Live Music: A $2 Billion Industry
News posted Thursday, June 17 2010 at 01:00 PM.
Related: .
In the words of Donald Trump: Australia’s live music scene is a “billion dollar industry”.
Actually, it’s closer to a $2 billion industry according to a recent study. Commissioned by Live Performance Australia, a body representing Australia's live entertainment and performing arts industry, and accounting firm Ernst & Young, the study found that the industry generated revenues of $1.88 billion in 2008. It also contributed $1.1 billion to the Australian economy, making it larger than film and video production, sports and physical recreation, book publishing and horse and dog racing – and yet it’s frequently underfunded and maligned. Go figure.
Interestingly, non-classical (ie. contemporary) music (ie. the stuff we like) is the most significant contributor by event category, comprising 40 percent of the industry’s total value-add.
LPA Chief Executive Evelyn Richardson said the study demonstrates the significant economic contribution of the industry, despite limited government investment in certain events. She added that live entertainment also generates a number of intangible benefits that are not reflected in economic metrics. These include improved social cohesion, lifestyle improvement, diversity and increased creativity.
So the next time 20,000 people are forced into the streets to debate live music’s validity, at least we’ll have another ace up our sleeve: it makes the government a lot of money.
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Contributes more to the Australian economy than sports? I'd like to believe that...
link to the report?
hmmm
By ''contributes more'' - a net contribution? The government spends a lot on logistics and rubbish like that to accomodate sporting events, yet takes money in the form of licensing from live music.
Also, something in this report said only 11% of revenue in this industry reporesented governmant funding. Who be getting this cash? Dang!
Yeah, I would like a link to the report too, E & Y are hardly the most reputable organisation at the moment.
Report is here.
There are several other reports on the economic value of live music happening at the moment, mainly focussing on Melbourne, but I'm sure they'll be ready for completion soon.
Slightly innaccurate headline, the news article actually states that the ''industry (live entertainment and performing arts industry) generated revenues of $1.88 billion in 2008 and contributed $1.1 billion to the Australian economy making it larger than film and video production, sports and physical recreation, book publishing and horse and dog racing.''
Not just music.
And that non-classical contemporary music is ''40% of the total value-add'' or $440 million of the $1.1b economic contribution.
Economic Contribution by Category (sorted from highest to lowest):
Non Classical Music $654.1 (yeah! Rock 'n' Roll!)
Musical Theatre $384.2
Classical Music $220.8
Theatre $153.9
Festivals (Single Category) $149.1
Ballet And Dance $104.6
Opera $99.4 5.3% $49.9
Children’s / Family $56.3
Festivals (Multi Category) $50.2
Special Events / Other $15.5
Probably more like yeah! Pink! (and her 12 sold out shows at Rod Laver Arena)
17 sold out shows I believe...
Yes, drilling into the report you get to the sad news...
''Large events within the Non Classical Music category include performances from artists such as Celine Dion, Bon Jovi and Rihanna. The majority of these events are staged at large venues such as Telstra Stadium and Rod Laver Arena. On average, these events generated box office revenues of around $745,800.''
Revenue from Live Music (non-Classical) / Number of performances:
Large performance $1,253,400 / 420
Medium performance $103,100 / 1,065
Small performance $10,300 / 1,738
Even more sad: Government funding
Large performance $6,300
Medium performance $500
Small performance $100
Methinks this is a very small sample.
It details who they have collected the data from. It really has nothing to do with live music that anyone from m+n would have much to do with - deceptive news headline, m+n.
Pops - I think this indicates that if most sample shows ''anyone from m+n would have much to do with'' aren't ticketed (as most data in the report is collected from ticketed shows) then how much bigger do you reckon the figures are?
Revenue from Live Music (non-Classical) / Number of performances:
Small performance $10,300 / 1,738
There's definitely gotta be more than 1738 live performances for the year.
Just look at who participated in the survey... any pubs here?
Araleun Centre for Arts & Entertainment (Alice Springs, NT)
BASS South Australia (SA)
BOCS Ticketing (WA)
Canberra Ticketing, Canberra Theatre Centre (ACT)
QTix, Queensland Performing Arts Centre (QLD)
Sydney Opera House (NSW)
Ticketek (National)
Ticketmaster (National)
All the others were theatre, dance & opera companies. And not even the small ones (Belvoir St, Metro Arts, etc...) so in no way does this cover the entire scope of performing arts in Oz. The real number would be higher, but not an enormous amount higher.
From this report year 2007-8 (simply using data from streetpress advertising):
''In 2007/2008, an estimated $20.7 Million was spent advertising 70,008 gigs.''
70,008 gigs. That were advertised. In Melbourne. A comprehensive national study on live music is sorely needed!
At least they're honest:
1.3 Limitations
Moreover, it was noted that revenues at festivals and nonclassical
music events were under-reported. For instance,
some festivals maintain their own ticketing systems and
are not part of the survey. In addition, the non-classical
music category is subject to similar limitations; as pub and
club venues that self-ticket, or use ticketing companies
who are not part of that survey, are not included in the
results. As such, this economic size and scope study
only provides a conservative estimate of the economic
contribution of the Live Entertainment Industry in
Australia.
So, it's really worth a conservative $2b.
Surely the LPA isn't advocating Government funding for Celine and Rihanna ???
Easily.
would love to know the name of the partner who signed off on this.
It's reasonable to assume the LPA's stakeholders are the groups that participated in the survey, and therefore the groups trying to get as much money as they can. I think the LPA are advocating exactly that.
from a small venue standpoint i would say these figures are innaccurate as most of the performers here do not use ABN's, it is very much a 'cash in hand' type industry. so these figures would be way off.
agree, but it's a stick in the sand that the top end of town may pay attention to. sorry for that bullshitbusinessspeak.
who owns moshtix and why weren't their stats included?
$2b or not $2b?
this thread is more interesting than the article.
your hairdo is more interesting than this thread
Now give us grants you fuckin' cuntsacks!
Word up!
This story is front page on today's MX in Sydney.
Am I right in thinking either Ticketek or Ticketmaster are also owned by News Ltd?
I don't think so.
Why do I think ticketmaster was owned by 7? Maybe I'm imagining things. Does news ltd own 7? Or is that 9?
it certainly used to be aligned with Channel 7.
hence the old website: ticketmaster7.com.au
Ticketmaster, the world’s leading ticketing company, today announced it has signed an agreement to acquire the shares in Ticketmaster7 currently held by Seven Network Limited, Australia’s largest broadcast television network
News does not own a tv station in Australia.
moshtix is a part of news digital? i reckon inclusion of moshtix stats would have been easy to do and bumped up the result (?)
I don't think moshtix are that big that they would have affected the result.
poprocks surely you jest - aren't they the ones flogging tickets to bam fest?
liamsnice said 3 hours ago:
Shhhh! Don't tell anyone!
which is why it amazes me the government tries to drop funds for places like.........VCA....weird
Hilarious. And every single Australian musician I know (bar one or two who have had some luck with advertising placements) are completely and utterly broke.
Pay rise anyone? Music union perhaps?
The music union's pretty useless, though. You're right though, Ev - everybody else seems to be making money from music except musicians. Luckily most musicians have always realised this and resigned themselves to lives of poverty or being the only parts in the music biz foodchain to treat what they do as a hobby. Harsh shit reality.
just do good music and keep as many people as possible out of the pie.