Joox has been firing up its marketing efforts throughout 2016. According to new data on App Annie, it is now seeing results when it became the most downloaded music streaming app in Hong Kong, Thailand, Malaysia and Indonesia. Last year, for the first time, the platform gained around 70% of combined iOS and Google Play downloads among the top 10 music streaming apps in the region beating both international and local players.
“In terms of iOS and Google Play combined free downloads, JOOX ranked among the top five in Thailand, the top 10 in Hong Kong and Malaysia, and the top 15 in Indonesia, showing that JOOX’s locally tailored approach is appealing to young audiences across Asia,” said Junde Yu, APAC Managing Director at App Annie.
According to Statista, with 56% of digital music revenues now coming from streaming, compared with 44% for downloads, the streaming market in the region as a whole is expected to grow at an average 15.3 percent, which means the region will have around 87 million music streaming users by 2020.
McKinsey’s research detailed that while it took Western markets about two years for digital music to overtake physical sales, and another two years for streaming music to exceed download services, Asia’s shift towards streaming is happening at a much faster pace and overtook within a year.
What does this really mean to the industry in general for Asia? Well, brand engagement is certainly seen as the next step for Joox; enabling premium subscriptions to be sent over to selected consumers to promote sales and incentivise loyalty.
“The combination of fast market growth and increased market share for regional players is creating new opportunities for advertisers who need to reach and engage with Asia’s important and increasingly affluent youth segment,” said Poshu Yeung, VP of Tencent’s International Business Group and head of JOOX.
With the ability to leverage big data on a large scale as well as locally curated playlists to regional Asia music lovers, advertising oppotunities on major music streaming platforms is expected to cause market growth in the region. Marketing services are now offered to leading brands such as Coca-Cola, Coach, Cartier, Oppo, Hong Kong Express Airlines and Prudential that would eventually offer customised interfaces and premium subscriptions to their customers.
While other platforms like Spotify and Apple are continuing to offer a better-curated list for Asian markets, Joox is leading the market and beating the global competition by employing local editorial teams to communicate localised content via local language as well as lyric cards for local karaoke enthusiasts, which has always been a popular demand in Asia.
How is Joox expanding? While it is rolling out V-Station, a streaming video element to its service that will enable music labels and brands to engage music lovers in more immersive and engaging ways, it is also appealing to brands offering a more sophisticated range of advertising options targeting lifestyle interest.