6 in 10 Indians willing to pay for music if free options disappear: EY-IMI report

India's music streaming industry could unlock millions of new paying subscribers, with 61% of non-paying listeners saying they would subscribe if free alternatives were unavailable and pricing remained reasonable, according to a new report by EY and the Indian Music Industry (IMI).

The finding comes from a survey of more than 15,000 smartphone users, highlighting a significant opportunity for streaming platforms to grow paid subscriptions in one of the world's largest music markets.

The report estimates that India currently has around 14 million paid music subscriptions, despite 96% of smartphone users consuming music and 80% of listeners spending more than an hour a day listening to it.

According to the study, consumers are not fundamentally opposed to paying for music. Instead, many believe free services already meet their needs and fail to see enough differentiation between paid and free offerings.

Among respondents who already pay for music, the biggest reasons for subscribing were the ability to avoid advertisements and access premium features, suggesting that consumers are willing to pay when they perceive clear value.

The report argues that improving this value proposition could substantially expand India's subscriber base. It recommends creating a sharper distinction between free and premium tiers through better audio quality, exclusive features, seamless functionality and richer user experiences. It also calls for positioning music as premium entertainment rather than a background utility.

However, the report also identifies a hard ceiling for the market. Around 39% of respondents said they would never pay for music. Among them, 70% would switch to free YouTube, while 28% said they would move to pirated sources if paid subscriptions became the only option.

Despite these challenges, EY expects India's paid music subscriber base to double to nearly 29 million by 2028, supported by telecom and e-commerce bundling, stronger premium offerings and improved customer experience. Industry leaders interviewed for the report believe the long-term market could support 50-75 million paid subscriptions.

The report concludes that the next phase of growth will depend less on attracting new listeners and more on convincing existing users that music is worth paying for.