Gen Z leads the way in Japan’s streaming boom
Streaming is exploding in the APAC region as Japan’s youth converts from CDs to streaming and India continues to boom.
Luminate have revealed the latest growth stories in the global music industry and Japan is leading the way. During the All That Matters conference, Luminate highlighted the key trends across the APAC (Asia Pacific) and ANZ (Australia & New Zealand) regions.
The results show that Asia is slightly trailing in paid streaming adoption compared to the global average. However, a couple of the markets within the region are standing out with huge growth.
Japan has emerged as the unequivocal leader for the Asian streaming market. The Japanese market now accounts for nearly one in three Premium streams across the APAC region. The figure is especially significant given the country’s historically phsyical-music-dominated market.
The transition from physical formats and ad-supported services to premium subscriptions is being driven by a key demographic: Gen Z
Japan has become APAC’s premium streaming leader
Globally, Premium subscriptions are the standard, accounting for 82% of all on-demand music streams. In the APAC region, that figure drops significantly, historically hovering closer to 62%. This gap presents both a challenge and an opportunity, and Japan, alongside South Korea, Singapore, and Taiwan, is actively working to close it.
The shift is particularly significant in Japan, which has long favoured physical music formats. While physical sales still comman considerable spend, younger audiences are clearly accelerating the shift toward paid digital services.
The drive toward premium subscription volume is laying the foundation for a healthier and more sustainable future for artists and rights holders across the region.
How Gen Z is making the transformation from free to premium streaming
Luminate’s Japan Music 360 report confirms that Gen Z is the engine behind this market acceleration, showing:
- 66% of all Gen Z listeners in Japan identify as music streamers
- The percentage of Gen Z who are Premium music streamers has risen sharply to 42% up from 36% just one year prior in 2023
An important note is that the growth in Premium streaming uptake correlates with reduced free streaming useage. This is an important cultural investment showing the shift in value of music streaming services in Japan.
Furthermore, Luminate Insights found that 51% of Gen Z in Japan listen to artists specifically to participate in fandom. A premium subscription is therefore seen as a vital key to accessing and participating in online music communities, making them the highest per-capita revenue drivers for artists.
Why Japan has become a core market for global artists
For labels and independent artists utilising services like RouteNote, the clear leadership of Japan’s premium streaming growth has critical global implications.
By generating a high volume of paid streams in a market that historically lagged in digital revenue, Japan is directly shaping consumption patterns, licensing models, and – most importantly – meaningful revenue returns for artists and publishers.
This underscores an essential piece of advice for any global artist: you must treat Japan as a core market – not a secondary one – when planning your release strategies, marketing campaigns, and touring schedules. The infrastructure and consumer demand are now perfectly aligned to accelerate your revenue potential in Asia.
With free global music distribution to all of the world’s top digital music platforms, RouteNote offers the perfect route for artists to get their music heard in emerging markets and developed ones alike.
Head to www.routenote.com to find out more and sign up for free music distribution.
APAC’s other big contenders in music streaming
Whilst Japan is far in the lead for overall Premium streams, the chart shows significant growth in many other markets in the APAC region. Particularly India, which saw an astonishing 43.9% growth from H1 ’24 to H1 ’25.
Impressive growth was also seen in the Phillipines, Indonesia, Thailand, Taiwan, Malaysia, and Vietnam. However, their overall streams pale in comparison to Japan’s and even India’s.
Read more from Luminate Data’s Music Insights for the Global and Asia Pacific Markets here.