio announcements in a fraction of the time traditionally required. The solution provided retailers with the agility to rapidly adapt their in-store marketing to changing promotions or operational needs without relying on lengthy studio production cycles. By integrating this technology, the company aimed to offer its clients a more efficient, cost-effective method for delivering timely and relevant information to shoppers, thereby enhancing the overall customer experience.
• In December 2024, Stingray Advertising expanded its footprint in the retail media landscape through a major partnership with METRO, a leading food and pharmacy retailer. The collaboration introduced video advertising across METRO's network of grocery and pharmacy banners, complementing the existing in-store audio advertising solutions. To support this expansion, the company teamed up with Vistar Media to facilitate the programmatic delivery and management of video ad inventory. This development allowed advertisers to execute omnichannel campaigns that engaged shoppers through both sight and sound at the critical point of purchase, significantly enhancing the reach and effectiveness of Stingray's retail media offerings across hundreds of high-traffic locations.
• In May 2024, Rockbot announced a strategic collaboration with TikTok to integrate the social entertainment platform's content into physical retail environments. This partnership was designed to bridge the gap between digital social engagement and in-store customer experiences by bringing TikTok's viral video content and creator-driven campaigns to Rockbot's TV and digital signage networks. The initiative allowed brands to extend their digital advertising strategies directly to the point of purchase, leveraging Rockbot's infrastructure to display relevant, localized content. By combining social trends with physical retail media, the collaboration aimed to increase dwell time and provide retailers with a modern, dynamic tool to connect with younger demographics.
• In April 2024, Soundtrack Your Brand unveiled a significant technological advancement for the commercial music sector with the launch of its AI Playlist Generator. This new feature utilized Large Language Models (LLMs) to allow business users to instantly create bespoke music schedules by simply inputting a description of their brand's atmosphere and target audience. The system analyzed the company's extensive catalog of over 100 million commercially licensed tracks to generate curated playlists that matched the specific "vibe" requested. This product launch addressed the growing demand for personalized in-store experiences while ensuring all music remained fully licensed for business use, streamlining the curation process for enterprise clients.

Key Market Players

• 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.

By Delivery Model	By Licensing Type	By End-User Industry	By Technology Platform	By Region
Streaming Services Pre-recorded Music Libraries Custom Music Composition	Public Performance Rights Mood & Genre Specific Licensing	Retail Stores Hospitality Industry Gyms & Fitness Centers Offices & Workplaces Others	Standalone Music Players Software Applications Mobile Apps	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Background Music Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• 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
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE