The latest issue of Music & Copyright is now available for subscribers to download. Here are some of the highlights.
Flat year for authors’ royalty collections in 2014
Combined royalty collections for the 20 biggest authors’ societies and organizations that have published results increased 1.6% in 2014. Although the growth rate was down on the 2.8% rise in 2013, it marked the second consecutive year of rising collections after a slight dip in 2012. French authors’ society SACEM was the leader in terms of collections, with European collective rights management organizations (CMOs) accounting for the top three positions. However, the US is the clear leader in terms of authors’ collections at country level with combined collections by the rights organizations ASCAP and BMI surpassing the $2bn mark. Europe is biggest region, accounting for more than half of the global total.
Big jump in global performance rights earnings in 2014
Performance rights distributions broke new records in 2014 with total payments rising to their highest levels and distributions to performers topping $1bn for the first time. Often seen as the poor relation to authors’ rights, combined global payments to producers and performers exceeded $2.4bn and accounted for just under 15% of global recorded music industry revenue. Global receipts from performance rights remain dominated by the US organization SoundExchange and the continued growth in payments to SoundExchange is the biggest source of growth for the performance rights sector. However, even excluding the US organization, distributions to performers and producers were still up on 2013, albeit by a reduced rate.
Music goes mobile in India with Saavn leading the charge
Indian digital music provider Saavn had been grabbing headlines recently as “India’s answer to Spotify.” The company secured a huge injection of cash last summer and has some high-profile names in its management team, while its user numbers are growing apace. But Saavn faces some serious competition, not least from powerful telcos such as Airtel. Moreover, Apple Music landed in India during the summer and is clearly very well placed to take market share. As elsewhere, digital music consumption is migrating to mobile, so getting services right on that platform in a fast-growing smartphone market will be key. Content will be important too, with local music an essential part of the mix for Indian consumers.
Spain country report
In addition to the usual set of music industry statistics and news briefs, the latest issue of Music & Copyright includes a detailed Spain music industry profile. Spain’s music industry is on something of a roll at the moment after many years of contraction. Recorded music sales increased in 2014, the first time in 12 years, and have continued to rise this year. Royalty collections in the country edged up in 2014 after three straight years of decline. The live sector also registered a positive year with turnover up and prospects for 2015 thought to be good. The optimistic figures come at a time when the Spanish economy is showing real signs of improvement. However, it is worth remembering that the music industry, particularly the recorded music sector, has a long way to go before it can declare itself out of the woods. Also, the live sector is continuing to push for a lowering of the VAT rate on cultural events, which continues to exert downward pressure on promoters’ earnings.
If you want to know more about Music & Copyright then follow the below links.
Music & Copyright is published by Ovum.
Music & Copyright's Blog 