is artist management a feasible business in the finnish music … · record labels make money with...

Is artist management a feasible

business in the Finnish music

market?

MikaMa&JaakkoTikkala

BeingaIndividualResearchProjectpresentedinpartrequirementforInterna?onalBusinessandManagementStud‐ies,HogeschoolINHolland,SchoolofEconomics,Amsterdam/Diemen,TheNetherlands.

ThisworkoranypartthereofhasnotpreviouslybeenpresentedinanyformtotheHogeschoolINHollandortoanyotherins?tu?onalbodywhetherforassessmentorotherpurposes.Saveforanyexpressacknowledgements,refer‐

encesand/orbibliographiescitedinthework,Iconfirmthattheintellectualcontentistheresultofmyowneffortsandnootherperson.

25.5.2010

AndyDenz‐Supervisor

Individual Research ProjectMikaTikkala

Is artist management a feasible business in the Finnish music market?

“Themusicbusinessisacruelandshallowmoneytrench,alongplas?challwaywherethievesandpimpsrunfree,andgoodmendielikedogs.Thereisalsoanega?veside.”

fridays management Pohjoinen Heikelintie 21 A 02700 Kauniainen FINLAND T (+358) 40 8483887 [email protected] www.fridays.fi

M A N A G E M E N T

http://www.fridays.fi


Preface

Fridaysmanagementreachesmanybusinessfieldsbutthereportisfocusingonthemusic

business.Theideabehindtheprojectissimplyownintereststowardsmusicmanagement.People

interestedinmusicasabusinessandbecomingamanagerthereportwillgiveadetailed

perspec?vetomanagementandabroadviewoftheFinnishmusicmarket.Thefeasibilitystudyas

ase&ng,willguidenewmanagers,showinsightabouttheFinnishmarketandwhatelementsto

takeintoconsidera?onwhensteppingintothemusicbusinessinFinland.Altogetherthegoalisto

determinewhetherar?stmanagementisprofitableforFridays.

SpecialacknowledgementstotheFridayscrewandtheguidancereceivedfromBackstageAlliance.

Amajorrecogni?ongoestoallthepeopleinvolvedintheresearchandespeciallythosepartofthe

survey.




Table of Contents

Definitions and key words 3

Definitions 3

List of Figures and Tables 5

Figures 5

Tables 5

Executive Summary 6

Introduction 7

Chapter 1. Company Profile 8

Fridays management 8

Chapter 2. Artist Management 11

Artist Management Characterization 11

Chapter 3. Market Environment 14

Management World in the Music Business 14

Nightlife and its Trends 16

Market Area 17

Target market 18

Chapter 4. Competition 19

Competition Analysis 19

Fridays’ Key Selling Points 21

Benchmarking 23

Chapter 5. Industry analysis 24

The Trends in the Music Industry 24

Market Environment 27

Chapter 6. Business Model 30

Artist Management as Fridays’ Business 30

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mailto:[email protected]




Chapter 7. Marketing and Sales 32

Marketing Mix 32

Fridays’ Future Intentions 34

Chapter 9. Risk factors 35

SWOT Analysis 35

Chapter 10. Financial projection 38

Financials, Management Compensation 38

Record sales 40

Chapter 11. Conclusion 41

Recommendations 42

Appendix: Sources 43

Appendix: Fridays’ Artist Roster 46

Appendix: Fridays Compensation Chart and Expenses 47

Appendix: Working hours/ week 48

Appendix: Concert & Event Promoters 49

Appendix: Fridays Achievements and Goals 50

Fridays’ Achievements 50

Fridays 3- year Development Plan 50

Appendix: Survey, Kovalainen, A producer 52

Appendix: Survey Virpi Immonen, Manager 55

Appendix: Virpi Immonen Email 57

Appendix: Survey, Mikael Gabriel, Artist 58

Appendix: Survey, Ari Myllyniemi, Manager 60

Appendix: Survey, Deejay RNO 62

Appendix: Management, Key Personnel 63

Fridays Inner Circle and Key Personnel 63

Appendix: Age Distribution, Finland 2009 65

Appendix: Distribution of Population 66

Appendix: Financial Rates 67

Appendix: Literature Review 68

2






Definit ions and key words

Defini&ons

DeejayADisc Jockey is a personwhoplaysmusic during clubnightsusing real records or CD‐

playersandamixer.

PartybreakIsamusicstylewhichreflectsuptemposongsandgoodfeeling.

Mashup Is a songwhere twoormoresongsarecombinedtoonesong.Parts fromdifferentsongs

areputtogethertomakeonegoodcombina?on.

AsetDeejayplayscertainamountof?me,usually2‐3hours,duringanightitiscalledaset.

BassoRadioUrbanradiosta?oninFinland.

YLEXAfamousradiosta?onopera?ngaroundFinland.

City‐magazineThemostpopularnewspaperaboutevents,food,peopleandmusicinHelsinki.

SpinningIstermusedindeejaying.Spinrecordsbasicallymeansplaymusic.

Ac&ngbehindcloseddoorsRecordlabels makemoneywithexis?ngar?stsanddon’ttakeanyrisk

bysigningnewar?sts.Theylackcouragetodoanythingnew.

XFactorTalentprogramwherepeoplecanapply andtrytobringtheir talents topubliceyes and

ears.

AdamTenstaEstablishedSwedishar?st(rapper)whobecamefamousthroughMyCoolsingle.

TwiIerApla^ormwhichallowspeopletoupdatetheir“status”intheInternet.Twi`er is broadly

usedbycelebri?esandar?ststogetclosewiththeirfans.

DirectoralManagerHandles nego?a?ons,sponsordeals,recorddeals andall majordecisions that

concernanar?st.

TourManagerTogetherwithdirectoral manager theyplanthetourandtourmanager thentakes

care of the ar?stduring thetour.Makessuresoundcheck is properly made,backstagehasthe

neededrefreshmentsandtakescarethattransporta?onisorganized.

SongdemoAversionofa songbeforethefinal mastering.Demoscanbe senttolabelswhothen

decideiftheywanttoputitouttothemarketandthereforetakecareofthe final mixingandmas‐

teringofthesong.

BookingagentApersonwhobooksanar?sts’shows,performancesandevents.

UniversalMusicAmajorRecordlabel.

3






WarnerAmajorRecordlabel.

A&Rexecu&veAr?standRepertoireis a divisionofa record label that is responsible for talent

scou?ng.A&Rpersonalsoactsasaliaisonbetweenthear?standtherecordlabel.

HermanniKovalainenAnestablisheddeejayandmusicproducerinFinland.

MGIOne ofthemost successful producers inFinlandat themoment.HehasworkedwithSean

Kingston,

Warner/ChappelApublishingcompanywhichispartofWarnerenterprise.

SamiHedbergThemostsuccessfulcomedianinFinlandatthemoment.

FacebookAsocialplaôrmforpeopletoprac?ce networking,createprofiles,putpictures andplay

games.

Chris&anAudigierAclothingbrandwhichisnamedbythedesignerandfashionguruChris?anAu‐

digier.

HypeMachineAplaôrmforar?sts,producers,deejays toposttheirlatestsongs andgetfeedback

fromotherusers.

UstreamAplaôrmwherepeoplecanstreamanythinglivethroughtheirownprofile.

RoyaltyRoyaltyis ausage‐basedpaymentcollectedbypar?es like TeostoandGramex.It’s usually

apercentage,outofthegeneratedmoneywhichar?sts,composers,producersandwritersget.

Twee&ngTwièrisanonlineplaôrmwhereonecanupdate theirstatus,tell abouttheirdailylife,

experiences orbasicallyanythingtheywanttopointout.Fansforexamplecanfollowtheirar?sts

life.

A Publishing companyAcompnany like Warner/Chappel takes careofmusic publishing,finding

newproducersandwriters,collec?ngtheirroyal?esandadver?singar?sts’music

4






List of Figures and Tables

Figures

Figure1.0.Mindmapfloweraboutelementsaffec?ngFridaysasacompany

Figure2.0.Marke?ngMix

Figure3.0Fridays’SWOTanalysis

Tables

Table1.0Targetmarketsize

Table2.0Concert&EventPromotersinFinland

Table3.0ThefourmajorrecordlabelsinFinland

Table4.0Eventspeoplewentatleastonceduring2008

Table5.0Popula?ongrowthrate

Table6.0Fridayscompensa?onchart

Table7.0Fridays’businessexpenses

5






Executive Summary

Fridaysisaonemanshowwithmanyperformersandopera?nginthemusicbusinessisaharsh

world.Ithasmanagedfairlywelltothisdatebutnopropermarketresearchhasbeenmade.

Fridaysneedsafeasibilitystudytoformanoverallpictureofthemarket,andthestrengthsand

weaknessesofthecompany.CurrentlyFridaysistheonlyfullyfunc?oningar?stmanagement

companybutopera?ngintheFinnishmarketisdifficultduetothemarket’ssmallsize.

Thereisnotheoryaboutthewaysofmanaginganar?st,howoneshouldspecificallyactina

certainsitua?on,thereareonlytaskslisted.Theelementmakingeverythingpossiblearethefans

eventually,withoutthemtherearenoothermusicindustryelements.Thereisnoeduca?onfor

managementandthatresultsinthatanyonecanbecomeamanagerinasplitsecond,andthathas

broughtalotofconstothebusiness.InFinlandthereisonlyahandfulofar?stsandthecirclesare

soli`lethatnocompe??onisfacedamongthem.

Onlinepromo?on,endorsementdealsandmobilebusinesswillbetomorrowstrendsandshould

beconsideredasamajoropportunitytodevelopFridays’asacompanybutaboveallitsar?sts.

Onlinesocie?esanddifferentpla^ormslikeYoutube,Facebook,Ustreamareboomingalreadybut

Finlandhasnotcaughtuptothemyet.Endorsementdealsaremadeinthemajormarketssince

theinterna?onalstartsareabletoaddvaluetothebrandsandnormalpeoplecanrelatetothem

easily.InFinland,mobilebusinessesarereloca?ngtheirstrategiesmoretowardssellingthemusic

whichisagreatopportunityforFridays.Finlandisahightechnologycountrywhichisevolving

rapidlyaswell,andshouldbetakenseriouslysinceFridaystriestobetheforerunnerinthemusic

businessontopoftakingmanagementbusinesstoanotherlevel.

AlthoughFridaysfinancialsarenottobelookedfromtheprofessionalmanagementpointofview

quiteyet.Onlyapartofitstalentsarecrea?ngincomeforthecompanybutnotenoughtocover

allthemonthlylivingexpenses.Luckilytherehasbeenanotherjobaswellthatgeneratedthe

entrepreneuraliving.Thisma`erwillbeexaminedfurtherandasarecommenda?onofthereport

asolu?onisfoundtoitsstruggle.

6






Introduction

Ar?stmanagementisprobablyoneoftheunderratedelementsintheFinnishmusicbusiness.Ad‐

di?onallythemarketissmall,totalvolumebeingapproximately700millioneurosandsurrounded

byrockfana?cs.Thegenrevarietyisnotcommendableeither.EveryseventhFinnishpersonlistens

tomusicindailybasisandifoneseesthemselvesaspartofthatgroupitisinteres?ngtostudythe

currenttrendsofthemusicmarketontopoflearningaboutar?stmanagementfieldasabusiness.

Theinten?onoftheresearchistofindoutwhetherthemanagementbusinessisprofitableenough

andwhatisneededtocreateaprac?callyfunc?oningmanagementcompanyinFinland.Thekey

objec?veistodefinea360degreestandpointaboutar?stmanagement,howimportantitisforan

ar?standonbalancehowit’scarriedoutinFinland.

Newar?stsneedtoconsidermanagementastheirvitalresourcewhopushestheircareerforward.

Anar?stmanagerplaysamajorroleinthear?stsvisibilityandit’sinbothpar?es’favorthatar?st

succeeds.Beinganar?storatalentingeneralformanagersit’saproducttheyareselling.InFin‐

landthatcombina?onhasbeenconsideredasawasteof?meandrecordlabelshavetakencareof

thatfieldsofar.Amanagementprofessionisgrowingallthe?mebuts?llthereisonlyahandful

exis?nginFinland.Allinallar?stmanagementhasnotbeenfeasibletothisdateandonemight

notbelievebuteventhehighworthymanagershaveasecondjob.

Fridaystryingtocreateanewfieldofbusinessisinteres?ngbutworking24/7mightnotbe

enough,ul?matelyge&ngsosmallrewards.NeverthelessFridaysisinaremarkablesitua?onand

asaconclusionwhetherithaspoten?altobeasuccessfulmanagementcompanyornotwillbe

found.Franklyitjustmightbeawasteof?me.Ar?stmanagementconceptinFridays’casemight

beabitmisleadingsinceithasarangeofdifferenttalentssotalentmanagementinsteadmightbe

moreper?nent.Thiswouldcreatemoreexplicitimageoftheservicesitoffers.

7






Chapter 1. Company Profi le

Fridaysmanagement

Fridays was formed2009as anideatomanagefriends’talents andpromotetheirbusiness,which

would alsogeneratemoney to Fridays through a certain percentage. The more performances

Fridays was abletobookthemoremoneyeachpartywouldget.Thefirst talentsignedwas pho‐

tographer Jari Tolvanenwhichwas followedby deejays Mista S, RNO, Pussy?ve,Spektri andthe

HeavyWeightgroup.ThesigningofMilosRosasfollowedintheearlyfall alsogivinga differentfla‐

vor tothebusiness since hewas thefirst live act. Deejay Spektri , a cinematographer Joonas

Ken`ämies anda rockband24Sanc?ons s?ll have anopenmanagementdeal withFridays mean‐

ingthedealisnotofficialbutFridaysiscloselyworkingwiththem.

Fridays is opera?ngfromthe founder’s homeoffice sincethereis yetnouse ofren?nganoffice

spacefromthecenterofHelsinki.Itis the cheapestop?onandthemostreasonableonebecause

theworkrequireslotsoftravelingaroundtheHelsinkimetropolitanarea.

Atthemoment Fridays is runbyoneofficial representa?vewhois takingcare ofeverythingand

eachtalent(Appendix,Fridaysachievements). Belowthere isalis?ngofFridays’ talents andac‐

cordingtothecompanyabriefdescrip?onofeachone.

JariTolvanen

Tolvanenisthe CEOofoneofthemostrespectedphotographycompanies inFinland,StudioElite.

Its mainfocusis fashion,model andimage photography. StudioElite’svalues are safety, quality,

customer’s wants,innova?vethinkingandlifestyle.1Tolvanentakesprofile,party,andeventpho‐

tosforFridays andin mostcasesis themainphotographerinthe mostexclusivepar?es inHelsinki.

Heisatrueprofessional,veryoutgoingpersonandhandlespeopleandmodelsreallywell.

8


1h`p://www.studioelite.fi/yritys/yritys.shtml

M A N A G E M E N T





http://www.studioelite.fi/yritys/yritys.shtml

http://www.studioelite.fi/yritys/yritys.shtml

JoonasKenIämies

Joonas has beenfilmingforRedBull and“Frontside3”whichis asnowboardingseriesintheTV

‐channelcalledMTV3.2Hehas editedmul?plecompila?ons forRedBull andepisodesforoneof

thebiggestTVchannels in Finland,MTV3.Ken`ämieshas a finetouchtofilmingandagreatvision

whense&ngupthescenes.AxlSmith’srecordreleasepartyisoneofhislatestcompila?ons.3

HeavyWeightDeejays

Thegroupconsists offourpeople;DJRascal,DJLeoLotsaless,DJKidLoandDJBorisJetski buteve‐

ryoneelseexceptBoris Jetski is signedunderFridays.4Theirmusicstyleis strictly party break.DJ

LeoLotsaless produces remixesandoneofthemhas evenpeakedinHypeMachine’s top3ho`est

songs.5DJKidLoisoneoftherarefemaledeejays inHelsinki andis livinguptothe HeavyWeight

image;She explainswhatHeavyWeightis all about“Crea?nga partywherepeople gonuts,havea

great?meandpartyhard.”

DJMistaS

BassoRadio6awardedMista Sasagenre‐boundaries brakingdeejaytalentin2008as thebestDJ

oftheyearandagaininyear2009byCity–magazine.7TodayMista Sspins duringprime‐?mein

thetopnotchclubs ofHelsinki likeTheTiger.Hebroughttogetherdifferentgenresandmixedthem

duringthe performances witha partybreaktwistwhichendedupbeingtodaystrendandmany

deejayshavefollowed.

DJRNO

DJRNOis oneofthebestknownrapdeejaysandplays as a concertdeejayfora famous Rap/RnB

ar?stRedrama.DJRNO is knownforhis dedica?ontorapmusicandhas beenaskedtowarmup

ar?stslikeSeanKingston,XzibitandIceCube.8

9


2h`p://www.facebook.com/pages/Frontside3/359723445344?v=info

3h`p://www.youtube.com/watch?v=SFh_cSKy16o

4h`p://www.facebook.com/pages/HeavyWeight‐DJs/152472459380

5h`p://hypem.com/ar?st/david+gue`a+x+kid+cudi

6h`p://www.basso.fi/

7h`p://www.city.fi/

8h`p://dj‐rno.com/biography.php

M A N A G E M E N T





http://www.facebook.com/pages/Frontside3/359723445344?v=info

http://www.facebook.com/pages/Frontside3/359723445344?v=info

http://www.youtube.com/watch?v=SFh_cSKy16o

http://www.youtube.com/watch?v=SFh_cSKy16o

http://www.facebook.com/pages/HeavyWeight-DJs/152472459380

http://www.facebook.com/pages/HeavyWeight-DJs/152472459380

http://www.basso.fi

http://www.basso.fi

http://www.city.fi

http://www.city.fi

http://dj-rno.com/biography.php

http://dj-rno.com/biography.php

DJPussy&ve

Pussy?vestartedasa pupilofDJMista Sandatfirstplayedrecords whenMista Swashavinga

cigare`e break. SoonPussy?veplayedhis ownsets andwheneagerness rosehe evenreplaced

MistaSinfewacts.Pussy?vedevelopedhis skill ofspinningrecords quicklyandnowadayshe has

fewofhis ownclubnights.Heplays moreorless similar styleas Mista Sbutis consideredas the

nextgenera?ondeejay.

MilosRosas

Milos Rosashas mademusicsincehewas fiveyearsoldandcollaboratedwithworld‐classar?sts

alreadyatyoungage.Outofall Fridays’ar?sts Milos has thebiggestpoten?al inthe interna?onal

marketsincehismusicstyleis versa?leanda`racts abroadaudience.The popandRnBmusicMi‐

losproduceshasnotyetbeenseeninFinlandandistheonlyliveactFridayshas.

DJSpektri

Spektrihasbeeninvolvedinthe Finnishclubbingscenefornearlyadecade.Spektri prefers tomix

differentmusicgenresrangingfromhouse tomashups andremixes.Healways hasthemostleg‐

endaryclassics andthenewesttracks.DJSpektri hastouredwithClubDeluxe (2009)andplayedin

thebiggestfes?valinFinlandduring2005‐2006. Spektri tookmajor steps whenheplayedat50

Cent’sconcert andat theofficial axer par?es ofYoungBuckandDennis Rodmanaswell as50

cent’s.9

24Sanc&ons

24Sanc?onsis a freshrockbandwhichwas formed in2009. Five young guys formed the band

whenno?cingtheyall sharedsimilarvalues andeagernesstomakingmusic.Theyonlyhave a few

songs out but Fridays recognized their talent and startedtomanage them during spring 2010.

Theirsoundremindsofmelodicheavymetalwithaninterna?onal flavor,whichisabigadvantage

businesswiseaswell.10

10


9h`p://www.myspace.com/djspektri

10h`p://www.myspace.com/24sanc?ons

M A N A G E M E N T





http://www.myspace.com/djspektri

http://www.myspace.com/djspektri

http://www.myspace.com/24sanctions

http://www.myspace.com/24sanctions

Chapter 2. Artist Management

Ar&stManagementCharacteriza&on

AManager is usually a closefriendora personwhoknowsthebandmembers,knowsits music

andis usually chosenorsuggestedthroughpersonal contacts.Amanager is thear?st’salter‐ego

whopeopleandfans neversee.Heis a planner,anadviser,anorganizer,astrategic,anoverseer,a

coordinator, atravelingcompanionandmoreover afriend.Anar?stmanager is one of the few

peoplewhogetstoseeandexperienceallthepuzzlesalongthear?st’scareer.11

Inthemajormarkets likeUS,therearebigmanagementcompanies andmul?plemanagers;there

canbeanar?stmanager,a businessmanager,aroadmanager,atourmanager,a produc?onman‐

agerandevena technical managerwhohandle taskssignedtothemspecifically.Amajorar?stcan

havemul?plemanagerssinceonemanagercannottake all theresponsibilityandthereis simplya

lackof?metotakecareofeverything.

Thetasks thata managerdoes,dependvastlyonthear?standonthepointoftheircareer.When

anar?stgets morepopular,moreresponsibility hastobe takenandmore managers areneeded.

Hereisalistofa managerstasks whichcanbe reflectedtothetasks thatFridays doeswithits tal‐

entsaswell.12

Foranunsignedband,amanagershould:

• Sendoutdemostolabels,radiosta?ons,localprintmedia,andonlinepublica?ons

• Bookshowsandinvitelabelsandthemediatotheshows

• Networkandadver?sethear?stasatalentandabrand

• Helptobookstudio?meandprac?cesessions

11


11h`p://www.amazon.com/Business‐Ar?st‐Management‐Howard‐Blumenthal/dp/0823077055

12h`p://musicians.about.com/od/otherindustrycareers/p/ar?stmanager.htm

M A N A G E M E N T





http://www.amazon.com/Business-Artist-Management-Howard-Blumenthal/dp/0823077055


http://musicians.about.com/od/otherindustrycareers/p/artistmanager.htm


• Explorefundingopportuni?esforthear?st

• Makethear?st’slifeeasierbyhandlingdailyandweeklyma`ersconcerningthear?st

• Promotethear?stsimageinabestpossibleway

• Organizethear?st’sscheduleandactasamentor

Forsignedar?sts,managersmaintasks:

• Nego?atefinancial agreements withtherecordlabel for expenses causedforexampleby

touring,recordingandcollabora?onswithotherar?sts,writersandproducers

• Overseeotherpeopleworkingfortheband,likeaccountants,agents,andmerchandisers

• Carefullyformanac?onplanforpromo?on,showsandinterviews

• Deal withschedules andmake sure anar?sthas all the?metheyneedtoconcentrate fully

onmakingmusic

• Beatravelcompanion,advisorandapersonwhothear?stcanrelyon

AccordingtotheinterviewwithVirpi Immonenamanagershouldbe a representa?veofanar?st

inthebusinesslife,a linktoeverythingsurroundingthe ar?standworkingfor thesuccess ofthe

ar?st.Sinceevery ar?stis differentandmakes differentkinds ofmusicamanagerhastooversee

thebiggerpicture andmarkettheproductinthemosteffec?veway.Everyar?stneeds a manager

andcanprofitofhavingone,Immonensummarizes.13

Amanagermarketstheirar?stas theysee themostreasonableandprofitable wayusingtheirper‐

sonal communica?onskills,exper?seandnetwork.Ge&ngalongwithpeopleandhavingtheright

business‐likea&tudearealsothekeyelements inthemarke?ngprocess.Milos Rosas alsopoints

outthat crea?vity inthemusicbusiness is amust inorder tofindnewways todrawpeoples at‐

ten?onandtoreachfans.

12


13h`p://ylex.yle.fi/radio/ohjelmat/keskuskomitea/manageroin?‐osa‐2

M A N A G E M E N T





http://ylex.yle.fi/radio/ohjelmat/keskuskomitea/managerointi-osa-1


AccordingtoJussi Tukia (Arts ManagementThesis by Juu?lainenandNakai)itis really unusual to

makea livingoutofar?stmanagementinFinland.14Inmostcases recordlabels oragencieshave

assignedcertainpeopletoalso take careof the label’s ar?sts as managers. This way they have

othersourcesofincomeandare notonlystuckwithmanagement.AsVirpiImmonenstatesinthe

Yle Xinterview,sheis theCEOofBackstageAlliance,herowncompany,butmanages twointerna‐

?onal bandsas well,ElectricBoys(SWE)andTheWildhearts (UK).“Oneis marriedtotheband,the

music industry andthe lifestylethe bandisliving.All my closest friendsareinevitably fromthe

musicbusinesssinceI onlyworkaroundmusic.”Amanagerneeds tobeawake 24/7butnowadays

therearegooddoctors andmedica?onincaseofburnoutor depression,soits all good. Got to

keeponpushingallthe?me,Saukkonenthrowsin,lighteningthemoodoftheinterview.

13


14h`ps://oa.doria.fi/bitstream/handle/10024/38082/stadia‐1210094340‐3.pdf?sequence=1

M A N A G E M E N T





Chapter 3. Market Environment

ManagementWorldintheMusicBusiness

Itis necessarytomakeadis?nc?onwhichpar?esare involvedinthear?st’s managementbusiness

andwhat the rela?onships between them are. Issues like B2B, B2C, key components of ar?st

management, targetmarket andfiguressurroundingthemwill be examined. Macro‐economical

factorsthathaveaneffectonthear?stmanagementfieldarestudiedusingPESTanalysis.

“I was neversupposedtobeamanagerbuteverythingjustkindofhappened”Immonenexplains

intheYLEX interviewhowshebecamea manager. Shegoes on;Tenyears agotherewas onlya

fewprofessional ar?stmanagers, today therearemaybe 10‐20ofus,andI meanrealmanagers.

NowImeanmanagers thatare notworkinginsidethemajorrecordlabels.Ar?stmanagementis

goingtotherightdirec?onbutthecircle is s?ll rela?velysmall.“Immonenelaborates thatfewof

thekey playersinFinlandare definitelySeppoVesterinenandEwoPohjola.Vesterinencurrently

managesTheRasmusandHIM,andPohjolamanagesNightwish.”

IntheArtsManagementthesis (Juu?lainen&Nakai)Tukiaanalyzes thatone ofthe problemstoa

small number of managers is simply the lack of educa?on. “Anyone can basically become a

managernoma`erwhatbackgroundyouhave. Anabsence ofregula?ons andrequirements for

managementhasresultedinunprofessionalpeople andcons enteringthemarketandpu&nggood

managersinbadposi?ons.”15

A manager needs to hold a large package together out of which business to business (B2B)

rela?ons involve making collabora?on with mul?ple companies and brands. A business to

customer(B2C)rela?onshipis moreoveroneofthemostimportantones sincethe customers are

thefansbuyingthear?st’s musicorlisteningtothe deejays remixes.WhenaskedfromImmonen

whichelements arethe mostimportantinthear?stmanagement,Immonendidn’thesitate,“fans

are alwaysthenumberone,withoutthemthereare nootherelements.Therestis createdaround

them.”

14



M A N A G E M E N T





The following mind‐map flower (figure 1.0)

i l l u s t r a t e s F r i d ay s mana gemen t s ’

surrounding elements and forces. It is

constructedfromthe informa?ondiscussed

ea r l i e r, the YLE X i n te r v iew, A r t s

Management Thesis (Juu?lainen & Nakai)

and the books This Business of Ar?st

Management (Xavier M. Frascogna, Jr., H.

Lee Hetherington) and Ar?st Management

forMusicBusiness(PaulAllen).

As theYLEXinterviewconcluded,manager’s

tasks are always related to the ar?st’s

situa?on. “For bothpar?es a major sourceof incomein todays show business are thear?st’s

performances,since recordsales havedecreasedthroughout the lastdecade.”Fridays’only live

actMilos Rosas has notbeensignedtoa recordlabelyet.Fridayshas organizedshowsbutsince

therehas beennomajorcompensa?onreceivedyet,the incomeis prac?cally zero.“Recordsales

are asmallsourceofincomeinFinland.Thear?stearns maximum1€per soldrecordandthatis

nota lot”Kovalainenclarifies.Whena recordis soldthemanagementwill get15%oftheamount

whatthear?stgets. Inotherwords for themanager tomakeas muchmoney as the ar?st, he

wouldhave tohave 10similarar?ststoreacha similarincome.This isexaminedinmore detailin

theFinancialProjec?ons‐chapter.

At the moment Fridays concentrates on business nego?a?ons with record labels, concert

promotersandaboutsponsors.A?meconsumingelementis alsothemediacoveragewhichhas to

be constant tomaintain or even increase the level of popularity. “Nego?a?ng for newspaper

ar?cles and air ?mein the radio is challenging for an unsignedar?st,” Fridays states. When

deejays are concerned,mee?ngs withrestaurants andpromoters are thekey task.Makingsure

thatdeejays promotethemselves in channelslike Facebook,Youtube,HypeMachineandBlogspot

is onepartofinterac?ngwiththefansandpartoftheirmediacoverage.Fridays ofcourse takes

prideinorganizingproperandconstantpromo?onforitsar?sts

15


M A N A G E M E N T

Performances

Fridays

Management

Restaurants

Performances

Restaurants

Promoter/

Company

Live act

(artist)

Deejay

Taxes

Producers

Image

Promotion

Events

Media

coverage

Promotion

Record

label

Fans

Artists

Market trends

New

events

New

marketing

channels

Technology

FollowStudy

Publishing

Tuesday, May 25, 2010





SaukkonenandImmonensaythat“themanagementcircle is sosmall inFinlandthattheyall share

informa?onandtheho`estnewsamongeverymanager,sothatitwouldbeeasierfornewar?sts

tobuilduptheircareerandgointerna?onal.Itfavors noone,is forthecommongoodandhelps to

take Finland’s musicmarkettothenextlevel.Ontopofeverything,interna?onal awarenessabout

Finnish ar?sts will growwhich is eventually a great thing.” It can be concluded that notmuch

compe??onamongar?stmanagersisfacedandnoothersourceprovesotherwiseeither.

Since B2Crela?onshipis oneofthe mostimportantelements whichexists betweenar?stsandthe

fans,managementmakessureit’s indonein a mostproperway.As men?onedinmanager’s tasks,

Fridays is theparty advising,coordina?ngandplanningtheseissues. It is importanttoshowthe

genuineimage ofthe talenttothefansandusetherightchannels.In Milos’case this is takinga lot

of?mesincenowrongmoves arewantedtobemadeandcareful planning is anywaynecessary.

Milos has the poten?al to generate the most income for the company and therefore the

developmentphaseshouldbeconsideredseriously.

NightlifeanditsTrends

InFinlandduringthepastcoupleyears a lotofnewcomershaveenteredthe nightlife business;or‐

ganizingevents,par?es,spinningrecords andtryingtoworktheirwayuptotheunknownenter‐

tainmentbusiness.Especiallydeejays have organizedpar?eswithoutanythecontext,onlythemu‐

sic variesslightly.This trendhas beengoingonfor coupleyears accordingtodeejayRNObuthe

doesn’tthinkits the rightdirec?ontogoto.“Somethingmustdis?nctthedeejays fromeachother,

otherwisetheyare notreallydedicatedanddoitjustfor the money.Thereis onlya fewdeejays

thathaveacertainstyleofplayingrecords,atrademarkthatpeoplerecognize”RNOexplains.

Themusicselec?onintheclubs is alsoquitenarrow‐mindedsinceoxen?mesdeejaysdon’thave

thepowertodecide whattoplay.“Many?mes whendeejaystrytoplaytheirownmusicstyle girls

comerunningtothe deejayboothandaskfortheregularhits.This resultsinthe nights endingup

beingmoreor lessthe same“says RNO.This alsoresults inlackofpossibledevelopmentanden‐

couragementandalotofthe deejaysstayas “regulars”at somenightclubs,playingsame top40

hitsoverandoveragain.

Accordingtothe founderofSK‐Restaurants the approximateopera?ngperiodfora restaurantin

Finlandis3‐5years,youngpeoplearedemandingsincethereissomuchvariety.

16


M A N A G E M E N T





Onehastobeabletoadaptandrespondtothedemand.16This results ina hec?catmosphereand

a nightlifewitha lotofvarietywhichchanges rapidly.This is anopportunityforFridays tobookits

deejays toplay inthenewestclubs,lixingits deejays’image asbeingtheones followingthe hec?c

nightlife.

MarketArea

As a newmanagementcompanyit’s wise toconcentrateononecountryfirst,Finland.ThoughFin‐

landhas a fairly smallmusic market and it might be difficult to generate enough income for

Fridays.Finlandis smallerthananyofits neighborcountries andpeople aremorestubbornas well

whileSwedishpeoplearemore openanddynamic. Finland’s Gross Domes?cProduct is almosta

halfofSweden’s GDP,whichreflects thatthe outputinthemusicmarket is alotsmalleras well.17

Foranycompany itis therighta&tude tothinkbigbutstar?ngsmall andcrea?nga solidbase for

thebusinessisacornerstoneofasuccessfulcareer.BelowtherearesomefactsaboutFinland.18

Finland‐Sta&s&cs

Popula?on:5,3million

Capital:1,25millionhabitantsinthemetropolitanarea(Helsinki)

Religion:Lutheran80.7%

GDP:$171billion

Formofgovernment:Parliamentarydemocracy

Worldclass ar?sts: HIM (alterna?verock),The Rasmus(funkrock),Hanoi Rocks (glamrock),Chil‐drenofBodom(heavymetal),Nightwish(gothicmetal),The69Eyes(gothicmetal)

17


16h`p://www.viisitahtea.fi/ihmiset/112/490

h`p://www.pakkotoisto.com/yleinen‐keskustelu/89431‐ruokaravintolan‐perustaminen‐pitaminen/

17h`ps://www.cia.gov/library/publica?ons/the‐world‐factbook/geos/fi.html

18h`p://finland.fi/Public/default.aspx?conten?d=160032&nodeid=41803&culture=en‐US

M A N A G E M E N T





http://www.viisitahtea.fi/ihmiset/112/490

http://www.viisitahtea.fi/ihmiset/112/490

https://www.cia.gov/library/publications/the-world-factbook/geos/fi.html

https://www.cia.gov/library/publications/the-world-factbook/geos/fi.html

Targetmarket

Whenanar?stmanagementfieldis concernedthetargetmarketis consideredas par?es thatgen‐

erateincomeforthear?stssincethatwaythemanagersgeneratetheir income.Fridays’business

tobusinesstargetmarketare therestaurant chains whenits deejays areconcerned.Atthemo‐

mentFridays andSK‐Restaurants havea ?ghtrela?onshipsinceitsdeejayshaveoccupiedmanyof

theSK’s nightclubs.Deejays Mista S, Pussy?ve andHeavyWeightcrewhavecon?nuous clubsin

Helsinki.Naturallyotherrestaurantsofferopportuni?es as well butSKowns the mostnightclubs in

Finland(60 inthe whole Finland, in24differentci?es)andthereforeis the most importantcus‐

tomerforFridays.19Anothermajorrestaurantchainis HOKElantowhichowns pubs,clubsandres‐

taurantsaroundFinlandaswell.20

Liveacts covera differenttargetmarketsincetheirbusiness isrundifferentlyandtheyneeddiffer‐

entvenues. Inordertobookperformances,Fridays needs tobeincontactwiththeconcertpro‐

moters and the concert venues like Tavas?a and Nosturi but alsowith nightclubs for smaller

shows.21Themajorpromoters includeLivena?onandEastwaywhichare thebiggestconcertpro‐

mo?oncompanies(Appendix:Concert&EventPromotersinFinland).22

Themost importanttargetmarketwithlive acts though, is thefanbase,whichconsists ofyoung

people rangingfrom15‐24years old.Thatis thesourceofincometoall par?es;ar?sts,recordla‐

bels,managers,restaurants,bookingagents.As Immonenstated,fans are thekeyelementtothe

wholeexistenceofthemusic industry.Thefollowinggraphshows the total scopeofthatmarket

and the division betweenmen

andfemale.23 AccordingtoSta‐

?s?csFinland(Table1.0)during

theyear2009theoverall target

market size was approximately

660000people (Appendix:Age

Distribu?on,Sta?s?csFinland).

18


19h`p://sk‐ravintolat.fi/

20h`p://www.hok‐elanto.fi/index.php?id=84

21h`p://www.elmu.fi/?q=node/16

h`p://www.tavas?aklubi.fi/

22h`p://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf

23h`p://?lastokeskus.fi/?l/vaenn/2009/vaenn_2009_2009‐09‐30_kuv_001_fi.html

!!"#!#$

%&'()!$

%#"'(!$

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'$

*','''$

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5.634$

-./01$

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%($7$%+$

*'$7$*"$

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M A N A G E M E N T





http://www.hok-elanto.fi/index.php?id=84

http://www.hok-elanto.fi/index.php?id=84

http://www.elmu.fi/?q=node/16

http://www.elmu.fi/?q=node/16

http://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf


http://tilastokeskus.fi/til/vaenn/2009/vaenn_2009_2009-09-30_kuv_001_fi.html

http://tilastokeskus.fi/til/vaenn/2009/vaenn_2009_2009-09-30_kuv_001_fi.html

Chapter 4. Competit ion

Compe&&onAnalysis

InFinland,thereare notmany compe?ngbookingandtalentagenciesnormanagementcompa‐

nies,duetoa fewmainreasons;a companyneedstobea majorenterprisein ordertobe profit‐

able enoughandsincear?stsaren’tsointerna?onal thatitwouldbeprofitabletohaveanoperat‐

ingmanagementcompany.The musicmarketis operatedandrunbyonlya handful ofpeople,eve‐

ryoneknowseachotherorgetstoknoweachotherquickly.Apersonbeingextrovertwitha can‐

doa&tude,will makeprogress inthebusinessbefore long.AstheYLEXinterviewshowed,thereis

basically zero compe??on between the managers in Finland. Althoughaccording to thestudy

made byDigital Media FinlandOy(Argillander&Mar?kainen),beloware listedthebiggestindirect

compe?tors thatfocusonbookingagencies /programsuppliers,handlingperformers tothe major

events.Thesecompanieshave aninfluenceonbothofFridaysbusinesselements,theliveactand

thedeejays.Thesecompanies’businessideais naturallydifferentsincetheyonlyhandle bookings,

butare a partof themusicmarketandgeneratetheir incomethroughpercentages oftheacts’

compensa?ons.

Indirectcompe&tors

PrimeTime

PrimeTimeis oneofthebiggestrivals withPopgramsince theyhavesigneda lotofFinnishar?sts

thatarecurrentlyontopintheurbanscene.Inaddi?ontobooking,PrimeTimealsohandles art‐

ist’s management for ar?st’s like Saurus and Adam Tensta. Prime Time is an agency and a

managementforAdamTensta(SWE)in Finlandwhois onethegenrebreakingstars atthemoment

andhasbeentouringaroundEuropeandUSalready.PrimeTimehasanextensivelistofotherart‐

istsaswell.24

19


24h`p://www.prime?me.fi/

M A N A G E M E N T





http://www.primetime.fi

http://www.primetime.fi

DexViihde

DexViihdeis strictlya bookingagencywhichhasbeenopera?ngfora longperiodof?meandhas

a solidar?st roster includingmany oftheFinland’smost successful bands. It becomea part of

Eastwaycorpora?onin2006whichis likewiseonthe biggestbookingandprogramagencies.East‐

wayalsofocuses ontheproduc?onofevents andprovides equipmenttothe biggestevents inFin‐

land.While DexViihdeis oneofthe biggestagencies andrepresen?ngover80ar?stsinFinland,it

onlyconcentratestorockmusic(Table2.0,Appendix:Concert&EventPromotersinFinland).25

Popgram

Popgramis a majorbookingagencywhichwasestablishedin1997andhasthemostcurrentar?sts

inits roster.Its talents varyfromclassical topopandrock,fromhosts todeejays andcoverbands.

Anna Abreuwhichis currently tomostpopularpopactinFinlandandCheekthe mostrecognized

rap ar?st in Finland are

signed toPopgram. It has

collabora?ng agents and

promoters in almost 30

countries anditis a partof

the Warner Music Group

which is one of the four

majorrecordlabels.26

Directcompe&tors

BonnierAmigo

“Bonnier AmigoMusic Group(BAMG) isthelargest independent music company intheNordic

area. Itis theresultofa mergerinyear2001betweentherecordcompanyanddistributorAmigo

andtherecordcompanyBonnierMusic.

20


25h`p://www.dexviihde.fi/

26h`p://popgram.fi/

M A N A G E M E N T

!"#$%&' (")*#+,#-)./0,1223 4*&56"&

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I07769$&32K$1(./6 =+L -.(5.&32(F1$G2H5$%1<

MA5"9&72N$/"&2O.(0@2.$6$&.1D2=,,P





http://www.dexviihde.fi

http://www.dexviihde.fi

http://popgram.fi

http://popgram.fi

Thecompanyhas itslocaloffices in Sweden,Norway,DenmarkandFinlandandapan‐Nordicdis‐

tribu?onplant inthesouthofSweden.BAMGrepresents a diverserepertoire ofar?sts covering

mostmusical genres,rangingfromfolktopopandfromjazztometal.BAMG'slocal rosterinclude

acts suchasAmy Diamond, Anna Maria Espinosa,Anna & Steve, Bri`aPersson,BWO, Henning

Kvitnes,Madcon, Molotov Jive, Noel McKoy, Paperboys, Pauline, Refreshments, RenegadeFive,

SunriseAvenueandVelvet.”27

BackstageAlliance

“Backstage Alliance is thefirstFinnishautonomous all aroundmusic company thathas major re‐

cordlabel’sresources.”28

BackstageAlliancewas foundedin2007whichrepresents a newschoolmusiccompany including

publishing,marke?ng,merchandiseproduc?on,bookingagencyandmanagement.Ontopofeve‐

rything, BackstageAlliance has aprofessional studio inSuomenlinna whichis ashort boat ride

awayfromHelsinkicentre.

BackstageAlliance has signedmany interna?onal ar?sts like The Wildhearts, TheHellacopters,

ElectricBoys,TheBellrays,andalreadyquitlegendHanoiRocks.

Fridays’KeySellingPoints

HowwillFridayskeepupwiththemarket?

“Fridays will keepupwiththetrendsinUS,Europeandthe neighborcountrySwedenbyexamining

how their ar?sts andmanagers are working and reflec?ng thoseexperiences to its func?ons.

Fridays will concentratestrictly onmee?nghigh standards of aprofessional ar?st management

company,showingthatthear?stsanddeejaysalsodotheirjobproperly.This includes a business

like personality,handlingprojects ingoodmanner,on?measwell asbeingfamiliarwiththemar‐

ketanditschangingtrends.”statesFridays.

21


27h`p://www.bonnieramigo.com/about_us.php

28h`p://www.backstagealliance.com/

M A N A G E M E N T





http://www.bonnieramigo.com/about_us.php

http://www.bonnieramigo.com/about_us.php

http://www.backstagealliance.com


As amanagementcompanyFridays will be thetopnotchinar?stmanagementbyshowingits ca‐

pability oftakingnewar?sts like Milos Rosas and24Sanc?ons tothe next levelanddeveloping

theirimage.Animportantmaèris tokeepthecurrentstarts likeDJMista S,HeavyWeight,deejay

Pussy?veandJari Tolvanenontop.Fridays’teamis full ofyoungpeoplewithnewideas andopen

minds,whichwill helptheoveralldevelopmentprocess andonthewhole,offeragreatserviceto

theyoungpeopleinFinland.

What’sthenextstep?

“Fridays willtaketheFinland’s musicindustrytothenextlevelbymakingthe performances acces‐

sible for thepeople inall ages throughonlineplaôrms. Itwill increasetheawareness ofonline

socie?esandmakepossible foreveryonetoseewhat is happeninginFridays’ andits ar?sts’ life.

Thatway itcanreachthefans easily andoffersomethingextra” Fridays explains.This way one

does notneedtobeanadulttocometothe shows,alsounderagepeoplecanfollowthear?sts

andtherefore Fridayscanextendthetargetgroup.“Streamingandfilmingweekly diaries isthe

trendinthe majormarkets like USandSwedenrightnow”Azarmi fromRMHcollaborates.“Fridays

will useUstreamtostreamperformances live andYoutubefor showingvideodiaries ontopof

FacebookandTwièras a majorcommunica?ontoolas well.Obeyingthese goalsFridays will live

uptotheinterna?onal standardsaswell.These areyettocometoFinlandandFridays will before‐

runnertoapply online marke?ngfullywithits ar?sts andgetthebenefitofbeinganinnovatorin

themarket”Fridayscomments.

Notonlytheabove‐men?onedelements are importantbutalsothepersonal networkFridays has

createdthroughoutthe years,whichwill helpittoleadthetalents’careerstotherightdirec?on.

Havinga?ghtbondwiththe people attopposi?ons inthemajorrestaurantchains,therecordla‐

bels, different media channels andthepromoterswill put Fridays’ talents in the express lane.

Fridays offersquality deejays,photographers,ar?sts andis abletoadjust tomany different out‐

comes.Longlists oftalents’achievements will bringuptheoverall image ofthecompanyandgive

a headstartinthebusiness.Quality intheentertainmentbusiness is a must,alsobeingoneofthe

keywaystoreachcustomersa?sfac?on.

22


M A N A G E M E N T





Benchmarking

Benchmarkingdeterminesthestandardsinthemarketandwhoisthemostsuccessfulinthefield.

Thecompany’sgoalsaresetaccordinglyandthenreflectedthesuccesstothetargetedlevel.When

decidedwhattobenchmarkandhowit’smeasuredacompanywillhavetofindthewaystoget

there.29

Whenanalyzingthecompe??onandthecompany’splaceinthemarketitshouldalwaysmakea

dis?nc?onwhereitwantstostand.SeppoVesterinenwhohassetthestandardsover20yearsago

ands?llnoonehasreachedthesamelevel,inFridays’caseitshouldbesetasthehighestaim.

WhenlistenedtotheYLEXinterviewaboutImmonenandSaukkonenonegetstheimpressionthat

heisrespectedandaveryinfluen?alpersoninthemusicbusiness.Vesterinenhasbeeninthe

businesssincethe80’sands?llmanagestwoofthemostsuccessfulbandsintheFinnishmarket.30

ForFridays,thebenchmarkshouldbesetas beingas remarkableandsuccessfulas Vesterinenthe

managerofHIMandTheRasmus.TheRasmus has soldmillions ofrecords andwoneightEmmas

inFinland,whichis theequivalentto theGrammy.HIMis thefirstbandfromFinlandtoreach500

000soldrecords intheUS,thereforebrakingthe goldrecordlevel,anditis consideredbymanyto

betheFinland’smostpopularar?st.31

23


29h`p://management.about.com/cs/benchmarking/a/Benchmarking.htm


31h`p://www.heartagram.com/

M A N A G E M E N T





Chapter 5. Industry analysis

TheTrendsintheMusicIndustry

Musichasacentral roleineveryone’s lives andeffects acrossmanyfields ofbusiness.Almost70%

ofall Finnishpeoplelistentomusicindailybasis,radiobeingoneoftheirmostimportantchannels

at home.Music playsa role inmedia, entertainment, communica?on, IT, serviceandbusiness

fields. Finland’s music market is circula?ng and runby thefour major record labels; Universal

Music,SonyBMG,EMIGroupandWarnerwhichhave signedthe biggestandthemostsuccessful

ar?sts. From the table one

can see that Sony and EMI

Groupare thebiggest labels

inFinland(Table3.0).

As the physical CD era is

slowly fadingaway, replaced

by the Internetandmobilerevolu?onas well as theliveperformances are becominga moresig‐

nificantelement.InFinlanditis growingconstantly,beinga greatresponse topiracy.Appearances

invarious events havebecomea major incomesourceforar?sts today.Concertproduc?onis be‐

ingoneofthe majorindustries inFinlandatthemomentgenera?ngaround150‐200millioneuros

annuallyandbeingalotbiggermarketthanthe musicindustry.Finnishfes?vals during2007cre‐

atedaround50millioneuros (Table3.0,Musiikkiala2009Research).Thetablebelowshows which

eventspeopleusedtogoatleastonceduringayearin2008.

Technologyplays a keyroleinFinland,providingnewmarke?ngideas andbuyingpla^ormsallthe

?me.Ithasbeenspeculatedthatdigitalmusicdistribu?onexceedsthedistribu?onofphysicalCDs

duringthe year2011.Telemarke?ngbusiness and?ghtcompe??onbetweenoperators will change

theirbusinessmoretowardssellingthemusicaswell.

24


Company Year 2007 milj.! Year 2008 milj.!

Universal Music 16.5 16

Sony BMG 15.7 19.8

EMI Music Group 13.7 12.1

Warner Music Group 9.2 13

* Digital Media Finland research 2009

M A N A G E M E N T





Alreadya whilemusichas beena strategicpartof

themobilecompaniessincemul?pleringtones and

full songsareboughtthroughcellphones.This will

definitely bring investments and new entrants to

thebusiness.32 Year 2008 64%of16‐29 year olds

usedInternetas theirfirstsource tolistenordown‐

loadmusic.33

According to the research Digital Media Finland

(Musiikkiala 2009 Research) carried out, in 2009

iTunes, NetAn&la, Musiikkilataamo, MTV3 Download and cdon.com were the most popular

channelstobuymusiconline.Addi?onallythemostpopularchannels tobuyringtones in2006has

beenZed, Jamba,MixMobile,MTV3andElisa.Nokiahasreleasedasimilar channeltoiTunes to

buy and listen to music, called Nokia Comes With Music but since it is rela?vely new no

informa?onisavailable.

Naturally the producers andar?sts formthe coreof themusic industry.Songwriters,composers

andpublishersare representedbyTeosto,andar?sts andproducersare representedbyGramex.

Teosto,a nonprofitorganiza?on,has 23000customers inFinlandoutofwhich9000madea profit

in2008.ThesameyearTeostodistributed16,2millioneurostoFinnishwriters, composersand

publishersas royal?es.34 Gramex on theother handhas around40 000 producersandar?sts,

whichin2007distributedapproximately10,4millioneuros inroyal?estothe Finnishproducers

andar?sts.35Overall recordsales in2008was approximately around90millioneuros.Radio,TV,

movies andInternetgeneratedabout 30millioneurostoTeostoandGramex,whichwasovera

halfofthemusicroyal?escollected.

Since Milos Rosas has thepoten?al togo interna?onal Fridays shouldseeka publishingdeal as

well.Amusic publisherbasically seeks newwriters andcomposers toinvest in, topromotenew

musicandtohandletheirbusinessside,inotherwordsthecollec?onofpropercompensa?onand

royal?es.

25




34h`p://www.teosto.fi/fi/index_fi.html

35h`p://www.gramex.fi/

!"#$%&#'(#$%)*#+,-+.#,./#+*,0$*+

)%+/#)1%+,$(#+234

!"#$$%&#"'()$%&'&*+&,-.$ /0

1*&2'&*+&,-.$ 34

5#66'&*+&,-.$ /3

7+.,-.#%+(,+.'#+8'&*)+.-9 3:

;)$%&#"$ /<

!")=$ >?

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D#-#*2, 3:

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E@%F%.#"';,8%#'G%+"#+8'-,$,#-&H'3II<

M A N A G E M E N T







http://www.teosto.fi/fi/index_fi.html

http://www.teosto.fi/fi/index_fi.html

Thebiggest music publishing companies inFinland are F‐Kustannus,Warner/Chappel, Fennica‐

GehrmanandUniversal Publishing. In2008Finnishpublishingfieldgeneratedaround10million

euros. However inMilos’ case it might bemore reasonable to find a publishing deal outside

Finland.

Newmarkets likevideo gamesandmerchandisecreate new possibili?es but at thesame?me

complicatethebusiness sideandincreasetheimportanceofmanagement.Theoldproblems like

piracy andillegal copyingofphysical CDs s?ll exist.Althoughthe biggest problemareas are Asia

andLa?nAmericaithas aneffectonthe music industry as a whole.36Videogames areagrowing

marketsegmentwhichduring2008generated100millioneuros andhas passedtherecordsales.

Music invideogames canbeinvolvedintwoways:eitheras a playalonggameslikeGuitarHero

andSingstarormakingthemusicorthenmusicis licensedtothegames similarlytomovies.Music

relatedgamesisthebiggestgrowinggamegenreatthemoment.

Brandawareness andbranddevelopmentis takinga majorstepinthemusic industryandwill be‐

comea keywayofmarke?nganar?st.Themanagers role is significantsince theyaredealingwith

thebusiness sideandfindingtheright channels toreachthefans. Thesuccess Vesterinenhas

shownwithHIManditsbrandHeartagramshouldbetheleveltoaimto.Anar?stis recognized

fromthe brandimageandwhenseeingthelogopeoplecanrelate toit.Theyinstantlyknowthe

ar?st,themusic,thelifestyleandthe truefansevenlivebyit.Internetwillnaturallyplaya keyrole

butthistrendhasnotyetshownactualproofthatitworks.37

Generally commercial music doesnot providea lot of variety either. AsKovalainen explained

commercial musichas only asmall slice inthecake andmajor partis takenby rock/punk/heavy

metal songs.As manypeople wouldthinkthereasonisthedarkness andcoldwinterImmonenand

Kovalainenbothstatethatpopculturejustdon’thavesolongtradi?onsase.g.inSweden.

Deejays andar?sts facetheWorldWide Web‐boominthemusicindustry,songs andho`estnews

are promotedthroughblogsandyoutube.Theycanbeupdatedfastandare oxenuptodatesince

blogs are usuallymaintainedbyprofessionals orpeople?edupcloselytothe musicbusiness.The

trendisalsomovingslowlytoFinlandbutonlyahandfulofpeopleareyetdoingthat.

26



37SeeHermanniKovalaineninterview(Appendix:KovalainenSurvey)

M A N A G E M E N T





AlthoughHeavyWeightdeejayshavebeenac?veinthe bloggingscene.38Theyhavesetupfewdif‐

ferentblogsandmaintainthemby releasingnewremixes andaskingfor feedbackthroughthose

pla^orms.

Whenexaminingthemusicthatis famousinFinlandtheonlygenreinwhichar?sts have beenin‐

terna?onallysuccessful is rock/punk.As a small countryFinlanddoes notfitmany labelsontopof

thebiggestones butsomeindependent labelsexistthough.Independentlabels onlyemployfew

people notbeingtooprofitableeither.“The peopleworkingforthemajorlabels havetheirdayjob

andregularsalary.Theydon’tneedtotake anyrisks either.Theyearlytalentprograms likeIdolsor

XFactoranda releaseofsomeoldFinnishpopar?st’s compila?onCD,therecordlabel isall setfor

anotheryear.They don’twanttoputtheircareersinjeopardyby tryingsomethingnew,signing

unknownar?sts andthenrealizingtheirrecords arenotsellingenough.Thatis notmo?va?ngnew

talents totryhardandlongenoughenoughsincethelabels have “closedtheirdoors””Kovalainen

explains.

MarketEnvironment

ThefollowingPESTanalysiswillshowsomekeyfactorseffec?ngthemusicmarket.Theanalysis

compilesfourmacro‐economicalfactorswhichinfluencethebusinessfromoutsidetheindustry.

TheacronymPESTstandsforPoli?cal,Economical,SocialandTechnologicalfactors.Theanalysisis

appliedtoFridays’situa?onandthemusicbusiness,showingrelevantinforma?on.39

Poli&cal

Managementcompanyisaregularcompanythathascustomers,whicharear?sts.Outofthe

receivedcompensa?onandmanagementpercentagethecompanypaysVAT(valueaddedtax)

whichinFinlandisgenerally22%.Althoughitdependsonthebusinessbutitisgenerally22%inall

productsandservices(Food13%;taxi,accommoda?on,TVpermissionhas9%VAT).30thJune

2010onwardsVATpercentagewillbe23%,whichinthiscaseconcernsFridaysaswell.Ifa

companymakesunder8500eurosannuallyitdoesnotneedtopayVAT.40

27


38h`p://hypem.com/search/leo%20lotsaless/1

39h`p://www.quickmba.com/strategy/pest/

40h`p://www.vero.fi/nc/doc/download.asp?id=7436;103727

M A N A G E M E N T





http://www.quickmba.com/strategy/pest/


http://www.vero.fi/nc/doc/download.asp?id=7436;103727

http://www.vero.fi/nc/doc/download.asp?id=7436;103727

Otherpoli?calissuesFridaysdoesnotreallyneedtotakeintoconsidera?on.Naturallythebooking

agreements,recorddealsandothercontractsneedtofollowstandardprocedures.Asmen?oned

earlierthemusicbusinessisacrookedworldandthingsarerundifferentlyineverycountry.

Economical

Finlandisahighlydevelopedcountryandfairlystableaswell.Everycountrytookamajorshock

duringtheworldwiderecessionin2009andFinland’sGDPdroppedby7,5%whichisfirstthatdeep

divesinceyear1918.Theunemploymentintheendof2009was7,9%whichis1,8%higherthan

thepreviousyearbutiss?lllowerthantheEU’saverageunemploymentrate.Therecessioncanbe

seenfromtheEuribor(Eurointerbankofferedrate)figuresaswell(seeappendix,FinancialRates).

Theinfla?oninthebeginningofyear2009wasaround0,9%.

Sincemusicisneededacrossmanybusinessfields,itisalwayspresent.Thetrendschangeandthe

moneyflowsfromdifferentsourcesbutingeneralmusicbusinesswillkeepongrowing.As

discussedearlierthetechnologicaleraisnowtakingthemusicbusinesstotheonlineworld.

Social

Finlandbeingastableandahighlyindustrializedcountrysocialfactorswillnothaveaneffecton

themusicindustryradically.Finland’spopula?onises?matedtogrowsteadilyandhasbeen

recoveringfromtheworldwiderecessionsincethelate2009(Table4.0).41Musichassuchacentral

roleintheeverydaylifesinceitisheardeverywhereanditemploysmanypeopleaswell.

Telecommunica?onandInternetaresoimportantchannelsintodaysmusicbusinessandmany

newstrategiesaredevelopedallthe?me.Only2%ofFinnishpeopledonotlistentomusicatall.42

28


41h`p://finland.fi/public/default.aspx?nodeid=41805&contentlan=2&culture=en‐US


Population growth rate

2009 2010 2011 2012 2015

Total population 5,351,427 5,378,165 5,404,240 5,430,392 5,508,728

Growth rate 100.4996% 100.4848% 100.4839% 102.94%

0.50% 0.50% 0.50% 2.94%

*According to Statistics Finland numbers

M A N A G E M E N T





Technological

Telecommunica?oneraisboomingandmoreandmorepeopleareusingcellphonestobasically

everything.Listeningtomusicanddownloadingit,buyingringtoneshavebeenamajorbusiness

foroperators,althoughinthemusicmarketithasbeenjustanicetoppingonthecake.Outofthe

totalsalesvolumefromdigitalchannels48%isgeneratedfrominternetdownloadsand47%

throughmobiledownloads.Therestisgeneratedthroughinternetorders.

29


M A N A G E M E N T





Chapter 6. Business Model

Ar&stManagementasFridays’Business

Howdoes Fridays actuallygenerateits income?Thebusiness process andhowFridays’talents earn

money tothecompanywill beexplained.As onecanseefromtheFridays compensa?onchart,

(appendix,Compensa?onchart)all thetalents havefairlysmallcompensa?ons perperformance.

Thismakesthebusinessacomplexprocess,requiresmore?meandcoordina?on.

Havingsocalled“developmentsessions”withthenightclubs itis possible toplaneventsandmake

bookings accordingly. SK‐Restaurants being the most important customer for Fridays at the

moment,bookingsaretriedtomakeas fartothe futureaspossible.Agreementinvolves deejays,

photographers andpossible liveperformancesaswell.Basicallywhenbookinga talentforanact,

theagreementincludesthefollowingissues:dura?onoftheact,schedule,otheracts,equipment,

transporta?on, accommoda?on, perks (reservedtable, drinks, foodetc.)andcompensa?on.This

canbeappliedtoliveactbookingsaswell.

Fridays makes surethedeejays sendbillsregularlyandaccordingtotheagreedterms axerwhich

Fridays is able to generate its own share from the ar?sts. As men?oned earlier Mista S,

HeavyWeight deejaysandJari Tolvanenareonly bringing income at themoment. Eventhough

Tolvanenisphotographingmanyofthe par?es forSK,ithasbeenquiteinconsistentandtherefore

makesthe moneyflowinconsistentas well.“Itismorereasonabletosendbills everytwomonths

meaningtheFridays’shareisreceivedeverytwomonthsaswell,”Fridaysexplains.

Deejays KidLo,SpektriandRNO areaspecial groupofdeejays since Fridays isnot earning any

compensa?onoutofthemyet.KidLois a newdeejayandhasnotbeenbookedtomanyclubs yet.

“SpektriandRNOhadmany clubnights at the ?metheywere signedtoFridays andthose gigs

wereagreedtobeuntouched,soweare intheprocess ofge&ngthemsomethingbe`er”Fridays

clarifies.Basically Fridays isnotmakingmoneyoutof themeither sinceit hasnotbeenableto

bookconstantactsyet.

30


M A N A G E M E N T





Milos Rosas isinterna?onallythe mostpoten?altalent,therefore mostlikelytogenerate themost

incomesoit requiresa lotof?meandeffortfromFridays.Thepointwere itbears fruit forboth

par?es is unknown since he is at the development phase. Fridays has organized a few

performances but since there is an ou^low ofmoney to equipment needed in the acts, the

compensa?onhasbeenbasicallyzero.Theagreedtermsexaminedearlierapplytoliveacts as well

but is modified to each case individually. Eventually ar?cles or other media coverage is not

genera?nganymoneybutpromotesthear?standincreasestheawarenessamongthepeople.

All inall Fridays is seenas beinginthe buildingstage ofthewhole package.Atthemomentonly

sourcesof inflowarethe deejaysHeavyWeight,Mista Sandthephotographer Jari Tolvanenthat

haveconstantappearances.Othersare inthedevelopmentandpromo?onal phase whichrequires

a lotofeffortand?me;mee?ngs,conferencesandmul?pleemails mustbe senttopushFridays’

ar?sts forward.AlthoughFridays needs tomakea dis?nc?onifitwants toinvest thateffortthat

some day it might bear fruit. Is itworthwhile?At themoment, lookingat theworkinghours it

spendsonitstalents(appendix,Workinghours)itisnotprofitablenorgreatbusiness.

31


M A N A G E M E N T





Chapter 7. Marketing and Sales

Marke&ngMix

Inthe music industry,communica?onisoneof themost important elements, ontopof agood

product.Anextensivenetworkwill helptogetby,beingoneofthe key characteris?cs ofa man‐

ager.Althoughmarke?ngthear?stinproperchannels andshowingthebestsidesofthemis a vital

business wise.Beingabletocommunicatethear?st’simageandkeepingitconstantisthe base of

maintainingthesuccess.Withthe helpofMarke?ngMix(PPPP)wecanclarifythebestmarke?ng

channelsinthemarketandotherelementsthatarepartofit.43

ThefourP’s(Product,Price,Place,Promo?on;Figure2.0)

formthe targetmarketanalysisandtogetherwiththecur‐

rent trends it will give a direc?on to go to. When the

product is adeejayprices varyevery?me.Dependingon

theskill level of the deejay, the event’sbudget and the

addi?onal value thedeejay brings to the event, are the

elementsthatformtheamountofcompensa?on.Looking

at theFridays compensa?onchart, deejayssalary ranges

from150eurosupto400eurosperact(Appendix:Fridays

compensa?onchart).

Inorder togetthedeejaysplacedintheclubs Fridays needstoconvincethenightclubmanagers,

thembeingthe“Place”partofthemix.In ordertodoso,Fridays needs tohave promo?onal evi‐

dence andconvincethenightclub’s manager that thecustomers goingtothenightclubs will like

thedeejays’music.

32


43h`p://www.netmba.com/marke?ng/mix/

M A N A G E M E N T





http://www.netmba.com/marketing/mix/


Havingafunc?onal website withbiography,pictures andreference (deejayRNO44),ontopoftheir

ownpromo?onal mixes inthe musicblogslike HypeMachine45orBlogspot46,is consideredasthe

promo?onpart. This will helptoreachthefansandwiththehelpof thatsuccess, getperform‐

ancesinthenightclubs.

As discussedintheindustry environmentchapter,the online marke?ngis becomingmoreimpor‐

tantforyoungerpeople andreachingthetargetmarket.Fridays managementwill takea bigstepin

thatfieldandshareas muchmaterial as possible indifferentonlineplaôrms,tryingtobringthe

fanbasecloser toFridays’ar?sts. By crea?ngprofiles ofeachar?standpublishingthem inthe

internet, itwill be easier tomarketthembutalsoit’s a greatwayforthe fans togettoknowthe

ar?sts beèr.Milos Rosasbeingtheproduct,theplacestomarketandpromote is likewise differ‐

entonlineplaôrms.Althoughthe promo?onhastobe carriedoutclearly ina differentway.For

liveactsthePlace“P”includesconcertpromotersandeventorganizers.

AccordingtoMilos’pointofviewallthemajorar?sts aretwee?ng,wri?ngblogs ormakingvideo

blogs topromote themselves andshowtheirdaily lifefor themost importantpartyoftheirexis‐

tence, thefans.“Thisway fanscanrelate tothear?st’smusic, thear?stas a personand?ghten

therela?onship.”Theprices,as the casefordeejaysgoaccordingly,basedontheirsuccess andthe

recognizability.

Kovalainentoldin the survey (seeappendix, Survey Kovalainen) that the current popstarAnna

Abreuis doingendorsementdeals.Thelatestdeal thatAbreudidwaswithNokia.“It is not com‐

moninFinlandbutitbasicallymeansthatanar?stis adver?singa brandandpromo?ngitwiththe

helpof theirownsuccess.Anna Abreuis currently themost successful female popsinger inFin‐

land”Kovalainensums.ForFridays this is tobeconsideredas a newwayofpromo?ngitsar?stsat

some pointoftheircareer. As a nega?vesideofit,notmanybrandsdoendorsementdeals since

Finnishar?sts mightnotaddenoughvaluetothebrandandthereforebe a wasteofmoney.Espe‐

ciallywhenmanyar?stssinginFinnish,likeAnnaAbreu,itwilllimitthemarkettoonlyFinland.

33


44h`p://www.dj‐rno.com/

45h`p://hypem.com/search/leo%20lotsaless/1/

46h`p://heavyweightdjs.blogspot.com/

M A N A G E M E N T





http://www.dj-rno.com

http://www.dj-rno.com

http://hypem.com/search/leo%20lotsaless/1/

http://hypem.com/search/leo%20lotsaless/1/

http://heavyweightdjs.blogspot.com

http://heavyweightdjs.blogspot.com

Fridays’FutureInten&ons

“Only dedicatedtalents are tolerable becausethe goal isto create a number one management

companyinScandinavia.Fridays will betheonetakingar?sts tothenextlevel andmakingbusiness

a personalissuesocrea?ng?ghtbondtoits ar?sts.Thatis thewaytogettoknowitsclients and

foreseetheirpointsofview”Fridaysexplains.

“Whenpeopleare dedicatedtheworkenvironment is more inspiringandfun, I don’tevencon‐

siderworkingwithpeople thatdonotwanttopushthemselves hard”Immonensays intheradio

interview.“Intheentertainmentbusiness peopleare laidbackandeveryoneknowshowtohavea

great?mebutone needs tobesure theywanttogoall theway inthebusiness”Kovalainencol‐

laborates.

“WiththegroupofFridays’ talents, includingpeoplefromdifferentfieldsitis able tooffera full

servicepackagein themusic business. At themoment thosearePhotography,filming,deejays,

singing,songwri?ngandmusicproduc?on.AlreadywiththatgroupofpeopleFridays canbuildup

newar?sts’promo?onpackages,filmperformancesandpromovideos,organizepromoshoots and

greatrecordreleasepar?es.Everyelementis aonephonecall awayandtheexecu?oncanbecar‐

riedout rapidly” Fridays concludes.As many ofthepeopleinterviewedsaid: “Thinking interna‐

?onallyandacross boardersis a mustintheFinnishmusicindustry,otherwise its difficulttomake

alivingoutofmusic.”

34


M A N A G E M E N T





Chapter 9. Risk factors

SWOTAnalysis

SWOTanalysis is usedtoscana company’s internal andexternalenvironment.Internalfactors can

be considered as strengths and weaknesses of the company and those external ones, are

opportuni?esandthreatscomefromtheoutside ofthe company.SWOTanalysis is helpful togeta

comprehensive looktothecompany’s resources andcapabili?esin thecompe??veenvironmentin

whichitoperates.Thefollowingfigure(Figure5.0)showsFridays’SWOTanalysis includingthe four

dimensions.47

35


47h`p://www.quickmba.com/strategy/swot/

h`p://www.marke?ngteacher.com/Lessons/lesson_swot.htm

h`p://www.mindtools.com/pages/ar?cle/newTMC_05.htm

Strenghts Weaknesses

Internationally potential artist signed Lack of management experience

Offers multiple different talents from Lack of professional knowledge in each

different fields of its talents fields

Already established talents that largerly Allocation of time for everyone

need more publicity and perfomances Effort and compensation might not meet

Knowledge about events, artists and Difficult to manage the whole package

international bookings but insufficient funds to hire new people

Business school background Small amount of money from many

Young and determined company different talents

Large network around Finland

Opportunities Threats

Internet platforms as a new market More experienced managers can open more

to promote and and market artists doors and add more value to the artists

Small market size, easy to notice new Deejay bookings done without manager

artists in the market People do not consider pop music as good

"Everyone knows everyone" music (limited target group)

No fully functioning management Small money flow in Finnish entertainment

companies yet in the market business

Endorsement deals not yet in Finland Hard to make distinction between

different deejays

Fridays SWOT Analysis

M A N A G E M E N T





http://www.quickmba.com/strategy/swot/

http://www.quickmba.com/strategy/swot/

http://www.marketingteacher.com/Lessons/lesson_swot.htm

http://www.marketingteacher.com/Lessons/lesson_swot.htm

http://www.mindtools.com/pages/article/newTMC_05.htm

http://www.mindtools.com/pages/article/newTMC_05.htm

Fromthegraphonecanseethatthe biggestrisks concerningthe deejays arethatpromotersbook

them straightwithoutmanagers andthatFridays generates a li`leincomefrommany different

sources.This is possible sincethecircles aresmall andmany?mesthepromoters andrestaurant

managers have become friends with deejays over ?me, so managers are not needed as

“middlemen”.

Deejays’ compensa?on from the gigs are counted in hundreds and if not constant acts are

organized, theprices need to beset every ?me. Thebillshavetobesent oxen andtomany

loca?ons and the overall compensa?on for Fridays reflected to the workload, might not be

profitable enough.Sincemanydeejayshavesimilarsets,itis difficultfortheyoungpeopletomake

a dis?nc?onwhoistalentedandwhois not.Thatmakesthesellingprocessmorechallengingfor

Fridays and it requires a lot of work finding and crea?ng thoseelements that characterize its

talentsandthenmarketthem.

Whatcomesforliveacts,popis notconsideredas a famous music genreinFinlandsoforMilos

Rosas itis difficulttomake abreakthroughinFinland.Fridays needs toviewthesitua?onfromthe

interna?onal perspec?ve. Ifanar?st feelstheir career is not developing fastenoughtheymight

change the management, hoping the situa?onwill change since there are other professional

managers.Thesebeingfewofthethreatsinthemarket.

Havingmul?pletalents under managementcompany requiresa lot ofplanning, organizing and

?me.Notalloca?on?meefficiently foreveryone mightshowas frustra?onandirrita?onamong

the talents. It is alsodifficult tohaveafull understanding about eachof themarkets Fridays’

talents operateandtherefore itisconsideredas aweakness.This mightresultinpromo?ngar?sts

inthewrongchannelscausedbythelackofknowledgewhicharethebestones.

Some definite opportuni?es in the music business are the growing internet marke?ng and

endorsementdeals that aren’tyet sobiginFinland.Sincethere arenot real talentmanagement

companies inFinlandyet,itis a greatopportunitytocreatea newmarketandsetitselfapartfrom

individual managers.Opera?nginasmall market is consideredtobeanadvantage aswell since

promo?onis madeeasier andnetwork canbeexpandedquickly. Thefanbasecanbe reached

easilyaswell.

36


M A N A G E M E N T





Inordertomakethe managementcompanywork,Fridayshasagoodbase tostartfrom.Ithas an

extensivecontactnetworkandbusiness educa?on,whichare vital elements inthe musicbusiness.

Fridays is a younganddeterminedcompanyaswell thatalreadyhas establishedtalents,makingit

a notcheasiertopromote andbookthemtoevents.Milos Rosas as oneofthe mostinterna?onally

poten?altalents will give Fridays agreat possibility tobecomeknownacross boarders. Fridays

havingexperience inconcertpromo?onandorganizingevents,itwill enable professional behavior

andfacilitateitscommerce.

37


M A N A G E M E N T





Chapter 10. Financial projection

Financials,ManagementCompensa&on

Fridays provideda compensa?onchart (Table6.0; Appendix: Fridays Compensa?on) fromwhich

one can see that its ar?sts compensa?ons are really low (the amounts are before taxes). It

illustrates Fridays’ target level of incomeaimingto reachthat level first beforereachinghigher.

HeavyWeightdeejays (LeoLotsaless, Rascal andKidLo)are listedseparately since they allhave

differentnumberofgigs perweek.As anexample,deejayRascal hastwoperformances duringthe

weekandoneperformanceperweekendwiththeHeavyWeight crew.Thecompensa?onfor the

weekday gigis 150euros andfor theHeavyWeight crewweekendgig is600euros.For Fridays,

Rascal and HeavyWeight deejays together generate 180 + 360 = 540 euros per month. As

men?onedearlierdeejaysSpektri,RNOandKidLodonotgenerateincomeforFridaysyet.

38


DJs

Artist name Gigs/ week day Gigs/ WKND Pay week/wknd (!) Total/week (Mngmnt %)Total/month, !

DJ Rascal 2 150/250 45 180

DJ Lots-A-Less 2 150/250 45 180

DJ Mista S 2 250/400 75 300

DJ Kid Lo 1 150/250 22.5 90

DJ Pussytive 1 1 150/250 60 240

DJ RNO 1 200/250 37.5 150

DJ Spektri 200/300 0 0

HeavyWeight 1 600 90 360

375 !1,500

Singers

Artist name Gigs/ week day Gigs/ WKND Pay / 1 show (!) Total/week (Mngmnt %)Total/month

Milos Rosas 1 200 30 60

!60

Photographers


Jari Tolvanen 2 500 150 600

Joonas Kenttämies - - 400

!600

Total income !2,160

.Fridays.Compensation chart

M A N A G E M E N T





Theoverall income createdper month is the sum of Rascal, Leo Lotsaless, Mista S, Pussy?ve,

HeavyWeightandJari Tolvanen.SinceMilos’performances require equipmentinvestments,both

par?es islexatzerocompensa?on.Since Ken`ämies hasnotbeenbookedanywhereyetits profit

toFridays staysat zeroas well.Altogether Fridays’ ar?sts generateapproximately anincomeof

1860euros (180+180+300+240+360+600).As men?onedearliera22%VAThas tobepaidin

monthlybasis,eventuallydependingonhowmuchmoneyacompanymakes permonth.Assuming

that Fridays makes more than 8500 euros annually VAT must be paid. Using the calculated

numbersthemonthlytaxrateisthen409,20euros.

Reflec?ng thegenerated incomewiththecosts that anentrepreneur faces inmonthly basisa

profitor loss canbe calculated.The monthlycostsareaccordingtoFridays andcanbeseenabove

(Table7.0;Appendix:Fridays Expenses).Havinganincomeof1860eurosandcosts of1620euros

Fridays makes a 240europrofitbeforetaxes.Whentaxesaretakenintoconsidera?on, Fridays

makesa 169,20euro loss eachmonth.Annually the lossis around2000euros whichmakes the

businessquiteunprofitable.

39


Items Monthly (!) Info

Work phone 100 Business calls, personal calls

Gas (car) 120 Work related kilometers

Representation 200 meetings, dinner/lunch, events, alcohol

Taxi 80 necessary taxi rides downtown, possible customers

Internet 40 Welho network

Food 200 For one person, basic ingredients

Rent 650 Regular apartment in Helsinki

Equipment 50 Apple -computer equipment, phone supplies, instrument/music equipment

Clothes 150 Representation clothing to events/ parties

Additional 30 Extra expenses that might arise

Total !1,620

Business/living Expenses

.Fridays.

M A N A G E M E N T





Recordsales

WhenFridaysscoresMilosRosasarecorddeal,itispossibletoearnincomefromtheroyal?esas

well.Inthemusicmarketrecordsalesareprojectedtostandards;goldrecordandpla?numrecord.

InFinlandinordertoreceiveagoldrecordforanalbum,anar?stneedstosell10000copies,to

receiveapla?numrecord20000soldrecords,adoublepla?num40000soldrecordsandsoon.

Withsinglesthestandardsare5000and10000.TeostoandGramexaremakingsureeverythingis

countedproperlybutonlydigitalandphysicalcopiesarecounted.Asmen?onedearlierAnna

AbreuisoneofthemostsuccessfulFinnishpopsingers.In2009shereachedapla?numrecord

withhernewalbumJustAPre`yFace,selling33278records.48

IfMilosgetssignedduring2010andisabletomakeapla?numrecordin2011Fridayswillscore

around4500euros(30000*1€=30000whichisthear?st’sshareandmanagementshare,15%

iscalculatedoutofthat).Asexplainedearlierroyal?esarepaidonlyfew?mesayearandthe

amountwouldbegeneratedatones,whenGramexpaysMiloshisroyal?es.

40


48h`p://www.ifpi.fi/?lastot/myontamisrajat

h`p://www.ifpi.fi/?lastot/myydyimmat/2009

M A N A G E M E N T





http://www.ifpi.fi/tilastot/myontamisrajat

http://www.ifpi.fi/tilastot/myontamisrajat

Chapter 11. Conclusion

Anever endingques?onwhethermanagers arebornormadeis floa?ngintheair butnever be

answered.Sameques?oncouldbeaskedaboutleadership.Thoughinthemusicindustryonecan

becomea manager ina blinkofaneye.InFinlandthroughout theyears ar?stmanagementhas

beengrowingslowly but s?lltoday thereisonly a handful ofprofessionalmanagers. Although

Fridays has many talents and has an influence over many other fields as well, excellent

organiza?onskill andplanningmustbeembraced.The packagemightbetoodiversetohandleand

Fridays mightgooutofbusiness ifit’s notabletogeneratemoneyfromeverytalent.Currentlyitis

notgenera?ngenoughcompensa?onthatthebusinesswouldbeprofitable.

Ar?stmanagement is ?meconsumingandone needstobefullydedicatedtothear?standthe

music industry in order to succeed. Fridays is built onone entrepreneur andmul?ple talents,

whichmightbringupthe difficultytodistributethe?meefficientlyamongeachone.Deejaysand

photographers have small compensa?ons and even organizing the weekly business manners

requires a lot of ?me. Fridays’ only interna?onally poten?al talent Milos Rosas is in the

developmentphase anddoes not yet bringany income.Withenextensivenetwork,Fridays has

poten?altosignMilostoamajorrecordlabelandapublishingcompany.

Themusicmarket isevolving rapidly andaccordingtoFridaysit is able tokeepupwith it and

followthelatesttrends.Mobilecompanies andoperators arereloca?ngtheirbusiness strategies

towards themusic business and star?ng to sell music evenmore. Tele marke?ng and online

pla^ormswillplaya remarkable roleaschannels toreachlistenersandfans duringtheupcoming

years.EventhoughFridays is keepingupthe trendsandtransformingwell tothesitua?on,thekey

elementinthe musicbusiness arethe numbers.As the financial projec?onshows,Fridaysmakesa

li`leunder 200 euro losseachmonth. Another job is thereforecompulsory that it canstay in

businessandcon?nuedevelopingitstalents.

41


M A N A G E M E N T





Recommenda&ons

Fridays has poten?al tobecomea successful management company but it requires be`er ?me

managementandplanningstrategies.While makingdeejaybookings andpromo?ngtheircareers,

itshoulddedicatemostofits ?metosigningMilos Rosas toa majorrecordlabelandge&nghima

publishingdeal.Addi?onallyitshouldnotspend?meontryingtopromote TolvanenorKen`ämies

toomuchbutconsiderthemas greatextrainthecompany.Con?nuingtoworkwithKidLo,Spektri

isagreatthingbutagainFridaysshouldmakeacleardis?nc?onaboutthegoals.

Usingthe onlinepla^orms aspromo?onchannels is acompulsoryelementintodays musicindus‐

try butFridaysshouldsearchnewways tobenefitfromthemobile companies.Releasingpromo‐

?onal tracks online andmarke?ngthe songsinthemostfrequentlyusedwebsites wherethemusic

is downloaded,mightincreasetheawareness andpopularityofits talents.Anothervital issueis to

concentrateonconcerts andevents organizedaroundFinlandsinceithas beenthegrowingfield

andgeneratesa lotofincome.Construc?ngthoroughpromo?onpackages includingbiographies,

picturesandpromosongs,itwillhelptonego?atebookingdealswiththepromoters.

As men?onedFridays has poten?al as amanagementfirmbutitneeds tobearinmindthe quote,

“The musicbusiness is acruel andshallowmoneytrench,alongplas?challwaywherethieves and

pimps runfree,andgoodmendielikedogs.Thereisalsoa nega?veside.” Itis inevitablya rough

roadtothesuccessinthemusicbusiness.

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M A N A G E M E N T





Appendix: Sources

Contracts

h`p://www.musiccontracts.com/about‐pg‐11.html

h`p://www.musiccontracts.com/

h`p://www.phlume.com/MGMT‐Contract.pdf

Ar?stManagement(general)

h`p://musicians.about.com/od/otherindustrycareers/p/ar?stmanager.htm

h`p://www.hdqtrz.com/index.php?/ar?st‐management‐and‐the‐contract.php

h`p://moodswing360.com/

h`p://www.ar?stmanagementresource.com/

h`p://ar?stmanagementonline.com/

h`p://www.amconevent.com/

h`p://www.muusikkojenlii`o.fi/faq/faq_manageri.html#1

h`p://www.manageri.net/index.php?etusivu

h`ps://oa.doria.fi/bitstream/handle/10024/38082/stadia‐1210094340‐3.pdf?sequence=1

Feasibilitystudy

h`p://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf

h`p://womeninbusiness.about.com/od/businessplans/a/feasibilitystud.htm

h`p://www.websitemarke?ngplan.com/techniques/feasibility.htm

h`p://www.inc.com/resources/startup/ar?cles/20051001/analysis.html

h`p://e‐ar?cles.info/e/a/?tle/Feasibility‐Analysis/

h`p://xnet.rrc.mb.ca/library/guides2/entrepreneur/page_16.htm


h`p://www.class.uidaho.edu/adv_tech_wrt/resources/outlines/feasibility_report_outline.htm

h`p://www.pinoydirectory.com/ar?cles/feasibility‐study.php

h`p://www.ncini?a?ve.org/lending/docs/Feasibility_Study_Outline.pdf

h`p://www.bizstartsmilwaukee.com/BizFiles/PDFs/Feasibility_Study_Outline.pdf

h`p://www.ehow.com/how_2002414_conduct‐feasibility‐study.html

Agents/Managers

h`p://www.finegoldproduc?ons.com/

h`p://popgram.fi/

h`p://www.prime?me.fi/

h`p://rmh.se/

h`p://elementsmusic.fi/

h`p://www.bonnieramigo.com/(alsoarecordlabel)

h`p://www.backstagealliance.com/(alsoarecordlabelandpublisher)

h`p://www.immf.com/

43


http://www.musiccontracts.com/about-pg-11.html


http://www.musiccontracts.com


http://www.phlume.com/MGMT-Contract.pdf




http://www.hdqtrz.com/index.php?/artist-management-and-the-contract.php


http://moodswing360.com


http://www.artistmanagementresource.com/music-manager-roles.html


http://artistmanagementonline.com


http://www.amconevent.com


http://www.muusikkojenliitto.fi/faq/faq_manageri.html#1


http://www.manageri.net/index.php?etusivu


https://oa.doria.fi/bitstream/handle/10024/38082/stadia-1210094340-3.pdf?sequence=1


http://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf


http://womeninbusiness.about.com/od/businessplans/a/feasibilitystud.htm


http://www.websitemarketingplan.com/techniques/feasibility.htm


http://www.inc.com/resources/startup/articles/20051001/analysis.html


http://e-articles.info/e/a/title/Feasibility-Analysis/


http://xnet.rrc.mb.ca/library/guides2/entrepreneur/page_16.htm




http://www.class.uidaho.edu/adv_tech_wrt/resources/outlines/feasibility_report_outline.htm


http://www.pinoydirectory.com/articles/feasibility-study.php


http://www.ncinitiative.org/lending/docs/Feasibility_Study_Outline.pdf


http://www.bizstartsmilwaukee.com/BizFiles/PDFs/Feasibility_Study_Outline.pdf


http://www.ehow.com/how_2002414_conduct-feasibility-study.html

http://www.ehow.com/how_2002414_conduct-feasibility-study.html

http://www.finegoldproductions.com/?q=management








http://elementsmusic.fi


http://www.bonnieramigo.com




http://www.immf.com

http://www.immf.com

http://search.intelius.com/Seppo-Vesterinen






h`p://search.intelius.com/Seppo‐Vesterinen

h`p://fi.wikipedia.org/wiki/Seppo_Vesterinen

IndustryAnalysis

h`p://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf

h`p://www.ifpi.fi/uu?set/arkisto/musiikkiala%20julkis?%20tavoi`eensa%20aani`eiden%20arvonlisaveron%20laskemiseksi

h`p://www.kauppaleh?.fi/5/i/yritykset/yritysuu?set/?oid=2010/03/31802&ext=rss

Recordlabels/Publishing

h`p://www.warnerchappell.com/

h`p://www.nmpa.org/home/index.asp

h`p://universalmusic.fi/

h`p://www.rahina.com/

Producers/ar?sts

h`p://www.myspace.com/djmobster

h`p://www.milosrosas.com/


h`p://www.myspace.com/mgibeats

h`p://www.sonickitchen.fi/

HenrikTala,producerinNY,UnitedStates

h`p://www.myspace.com/hanoirocksofficial

FinnishMusicMarket(Argillanger&Mar?kainen)

h`p://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf

Discussionsandar?cles

h`p://www.lifesaver.net/keskustelut/read.php?5,142392,142392

h`p://ylex.yle.fi/radio/ohjelmat/keskuskomitea/manageroin?‐osa‐1(radiointerview,discussion)


h`p://www.city.fi/ar?kkeli/Seppo+Vesterinen/181/

h`p://www.getsigned.com/want6.html

Otherlinks

h`p://www.amconevent.com/pricing/pricing‐a‐registra?on

h`p://www.talentmanagers.org/

h`p://?lastokeskus.fi/index.html

h`p://www.netmba.com/strategy/compe?tor‐analysis/

h`p://tutor2u.net/business/strategy/compe?tor_analysis.htm

h`p://www.bof.fi/fi/?lastot/

h`p://www.kauppaleh?.fi/5/i/porssi/korot/

PESTanalysis

h`p://marke?ngteacher.com/Lessons/lesson_PEST.htm

h`p://www.quickmba.com/strategy/pest/

SWOTAnalysis

h`p://marke?ngteacher.com/Lessons/lesson_swot.htm

44










http://www.ifpi.fi/uutiset/arkisto/musiikkiala%20julkisti%20tavoitteensa%20aanitteiden%20arvonlisaveron%20laskemiseksi

http://www.ifpi.fi/uutiset/arkisto/musiikkiala%20julkisti%20tavoitteensa%20aanitteiden%20arvonlisaveron%20laskemiseksi

http://www.kauppalehti.fi/5/i/yritykset/yritysuutiset/?oid=2010/03/31802&ext=rss

http://www.kauppalehti.fi/5/i/yritykset/yritysuutiset/?oid=2010/03/31802&ext=rss

http://www.warnerchappell.com


http://www.nmpa.org/home/index.asp


http://universalmusic.fi


http://www.rahina.com


http://www.myspace.com/djmobster


http://www.milos

http://www.milos



http://www.myspace.com/mgibeats


http://www.sonickitchen.fi


http://www.myspace.com/hanoirocksofficial




http://www.lifesaver.net/keskustelut/read.php?5,142392,142392






http://www.city.fi/artikkeli/Seppo+Vesterinen/181/


http://www.getsigned.com/want6.html


http://www.amconevent.com/pricing/pricing-a-registration


http://www.talentmanagers.org


http://tilastokeskus.fi/index.html


http://www.netmba.com/strategy/competitor-analysis/


http://tutor2u.net/business/strategy/competitor_analysis.htm


http://www.bof.fi/fi/tilastot/

http://www.bof.fi/fi/tilastot/

http://www.kauppalehti.fi/5/i/porssi/korot/

http://www.kauppalehti.fi/5/i/porssi/korot/

http://marketingteacher.com/Lessons/lesson_PEST.htm




http://marketingteacher.com/Lessons/lesson_swot.htm






M.PortersFiveForcesmodel

h`p://www.quickmba.com/strategy/porter.shtml

h`p://en.wikipedia.org/wiki/Porter_five_forces_analysis

Benchmarking

h`p://management.about.com/cs/benchmarking/a/Benchmarking.htm

h`p://www.dobney.com/Strategies/compe??ve_analysis.htm#Benchmarking

Marke?ngMix

h`p://www.marke?ngteacher.com/Lessons/lesson_marke?ng_mix.htm

h`p://www.netmba.com/marke?ng/mix/

Sta?s?cs

h`p://www.teosto.fi/fi/mika_teosto_on.html

h`p://www.gramex.fi/?mid=128

h`p://riaa.com/

h`p://?lastokeskus.fi/

Coverpage

ThequoteisinventedbyHunterS.Thompson,afamousAmericanjournalistandtherehasbeenmanyvaria?onsaswell.

h`p://www.biography.com/ar?cles/Hunter‐(Stockton)‐Thompson‐9506260

Alistofkeybooksandauthorsusedtofindrelevantinforma?on

ThisBusinessofAr>stManagement(1997),XavierM.Frascogna,Jr.,H.LeeHetherington


Ar>stmanagementforthemusicbusiness,PaulAllen

MusicManagementBible(2004),MusicManager’sForum

Managingyourband‐Ar>stManagement:Theul>materesponsibility(2007),StephenMarcone

Newbusinessroadtest,JohnMullins

ThisBusinessofMusicMarke>ngandPromo>on,TabLathrop

45


http://www.quickmba.com/strategy/porter.shtml


http://en.wikipedia.org/wiki/Porter_five_forces_analysis


http://management.about.com/cs/benchmarking/a/Benchmarking.htm


http://www.dobney.com/Strategies/competitive_analysis.htm#Benchmarking


http://www.marketingteacher.com/Lessons/lesson_marketing_mix.htm

http://www.marketingteacher.com/Lessons/lesson_marketing_mix.htm



http://www.teosto.fi/fi/mika_teosto_on.html

http://www.teosto.fi/fi/mika_teosto_on.html

http://www.gramex.fi/?mid=128

http://www.gramex.fi/?mid=128

http://riaa.com

http://riaa.com

http://tilastokeskus.fi

http://tilastokeskus.fi

http://www.biography.com/articles/Hunter-(Stockton)-Thompson-9506260






Appendix: Fridays’ Artist Roster

46


DJs

Arti

st

nam

eN

am

eS

urn

am

eM

usic

sty

leP

ay w

eek/

wkn

d (!

)A

dd

itio

nal

DJ

Rascal

Jyri

Heik

kin

en

Rap/R

nB/R

eggaeto

n/H

ouse/M

ashup/I

ndie

/Part

y c

lassic

s/R

ock

150/2

50

DJ

Lots

-A-L

ess

Leo

Salm

inen

Dancehall/R

eggaeto

n/H

ouse/M

ashup/I

ndie

/Part

y c

lassic

s/R

ock

150/2

50

DJ

Mis

ta S

Sam

i M

erinen

Hip

Hop/M

ashup/

250/4

00

DJ

Kid

Lo

Laura

Tuppura

inen

House/R

ap c

lassic

s150/2

50

DJ

Pussytive

Lauri

Teik

sala

Part

ybre

ak/H

ouse

150/2

50

DJ

RN

OAarn

oM

alm

RnB/H

ipH

op

200/2

50

DJ

Spektr

iJa

rkko

Kallio

mäki

House/E

lectr

o/M

ashup/P

art

y c

lassic

s200/3

00

HeavyW

eig

ht

Jyri/L

eo

Heik

kin

en/S

alm

inen

Part

ybre

ak/R

em

ix/

600

Sin

gers

Arti

st

nam

eN

am

eS

urn

am

eM

usic

sty

leP

alk

ka

Ad

dit

ion

al

Milos R

osas

Milos

Rosas

Pop/R

nB

200

Ph

oto

grap

hers

Arti

st

nam

eN

am

eS

urn

am

eS

pecia

lty

Palk

ka

Ad

dit

ion

al

Jari T

olv

anen

Jari

Tolv

anen

Model pic

ture

s,

stu

dio

, events

500

Joonas K

entt

äm

ies

Joonas

Kentt

äm

ies

Vid

eogra

pher, e

vents

, editin

g400

.Fri

da

ys.

Off

icia

l Roste

r

Fridays is a

n innovative a

nd h

ip m

anagem

ent

com

pany w

hic

h r

epre

sents

a larg

e s

cale

of

top a

rtis

ts in F

inla

nd.

Here

is

fully c

om

patible

lis

t of

all a

rtis

ts w

ho w

e r

epre

sent

in F

inla

nd a

nd t

heir info

rmation.

Fridays' m

ain

focus is in H

els

inki

but

we f

unction a

lso in t

he w

hole

Fin

land.





Appendix: Fridays Compensation Chart and Expenses

47


DJs

Artist name Gigs/ week day Gigs/ WKND Pay week/wknd (!) Total/week (Mngmnt %)Total/month, !

DJ Rascal 2 150/250 45 180

DJ Lots-A-Less 2 150/250 45 180

DJ Mista S 2 250/400 75 300

DJ Kid Lo 1 150/250 22.5 90

DJ Pussytive 1 1 150/250 60 240

DJ RNO 1 200/250 37.5 150

DJ Spektri 200/300 0 0

HeavyWeight 1 600 90 360

375 !1,500

Singers


Milos Rosas 1 200 30 60

!60

Photographers


Jari Tolvanen 2 500 150 600

Joonas Kenttämies - - 400

!600

Total income !2,160

.Fridays.Compensation chart

Items Monthly (!) Info

Work phone 100 Business calls, personal calls

Gas (car) 120 Work related kilometers

Representation 200 meetings, dinner/lunch, events, alcohol

Taxi 80 necessary taxi rides downtown, possible customers

Internet 40 Welho network

Food 200 For one person, basic ingredients

Rent 650 Regular apartment in Helsinki

Equipment 50 Apple -computer equipment, phone supplies, instrument/music equipment

Clothes 150 Representation clothing to events/ parties

Additional 30 Extra expenses that might arise

Total !1,620

Business/living Expenses

.Fridays.





Appendix: Working hours/ week

48


Tasks

Ad

dit

ion

al

info

Ho

urs/

week

Meetings (

inte

rnal)

Sessio

ns w

ith d

eeja

ys/

art

ists

about

pla

nnin

g,

form

ing s

chedule

s,

action p

lans,

ow

n e

vents

12

Meetings,

new

busin

ess

Record

labels

, re

sta

ura

nts

, sponsors

, pro

ducers

, art

ists

, cow

ork

ers

, stu

dio

s,

managers

, agents

20

Confe

rences

B2B m

eetings c

oncern

ing F

ridays a

rtis

ts,

Busin

ess e

vents

, tr

ips t

o T

am

pere

/ Turk

u/

Lahti

5

Phonecalls

Fridays a

rtis

ts,

record

labels

, re

sta

ura

nts

, sponsors

, pro

ducers

, art

ists

, cow

ork

ers

, stu

dio

s,

managers

, agents

10

Em

ails

Reachin

g inte

rnational affilia

tes,

labels

, bookin

gs,

art

ists

, pro

ducers

, stu

dio

s,

resta

ura

nts

, assis

tants

14

Events

Fridays p

erf

orm

ances,

part

ies,

gath

erings,

din

ners

10

Com

pany issues

Accounting,

insura

nces,

buildin

g u

p t

he im

age

5

Drivin

gAll t

he m

eetings,

events

, din

ners

, perf

orm

ances

8

To

tal

ho

urs

84

.Fri

da

ys.

Weekly

work

ing h

ours

assig

ned t

o t

asks





Appendix: Concert & Event Promoters

ThetableillustratesthebiggesteventpromotersinFinlandin2009.

49


!"#$%&' (")*#+,#-)./0,1223 4*&56"&

!"#$%&'(% )*+,

-.(/01'(%+23&.4$'%52&%/2

6$77"%52(82$#$%96

:&69;&< =>+= ?(%1$.92@.(3(9$.

A$B2C""D/$ )+E -.(5.&32(F1$G2H5$%1<

-(@5.&3 =+) -.(5.&32(F1$G2H5$%1<

C&%9&&%2I$6'#&&7"9 *+J -.(5.&32(F1$G2H5$%1<

I07769$&32K$1(./6 =+L -.(5.&32(F1$G2H5$%1<

MA5"9&72N$/"&2O.(0@2.$6$&.1D2=,,P





Appendix: Fridays Achievements and Goals

Fridays’Achievements

‐ MistaSawardedthebestDJ2009(BassoradioandCity–magazine)

‐ HeavyWeightdeejays aremakingtheirownremixesoutofwhichonepeakedatthe topthreeinHypeMachine

‐ Fabrik nightclub was opened in October to which Fridays booked HeavyWeight Deejaysstraightasresidentdeejays

‐ Bu`erflyNightclubisrunDJPussy?veasresidentonFridaysandSaturdays.

‐ Jari Tolvanenphotographedmostofthemajorpar?esinthe nightclubs likeTheTigerandfor‐merFabrik.TheTigeristhemostexclusivenightclubinHelsinki.49

o Chris?anAudigier,variouspar?esinFabriknightclub,profilepicturespresskits50

‐ Joonas Ken`ämieshas filmedandeditedMistaSpromovideowhichhasbeenshownaroundEuropeandUS.51

‐ DJMistaSandDJPussy?veUSAtourin2010forWhiteFolksGetCrunk–blog

‐ DJRNOplayedinconcertsstarringSeanKingston,IceCube,Xzibit,Brick&LaceandSisqo

Fridays3‐yearDevelopmentPlan

Year2010(current)

‐ Stabilizethecurrentclientsitua?onandcreateaclearimageofeachperson.

‐ Followtrendslikemovingtowardstheonlinecommuni?esandvideodiaries.

‐ Milosand24Sanc?onsarecorddealfromabroad,eitherSweden,USorGermany.

‐ DevelopFridaysimageasaprofessionalmanagementcompany

‐ Lixupthemostrecentdeejaystoahigherlevel

50


49h`p://www.the?ger.fi/

h`p://www.inthecity.fi/galleria/helsinki

51h`p://www.djmistas.com/





http://www.thetiger.fi

http://www.thetiger.fi

http://www.inthecity.fi/galleria/helsinki

http://www.inthecity.fi/galleria/helsinki

http://www.djmistas.com

http://www.djmistas.com

Year2011

‐ Take HeavyWeightdeejays toSwedenandEstonia forgigs andcompleteacollec?onCDofre‐mixestospreadthemtoblogsandYoutube

‐ MajortourwithMilosRosas/24Sanc?onsandproducesongswithtopnotchproducers

‐ Organizestanduptoursandmanageinterna?onallytalentedcomedians.

‐ OperatesmoothlyinStockholmandHelsinki

‐ Haveafewnewar?sts(bands,singers)inFridaysroster

Year2013

‐ Managearound20talentedar?sts

‐ OperatefullyinSweden,FinlandandEstonia

‐ Haveinterna?onalar?stsintheagencyrostermeaningFridays

‐ Havewellno?cedprofessionalpictureofFridaysasamanagementcompany

‐ Deejaysproducearound10‐15%ofthetotalincomear?stsbringinginthemajorshare.

51






Appendix: Survey, Kovalainen, A producer

1. Whatkindofmusicdoyoumake(genres)?Howlonghaveyoudonemusic?Anyinterna?onalexperience/collabora?ons?

Pop/rnb/hip,10vuoà,makealiving2‐3vuoà(Redramapalefaces?llincharge),Tima?jaPrin‐cessAvenue

2.WhatisthemarketlikeinthosegenresinFinland?IsoneabletomakealivingasaproducerinFinnishmusicmarket?

Urbaanimusatosipieni,pelkällätuotannollaeläminenonvaikeeta.Joshaluaatuoàatämänlaistamusaaonpakkosuuntaakatseenulkomaille

3.Whatareyourgoalsinmusicbusiness?

Kansainvälises?menestynyttuoàjajapäästäBillboardintop10listalle

4.HowdoyouseeFinnishmusicmarket?a. Diverseofmusic/bands?Easytoenterthemusicmarket?

b. Howdoyougetyourmusicout(channels)?IsisdifficultinFinland?

c. WhatarerecordlableslikeinFinland?Collaborate.

a)urbaanigenrepienimuàpääseeparemminihmisiinjaar?steihinjotakauàvoikehi`yämyösosaavaksituoàjaksijamenestyä.

b)Suomessatuoàjattuntevatar?s?tjalevy‐yh?ötjoidenkauàpromoaminentapahtuu..Kaikenkaikkiaanaikalaiskaatoimintaa...Kustantajatosinrahoiàakylläbiisientekemisen..

c)Suomessaollaantosivarovaisiajakatsotaanmitämuuallatehdään...Yh?ötsuosivatmyössuo‐malaistamusaa,eivätkäsuosipopmusiikkiakoskaeivieläniinpitkätperinteettoisinkunruotsissa.Yh?öteiotariskejähirveäs?...

52






5.Whatdoyouthinkistheroleofanar?stmanager?Whatdotheydo?

Pitääollakaikessamukanamikälii`yyar?s?nbusinesspuoleenjaneuvooar?s?auranedetessä.Managerikiinnostunutkaikkiintulonlähteisiinmitäar?s?saajotenmyöskaikkiaasioitakonsultoi‐daanar?s?nkanssa.Pitääar?s?npuoltajatekeeduuniaar?s?nhyväksi...manageripyrkiiväl`ämäänsene`älevy‐yh?öeivedäomaanpussiin...

6.Howdothemanagersgetpaid?Whatisthe?mesequencethemanagersgetpaid?Dotheyhaveamonthlysalaryorhowisitformed?

Saa?etynprosen?nkaikestamitäar?s??enaa..Levyroyal?t,keikat,endoresementdiilit...royal?t1‐2kertaavuodessa,keikatmitensuunnitellaan

Mitäsuomessaeihyödynnetäon(endoresement)...NytAnnaAbreumainostaaNokiaamuàtämäonisonmaailmanjuùjamitäSuomessaeinähdävielä...69EyesmainostaamyösNokiaa...Ongelmanavoiollamyösseeèibränditolevarmojahyödy`ääköSuomenmiàkaavassaar?s?llamainostaminen...Onkoar?s?ttarpeeksiisojavielä...

7.Whatkindofar?stneedsamanager?Inwhatkindofsitua?ondoesthear?stneedtobeinor‐dertobenefitfromamanager?

Manageristaonkaikissavaiheissahyötyä..Tarviiihmisenjonkasanaakuunnellaanjollaonkontak?tjajokatekeesenar?s?npuolesta..

Suomessasitäeivaanole...jaeàvarahaonvaanniinpieni...työ/rahaeikohtaa...musiikillaelämi‐nensuomessaonmuutenkinvaikeaa...koskaisotkinar?s?ttekevätmuutaduunia...

Kaikenajaoonsee`ämanageripystyyluomaaar?s?llelisäarvoa...luobusinesstäjamie&iuusiatapojamitenar?s?llavoitehdärahaa...

8.Inyouropinionwhatkindofbands/ar?stinFinlandhaveamanager?Canyounamefewbandsandmanagers?

Luulene`äisoimmillaontällähetkelläHIM,Rasmus...AnnaAbreuonisoinsuomalainenpopar?s?muàen?edäonkosilläerillistämanageria,luulene`älevy‐yh?öhoitaasenpuolen....

53






9.Doyouthinkar?stmanagersmakealivinginFinland?Whatkindofar?stsmanagermakesaliv‐inginyouropinion?Examples.

Mitenrahajaetaan,paljonsitätulee...ensanoeèiköseolemahdollista...seeikuitenkaaoleturhaamma&...

Jenkeissäensintehdäänmanagementdiilijasiènyritetääntehdälevydiili...managerie&ihyviäbiisejäjatuoàjiajoàlevyyh?ösignaisar?s?n...see`älevyyh?ökuunteleear?s?atäytyysilläollamanageri...toimiipullonkaulanajossaturhatkarsitaanpois...

Kultalevynraja15000,Pla?nan30000,ar?s?saamax1€/myytylevy

10. Doyouthinkyouasaproducerneedamanageratsomepoint?

Tuoàjatkyllätarvitsevatmyösmanageria...esimjenkeissäkaikillatuoàjillaonmyösmanagementjokayri`äätehdämahdhyviidiilejajahankkiaduunia...Jossainvaiheessatulentarvitsemaanman‐agemen&aulkomailla...

Tuoàjaroyal?tlevymyynninmukaan...sopimuksenmukaanjossamanageriastuukuvioon...tuoàjillekön`äsummayleensästudioajasta...

11. Addi?onalcomments.

Manageroin?inlii`yenkunmusateollisuusonvaikeuksissapira?smintakia...hyvämanagerikatsooulosboxistajapyrkiimie&määnuusiakeinojamitentehdärahaa...kilpailuonkovajaajatonhuonot...Managerionbusinesamma&lainen...harvaar?s?onbusinessamma&lainen...

Kustantajakerääjahallinnoitekijänoikeuskuluja..TVsta/radiosta/keikatjamuutpaikatmissäbiisejäesitetään...

TräkkerijatoplaineriTuoàjajakirjoiàja/melodia

HermanniKovalaiKustannusdiili(exclusiivinen),kustantaakaikkihermanninteokset..Suomenteostonmukaansanot‐tajasaa50%

Kansainvälises?kaikkibiisintekemiseenosallistuvatpronsen&osuudetmeneetasan..Jenkeissäuseinkaikkiträkkeritjakavat50%jakaikkitoplainerit50%

54






Appendix: Survey Virpi Immonen, Manager

1. Whichartistsdoyoumanage?Howlonghaveyoubeenamanager?

‐MichaelMonroe,TheWildhearts(UK).

‐I´vebeenamanagerfor6years.StartedwithHanoiRocks6yearsago.

2. Howdidyoubecomeamanager?Whatelementsformyoursalaryandhowlongprocessitis(whendoesthemoneyLlowin/howoften)?

‐Ineverdecidedtobeamanager.ItjusthappenedandIrealizedthatI´mcapableofdoingit.Ialsolikeit,Icanusemystrongestpoints.

‐Mysalarycomesfromdifferentsourcesandalldebendsonthebandsacitivities.Yougottaplanthingswellinadvanceandbeaheadoftime.Ifthebandisnotactiveortouring,yougottamakemoneyfromothersourcesandkeepthewheelsrolling.

3. Whatareyourdailytasks?Whatdoestheweeklyscheduleinclude?Howmanyhoursyouspendperoneartistperweek?

‐Thatchangeseverydayandeveryweek.Ittotallydebendsonwhat´sgoingonandwhatarethemainactivitiesfortimebeing.Mybasicdayincludesalotofemails,ideas,production,contracts,promotion,travelplans,basiccommunicationwithmyartist&staff.

4. Doyouhaveanotherjoborismanagementyouronlyjob?Ifnowhatelsedoyoudoandinaveragehowmanyhours(weekly)youspendonit?

‐IrunmyownmusiccompanyBackstageAlliance.I´mthepresidentofthecompanysothatwilltakealotofmytimetoo.50/50.

5. CharacterisewhatisthemusicindustrylikeinFinland.

a. HowwouldyoudescribethegenrevarietyinFinland?

‐IguessFinlandhasalwaysbeenastrongrock/metalcountry,andalwayswillbe.

b. Whatistheboomgenreatthemoment?

‐itvariousbutrock/metalwillalwaysbethere.

c. Areartistsslackersordotheywanttopushtheirowncareer?

‐ Ionlyworkwithartistswhowannapushtheirowncareerandarewillingtoworkforit.It´sateamwork.

55






d. InyouropinionwhysuchmanysuccesfulartistscomefromSweden?

‐IthinkwehavealotofsuccessfulartistsinFinlandtoo.Swedenhasdoneitforasolongtimeandtheyalsounderstoodthemeaningofgoodmanagement&publishingalongtimebeforeus.

6. HowdotherecordlabelsregardnewartistsinFinland?

‐Debendsonthelabelbutthecompetitionishardnowadays.Toomanybandsandtoolessrevenue.

7. Whatkindofartistneedsamanager?Howbigroledoesthemanagerplayinartists’career?

‐Allartistsneedamanagerbutit´smoreimportantforinternationalacts.

‐Goodmanagercandoalot,buttheartistneedstohavearightpersontoworkforyou.Managementislikeamarriage,trustbetweentheartistandthemanageristhemostimportantthing.

8. FinanciallyhowbeneLicialisartistmanagement?WhenisitbeneLicial?

‐ItisbeneLicialifyouhavebigenoughartiststomanage.ItbecomesbeneLicialifcanbeinternational.Bigmoniesareoutthere.

9. WhyistheresuchabigdifferenceinFinnishandSwedishindustries?WhythereissomuchmorevarietyinSweden?Biggercountry?

‐Firstofallthereisaculturaldifference.WehadourownthingandSwedenhasconcentratedmoreonpopacts.Wehavealotofthingstobeproudoftoo.Ourowninternationalrockactsandf.eIndierecordshops.AndindieshopsaregrowinginFinlandanddyinginSweden.

10. DoyouknowanyartistmanagersinFinland?Canyounameafewartistsandtheirmanagers?

YesIdo.

SeppoVesterinen–HIMandRasmus

EwoPohjola–Nightwish

JuhaKyyrö–DiscoEnsemble

PhilipPage–KimmoPohjonenandVärttinä

56






Appendix: Virpi Immonen Email

Moi Virpi

Kiitos erittäin paljon nopeasta vastauksesta! Tästä on iso apu ja erinomainen referenssi tutkintoni lopputyöhön. Minulla heräsi muutama kysymys yleisesti Suomen markkinoita koskien.

Voisitko vielä analysoida Suomen musiikkimarkkinoiden kokoa muutamalla sanalla ja sen kasvua? Mitkä ovat ulkopuolisia vaikutteita jotka vaikuttavat Suomen mu-samarkkinoiden kehitykseen (kuinka paljon USA esimerkiksi vaikuttaa koska Suomihan on kaikesta vähän jäljessä)?

Suomen merkitys musiikkimaana on kasvanut paljon ja se johtuu ammattimaisem-maksi muuttuneesta musiikin viennistä sekä muutamista läpimurroista kansainväl-isillä markkinoilla. Toki suomi on pieni musiikkimarkkina mutta meillä on nyky-isin potentiaalisia artisteja sekä ammattilaisia.

Suomen sisäinen markkina on aikalailla sisäsiittoista mutta viennin puolella toki esim Usalla on iso merkitys. Usa on vaan alueena niin valtava että se vaa-tii myös isoa työmäärää sekä isoja satsauksia. Se että Suomi on kaikesta jäljessä ei myöskään pidä täysin paikkaansa. Suomi on teknologia maana muita edellä ja se vaikuttaa myös musabusinekseen. Esim. meidän mobiilitekniikka on maailman huippua sekä meidän tieto/taito sosiaalisesta mediasta ja online mark-kinoinnista.

Mitkä ovat sinun mielestäsi avain osa-alueet musiikki markkinoilla tänä päivänä (levy-yhtiöt/ management/ julkaisija/ fanit/ internet jne)?

Fanit on aina numero yksi. Ilman faneja ei ole mitään muitakaan osa-alueita.

57






Appendix: Survey, Mikael Gabriel, Artist

1.Whatkindofmusicdoyoumake?Howlonghaveyoudonemusic?rap/hip‐hopmusic,about4yearsnow.Whydidyouchoosethatgenre?

ididntchooseit,itchoseme:D

2. WhentalkingaboutthatspecificgenrewhatisthemarketlikeinFinland?

werysmall,butgrowingfast

4. Whatareyourgoalsinmusicbusiness?

Tobemostlistenedandselledar?stinFinland

3. HowdoyouseeFinnishmusicmarket?small,butthereishopetobeabig.

c. Diverseofmusic/bands?plenty,rock,heavymetal,rap,pop,country,wedoevery‐thing:)

d. IsiteasytoenterthemusicmarketinFinland?No!ittakes?metogomajorands?llitisntclearwillusell..

e. Themostcommonwayofge&ngmusicoutinFinland?iduno,causeidonthaveex‐perienceofthat,butithinkit'shard,causeit'shardtoevengetmusictoFinnishpeople.

f. Haveyoubeenincontactwithrecordlabels?Whatisyouropinionaboutrecordla‐belsinFinland?Howdotheyreacttonewar?sts?Yes,imsignedtoUniversalMusicGroupFinland,theyhavedoneanicejobwithmysecondalbumandeverythingthatisaroundit.

4. Inyouropinionwhatistheroleofanar?stmanager?Whatdotheydo?

Takecareofeverything

5. Howdomanagersgetpaid?Whatisthe?mesequencethemanagersgetpaid?Dotheyhaveamonthlysalaryorhowisitformed?itdepends,iwouldgivesomeprosentlike15%ofmysalarythatimakeonthatspecificmonth.

58






6. Whatkindofar?stneedsamanager?Inwhatkindofsitua?ondoesthear?stneedtobeinordertobenefitfromamanager?Interna?onalar?stifhe'spoten?altogoBig,..whenhedoesthatmuchmoneythatheneedssomebodytotakecareofeverything.

7. Inyouropinionwhatkindofbands/ar?stsinFinlandhaveamanager?Canyounamefewbandsandmanagers?MikaTikkalaistheonlymanageriknow.andhe'smanagerofMilos Rosas

8. Doyouthinkar?stmanagersearnalivinginFinland?Whatkindofar?stmanagermakesalivinginyouropinioninFinland(managementastheironlyjob)?Examples.idontthinktherearemanyofthose.

9. Willyouneedamanageratsomepointofyourcareer?When?Hopeso,wheniwilldo150‐200showsperyear,theniwillcallMika;)

10.Addi?onalcomments.Popo!

IwasfoundedbyMar&Vuorinen(A&R)fromUniversalwhocontactedmeandsaidheisinterested.Halfayearwewentbackandworthwiththecontractandeventuallysigned.Wentthroughlotofmee?ngsandmetdifferentpeople.AxersigningeverythingstartedrollingandImquitehappywiththesitua?on.

59






Appendix: Survey, Ari Myllyniemi, Manager

1. Whichar?stsdoyoumanage?Howlonghaveyoubeenamanager?

‐Saurus,Gheò‐Juuhan,AdamTensta(Suomi)

2. Howdidyoubecomeamanager?Whatelementsformyoursalaryandhowlongprocessitis(whendoesthe

moneyflowin/howoxen)?

‐ Ajauduinalallekiinnostuksenmyötäjakaveripiirinar?s?envuoksi.

‐ Levymyyn?(digi/cd/jnejne),keikkapalkkio,oheistuoèet(t‐paidatjne.)

‐ Epäsäännöllises?,muàuseattulonlähteetmahdollistaatasaisenvirran

3. Whatareyourdailytasks?Whatdoestheweeklyscheduleinclude?Howmanyhoursyouspendperoneart‐

istperweek?

‐ Monipuolista,mm.hypeene?ssäjasenluomista,keikkojensoièluajamailailuasekäar?s?ntulevaisuudensuun‐

nièlua,mitänyttuleesilläkohtaatehtyä...kaikkee:)

‐ Viikoiàintsekataane`äomakustanteitaonmyyn?pisteissä,paljonkojakelijoillaonlevyäjapaljonkoonmyytyet‐

eenpäin,keikkojensuunnièlua

‐ 5päivänäviikossanoin2‐8hpäivässä,jakaantuuaikatasaises?ar?steille,ajankohtaisilletokihiemanenemmän.

4. Doyouhaveanotherjoborismanagementyouronlyjob?Ifnowhatelsedoyoudoandinaveragehow

manyhours(weekly)youspendonit?

‐Yksityisyri`äjänäpidänkiviliike`ä,yksityöntekijäpäivystää,jotenitseteenmitenehdin,5pvänänoin2‐8hpäivässä.

5. CharacterisewhatisthemusicindustrylikeinFinland.

a. HowwouldyoudescribethegenrevarietyinFinland?

‐ Laaja,useatUG‐genretpäässytpinnallejaneotetaanvakavamminjasaavatmedioissamyössuurtahuomiota,muà

tokipop‐rockkantaamarkkinavoimiaedelleen


‐hiphop/electrojaniidenklubisekoitukset

c. Arear?stsslackersordotheywanttopushtheirowncareer?

‐ Molempialöytyytallista.Senhuomaakukahaluaatehdätosissaan,muàuseatlahjakkaatar?s?ttarvitsevatjonkun

jokapotkiieteenpäin

60






d. Inyouropinionwhysuchmanysuccesfular?stscomefromSweden?

‐Niilläonseoikeatekemisenmeininki,kaikkitehdäänperinpohjaises?eikähä?köidä.Managerikulùurijakaikkimuut

jotkatoimivatar?s?nvierellätukevatjaedesauàvatar?s?nuraa,suomessatukijattulevatmukaanvastakunar?s?

onbreikannutmarkkinoilla.

6. Whatkindofar?stneedsamanager?

‐Raa’as?sanoùnasellanenjokaeijokoosaahoitaaasioitaan,muàmusisoin?onnistuutaisellainenjokaontar‐

peeksihaluù,jolloinar?s?llaitsellääneioleaikaavastatayleisöntarpeisiinmarkkinoin?,keikkailu,julkaisujne...‐pu‐

olella.

7. Financiallyhowbeneficialisar?stmanagement?Whenisitbeneficial?

‐ Sehänriippuuar?s?sta.Itselläonmuutamaar?s?jotkatuoàvatmyösminullekassavirtaa,sekämuutama,jotka

ovatharrastuksenjatukemisenvuoksilistalla...

‐ Ar?s?Xelä`ääitsensämusiikillaan,silloinkunsellaisiaar?stejaonrosterissaviisikappaleà,myösmanagerivoi

elääsillä.

8. Howdotherecordlabelsregardnewar?stsinFinland?

‐Surullistamuàisotyh?öteivättuetarpeeksituoreitaar?steja(poislukienidolskiinnityksetyms.)vaankatsovat

mitennetuoàvatjajoseivätbreikkaa,nelentävätromukoppaan,indie‐la�atonkantavavoimatässä.

9. Howbigroledoesthemanagerplayinar?sts’career?

‐ Alussaeiväl`ämä`äpaljoakaan,muàläpilyön?intarvitaanhyvämanagerijahyvätsuhteet.jatkossamanagerikan‐

taavastuunar?s?njulkisuuskuvasta,ajatusmaailmoista,tuotannonsuunnastaymsyms..

10. WhyistheresuchabigdifferenceinFinnishandSwedishindustries?Whythereissomuchmorevarietyin

Sweden?Biggercountry?

‐Koollaeitässätapauksessaoleväliä:)Ruotsissaasiatviimeistelläänjaomiintuotoksiinuskotaanenemmän.Heilläon

intohimoatavoitellatäydellisyy`äjaodoàaomaavuoroaan.

11. Doyouknowanyar?stmanagersinFinland?Whichones?

Useitaruotsalaisia,KariPössi

12. Addi?onalcomments.

61






Appendix: Survey, Deejay RNO

1. Which clubs and events have you played in? Collaborate.

a. Butterfly, Fabrik, Studio 51, The Circus. Great clubs but the crowds vary a lot. First 3 are SK’s clubs which have pretty young and stubborn crowd. They dont really let you play your

own music. If they dont like some songs, the girls come running to the dj booth and ask for the most commercial hits they can find. Im not really interested in playing them but if a dee-jay wants to stay in business thats what you gotta do.

2. What is the nightlife like in Finland? Explain.

a. Its really hectic, a lot of clubs and many of them change often. One major negative side is

that people want to hear really commercial music, NRJ top 40 songs.

b. I like Finland though and there is many opportunities since cities are close and you get to explore them easily. The people are little different in everyplace as well so its always a chal-

lenge to find out what they like.

3. How has the Finnish club scene changed?

a. Trends at the moment? Many unprofessional people try to step up and organize events…and I mean a lot…Only things they do is one of their friend makes a poster they book some random deejays to play and every event ends up being just like others. In that sense the

clubbing scene is boring..

b. Something should distinct deejays from each other, otherwise they are not really dedicated

and do it just for the money. Im doing this because I love spinning and seeing people enjoy!

c. Deejays life in Finland? As i said its pretty difficult to survive if you dont play commercial music. I play rap/hiphop and its pretty alright but I would like to stay in the more under-

ground songs…When I gotta play Akon and TI the whole night it hurts my ears…

4. How does management help your career?

a. I get to relax a bit and concentrate on other stuff…Every week I dont need to worry where im gonna play and make my money..its great to have some one taking care of that…even though I get little less compensation but i got time to concentrate on my girlfriend etc…

5. Additional comments.

a. Good luck.

62






Appendix: Management, Key Personnel

FridaysInnerCircleandKeyPersonnel

JonathanFinegold

JonathanFinegoldisafounderandownerofFinegoldProduc?ons52whois helpingtosignMilosRosas inthestates.“Signinganar?st inthe USis a longprocess andnoonegets paidbeforethepapersare signed. Goodthing about US music market is that they pay inadvance right axersigningsoIdon’tneedtowait forroyal?es.Outofthattotal amountall thepeopleinvolved,MrFinegoldandmymanager,taketheirowncutwhichare15%and15%”Milosclarifies.

KauriSalonen

KauriSalonenworks as a project manager for SK‐Restaurants andhandlesmost of the deejaybookings sinceeverythinggoes a lotsmootherwhenthesethingsareruninsidethecompany.“IworkcloselywithFridaysandI considerus ascolleagues sincewehaveagreedthatItakemyowncutfromthedeejayspaymentswhenwelockdownnewperformancesforthem”Salonenexplains.

KalleKallonen

KalleKallonenisa major event organizer anda marke?ngmanager for nightclubLoveHotelinTampere.Hehas successfullyorganizedclubs andhasanongoingclubcalledDeluxe53.Fridays doescoopera?onwithKallonenconcerningdeejaysand fromwhichhe benefits by having successfulevents,basicallymeaning?cketsales.

AriMyllyniemi

Ari Myllyniemiis workingforPrimeTimeandorganizes events inthe midFinlandarea.Theirofficeis locatedinTampere buttheyhave events inthemajorci?es likeKalajoki,Jyväskylä,KuopioandSeinäjoki.Bookingar?ststhroughMyllyniemi brings income bothtoFridaysandPrimeTimebutofcoursePrimeTimewilltaketheiragencycutwhichisusually15%.

Noneofthese coopera?ngpar?es addaddi?onal costs toFridays business sinceallthedeals aremainlypercentagedeals.Axeragreedar?st’s performance feetheorganizerandthemanagementtake theirowncutandcommonprocedureis axertheevents areorganized.SofarFridayshasnotthought of having other management par?es in the company so only one person makes thedecisions.

63


52h`p://www.finegoldproduc?ons.com/?q=about‐us

53h`p://www.clubdeluxe.fi/





http://www.finegoldproductions.com/?q=about-us

http://www.finegoldproductions.com/?q=about-us

http://www.clubdeluxe.fi

http://www.clubdeluxe.fi

PersonnelRequirementsintheFuture

“Itis notbusinessifmorepersonnel is cannotbehiredalongthewaysothatyouconcentrate ondevelopingthecompanyandtakingnewsteps”Fridaysstates.

Nextstepistohireaproper accountantwhotakes careofthe taxes,stays incontactwithlegalissues,knowstheinvestmentbusiness incaseofFridays is inves?ngat laterstageanddealwithbills andcompensa?ons.“Itneedstobephonecall away tomakethesethings happen” FridaysCEOexplains.

There comesa point in the late 2010 to hire a secretary to handlemost of the paper work.Secretary will beresponsiblefor organizingandmakingphonecalls aboutevents,performancesandstay in contactwiththe accountant.Itwouldbe apart‐?mejob.Thesecretaryas well as theaccountantneedtobereliablebutnotfromthefriendcircle.“Business andfriends arenevertobemixed and it has been experienced already through few projects. It will never work” Fridaysanalysis.

64






Appendix: Age Distribution, Finland 2009

*Information collected from Statistics Finland, www.stat.fi

65


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usedforexampleinPresiden?alelec?ons.Themain

provincesincludeSouthern,Western,Easternand

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distributedtotwoseparateprovincesthatarecalled

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66


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Appendix: Financial Rates

67






Appendix: Literature Review

Literature ReviewMikaTikkala

Andy Denz - Supervisor



market?

fridays management

“Themusicbusinessisacruelandshallowmoneytrench,alongplas?challwaywherethievesandpimpsrunfree,andgoodmendielikedogs.Thereisalsoanega?veside.”

68


M A N A G E M E N T





Table of Contents

Introduction 1

Chapter 1. Feasibility study 2

What is a feasibility study? 2

Feasibility analysis outline 2

Methodology 4

Feasibility of Fridays 7

Chapter 2. Artist management 1

Artist management 1

Artist management in Finland 3

Chapter 3. Literature Review 1

Literature and its pros and cons 1

Interviews 2

Dissertation 2

Articles 3

Finnish Music Market Research 3

Tilastokeskus (Statistics Finland) 4

Key Sources 4

Inconsistencies During Research 4

Chapter 4. A Commentary 6

Chapter 5. Definitions and key words 7

Definitions 7

Key words 9

Bibliography 10

Appendix: Surveys (artist) 13

Artist point of view 13

Appendix: Surveys (manager) 14

Appendix: Surveys (Record rep.) 15

Appendix: Research Proposal 16

Introduction

Someonewhois entrepreneurmindedandpassionate aboutmusicitwill interes?ngtoinves?gate

Fridays management’s situa?on.Sinceitwasfoundedin2009andoperateda yearalreadyfeasibil‐

itystudyisanimportantway toinves?gatewhetherthebusinessideaisprofitableenoughinthe

long run.Withthehelpofdifferenttypes oftheore?calanalyses, right literature andinterviews

withinfluencedpeopletheconclusionsandrecommenda?onsaremade.

Ar?stmanagementis a minorfieldinthemusic industry inFinlandandthereis onlya handfulof

managers.Usually record labelstakeover managerialtasks onereasonbeingthelackofmoney

flowin the markettodistributeamongeveryone.Thereis nosenseinworking24/7andnotget‐

?ngapropercompensa?on,that isnotbusiness.Eventhe mostsuccessful managers havea sec‐

ondjob.

Thereare a fewbookswri`enaboutar?stmanagementwhichwill beusedas oneofthemajor

secondarysourcessupportedbyreports wri`enonlyabouttheFinnishmusicmarket.This willgive

anoverall picture ofthemarketsupportedby surveys as aprimarysource.Answers givenby the

differentpar?esinvolvedinthemusicmarket itis possibletoforma broadunderstandingofthe

market.Thefollowingreportwill indicate anoveralldescrip?onoftherelevantsourcesavailable

andfurtherinforma?onfortheconstruc?onofafinalIndividualResearchProject.

1






Chapter 1. Feasibil ity study

Whatisafeasibilitystudy?

“Feasibility study is a research that gives youpreliminary informa?on regarding onesbusiness

idea'spoten?altosucceedinthemarketplace.”55

Thereareplentyofbusiness ideas butthings will notwork,despitethehardworkandeffortone

spends ontheiridea.Onereasonforfailureistheentrepreneur’s willingness toproperlyresearch

thefeasibilityoftheconcept.AbusinessmandoesnotneedtobeanEinsteintoknowtheimpor‐

tanceof market researchand finding the niche in a certainmarket before inves?ng ?meand

moneyinanewbusinessidea.Thisis donethrougha feasibilitystudypriortocommencementofa

properbusiness plan.Afeasibilityanalysis will showwhethera chosenbusinessideaissuccessful

ina certainmarketandgivedecision‐makingguidance.Ananalysis will iden?fyproblems,oppor‐

tuni?es,describethecompany’scurrentsitua?onandassess thecost‐benefitrela?onshipassoci‐

atedwithelementsofthecompany.56

InFridays’case feasibilityhas notbeenresearchedyeteventhoughitis anopera?ngcompany.Itis

necessarytocarryoutthe feasibilityprocess inordertoreceiveguidance aboutwhetherornotthe

businessideaisprofitableinthelongrun.

Feasibilityanalysisoutline

Thephaseofgatheringinforma?onaboutthesurroundingforces is the feasibilitystudyandcanbe

a complex, formal documenttoa`ractinvestorsor justa simple documenttooneself, theentre‐

preneur.Accordingtoa model foundmosteffec?veinthis casefeasibilityshouldincludethefol‐

lowingcategories:57

2


55h`p://www.websitemarke?ngplan.com/techniques/feasibility.htm

56h`p://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf

57h`p://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf

M A N A G E M E N T











Execu&vesummary/projectgoals

‐ Summaryofallkeysec?onsofthedocument

Product

‐ DescribewhatFridaysoffers

‐ Companyprofile

Marketenvironment

‐ Definetargetmarket

‐ HowwillthecustomersbenefitfromFridaysexistence

‐ Businesstobusiness;venues,restaurants,brands,promoters

‐ Businesstocustomer;howtoreachthefans

‐ PESTanalysis

Compe&&on

‐ Direct/indirectcompe??on;othermanagementcompanies/bookingagencies

‐ Keybarrierstoentry

‐ WhatisuniqueaboutFridays

‐ Howwillthecompe??onreacttoFridaysexistence

‐ Benchmarking

Industry

‐ DefinetheindustrywhereFridaysoperates(keyindustrysegments)

‐ Describethelargerforcesthatdrivethemarket

‐Porter’sFiveForcesModel

Businessmodel

‐ HowwillFridaysgeneratemoneyfromdeejays,ar?stsorothertalents

Marke&ngandsalesstrategy

‐Marke?ngstrategies

‐ Salestermsandpayments

3


M A N A G E M E N T





Managementandkeypersonnel

‐ hemainpeopleinvolved,?tles,experience,skills,costs,responsibili?es

‐ Sketchofpersonnelrequirements:now,inayear,longerterm

RiskFactors

‐ SWOTanalysis

‐ Internalcharacteris?cs,economicforecasts,

Financialprojec&ons

‐ Financialhistory

‐ Analysisoffinancialfeasibility

Conclusionandrecommenda&ons

‐ Strengthofrecommenda?onscanbeweightedhowwelltheanalysisdemonstrates thecon?nuitybetweentheresearch

analysisandtheproposedbusinessmodel.

‐ Market/Businessmodel/Management/Financialviability

Methodology

Belowtherearelistedtheoriesthatarerelevanttothefeasibilitystudyandwhichwillbeapplied

intheresearchproject.Thefollowingtheorieswillgiveathoroughanalysisofthema`erand

describetheinfluen?alforcesofthetargetmarketinFridays’case.

Marketenvironment

PESTanalysisisascanoftheexternalmacro‐environment,inwhichthecompanyoperates.The

analysishelpsacompanytogetanoverviewofthemacro‐economicalelementsthataffecttoits

businessandwhichelementsneedtobetakenintoconsidera?onwhencarryingoutnew

marke?ngideas.PESTanalysisisanacronymandincludesthefollowingfourelements:58

Poli?calfactors:Governmentalregula?ons,laws,poli?calstability,environmentalrestric?ons

Economicalfactors:Economicalgrowth,infla?on/interest/exchangerate,

4


58h`p://www.quickmba.com/strategy/pest/

M A N A G E M E N T







Socialfactors:Popula?ongrowthrate,agedistribu?on,healthconsciousness

Technologicalfactors:ResearchandDevelopment,technologyincen?ves,technologicalchange

Compe&&onAnalysis

Asthefirsthandresearchalreadyshowstherearenotmanymanagementcompaniesbut

individualmanagersonly.Theimplementa?onofBenchmarkingwouldsetthestandardsandgive

Fridaysagoaltofollowsuccessfulindividuals.59Ontopofindirectanddirectcompe?torsit’svital

tocompareFridays’actstoprofessionalmanagerswhohavebeensuccessfulinthefieldformany

years.Benchmarkingisaprocessofdeterminingwhohassetthestandards,whatisFinland’sbest

managerlike,whohasbeenthemostsuccessful.60Themeasuresinthear?stmanagementfield

couldincludethesuccessofthear?sts,thequalityofar?stsand?mespentonar?sts.Monitoring

thebestar?stmanagers’ideasandadop?ngthemwillhelpFridaystodevelopitsownbusiness.61

IndustryAnalysis

ThebasisforindustryanalysisissetthroughFiveForcesModelinventedbyMichaelPorter.It

analyzesfiveforcesthatinfluenceanindustryanditscompe??veness.Whenacompanyistrying

tofindanedgeoveritsrivalsitcanapplythismodeltounderstandtheindustrythoroughlyin

whichitoperates.Theforcesareexplainedinmoredetailunderneath.

ThreatofNewEntrantsanalyzeelementslikecost,?meandbarrierstoentry,specialistknowledge

andeconomiesofscale.Compe??veelementanalyzesthenumberofcompe?tors,qualityof

differences,customerloyaltyandcostsofleavingthemarket.Threatofsubs?tuteproducts

involveselementsconcerningproductdifferen?a?on,numberofsubs?tuteproductsinthemarket

andpropensitytosubs?tute.

5



60h`p://www.dobney.com/Strategies/compe??ve_analysis.htm#

61h`p://management.about.com/cs/benchmarking/a/Benchmarking.htm

M A N A G E M E N T





http://www.dobney.com/Strategies/competitive_analysis.htm#

http://www.dobney.com/Strategies/competitive_analysis.htm#



Buyerpowerconcludesthenumberof

customers,differencesbetweencompe?tors,

pricesensi?vityandabilitytosubs?tutetoother

products.Supplierpowerontheotherhand

concentratesonthenumberandsizeof

suppliers,uniquenessofsuppliers,acompany’s

abilitytosubs?tuteandcostsofchanginga

product.62

RiskFactors

SWOTAnalysisisatoolforaudi?ngan

organiza?onanditsenvironment.Itisuseful

whenfindingkeyelementstofocusinthemarke?ngandwhichtoconcentrateon.SWOTstands

forStrengths,Weaknesses,Opportuni?esandThreats.Thefirsttwoanalyzetheinternalfactorsof

acompanyandtheothertwoanalyzetheexternalandenvironmentalfactors.Theanalysishelpsto

laydownopportuni?esandthreatsinthemarket,whichcanbeovercomebyusingthecompany’s

strengths.Weaknessesareissuesthatacompanyshouldtrytodeveloptowardsamoreefficient

wayofopera?ng.63

6


62h`p://www.mindtools.com/pages/ar?cle/newTMC_08.htm

63h`p://marke?ngteacher.com/Lessons/lesson_swot.htm

M A N A G E M E N T







FeasibilityofFridays

Fridays isalreadyanexis?ngandopera?ngar?stmanagementcompany.Havingmul?ple deejays,

fewphotographers andlive actsdoes notnecessarilymeanthecompanywill succeed.Moreoverit

requiresbusinesslikethinkingandknowhowaboutthe industry.Fridaysmightbeabletooperate

financially but howmuch?meandeffort doesit requireand is another jobonside needed, is

another issue. Examiningotherfields likesports wouldbe anopportunity toFridays togenerate

moremoney flow and expand to other areas. Juu?lainen and Nakai in their disserta?on are

analyzingsportsin beingone ofthetalentmanagementfields.Thefindingsshowthatit’s oneof

theunderratedfields whenitcomestomanagement.Finlandbeinga sportscountrythatcouldbe

anopportunity.Fridaysmight consider that as anotherfieldtomanage at a later stage.Though

ar?stmanagementis a majorpartofFridays’opera?ons atthemomentthe mostreasonablefield

ofresearchisar?stmanagement.

7


M A N A G E M E N T





Chapter 2. Artist management

Ar&stmanagement

As all thear?sts areindividualssoare managers especially in Finland’s market.AManager is usu‐

allya closefriendora personwhoknows thebandmembers andits music.Managers areusually

chosenorsuggestedthroughpersonal contacts.Amanageristhear?st’s alter‐egowhopeopleand

fansneversee.Amanageris a planner,adviser,organizer,strategic,overseer,coordinator,traveling

companionandmoreoverafriend.Anar?stmanageris oneofthe rare peoplewho alsogets to

seeandexperienceallthepuzzlesalongthear?st’scareer.64

Inthe biggermarkets there arebigmanagementcompanies andmanymanagers, althoughonly

one ofthemisusuallyassignedtoeachar?st;therecanbe anar?stmanager,a business manager,

a roadmanager,a tourmanager,aproduc?onmanagerandeventechnical manager,althoughma‐

jor ar?sts canhavemul?ple managers sinceonemanager cannot takeall theresponsibility and

thereissimplylackof?metotakecareofeverything.

Thejobthata manager does,depends vastly onthear?st andabout inwhichpoint they are in

their careers.Whenanar?stgets more popularmoremanagers are neededandthereforetasks

aredividedaswell.65

Foranunsignedband,amanagershould:

• Sendoutdemostolabels,radiosta?ons,localprintmedia,andonlinepublica?ons

• Bookperformancesandinvitelabelsandthemediatotheshows

• Networkandtalktopeople about the band, takecareofpromo?oninradios,magazines

andotherchannels

8


64h`p://www.amazon.com/Business‐Ar?st‐Management‐Howard‐Blumenthal/dp/0823077055

65h`p://musicians.about.com/od/otherindustrycareers/p/ar?stmanager.htm

M A N A G E M E N T









• Helpbookstudio?meandprac?cesessionsandhandledailytasksconcerningar?st

• Explorefundingopportuni?esandnewcoopera?ngbrandsfortheband

Forsignedar?sts,managersshould:66

• Nego?atefinancialdeals withthelabel forexpenses liketouring,recordingandcollaborat‐

ingwithotherar?sts

• Make sure tours are carried out smoothly, plane?ckets and hotels are booked, sound

checksaredoneproperly

• Overseeotherpeopleworkingfortheband,likeaccountants,agents,andmerchandisers.

• All the?mesearchforbe`erdeals withbrandsthatreflectar?st’simageina bestpossible

way

• Networkingandtakecareofpromo?oninradios,magazines,Internet

• Makesurear?stcanfocus100%ontheirmusicandorganizeeverythingaccordingly

Amanager is arepresenta?veof thear?st in thebusiness lifeanda link toeverything that is

aroundworkingforthesuccessofthear?st.Sinceeveryar?stis differentandmakesdifferentmu‐

sic themanagerhas tooverseethe biggerpicture andmarket the product inthe mosteffec?ve

way.67

Everyar?sthavetobepromotedina differentway.There will beas manywaysas thereareman‐

agerssince eachoneis opera?ngdifferently.Whenitcomes downtobusiness,rela?onshipsplaya

vital role inanar?st’s promo?onstage;the fasterthe managerreaches the rightpeople,thefaster

anar?stisabletogeneratemoreincome.

“InFinland,asanar?stmanager,onecannotearnalivingbymanagingone ar?st.Usuallymanag‐

ersarepartofrecordlabelsoragenciesthathavesignedapersontotakecareofcertainar?sts.”

8




M A N A G E M E N T









As Virpi Immonenstates intheYle X interview,she isalsoa CEOofBackstageAlliance andalso

manages twomajorinterna?onalbands.“Oneismarriedtothe band,themusicindustryandthe

lifestyle.All my closest friendsarefrominsidethe business sinceIdon’t really havetoanything

else.”68“Nowadaysthereare manygooddoctors andgreatmedica?onforburnoutanddepression

sothereisnoworryevenonegetseitherone,”Saukkonenjokesaroundduringthesameinterview.

Ar&stmanagementinFinland

Thecornerstone in Finland’s ar?stmanagementanda guywhosefootstepstodays managers fol‐

lowisSeppoVesterinen,whointheearly80’s becamea manager ofa legendary glamour rock/

punkbandHanoi Rocks69.VesterinenlixedFinlandandHanoi Rocks totheinterna?onal popularity

in1980‘s whenHanoiRocksstartedtoflourish,whichendedupbeinga 15yearrela?onship.S?ll

todayhe is oneofthemostinfluen?alpeopleintherockscene inFinland.“Un?ltheendof90’s no

one spokeaboutanyoneelse thanVesterinen.Therewas nooneelse.Nowweare goingtothe

rightdirec?onandpersonallyI’mtryingtohelpanyonewhois interestedinthemanagementfield”

states VirpiImmonen.70ShewasHanoiRocks’manageraxertheymadeacomebackintheearly

21stcenturybutnowadaysshemanagesTheWildhearts.

Accordingtotheradiosta?onYleX’sinterviewandMikkoSaukkonenfromBonnierAmigo71,today

therearea handful ofmanagers,maybe around10‐20people.“Thenetworkis really small and

basicallyall the managers moreor less knoweachother.Some?mes we gather fordinnerandgo

throughtheho`estar?stsanddiscusthenewestthingsinthemarket.”72

BothImmonenandSaukkonenwentonsayingthatitis possibleforar?sts tosurvivewithoutman‐

agersbutthenitrequires a lot fromthear?standa recordlabel.Everythingneeds tobeclearly

organizedandtherecordlabelneeds toholdthe packagetogether. At somepoint amanager is

neededinordertogetthebandtothenextlevel.

8


6868 h`p://ylex.yle.fi/radio/ohjelmat/keskuskomitea/manageroin?‐osa‐2

69h`p://www.myspace.com/hanoirocksofficial


71h`p://www.bonnieramigo.com/


M A N A G E M E N T













Ofcoursea manageralways takestheirownsharebutitwill bringmuchmorefreedomtotheart‐

istallowinghimtoconcentrateonthe actual music while themanagertakescareofthe business

side.

Thereis only ahandfulofinterna?onally successful ar?stsinFinlandandsimply thegenerala&‐

tude is thatonlyafewmanagersare needed.Sincetheyaretakinga sliceofthecakehiringa man‐

ager is postponed?ll thelastmoment.Usually somerecordlabel officerhandles ar?st’s business

inFinland,justlike ImmonenandSaukkonenhavedone.“Oxen?mes it’s upforthear?standthe

situa?onthey are inwhether amanager is useful. Itrequires a lotof commitment, businesslike

thinkingandorganizingskill” Immonenexplains. Shehasoxencomparedar?stmanagement to

marriagesincear?st‐managerrela?onshipneedstrustaswellaslotsandlotsof?me.

8


M A N A G E M E N T





Chapter 3. Literature Review

Literatureanditsprosandcons

Musicbusiness is crookedanda crazy industry ineveryway. Thereis alotofbooks,ar?cles and

informa?onavailable.Althoughabout ar?stmanagementtherearefewbooks whichwill give a

thoroughviewofwhatitis about.Thebooks will give thereaderapicturewhattheydo,howthey

earntheirincome,howtoactas amanager,promoteanar?standsomeuseful ?pswhenstepping

intothemusicbusiness.

ThisBusinessofAr>stManagement,byXavierM.Frascogna,Jr.,H.Lee Hetherington,clearlystates

all the stepsfromformingaar?st‐managerrela?onshiptohandlingmoneyandsuccess.Alongthe

way itprocesses issues likear?st’s careerplan, imageandge&nga contractwitha recordlabel.

Although the book gives quite general view of ar?st management though a very clear one.

Moreoveroneedi?onofthebookwaswri`enin1997andthefourthedi?onin2004sointhat

sense itmustnotbe takentooseriously sincea lot things havechanged.Nothingaboutinternet

andonlinemarke?ngismen?oned.

Another book explains ar?st management in more detail, Ar>st Management for the Music

Business,by PaulAllen. Thebookgives broaderviewofar?stmanagementthanThisBusinessof

Ar>stManagement.Ar>stManagementfortheMusicBusinessexplains whatis havinganar?stas

a business andhowis the income generatedfromperformances torecordings.Amajorpartofthe

booktells howtoconductbusiness forthe ar?standhowtoformanac?onplanforit.The book

will discuss about the importance of the WorldWideWeb as well. Both books also include

examples of proper contracts ranging from record deals toperformance contractsandwri?ng

contracts.

1 M A N A G E M E N T

Interviews

Axerge&ngaclearpicture ofar?stmanagementthenextstepis toexplore theFinnishmarketin

moredetail. Therehasnotbeenreleasedanybooksaboutar?stmanagementinFinlandbutby

construc?nga survey todifferentpar?es ofthemusicindustrywill givea similarresult andeven

themostrecentone.As men?onedearlierthe radiosta?onYLEXinterviewedfewar?stmanagers

in 2009 which helps to form a thorough picture of the market. Referring to Immonen and

Saukkonentheinforma?onisvitalandhelpfulsecondarydatawhichwillbeusedintheanalysis.

Muusikkojenlii`o‐websiteanswers welltosome ques?ons aboutar?stmanagement inFinland’s

music industry. 73 Giving answers fromwell establishedmusicians that are part of “Musician

Union”will helptoformarealis?cpictureabouttheindustryandar?stmanagement.The website

will findanswers atleasttofollowingques?ons:Whatroledoes the managerhave?Whatmakesa

goodmanager?Howismanagerspayconstructed?Whotohireasamanager?

Althoughthemostuseful personandthebestsourcetointerviewinFinlandis a recordproducer

andamanagercalledSeppoVesterinen.74He isabestknownformanagingthetopthreebands in

Finland,HanoiRocks,HIMandRasmus,currentlyHIMandRasmus.He hasbeeninthebusinessfor

manyyears andknows the ins andoutsofthe musicindustry.Althoughas manyrecordexecu?ves

andestablishedpeopleare verydifficult toreachitmightbe toolongprocesstryingtotrackhim

down. Thoughtherewas anar?cle abouthim inCitymagazinewherehe analyzesmarkets like

Finland,Germany andUS. That is useful for ge&ng histhoughtsandcomparisons about major

marketstoFinland’smusicindustry. 75

Disserta&on

Maija Juu?lainenandOona Nakai madea disserta?onaboutArts Managementin2008.Itanalyzes

fashion,its currentsitua?oninFinlandandpossibili?es ofartsmanagementfieldin Finland.As a

majorpoint they try tofind ifmanagement addsvalueina fieldof fashion soit alsodiscusses

managementingeneralandgivesageneralbutalsosportsviewaboutit.76

2

73h`p://www.muusikkojenlii`o.fi/faq/faq_manageri.html#12

74h`p://search.intelius.com/Seppo‐Vesterinen

75h`p://www.city.fi/ar?kkeli/Seppo+Vesterinen/181/


M A N A G E M E N T







Juu?lainenandNakai alsodiscusfields thatmight include management professions likesports.

Accordingtotheirresearchathlete managementandar?stmanagementare closely relatedeven

thoughthefields aretotallydifferent.Therearenotmanymanagersinsports sincethe parents

andrela?vesusually take careoftheathlete’spersonal issuesso that they can concentrate on

prac?cing.Nevertheless it is another possible fieldofmanagement forFridays andit shouldbe

collaboratedfurther.

Ar&cles

Onear?clefoundabout“Howtopicktherightmanagerforyourmusiccareer”explainswellwhat

characteris?csmustanar?stmanagerhaveintodaysbusiness.WriènbyBobbyBorgcompares

theLedZeppelin?mesthroughsomeexamplesandreflectsthosetothesitua?ontoday.

Anarrogantmanagerfromthe90‘sisnotabletooperateasuccessfulbusinessintodaysworldbut

“Mr.NiceGuy”ismorelikelytosucceed.Amajorpointisthatontopofbeingwell‐connected,a

goodnego?ator,enthusias?c,commièdamanagershouldbetrustworthyandrespectable.77

Anotherar?cleabout“Whendoesabandneedamanager?”hassimplemessage“Whenaband

hassomethingtomanage.”Thear?cleexplainsthemanagersrole,rela?onshipwithanar?stand

whatcanamanagerdoandshoulddoforanar?st.Makingadis?nc?onwhenisthegood?meto

hireamanagermightbedifficultandsomear?stsseekmanagementeithertooearlyortoolate.

Thear?cleiswriènbySco`Cur?sandJanetJohnson.

FinnishMusicMarketResearch

AresearchmadebyTimArgillanderandVirpiMar?kainenistryingtofindacommondevelopment

strategytoFinnishmusicindustry.Astudywriènin2009throughlyanalyzetheFinnishmusic

industry.Theyhaveinterviewedmanyprofessionalsfromtheindustryfollowedbyguidelinesand

recommenda?onsfromwhichthemusicindustrycouldprofit.Theresearchwillprovideanoverall

understandingaboutthesizeandtrendsofthemusicindustryontopofrecentfigureshowdoes

themoneyflowintheindustry.Averyusefulstudywhichwillcollaboratealottotheresearch.78

3

77h`p://www.getsigned.com/want6.html


M A N A G E M E N T





Tilastokeskus(Sta&s&csFinland)

Tilastokeskus produces the most accurate and latest sta?s?cs and is a major interna?onally

func?oningpartyinFinland.Withthehelpofitssta?s?cs it’s possibletogatherinforma?onabout

Finland in general, its music industry and elements that are part of it. The age distribu?on,

infla?on/exchange/growthrates,howdoes technologyaffecttodifferentmarketsinFinland,how

many people listen tomusic and how big part ofmoney flow goesto concerts are ques?ons

involvingsta?s?cs andTilastokeskus is vital sourcewhenfindinganswer.This will collaborateto

PESTanalysisanddemographicsofFinland.79

KeySources

An important secondary sourceisconstruc?nga realis?c financial report from Fridays’ current

numbers.Whentakingnormallivingexpenses intoconsidera?onandreflec?ngthose numbersto

Fridays’ income it is possible to conclude if ar?st management is feasible for Fridays at the

moment.Generalinforma?onreceivedfromFridaysaboutthemarketisalsovital.Usingliterature

foundimportantit’s possible tocreateanoverall picture aboutar?stmanagementandatthesame

?meapplyingprimarydatafortheunderstandingofar?stmanagementinFinland.

As amajorprimary datasourceis interviewingrecordlabels,bookingagencies,ar?sts andother

managers itwill givefirsthand informa?onabout Finnishmusicmarket. Althoughwhenasking

opinions or informa?onfromunknownpeoplethereis achancethey don’ttell thewholetruth.

Somenumericassump?ons mighthavetobemadewhichneedtobetakenin toconsidera?onas

well.Intheendofthedocumentthereisa listofpeopleandcompaniesthatarebeinginterviewed

(seeappendix,Surveys,formoreinforma?on).

InconsistenciesDuringResearch

Thebookswill tell only a general point of view to the ar?stmanagement not pointed to any

specific market. Although it will showclear elements inmanagement field and theprocess of

makinganar?stsuccessful itwill notgiveany informa?onaboutFinnishmarket.Thatinforma?on

needstocomefromdifferentperspec?ve.

4

79h`p://?lastokeskus.fi/index.html

M A N A G E M E N T



Onemajorproblemis not reachingtheinterviewedpeople whichwouldmakereachingtheend

resultinconsistent.Thebiggestconcernis themnotansweringon?meandproperly tothe survey

sentthembyemail.MakingresearchfromTheNetherlands havingthetarget peopleinFinland,

some inSwedenandUScomplicatesthe processsinceemailingis thebestandfastestop?onand

makingphone‐callsisconsiderablebutexpensive.

As men?oned abovepeopleare not always honest andmight give out a wrong pictureof the

reality andthereforemakes itdifficult toconstructtruthful conclusions.Another issuethatmight

cause inconsistencies isthema`er thatnot all the informa?onandsta?s?csare notavailable in

thewebsites.Thiscancausesomespecula?onanduncertainconclusions.


Chapter 4. A Commentary

Itisvitaltoexplainar?stmanagementasaprofessionandafieldofbusinesstorealizewhatisthe

fieldabout.Asafirststepreadingtheliterature,interviewsandar?clesavailableandsummarizing

themtoacoherentdescrip?onwillgivetheunderstandingofanar?stmanager’sworld.Usingthe

chosenfeasibilityoutlinewillgivethereportalogicalorderanditismadesureallthekeyareasare

researched.ThisBusinessofAr>stManagementandAr>stManagementforMusicBusinessplaya

keyroleinsummarizingthegeneralpointsofmanagementbuttheradioYLEXinterviewabout

ImmonenandSaukkonenontopofsurveysdistributedtothemainfieldsofFinnishmusicindustry

willbringtogetherthepictureofFinnishar?stmanagementworld.Thesurveysareoneofthe

majorprimarysourcesoutofwhichmanyconclusionswillbemade.

TheFinnishMusicMarket‐researchmadebyArgillanderandMar?kainenandSta?s?csFinland

willgivefirsthandinforma?onandsta?s?csaboutpeoplebehaviorandthesizeofFinnishmusic

industry.TheresearchplaysavitalrolesinceitprovidesanoverallunderstandingFinnishmusic

industry.Bothsourceswillprovideimportantgraphsandnumbersthatareshowingthescopeand

trendsofthemarketaswell.Thesefiguresandar?stmanagementaresupportedbyJuu?lainen

andNakaidisserta?onandar?clesfound.

Sincethedisserta?onmadebyJuu?lainenandNakaiismainlyaboutartsmanagementitwillonly

providesupportinforma?ontotheresearch.Likewisethesurveyswillgiveinforma?onaboutthe

Finnishar?stmanagement,markettrendsandwhatisagoodFinnishmanagerthear?cleswill

supportthatinforma?on.

Thenextphaseistoconstructaresearchproposalwhichwillincludebackgroundinforma?on,

objec?vesandresearchdesign.Moreoverresearchproposalstatesthemainques?onand

suppor?ngques?onsthatarisewhenfindingouttheconclusion.Backgroundinforma?onwill

explaintherelevanceofthesubjectandinteres?ngtocarryout.Objec?veswilldeterminewhat

theprojectaimstoachieve.Researchdesignexplainshowtheinforma?onwillbecollectedand

howtheprojectwillbecarriedout.Theproposalwillalsoindicate?mescaleoftheresearch

projectandotherproblemstatementsthatwillarisealongtheprocess.


Chapter 5. Definit ions and key words

Herearelistedthekeydefini?oninthebusinessandwhichareusedintheproject.Thishelphelp

tounderstandtheresearchatall?mes.Underneaththereisalsoalistofwordsthathavebeen

usedintheliteraturereviewtosearchinforma?on.

Defini&ons

DeejayADisc Jockey is a personwhoplaysmusic during clubnightsusing real records or CD‐

playersandamixer.

PartybreakIsamusicstylewhichreflectsuptemposongsandgoodfeeling.

Mashup Is a songwhere twoormoresongsarecombinedtoonesong.Parts fromdifferentsongs

areputtogethertomakeonegoodcombina?on.

AsetDeejayplayscertainamountof?me,usually2‐3hours,duringanightitiscalledaset.

BassoRadioUrbanradiosta?oninFinland.

City‐magazineThemostpopularnewspaperaboutevents,food,peopleandmusicinHelsinki.

SpinningIstermusedindeejaying.Spinrecordsbasicallymeansplaymusic.

Ac&ngbehindcloseddoorsRecordlabels makemoneywithexis?ngar?stsanddon’ttakeanyrisk

bysigningnewar?sts.Theylackcouragetodoanythingnew.

XFactorTalentprogramwherepeoplecanapply andtrytobringtheir talents topubliceyes and

ears.

AdamTenstaEstablishedSwedishar?st(rapper)whobecamefamousthroughMyCoolsingle.

TwiIerApla^ormwhichallowspeopletoupdatetheir“status”intheInternet.Twi`er is broadly

usedbycelebri?esandar?ststogetclosewiththeirfans.

DirectoralManagerHandles nego?a?ons,sponsordeals,recorddeals andall majordecisions that

concernanar?st.

TourManagerTogetherwithdirectoral manager theyplanthetourandtourmanager thentakes

care of the ar?stduring thetour.Makessuresoundcheck is properly made,backstagehasthe

neededrefreshmentsandtakescarethattransporta?onisorganized.

7

SongdemoAversionofa songbeforethefinal mastering.Demoscanbe senttolabelswhothen

decideiftheywanttoputitouttothemarketandthereforetakecareofthe final mixingandmas‐

teringofthesong.

BookingagentApersonwhobooksanar?sts’shows,performancesandevents.

UniversalMusicAmajorRecordlabel.

WarnerAmajorRecordlabel.

A&Rexecu&veAr?standRepertoireis a divisionofa record label that is responsible for talent

scou?ng.A&Rpersonalsoactsasaliaisonbetweenthear?standtherecordlabel.

HermanniKovalainenAnestablisheddeejayandmusicproducerinFinland.

MGIOne ofthemost successful producers inFinlandat themoment.HehasworkedwithSean

Kingston,

Warner/ChappelApublishingcompanywhichispartofWarnerenterprise.

SamiHedbergThemostsuccessfulcomedianinFinlandatthemoment.

FacebookAsocialplaôrmforpeopletoprac?ce networking,createprofiles,putpictures andplay

games.

Chris&anAudigierAclothingbrandwhichisnamedbythedesignerandfashionguruChris?anAu‐

digier.

HypeMachineAplaôrmforar?sts,producers,deejays toposttheirlatestsongs andgetfeedback

fromotherusers.

UstreamAplaôrmwherepeoplecanstreamanythinglivethroughtheirownprofile.

8

Keywords

Hereis listedsomewords thatI haveusedtosearchinforma?on. I havemainlyusedGoogleas a

searchenginebut themost vital informa?onwill comefromFridaysand throughsurveysIwill

sendtodifferentpar?es ofa musicindustry.Those include othermanagers,recordlabelpeople,

bookingagents andar?sts.ThecompaniesIhave foundthroughmyownknowledgeandcontacts

butalsousingthefollowingkeywordsthathavelinkedtotheexis?ngknowledgeIhavealready.

Tags:

Ar?stmanagement,talentmanagement,ar?stmanager tasks, feasibility study,feasibilityar?cles,

business feasibility,MGIproduc?on,Finegoldmusic,RMHmanagement,DexViihde,Bookingagen‐

cies inFinland,Ar?s?manageroin?(ar?stmanagement),Suomenmusiikkiteollisuus (Finnishmusic

market),PrimeTimeTampere,Universal MusicFinland,A&R,musicmanagerforum,SeppoVester‐

inen, HIM,Virpi Immonen,MikkoSaukkonen, Backstage Alliance, Bonnier Amigo,PEST analysis,

SWOTanalysis,Benchmarking,compe??onanalysis,industryanalysis,Michael Porter,Internal and

external analysis, HypeMachine, Ustream, Fantabolous, City ‐leh?, Sta?s?csFinland,What is a

goodmanager,howtobecomeamanager,MichaelPorter,

9

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Contractsh`p://www.musiccontracts.com/about‐pg‐11.html



Ar?stManagement(general)h`p://musicians.about.com/od/otherindustrycareers/p/ar?stmanager.htm









Feasibilitystudyh`p://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf











Agents/Managersh`p://www.finegoldproduc?ons.com/

h`p://popgram.fi/


h`p://rmh.se/




h`p://www.immf.com/

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http://www.immf.com

http://www.immf.com



Recordlabels/Publishingh`p://www.warnerchappell.com/




Producers/ar?stsh`p://www.myspace.com/djmobster






FinnishMusicMarketh`p://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf

Discussionsandar?clesh`p://www.lifesaver.net/keskustelut/read.php?5,142392,142392





Otherlinksh`p://www.amconevent.com/pricing/pricing‐a‐registra?on





PESTanalysis



SWOTAnalysish`p://marke?ngteacher.com/Lessons/lesson_swot.htm




11













http://www.milos

http://www.milos

































Benchmarking



Coverpage











12







Appendix: Surveys (artist)

Artist point of view

1. Whatkindofmusicdoyoumake?Howlonghaveyoudonemusic?

2. Whydidyouchoosethatgenre?Whatisthemarketlikeinthatgenre(Finland)?

3. Whatareyourgoalsinmusicbusiness?

4. HowdoyouseeFinnishmusicmarket?

a. Diverseofmusic/bands?

b. DifLicultytobringyourownmusictopublicears?

c. Haveyoubeenincontactwithrecordlabels?

i. Ifyeshow,whatdidyoutalkandwhatwastheLirstimpression?Howdotheyacttowardsartists?

ii. IfnowhatisyouropinionaboutRecordlabelsinFinland?

5. Whatdoyouthinkistheroleofanartistmanager?Whatdotheydo?

6. Howdomanagersgetpaid?

7. Whatkindofartistneedsamanager?Inwhatkindofsituationhastheartistbeinor‐dertobeneLitfromamanager?

8. Doyouthinkyouneedamanageratsomepoint?

9. Whatdoyouthinkwhatkindofbands/artistsinFinlandhaveamanager?Canyounamefew?

10. DoyouthinkartistmanagersearnalivinginFinland?Ifnotinwhichcountryandwhatkindofartists’managermakesalivinginyouropinion?

13

Appendix: Surveys (manager)

Manager point of view

1. Whichartistsdoyoumanage?Howlonghaveyoubeenamanager?

2. Howdidyoubecomeamanager?Howdoyouearnyoursalary?

3. Whatdailytasksdoyoudo?Whatdoestheweeklyscheduleinclude?

4. Doyouhaveanotherjoborismanagementyouronlyjob?Ifnowhatelsedoyoudo?

5. WhatisthemusicindustrylikeinFinland/Sweden?

a. HowwouldyoudescribethegenrevarietyinFinland/Sweden?


c. Areartistswillingtopushthemselves?Dotheyhavesomecommoncharacteris‐tics?

d. WhysuchmanysuccessfulartistscomefromSweden?

6. Whatkindsofartistsneedamanager?

7. FinanciallyhowbeneLicialisartistmanagement?

8. Howdotherecordlabelsregardnewartists?

9. Howbigroledoesthemanagerplayinartists’development?

10.WhyistheresuchabigdifferenceinFinnishandSwedishindustries?WhythereissomuchmorevarietyinSweden?

14

Appendix: Surveys (Record rep.)

Record label point of view

1. Whichrecordlabeldoyouworkfor?Whatisyourstatusandmaintasks?

2. HowdoyouseeFinnishmarketatthemoment?

a. Whatgenresdominatethebusiness?

b. Whatartistsaretopnotchforrecordlabelsatthemoment?

c. OwnanalysisofFinnishartists.

3. WhereisFinnishmarketgoing?(CompareSwedishmarket)

4. WhyisFinlandsosolid“rocknation”?

a. Inyouropinionwhataremorelikelyreasons?

b. IsitbecauseofthelocationofFinland/darkness/winter/coldness?

c. IsitbecauseFinnishpeoplearedepressedandrockiscloselyrelatedtosorrow/sadness/depression?Collaborate.

5. Whatisaroleofanartistmanager?

6. Whatkindofartistneedsamanager,Linancially?

7. Howsuccessfuldoesthebandneedtobethatmanagercontractisuseful/beneLicialforbothparties(artist/manager)?

8. Whatkindsofartist/bandinFinlandhaveamanager?Howmuchmoneyapproxi‐matelythebandsmakeannually?

9. Howdomanagersearntheirliving?

10. DoyouthinkitisreasonabletohaveamanagementbusinessinFinland?Whatwouldmakeitsuccessful?Manyartistssolargermanagementcompany?

15

Appendix: Research Proposal

Research ProposalMikaTikkala

Andy Denz - Supervisor



market?

fridays management

Themusicbusinessisacruelandshallowmoneytrench,alongplas?challwaywherethievesandpimpsrunfree,andgoodmendielikedogs.Thereisalsoanega?veside.”

16

M A N A G E M E N T

Table of Contents

Chapter 1. Background 2

Key literature 3

Finnish Music Market Research (2009) 3

Chapter 2. Objectives and methods 4

Questions 4

Research design and methods 4

Chapter 2. Problems 6

Time frame 6

Trustworthiness of primary data 6

Literature 6

The scope of the research question 7

Out of date 7

Chapter 4. Schedule 8

Timetable 8

Chapter 5. References 9

Resources 9

Sources 9

Appendix: Vital sources 10

Appendix: Vital links 11

1






Chapter 1. Background

As anentrepreneurmindedandpassionate aboutmusic itwasinteres?ngtomake theresearch

projectaboutFridays management.Fridays is inthe pointwhere feasibility is importantma`erto

beresearchedandis it reasonabletocarryout inthebusiness.Makinga researchproject fora

fairlynewentrantandfiguringouthowfeasiblethebusiness idea is anchallengingtopic,especially

whentalkingaboutmusic industry.Sincetherearenotmanyfully func?oningmanagementcom‐

panies managers comefromrecordlabels oragenciesthathandlear?st’s issues.Themanagement

circles inFinlandare small andtheyareopenlyhelpingothers andnewentrants.Thereforeamong

managersnotsomuchcompe??onisfaced.

As researchshowsmanagement is aboutfullydedica?ngones lifetobands,their issues andsuc‐

cess. Themanager needs tobe reachable atall?mesandspendsleepless nights organizingper‐

formance and promo?on tours. Therefore it is important toresearch the market andcompare

workloadwiththe outcomes andconcludeifthe business ideais worthofcarryingout.Oris there

toobigriskofjustge&ngaburnoutinresultoffrustra?on?80

Fridays wouldcreateanewpla^ormandhopefullygive agreatopportunityforFinnishtalents go

across boarders,otherthanrockbands as well.Feasibilitystudy is athoroughway tocomparethe

prosandconsofthebusinessidea.

2


80 h`p://ylex.yle.fi/radio/ohjelmat/keskuskomitea/manageroin?‐osa‐1

h`p://ylex.yle.fi/radio/ohjelmat/keskuskomitea/manageroin?‐osa‐2

M A N A G E M E N T









Keyliterature

Therearesomebooks wriènaboutar?stmanagementsomeofthemli`leoldersomenewerbut

thebasicidea ofmanagementhas notchanged.Hereis someliteraturethatis goingtobeusedto

findoutwhatisar?stmanagementandwhatelementsareinvolvedaroundit.

ThisBusinessofAr&stManagement,XavierM.Frascogna,Jr.,H.LeeHetherington

This book clearly statesall the steps in forming aar?st‐manager rela?onship, handlingmoney

issuesandsuccess,ar?sts careerplanningandimageontopofgivingadvicehowtoscorearecord

deal.Sincebothoftheedi?onshavebeenwriènfairlya long?meagoandis notquiteuptodate

acleardis?nc?onneedtobemadewhatinforma?onisrelevant.

Ar&stManagementfortheMusicBusiness,PaulAllen

Ar?st Management for theMusic Business hasbeenwrièn few years ago andwill give quite

thoroughunderstandingabout today’s ar?st‐manager rela?onshipandacircle that is around.It

processes broadly how themoney is generated from songs, royal?es, wri?ng songs and how

managers generate their ownincome.Abroadpartofthebookalsohandles theissue whatisit

liketohaveanar?stasabusiness.

Managingyourband‐Ar&stManagement:Theul&materesponsibility(2007),StephenMarcone

ManagingYour Band‐bookextensively covers areas like publicity, touring, contracts, branding ,

marke?ng, trademarks,merchandisingandrecordcompanies. AstheAr>stmanagement forthe

businessalready covers someinternetmarke?ngManagingyourbandgivesalsothedigital point

ofviewtothebusiness.

FinnishMusicMarketResearch(2009)

AresearchmadebyTimArgillanderandVirpiMar?kainenistryingtofindacommondevelopment

strategytoFinnishmusicindustry.Theyhaveinterviewedmanyprofessionalsinsidetheindustry

followedbyguidelinesandrecommenda?onsfromwhichthemusicindustrycouldprofit.The

researchwillprovideanoverallunderstandingaboutthesizeandkeyincomepathsontopof

analyzingthelatesttrendsinFinland.81

3



M A N A G E M E N T







Chapter 2. Objectives and methods

Ques&ons

Themainques?onbeing“Is ar?stmanagementfeasiblebusinessintheFinnishmusicmarket?”

will rousemoreques?ons.Itiseventuallyvitaltoanswerthemainques?onbutthatis figuredout

withthehelpofques?ons underneath.Problemswillbesolvedthroughusingthesecondary and

primarydataandintheendtheanswerswillconcludethefeasibilityofthebusinessidea.

• Whatdoesanar?stmanagerdoinFinland?How?meconsumingisit?

• DoesFinnishmusicmarketenablethemanagementfieldasabusiness?

• WhatarethecurrenttrendsintheFinnishmusicmarket?

• WhatisneededthatFridaysgeneratesenoughincometofunc?on,ifitdoesn’talready?

Researchdesignandmethods

Theresearchwill becarriedoutmainlythroughemail andcellphone.GoingtoFinlandtointerview

thetargetpeople andcarryingour researchinthetargetcountry is almostamust. Thereport it

selfcanbeconstructedinTheNetherlands.

Themajor datacollec?onmethodis interviewingpeopleinthemusicbusiness.Intervieweesare

thekey source since theyareprofessional intheirfieldandhavethe bestknowledgeofthemusic

business.There will bearoundfive peopletobeinterviewedinside theindustryfromdifferentper‐

spec?ves whichallowsa 360 degreeviewpoint tothe researchques?on. Analyzing the answers

willcollaboratetothefirstandsecondques?onabove.

By construc?ngrelevantques?ons andhavingconversa?ons facetofacewill berequisitetocom‐

petentresultandthereforeleadtoa truthfulconclusion.AlthoughaccuratenumbersfromFridays,

salaries ofthear?stsandhowincomeis generatedareas vital.Informa?oncollectedfromFridays

willformanunderstandingaboutitscurrentsitua?on.

4


M A N A G E M E N T





ThemajorresearchaboutFinnishMusicMarketmadebyArgillanderandMar?kainenwill collabo‐

rateonthetrendsandthe currenttrends inthemarket.Itprovides financial informa?onandkey

figuresontopofexplainingwherethe musicmarket is heading.The researchplays akey rolean‐

sweringthethirdques?onabove.Overall the informa?oncollectedwill conclude whatpossibili?es

Fridayshasandwhatstepsshouldittaketobeeffec?veinthebusiness.

5


M A N A G E M E N T





Chapter 2. Problems

Timeframe

Reachingpeopleinthetopmanagementis?meconsuming.Oneneedstobepa?entsincethey

havemajorissuestotakecareofandabusinesstorunthatismoreimportantthanhelping

someoneintheirdisserta?on.Thisneedstobetakenintoconsidera?onandsurveysneedtobe

sentoutatearlystage.

Trustworthinessofprimarydata

Duringtheresearchprocessandinterviewingpeopletrustissue will be facedsinceall the people

mightnotbehonest.Someonemightcontributetheirowninterests,some couldbereallyhelpful

butgathering the informa?onfrommany different sources might bringupthedifficulty tocon‐

structa consistentreport.Althoughtheretheyare partofa someone’sfinal reportwhichwill af‐

fectthemandhopefullyencouragebeingposi?veandrealis?c.

Literature

Thebooks foundabout ar?stmanagementwill only giveageneral perspec?veto theresearch

ques?onexcluding Finlandasamarket area. Althoughgeneral knowledge is needed the useful

specificmarketinforma?onhas tobesearchedsomeotherway.Asthebooks will giveathorough

understandingabout ar?st ‐manager rela?onshipsanda business they carry out together they

don’tshowanyfinancials.Otherwordsthebooksdon’t tell any numbers howsuccessful or bad

businessideamanagementcanbe.

6


M A N A G E M E N T





Thescopeoftheresearchques&on

Themusicmarketis big,itaffects tomanyotherbusiness fields andontheotherhandmanyforces

affectthe musicbusiness as well.Thereneeds tobe cleardis?nc?onwhatelements aretakeninto

considera?onandincludedintheresearch.Thereis a dangertheprojectwill expandtoomuchbut

itneedstobemonitoredcloselytopreventthathappening.

Outofdate

Sincethemusicbusinessisevolvingquicklysomeoftheliteratureandar?clesmightbeoutdated.

TheBusinesscalledAr?stManagementbookwaswri`eninthe90’sandmightexcludesomevital

informa?on.Fewofthegoodar?clesaboutar?stmanagementwaswri`enin2003whichisonly

sevenyearsagobutmightnotapplytoday.

7


M A N A G E M E N T





Chapter 4. Schedule

Timetable

Hereis constructedaprogress ?metablewhichshows howtheresearchprojectwill becarriedout.

Thegraphillustratesdifferentstagesandthe orderwhichis foundthe bestforcarryingoutanef‐

fec?veprocess.

Literature review

Relevant information

Market

Development

Research proposal

Questions

Problems, objectives

1. Draft

Feedback, revision

2. Draft

Feedback

Financials

Fridays, artists

Final Plan

Read through

Revision

Feedback

Final version

Executive summary

Week 21

Week 15 Week 16 Week 17 Week 18 Week 19 Week 20

8


M A N A G E M E N T





Chapter 5. References

Resources

The research is closely based on the financials but is supported by the informa?on from

professionals inthe business.Financials will showdetailedfacts about Fridays’currentsitua?on

andhowprofitable thear?stmanagementis atthemoment.Supportinforma?onis gatheredfrom

record execu?ves, agencies, other managers and ar?sts themselves and will give the

understanding how the ar?st management is carried out in Finland. Other words primary

informa?on is gathered through surveys. That is basically giving thedetailedpicture of ar?st

management in Finland. Other sources which are mainly literature and ar?cles will form the

secondaryinforma?onandforma pictureofar?stmanagementingeneral.Thedisserta?onmade

byJuu?lainenandNakai andthestudycarriedoutbyArgillanderandMar?kainenwillsupportthe

conclusionsmadefromthesurveys.

The useful companies that could contribute to the research are Universal Music, RMH

management, Prime Time, Bonnier Amigo, Backstage Allianceand FinegoldProduc?ons. Some

otherpeople involvedare Mar&Vuorinen,MilosRosas,Hermanni Kovalainen,Mikael Gabrieland

AriMyllyniemi(Appendix:Vitalsources).

Sources

Intodays worlda majorsourceis theWorldWide Web.Alotofinforma?oncanbecollectedfrom

thereandsince musicbusinessisusingInternetas a majorpromo?onchannel all thecompanies

and ar?stsarehaving websites as well. A great advantageof thesourcesare that not all the

contactsareunknownandpersonalnetworkisbeenusedtocollecttheneededdata.

Onewill find a list of the main sources from the appendix. There is a list of key people and

companies involvedintheFinnishmusic industry outofwhichsomepeoplewill be interviewed

(seeappendix,Vitallinks).

9


M A N A G E M E N T





Appendix: Vital sources

Hereis a listofsomeusefulpeopleandcompanies thathavethe mostknowledgeandknowhowabout today’s market and the field of music. Someof these are being interviewed to collectprimarydatatoprocessabouttheFinnishMusicmarketbutar?stmanagementingeneralaswell:

- Warner,Sweden/Finland

- UniversalMusic,Finland

- RahinaRecords,Finland

- Fridaysmanagementar?sts

- RMHmanagement,Sweden

- PrimeTimeagency,Finland

- FinegoldProduc?ons,NewYork

- SeppoVesterinen,Establishedmanager,Finland

- VirpiImmonen,BackstageAlliance

- MikkoSaukkonen,BonnierAmigo

- AkuSinivalo,producer/StudioExec,Finland

- HermanniKovalainen,producer,Finland/Sweden

- MilosRosas,ar?st/songwriter/producer,Finland/Sweden

- MGI,producer,Finland

- SamiHedberg,comedian,Finland

- MikaelGabriel,ar?st,Finland

- Dilemma,ar?st,Finland

- Aste,ar?st,Finland

- Popgram,program/talentoffice,Finland

- DexViihde,program/talentoffice,Finland

- Tavas?a,Concerthall,Helsinki

- Nosturi,Concerthall,Helsinki

10






Appendix: Vital l inks

Vitallinks

Contractsh`p://www.musiccontracts.com/about‐pg‐11.html



Ar?stManagement(general)h`p://musicians.about.com/od/otherindustrycareers/p/ar?stmanager.htm









Feasibilitystudyh`p://www.rochester.edu/entrepreneurship/pdfs/Business_Feasibility_Study_Outline.pdf











Agents/Managersh`p://www.finegoldproduc?ons.com/

h`p://popgram.fi/


h`p://rmh.se/




h`p://www.immf.com/

11






























































http://www.immf.com

http://www.immf.com







Recordlabels/Publishingh`p://www.warnerchappell.com/




Producers/ar?stsh`p://www.myspace.com/djmobster






FinnishMusicMarketh`p://www2.siba.fi/taydennyskoulutus/pdf/musiikkiala2009.pdf

Discussionsandar?clesh`p://www.lifesaver.net/keskustelut/read.php?5,142392,142392





Otherlinksh`p://www.amconevent.com/pricing/pricing‐a‐registra?on



PESTanalysis



SWOTAnalysish`p://marke?ngteacher.com/Lessons/lesson_swot.htm






12
















http://www.milos

http://www.milos















































Benchmarking


Coverpage











13














is artist management a feasible business in the finnish music … · record labels make money with...

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