How Lost Generation Music may Save the Industry from Itself

Ten years ago, around 200 million people worldwide bought a CD every month. Today, only about 50 million people are using streaming platforms. According to new research, this is because streaming services have failed to win over Gen Xers and Baby Boomers.

A YouGov study, commissioned by Electric Jukebox, found that fewer than 6% of Gen X consumers in the UK currently subscribe to a music streaming service. In comparison, just 3% of Baby Boomers do. In contrast, Millennials were shown to be three times more likely, with 16% already paying for subscriptions.

So why is this the case? Are people over 35 too attached to CDs, or is it more that they can’t stream, or won’t stream?

Won’t Stream?

Chris Carey, CEO of Media Insight Consulting, notes that, contrary to what many technology and industry analysts once predicted, CDs remain popular. His UK-based research shows that 43% of people aged 35 to 45 bought a CD within the last six months, as did 41% of those aged 45 to 54. This same demographic is also attending more live shows than ever before.

But with such enthusiasm for music, and the well-documented spending power of Boomers, why are they not embracing the chance to access almost unlimited music for one low monthly fee? For independent artists, Spotify Promotion and radio promotion for artists can help reach these older audiences as they gradually adopt streaming.

Can’t Stream?

Rob Lewis, CEO of Electric Jukebox, believes the issue is that music streaming technology is still too “complex.” He explained that the idea for his company came after buying a Sonos system with a subscription streaming service for his parents. Their reaction highlighted the digital divide between older and younger listeners, ranging from concerns about online payments to the challenge of connecting apps with hardware such as radios, laptops, and phones.

This may help explain why people over 35, who remain heavy radio listeners with well-established music habits, have not yet made the jump to streaming. For this audience, the Lost Generation music narrative isn’t about a lack of interest in music, but about how their habits don’t easily translate into digital platforms.

Will Stream, Eventually

Paradoxically, this slower adoption rate may stem from a lack of digital maturity. Carey, who has previously worked with Spotify, recalls that just a few years ago, people over 35 represented nearly half of the platform’s user base. The shift since then is due primarily to Millennials adopting new technologies more quickly.

For an industry often described as struggling, the idea that older generations could still catch up and begin investing in streaming is compelling. A friend once pointed out that during the height of the CD era, the average person probably spent around £50–£60 a year on music. Now, with subscriptions averaging £120 annually, streaming has the potential to bring in more consumer revenue.

Carey highlights Sweden, the birthplace of Spotify, as an example of what’s possible. There, streaming adoption has matured to the point where the music economy has doubled in just a few short years. This demonstrates the clear potential for the music industry to transform if older listeners eventually adopt streaming. PR Campaigns and collaborating with a music PR firm can help independent artists take advantage of this growing audience.

Devices That Make the Difference

Another factor driving this transformation is the advancement of hardware. Many older listeners are willing to spend money on high-quality devices, such as Sonos systems, which can cost several hundred pounds but deliver the kind of sound quality they appreciated before the dominance of MP3s.

Devices like the Electric Jukebox, which connect directly to a TV, or Roberts radios that already support Spotify streaming, are helping to bridge the gap. Volvo is even rolling out global Spotify integration in its cars, while Apple Music continues to expand everywhere possible.

Sonos CEO John MacFarlane has predicted that as many as one billion people could be paying for music streaming by 2021. Whether or not that timeline comes true, one thing is sure: there is still a vast pool of untapped consumer spending that could fuel the next wave of music industry transformation. Artists can combine this with a Starter Package from a music marketing agency or a press release for music to maximize their reach.