A new generation of talented, young musicians is at the forefront of Nigerian music‘s global ascent to massive popularity and profitability. Forbes 2023 list of the country‘s top 10 richest artists under 30 reveals how social media savvy stars are capitalizing on streaming and exclusivity to accumulate fortunes rivalling industry veterans.
Historically, the Nigerian music scene has been dominated by seasoned performers who climbed the ladder slowly over decades before attaining superstar status. Fast emerging acts found fame fleeting and financial success hard to sustain.
The script has been completely flipped in the past five years as young artistes leveraged digital mediums and reinvented musical styles to gain instant international recognition and commercial rewards. Afropop and Afrofusion tracks have weaved local rhythmic influences like Afrobeat, Fuji, Highlife with global music pop, R&B; and rap to become quintessential party anthems across Africa and diaspora clubs worldwide. These fresh sounds available on Youtube, Spotify and Apple Music found ready acceptance with Gen Z and millenial culture.
According to PricewaterhouseCoopers, the Nigerian music industry was worth $73 million in 2021, with $43 million derived from music streaming services. This marked a 20% growth versus pre-pandemic years. Industry revenues have multiplied 10x since 2014 ($7m) powered by increased phone penetration, data affordability, spotify and Boomplay adoption.
While industry pie has expanded enormously, its the speed with which young entertainers have commanded both consumer love and record label support that‘s been astonishing. 24-year old Rema tops the Forbes ranking with a networth of $2 million amassed over 3 quick years. The breadth of opportunities even for new entrants is underscored by #10 ranked CKay aged 25 years who shot into limelight last year but is already worth $800,000. Let‘s examine what is powering the rapid success and riches of these youthful troubadours:
Digital First Domination
A common playbook employed by almost artistes in the Forbes ranked lot is establishing connection with fans online first before deploying tracks to radio stations or live performances. This digital launch pad strategy leverages social media platforms, influencer marketing and exclusives to garner millions of streams quickly. 26-year old Fireboy has become a pro at this – first releasing lyric visualizers and teasers on Instagram and Youtube to build anticipation towards the official music video. The numbers validate this approach – his 2019 debut album Laughter, Tears and Goosebumps sold over 200,000 units globally just on pre-orders alone!
But creating viral moments digitally is an art our young artists have mastered – whether its Rema‘s high energy dance moves, Asake‘s genre-bending compositions or Ckay sharing fan videos of his catchy songs shot in exotic locales. They‘ve built underground fandoms runs into millions that record labels cannot ignore. Getting signed on has catapulted their distribution and earnings number into the stratoshpere. No wonder music studios like Don Jazzy‘s Mavins, Banky W‘s EME or Olamide‘s YBNL are on the hunt now for the next viral sensation!
Riding the Streaming Boom
According to 2021 report by music industry tracker MIDiA, sub-saharan Africa will have the fastest growing music subscriber base globally over the next few years. Low median age of African countries, growing disposable incomes is accelerating uptake of music streaming services like Boomplay, Spotify, Apple Music or YouTube. This mirrors the mobile data consumption boom that happened across the continent propelled by affordable android phones. Domestic players like Kenya‘s Mdundo or Nigeria‘s UduX burgeoned by offering locally relevant features like low data usage, vernacular interfaces and sharing options.
The numbers substantiate this – Boomplay, the largest streamer has about 60 million monthly active users now while Spotify plays host to over 40 African music playlists. Between 2020 and now, Apple Music added 8 countries in Africa to its availability list. Universal Music Group set up Nigeria-based Def Jam Africa label to sign promising artistes – their roster now has notable young performers like Nigerian rapper Vector.
The onset of COVID induced lockdowns only turbocharged the shift to streaming – for eg. in April 2020, Spotify streams for Afropop in UK increased by 50% compared to 2019 monthly average. The numbers keep breaking new records – Fireboy DML’s “Peru” became the first Nigerian song to top Billboard US Afrobeats Songs chart in March 2022. Music analysts predict the next wave of smartphone adoption in Africa‘s under-penetrated markets like Ethiopia, DRC Congo etc will fuel bigger opportunities for musicians.
For artists, streaming income has become a lifeline especially as Covid diminished in-person shows, concerts and touring activity. The payout also compares favourably versus the YouTube creator model – for 1 million plays on Youtube, artist income varies from $2000-$4000 based on geography and rights management. The corresponding payout ratio on Spotify and Boomplay would be between $7000-$9000. This higher monetary return is accelerating more musicians embracing streaming platforms more assertively.
As physical distribution declines into insignifance, streaming has become the cash spinner for record labels too accounting for over 80% of their music revenue. Key executives from leading Nigerian music companies like Chocolate City, Mavin Records, Aristokrat Group confirm that 80-90% of their turnover now comes from leveraging streaming partnerships globally. They are investing heavily into video content creation and social media music marketing campaigns . Top ranking stars like Asake, Rema, Ckay command the lion‘s share of these streaming driven earnings for labels as fans globally devote millions of hours just to their new songs and albums.
Mesmerizing Music-Loving Millenials
While research by Boomplay confirmed Gen Z (age 18-24yrs) account for almost 78% of streaming service consumption in Nigeria, its the stars from this age group creating the magic in the studios currently. Youth icons like Rema, Ayra Starr and Fireboy DML with their unique musical talent, aspirational appeal and intense digital lifestyles have millions of teenage followers latching on to every post, song or appearance. 24-year old Zinoleesky stocks have risen up based solely on breakout hits "Kilofeshe" and "Naira Marley" notching 100m and 237m YouTube views respectively.
For music analyst Arinze Dence, "Its their innate understanding of youth culture – latching on to trends like amapiano dance challenges on social media – combined with profound songwriting and vocal talent that make these young Nigerian artistes appeal far beyond regional audiences. Rema and Ckay‘s global conquest bear testimony – their songs get covered or remixed in America, Asia and Europe regularly".
The viral popularity has Asia and Europe‘s party destination promoters and festival curators take note. Following the trails of Wizkid and Burna Boy, these young musicians nowfrequently feature at sold out shows internationally. Shows earns them anywhere from $30,000 for a club guest appearance to $100,000 for a headlining festival act. Back home, private university gigs, corporate sponsored concerts fetch similar big ticket paydays in addition to merchandising and sponsorship income. Given the allure of a young, energetic fanbase, consumer brands often enter into million dollar endorsement arrangements like Rema‘s deal Pan African telecom giant MTN.
The numbers around streaming and social media substantiate their online domination. 25-year old Soft, the "Soft Work" hitmaker has chalked up over 273 million Youtube views and impressive stats on TikTok (1 billion video views), Instagram (5.1 million followers) to grow his net worth to $500,000 already. Such online traction is a common factor uniting the Forbes top 10. 24-year old Bella Shmurda has 3 songs with cumulative streams exceeding 200 million including his breakout hit "Cash App" with Zlatan. Ckay, Asake and Oxlade have all gained global spotlight based on viral dance / hook step challenges. Little wonder music video sponsored posts is a top social media monetization route for them just like Instagram influencers!
Splurging on Luxury, Acquiring Assets
Despite their early career phase, these youth icons live celebrity lifestyles comparable to sports stars and movie actors. Expensive jewelry, designer clothing and accessories, flashy cars and mansions figure prominently in this display of wealth – both as personal utilization and also to reinforce their aspirational, influencer appeal for young followers.
For music stars, building their brands through specificity and differentiation is crucial given the heavy competition. So Ruger goes streetwear luxe, Ayra Starr explores high fashion while Zinoleesky and Bella Shmurda push their Marlian affiliate identity through controversial posts and rebellion. Fans as young as 13 years happily lap up these elements of adventure, ambition, style and success manifesting in idols who reflect their age but achieved heights few can boast of including their parents!
When it comes to enjoying the fruits of fame, these young tycoons are hardly conservative. 23-year old Buju BNXN made heads turn by buying himself a Lamborghini Urus vehicle costing $200,000+ on his last birthday. Singer Oxlade owns multiple exotic cars including the 2019 Dodge Challenger and Range Rover Sport 2021 model. For her 21st birthday celebrations, Ayra Starr turned up in a custom Balenciaga outfit worth millions of Naira! Not just that, she entered 2023 by gifting herself the Mercedes Benz CLA luxury sedan.
The real estate portfolio of this bunch features palatial mansions in prime locations around Lagos, Abuja, Accra or Johannesburg. For example Fireboy DML owns a 8500 sq ft mansion in highbrow Lekki area in Lagos, Asake‘s newly bought home in an exclusive Banana Island neighbourhood cost him around $1.5 million. The opulent interiors matching their flamboyant exteriors. But often these stars downplay ownership with rented or purchased homes registered under company names or associates rarely traceable directly to them.
But flashy acquisition frenzy has led to car crashes literally – in May 2022, Zinoleesky escaped unhurt from an accident in his Ferrari worth over $250,000. Controversies related to ‘lyrics overdose‘ causing public nuisance forced stars like Naira Marley, Mohbad to issue apologies. However these newsbits sparingly diminish the shining rise of the Nigerian music industry‘s future custodians.
Racing Up the Ranks, Breaking the Bank
Industry analysts estimate these musicians earn between $50,000 to $150,000 monthly from streaming revenues, platform exclusives and copyright income from their label. But this is just the foundation on which the enterprise called Stardom rests upon and expands from. Savvy marketing teams align brand endorsements across fashion, electronics, FMCG categories to further bolster the earnings power. Then touring activities kick in – private shows, music festivals, road tours which command five figure performance fee per event plus sponsorships.
The cream on top comes from ancillary business pursuits – leveraging the creators economy wave, merchandising their personalised clothing lines, diversifying into related sectors like hospitality, agriculture, transport and logistics. Nigerian beer brand Star Lager signed singer Mayorkun for their brand ambassador slot through 2025 at a reportedly $50 million valuation. The numbers might seem incredulous but actually pale against mainstream US rap stars like Jay Z or Kanye West‘s deals.
Dence explains "The appeal and potential of Nigerian musicians is actually undervalued presently. We are seeing the world opening up to our talent pool which is just early in their career trajectories. Imagine when these talented superstars peak what magic they can weave!". Veterans like Don Jazzy, Banky W, Ubi Franklin who paved the early inroads agree the achievements of the next gen ratifies their vision.
Summing it up, Boomplay CEO Phil Choi asserts “2023 promises even greater growth for African music as smartphone reach grows exponentially across underpenetrated markets like Ethiopia, DRC Congo, Tanzania etc. Coupled with growing demand from export markets, streaming music will unlock a $100 million value pool for labels, distributors and artists allowing new sub-genres to flourish". The top 10 kids have set the gold standard on achieving breakout music success. Its now over to a wider pool of emerging talents to catch the tidal user wave to fame and fortune!