working in the music business
TRANSCRIPT
www.unlimitedmedia.co.uk
the business of music
Chris CookeMD, UnLimited Media Group
Founder & Business Editor, CMU
www.unlimitedmedia.co.uk
introduction
It’s all about the music business ie: the business of music music = funky beats business = making money music business = making money out of music But why make money out of music at all?
www.unlimitedmedia.co.uk
why make money from music?
Costs to do music full time per yearFlat £6000Other living costs £6000Travel to gigs £3000Recording costs £1000Kit £500CD manufacture £1000Distribution £500Marketing & PR £4000Tax + NI? £2000TOTAL £24,000
Band of 4£15000£24000£6000£1000£1000£1000£500£4000£7000£59,500
www.unlimitedmedia.co.uk
making money from music
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
DIY gig Get booked
Venue Tour Festival
Corporate gig
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introducing intellectual property
Expressions of creativity - that can be owned Set out in ‘intellectual property acts’
Copyright, Designs & Patents Act 1988 Trademarks Act 1994
IP rights you might own as an artist literary copyright in lyrics musical copyright in musical score sound recording copyright in recording of your music film copyright in video artist copyright in artwork trademark in names and logos - must be registered
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making money from intellectual property
Copyright owners control access to music So if people want it… charge for access Either make copies of work + sell to consumers Or licence it to others to copy or perform Standard licencing: charge what you like/can Compulsory licencing: standard royalty rates Collecting societies
www.unlimitedmedia.co.uk
making money from music
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
DIY gig Get booked
Venue Tour Festival
Corporate gigs
Sell CDs/downloads Others’ CD sales Others’ gig revenues Radio/TV royalties Pub/shop etc royalties Sync royalties Sell sheet music Sell merchandise
Fan clubs etc Product endorsement
www.unlimitedmedia.co.uk
making money from music
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
DIY gig Get booked
Venue Tour Festival
Corporate gigs
Sell CDs/downloads Others’ CD sales Others’ gig revenues Radio/TV royalties Pub/shop etc royalties Sync royalties Sell sheet music Sell merchandise
Fan clubs etc Product endorsement
www.unlimitedmedia.co.uk
so…
GOOD NEWS Lots of ways to make money from music
BAD NEWS It’s going to take a lot of time… …and money
www.unlimitedmedia.co.uk
meet the music business
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
Venues Sound/Lights Security Bar
Tour logistics Ticketing Marketing & PR PROMOTERS
AGENTS
Recordings Artist Development Studio etc Distribution/Retail Licensing Marketing & PR
RECORD LABEL
Songs (lyrics & notes) COLLECTING SOCIETY PUBLISHER
Merchandise MERCHANDISER
Fan management FAN MANAGEMENT AGENCIES
Brand partnerships ADVERTISING AGENCIES
www.unlimitedmedia.co.uk
meet the music business
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
Venues Sound/Light Technicians Security Bar Operators Tour Management Ticket Agencies Marketing & PR Agencies PROMOTERS AGENTS
Artist Development Studios/Producers Distributors/Retailers Licensing Agents Marketing & PR Agencies RECORD LABEL COLLECTING SOCIETY PUBLISHER MERCHANDISER
FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES
www.unlimitedmedia.co.uk
meet the music business
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
THE MANAGER
LAWYER ACCOUNTANT
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but…
We know how to make money from music We know the people/companies who help But time is money! Who pays for all these people, and you? Start up money…
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getting started
GOOD NEWS Some people will work for free Some people will cover other costs Some people will pay you some money
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might work for free…
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
Venues Sound/Light Technicians Security Bar Operators Tour Management Ticket Agencies Marketing & PR Agencies PROMOTERS AGENTS
Artist Development Studios/Producers Distributors/Retailers Licensing Agents Marketing & PR Agencies RECORD LABEL COLLECTING SOCIETY PUBLISHER MERCHANDISER
FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES
THE MANAGER / lawyer / accounts
www.unlimitedmedia.co.uk
might cover other costs and give you cash
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
Venues Sound/Light Technicians Security Bar Operators Tour Management Ticket Agencies Marketing & PR Agencies PROMOTERS AGENTS
Artist Development Studios/Producers Distributors/Retailers Licensing Agents Marketing & PR Agencies RECORD LABEL COLLECTING SOCIETY PUBLISHER MERCHANDISER
FAN MANAGEMENT AGENCIES ADVERTISING AGENCIES THE FANS
THE MANAGER / lawyer / accounts
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getting started
BAD NEWS They will want something in return Cut of future revenue
What revenue? What percentage? For how long?
Ownership of copyright Exclusivity Will want some control to ensure return
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making it as a band
Think about costs and revenues Formalise business partnership between band Get a good manager (and lawyer) Think about deals carefully…
How many deals to be done? Who has artistic and commercial control? Will you give up copyright? Big v small, major v independent
Exit strategy…
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working in the music business
Investigate sectors within the industry
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music companies…
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
PROMOTERS Live Nation AEG Live MAMA Group SJM DF Concerts Kilimanjaro CPA/AIF
BOOKING AGENTS CODA Primary Talent Helter Skelter
RECORD COMPANIES EMI Music Sony Music Universal Music Warner Music Beggars Group Domino Ministry Of Sound AIM
INSIDE THE LABELS A&R Marketing/Product Management Press & Publicity/ Radio Promotions Licensing Creative
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music companies
PERFORMING INTELLECTUALPROPERTY
ARTIST/FANRELATIONSHIP
PROMOTERS Live Nation AEG Live MAMA Group SJM DF Concerts Kilimanjaro CPA/AIF
BOOKING AGENTS CODA Primary Talent Helter Skelter
PUBLISHERS EMI Music Publishing Sony/ATV Music Publishing Universal Music Publishing Warner/Chappell Music Bucks Music Group Chrysalis Music Notting Hill MPA
MERCHANDISERS Bravado Backstreet
MANAGEMENT ie:music 19 Management ATC Modest Management Supervision Frontline Nettwerk
FAN FUNDING Bandstocks Pledge Music Sellaband Slice The Pie
www.unlimitedmedia.co.uk
working in the music business
Investigate sectors within the industry Look for internships and work experience Look for relevant part time work Consider vocational qualifications Help grass roots artists - in at the deep end Write about music - student press, blog etc Network, network, network Keep up to date with the industry…
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keep up to date with the industry
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