The Japanese physical-music market tanked in 2009, according to data released Dec. 8 by SoundScan Japan (SSJ).

Retail music sales in Japan were worth a total of 2.2 billion yen ($2.4 billion) from Jan. 1 until the first week of December, down 26% from 3 billion yen ($3.4 billion) in the corresponding period of 2008, says Tokyo-based SSJ.

Its data shows that 197.5 million yen’s ($219.8 million) worth of music software was sold at retail in the last three weeks of 2008, but given the lackluster state of the Japanese market, it seems unlikely that sales from now until the end of the year will be anywhere near that figure.

While a lack of big releases by major acts – local and international -- in 2009 and the recession go some way toward explaining the grim SSJ data, the fact is that the Japanese physical music has been in steady decline for the past decade. 

SSJ’s figures are based on POS data for audio software products sold (excluding import products) from some 2,700 record stores nationwide. That data is then extrapolated to provide retail sales figures for the entire Japanese recorded-music market.

Market figures released by local labels body the Recording Industry Association of Japan (RIAJ), in contrast, are based on shipments data from its 49 member companies and thus are expressed in wholesale-value terms. The RIAJ figures for the year to Oct. 31 are just as depressing as the SSJ numbers: shipments of audio software were down 15% in both volume and value terms to 1.75 billion yen ($1.9 billion) and 205.4 million units, respectively.

Just how the world’s No.2 music market intends to break out of its downward spiral in 2010 remains to be seen.