The 1982 album was the Scottish band’s second on the Virgin label and the first to feature drummer Mel Gaynor (recruited after producer Peter Walsh declared himself unsatisfied with Mike Ogletree’s playing). New Gold Dream launched Simple Minds’ career worldwide and delivered the hit singles Promised You A Miracle, Glittering Prize and Someone Somewhere In Summertime. In 2005, Virgin released a DVD-Audio version that was remixed by Ronald Prent. All of the tracks except "Colours Fly and Catherine Wheel" and "Promised You a Miracle" (for which the multitrack tapes were lost) were remixed in 5.1 surround sound, and a downmixed 2.0 stereo version was created for DVD-Audio setups without surround sound. The DVD-Audio version contains the bonus track "In Every Heaven," which had previously been lost as it was not labelled properly on the master tape.

A breakthrough commercial success for the band, the record peaked at number 1 in the UK Albums Chart on 18 February 1984, and reached the top 20 in New Zealand, Netherlands, Sweden, Canada, Switzerland, Germany, Norway, and Australia. Receiving mostly positive reviews in the United Kingdom and the United States, Sparkle in the Rain was ultimately certified platinum in the UK by the British Phonographic Industry, and significantly increased media interest in the band. A Blu-Ray Audio package was released in 2015 that contained the original 1984 stereo mix along with Steven Wilson's 2014 stereo and 5.1 surround sound mixes.