Monthly Archives: October 2019

Music Publishing 101

When artists and songwriters hear “music publishing” for the first time, there’s usually a fair amount of confusion. When artists and songwriters begin to read more about “music publishing”, the confusion mounts even further. Not to fear – while music publishing is a complicated subject, it has a lot to do with how you make money from your music, and understanding the basics can go a long way.

In short, music publishing is really all about songwriters and copyrights. When music is used commercially (whether sold, licensed, or publicly performed), the songwriter and copyright owner is owed royalties. A music publishing company can offer multiple services for songwriters. As a ‘publishing administrator’, they administer the copyright – protecting the use of songs as well as collecting royalties owed from use. On the creative side, some music publishers focus on the use and exploitation of the copyrights they administer by securing opportunities in the form of ‘sync licenses’ for film, TV, ads, video games, etc. Additionally, these creative teams play an active role in setting up co-writes and pitching songs to artists and labels to be recorded for the first time.

Most deals with larger music publishers see copyright owners receiving 50% of all royalties the music publisher helps generate. At the end of the day, the songwriter still “owns” the song, but working out licensing, pitching to music supervisors, and collecting royalties is a lot of work.

Compositions vs. Sound Recordings

In short, songwriters should keep in mind that each song they write and record exists in two forms: the composition (underlying melody, lyrics, and music) and the sound recording (also known as a ‘master’, it is the recorded version of the composition). Each of these properties has rights – meaning those who own them have can decide who can use them and how.

If Artist B records a ‘cover’ of Artist A’s composition, Artist B only owns the rights to that recorded version of the composition. Artist A owns both the composition and their own sound recording of the composition.

A Brief History

The history of music publishing and its importance in today’s modern industry can be traced back to the late 1800s. In New York City, a small neighborhood that came to be known as Tin Pan Alley housed a collective of music publishers and songwriters, who connected to create and release popular music outside of the religious and classical genres. Granted this era was defined by different sales methods and formats (think: sheet music), its eventual impact on how music publishers and songwriters conducted business and the overall perception of copyright protection is undeniable.

When it comes to how artists and songwriters are paid from digital music consumption (streaming and downloading), music publishing concerns the various kinds of songwriter royalties a composition earns. While streaming revenue and download sales can be collected by your digital distributor, the songwriter royalties associated with each stream and download must be collected and administered by a publisher. For more info on the songwriter royalties your music can earn, click here for a deeper dive.

What’s a PRO?

Performance Rights Organizations (or as they’re commonly known in the industry, PROs) help songwriters, composers and artists collect performance royalties. They exist all over the world and are designed to pay local performance royalties to copyright owners wherever they are.

Performance royalties are paid to the copyright holder whenever a composition is performed publicly – recorded or live, on radio, television, digital outlets, concerts, and other music services. PROs are not responsible for collecting the mechanical royalties that are generated when a song is purchased, downloaded or streamed.

Think of registering your compositions with a PRO (in the United States, your options are ASCAP, BMI or SESAC) as your initial, ‘bare-minimum’ foray into covering your music publishing basics. This Survival Guide will help break down why you need more than just a PRO to collect all of your royalties.

Royalty Flows

However ‘in the weeds’ you choose to go when educating yourself on the subject of music publishing, at the end of the day it’s important to take a look at how these royalties are paid to copyright holders.

Who’s Collecting This?

Now that you have an understanding of how royalties are generated, you’re probably wondering who is making sure they’re all accounted for and paid out properly. The role of a publishing administrator is just that: ensure that compositions are earning royalties owed to them, being collected, and accounted for – then, ensuring that the songwriter is paid accordingly. This process is known in the music industry as “publishing administration”.

In the event that you choose TuneCore for publishing administration services, for example, TuneCore takes care of the registration, accounting and collection work on your behalf – you, the copyright owner, retain 85% of all public performance royalties collected by TuneCore. (If our creative team secures a sync license based on our direct pitching efforts, our commission is 20%.)

How Do I Get My Song on TV Shows, Ads, Films or Video Games?

The act of permitting the use of your composition and/or sound recording in a television show, a commercial, a movie, a video game, (or other audio/visual format) is known as synchronization licensing. A synchronization license (or ‘sync’ for short) is negotiated either by the copyright owner or publisher representing him/her – there is no ‘statutory rate’, rather, costs and payouts are determined by the perceived value of the composition, whether or not it is the original version being used, and what the budget of the requester is.

A good example might be a brand who interested in licensing “SONG A” for their latest commercial. The permission to use the composition copyright has been granted, and instead of using the master recorded version of “SONG A”, a creative team works on securing a version performed and recorded by another artist. In this instance, the need for a master license is unnecessary.

The “how” in all of this comes down to pitching your music. While it’s not impossible to land sync placements by pitching on your own behalf, music publishing companies specialize in exploiting the compositions they represent because of the strong industry relationships they hold and the overall understanding of what music supervisors, (those in charge of picking the music for TV shows, films, ads, etc.), are looking for.

For lesser known independent artists, while the value of the sync license may be lower, these kinds of placements are highly sought after and can prove to be a massive help in promotion/discovery. In fact, many music supervisors actively seek independent songwriters and artists for two reasons: 1.) costs are lower due to the perceived value of a lesser-known song, and 2.) the ‘buzz factor’ of using hip, new music by an up-and-comer.

There’s a bit more that goes into synchronization licenses and placements – you can do a deeper dive into that here.

10 Positive Benefits Of Listening To Music, According to Science

Why do we live for live music? On the molecular level, research shows that listening to music improves our mental well-being and physical health.

How Music Can Be Used To Influence Different Mood Goals

Enjoyment goes far beyond the present moment, as it directly influences the outcome of our hormones and cognitive functioning. While research has suggested that people who play instruments are smarter, there are also plenty of benefits for the music enthusiasts.

Here is a list of 10 benefits to listening to music:

1. Music Increases Happiness

This might seem obvious, but the natural chemical reasoning is pretty incredible to think about. If you are ever in need of an emotional boost, let it be known that it only takes 15 minutes of listening to your favorite tunes to get a natural high. This is because your brain releases dopamine, a neurotransmitter that leads to increased feelings of happiness, excitement, and joy, when you listen to music you like.

2. Music Improves Performance in Running

If that’s what you’re into… Scientists found that runners who listened to fast or slow motivational music ran faster than runners who listened to calm music (or ran without any music at all) in an 800-meter dash. The key to enhancing your running performance lies in the choice of music, that being something that inspires you to move forward.

3. Music Decreases Stress While Increasing Overall Health

Music has a direct effect on our hormones. If you listen to music you enjoy, it decreases levels of the hormone cortisol in your body, counteracting the effects of chronic stress. Stress causes 60% of all illnesses and diseases, so lower levels of stress mean higher chances of overall well-being.

One study even showed that a group of people playing various percussion instruments and singing had boosted immune systems compared to the people who were passively listening; while both groups’ health was positively affected by music, the group playing instruments and/or singing had better results.

For maximum benefits on a stressful day, turn on some music and sing along. Don’t be shy to break out the air-guitar!

4. Music Improves Sleep

Over 30% of Americans suffer from insomnia. A study showed that listening to classical or relaxing music within an hour of going to bed significantly improves sleep, compared to listening to an audiobook or doing nothing before bed. Since we know music can directly influence our hormones, it only makes sense to throw on some Beethoven (or Dark Side of The Moon?) before bed when in need of a good night’s sleep.

5. Music Reduces Depression

Music has a direct effect on our hormones; it can even be considered a natural antidepressant. This is because certain tunes cause the release of serotonin and dopamine (neurotransmitters) in the brain which leads to increased feelings of happiness and well-being. It also releases norepinephrine, which is a hormone that invokes feelings of euphoria.

More than 350 million people suffer from depression around the world, and 90% of them also experience insomnia. The above research also found that symptoms of depression only decreased in the group that listened to classical or relaxing music before going to bed.

Another study demonstrated that certain types of music can be beneficial to patients with depressive symptoms. Interestingly, while classical and relaxing music increased positive moods, techno and heavy metal brought people down even more.

6. Music Helps You Eat Less

According to research, the combination of soft lighting and music leads people to consume less food (and enjoy it more). Music as the next trending diet? Sounds easy enough!

7. Music Elevates Your Mood While Driving

Who isn’t guilty of blasting Phish on the highway? A study found that listening to music positively influences your mood while driving, which obviously leads to safer behavior and less road rage. So be sure to turn up the “Reba” jams!

8. Music Strengthens Learning And Memory

Listening to music can also help you learn and recall information more efficiently, researchers say. Though it depends on the degree to which you like the music and whether or not you play an instrument. A study showed that musicians actually learned better with neutral music, but tested better with music that they liked; whereas non-musicians learned better with positive music but tested better with neutral music. Therefore, the degree of performance differentiates between learning and memory for musicians and non-musicians.

9. Music Increases Verbal Intelligence

A study showed that 90% of children between the ages of 4 and 6 had significantly increased verbal intelligence after only a month of taking music lessons, where they learned about rhythm, pitch, melody, and voice. The results suggest that the music training had a “transfer effect” that increased the children’s ability to comprehend words, and even more, explain their meaning.

Another study showed similar results in musically trained adult women and children that outperformed a group with no music training on verbal memory tests.

10. Music Raises IQ and Academic Performances

Research suggests that taking music lessons predetermines high academic performance and IQ scores in young children. The study surveyed a group of 6-year-olds who took keyboard or vocal lessons in small groups for 36 weeks. The results showed they had significantly larger increases in IQ and standardized educational test results over that time than children who took other extracurricular activities unrelated to music. The singing group showed the most improvement.

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In addition to these 10 reasons, there are so many more, including decreases in pain thresholds, the relaxing nature it provides to patients before and after surgery, increasing memory pathways for patients with Alzheimer’s, the improvement of recovery time for patients who suffered a stroke, the ability to keep your brain healthy in old age, to name a few. Music really does serve as a therapy for all, whether as medicine in a hospital or a heartache on a rainy day.

10 Trends That Will Reshape the Music Industry

The IFPI has reported that global recorded music revenues have hit $19.1 billion, which means that MIDiA’s own estimates published in March were within 1.6% of the actual results. This revenue growth story is strong and sustained but the market itself is undergoing dramatic change. Here are 10 trends that will reshape the recorded music business over the coming years:

1. Streaming is eating radio:Younger audiences are abandoning radio for streaming. Just 39% of 16-19-year olds listen to music radio, while 56% use YouTube instead for music. Gen Z is unlikely to ever ‘grow into radio’; if you are trying to break an artist with a young audience, it is no longer your best friend. To make matters worse, podcasts are looking like a Netflix moment for radio and may start stealing older audiences. This is essentially a demographic pincer movement.
   
   
2. Streaming deflation: Streaming music has allowed itself to be outpaced by inflation. A $9.99 subscription from 2009 is actually $13.36 when inflation is factored in. Contrast this with Netflix, for which theinflation-adjusted price is $10.34 but the actual 2019 price is $12.99. Netflix has stayed ahead of inflation; Spotify and co. have fallen behind. It is easier for Netflix to increase prices as it has exclusive content, but rights holders and streaming services need to figure out a way to bring prices closer to inflation. A market-wide increase to $10.99 would be a sound start, and the fact that so many Spotify subscribers are willing to pay $13 a month via iTunes shows there is pricing tolerance in the market.
   
   
3. Catalogue pressure: Deep catalogue has been the investment fund of labels for years. But with most catalogue streams coming from music made in this century, catalogue values are being turned upside down (in the streaming era, the Spice Girls are worth more than the Beatles!). Labels can still extract high revenue from legacy artists with super premium editions like UMG did with the Beatles in 2018, but a new long-term approach is required for valuing catalogue. Matters are complicated further by the fact that labels are now doing so many label services deals, and therefore not building future catalogue value.
   
   
4. Labels as a service (LAAS):Artists can now create their own virtual label from a vast selection of services such as 23 Capital, Amuse, Splice, Instrumental, and CDBaby. A logical next step is for a 3^rdparty to aggregate a selection of these services into a single platform (an opening for Spotify?). Labels need to get ahead of this trend by better communicating the soft skills and assets they bring to the equation, e.g. dedicated personnel, mentoring, and artist and repertoire (A+R) support.
   
   
5. Value chain disruption:LAAS is just part of a wider trend of value chain disruption with multiple stakeholders trying to expand their roles, from streaming services signing artists to labels launching streaming services. Things are only going to get messier, with virtually everyone becoming a frenemy of the other.
   
   
6. Tech major bundling:Amazon set the ball rolling with its Prime bundle, and Apple will likely follow suit with its own take on the tech major bundle.Music is going to become just one part of content offerings from tech majors and it will need to fight for supremacy, especially in the ultra-competitive world of the attention economy.
   
   
7. Global culture: Streaming – YouTube especially – propelled Latin music onto the global stage and soon we may see Spotify and T-Series combining to propel Indian music into a similar position. The standard response by Western labels has been to slap their artists onto collaborations with Latin artists. The bigger issue to understand, however, is that something that looks like a global trend may not be a global trend at all but is simply reflecting the size of a regional fanbase. The old music business saw English-speaking artists as the global superstars. The future will see global fandom fragmented with much more regional diversity. The rise of indigenous rap scenes in Germany, France and the Netherlands illustrates that streaming enables local cultural movements to steal local mainstream success away from global artist brands.
   
   
8. Post-album creativity:Half a decade ago most new artists still wanted to make albums. Now, new streaming-era artists increasingly do not want to be constrained by the album format, but instead want to release steady streams of tracks in order to keep their fan bases engaged. The album is still important for established artists but will diminish in importance for the next generation of musicians.
    
9. Post-album economics: Labels will have to accelerate their shift to post-album economics, figuring out how to drive margin with more fragmented revenue despite having to invest similar amounts of money into marketing and building artist profiles.
   
   
10. The search for another format: In 1999 the recorded music business was booming, relying on a long established, successful format that did not have a successor. 20 years on, we are in a similar place with streaming. The days of true format shifts are gone due to the fact we don’t have dedicated format-specific music hardware anymore. However, the case for new commercial models and user experiences is clear. Outside of China, depressingly little has changed in terms of digital music experiences over the last decade. Even playlist innovation has stalled. One potential direction is social music. Streaming has monetized consumption; now we need to monetize fandom.

What Will the Music Business Look Like in 2020? 5 Predictions From Industry Insiders

This is an excerpt from Business Basics For Musicians by Bobby Borg. It has been reposted here with permission.

No one can know for sure what awaits the music industry in the near future – especially after witnessing how quickly new technology has changed the traditional music business in just the past five years. But with that being said, I believe that you’ll still find the following predictions by various leading music industry professionals interesting, and at least somewhat accurate.

So, what can we expect in the year 2020? Let’s see what this group of attorneys, music publishers, managers, and music industry entrepreneurs had to say.

1. Copyright laws will catch up with new trends and technologies

“Several trends have emerged and will continue to emerge as the music business evolves into a service-based business. More and more people are tuning in to all-you-can-listen streaming programs like Spotify and Rdio.

“In this same vein, younger fans want all of their content to be accessible on all of their devices, but do not care whether they own the content or not. They also want the opportunity to interact with the music they listen to, be it through remixes, mash-ups, or fan videos on YouTube. Unfortunately, our copyright laws are antiquated and do not allow these trends to develop.

“Over the next five to 10 years, I think we will see an overhaul of the United States’ copyright system. I also expect to see artists further expanding their brands into nontraditional revenue streams. Soon, fans will be able to surround themselves almost entirely with their favorite artists through branded products, multi-media projects, and other avenues we have not even begun to explore yet.” – Dina LaPolt, LaPolt Law, P.C.

[3 Much-Needed Copyright Law Changes That Would Help the Music Industry]

2. Focus will shift to exciting music – not the latest technical trends

“Good music will always be the future, whether it be 2015, 2020, or 2025. When jazz arrived on the scene, it was controversial, exciting, and real – as was rock, rap, and EDM. It propelled the business forward and gave it life. But what’s next?

“The year 2020 must be marked by a new direction in music that shakes up the world and puts the focus back on the art and the creators – not on the latest technical trend. Who cares about downloads, streaming, or whatever new technology is invented? In 2020, music will shine again! Those who create something unique will thrive.” – Mike Gormley, LA Personal Management; former manager of the Bangles, Oingo Boingo, and Danny Elfman

3. Success will be earned on your own, DIY style

“By the year 2020, the world will be saturated with music. There will still be superstars whose music has reached the masses through the efforts of a support team, but the vast majority of musicians will have to achieve success on their own.

“The good news is that technology is making that possible. Successful DIY musicians will be skilled in using social media and analytics to connect with their fans and fund their projects; partnering with products and services companies for branding and advertising campaigns; licensing their music for film, television, games, ads, etc.; leveraging relationships with electronic media as part of their marketing strategy; and booking and promoting their tours and concerts, all with an ultimate goal of getting their music into the ears of the curators of the outlets for consumption, which will exist in business models that are still emerging.

“Cutting through the clutter will be a challenge, but great music combined with an entrepreneurial spirit and a lot of hard work will be the winning formula.” – Don Gorder, Chair and Founder, Music Business/Management Department, Berklee College of Music

[3 Tips on Making It Big Without Sacrificing Your DIY Spirit]

4. Affordable DIY services that capture new revenue streams will emerge

“Many recent music industry trends have not been favorable toward artists and songwriters: we’ve gone from selling CDs for $10 to downloads for 99 cents to streams for under half a penny. This has made it more difficult for artists to monetize their music.

“As a consequence, independent artists and songwriters will become more conscious of how to leverage their intellectual property into alternate revenue streams. You will see many more companies offering affordable services to DIY artists to capture performance royalties, internet royalties, mechanical royalties, YouTube royalties, sync licensing for film, TV, games, and commercials. Each of these incremental revenue streams will be small, but in the aggregate they will become a needle-moving part of the artist’s revenue mix.” – Tony van Veen, CEO, AVL Digital Group, CD Baby, Disc Makers

5. Success will be driven by touring and merch

“As the record business is further eroded by ‘free music,’ it will reach its decline and the postmodern record industry will be cut to its knees.

“In 2020, instead of record sales determining the success of an artist, live performance will dictate the value of an act. Merchandising will also become a high art form. Only those with a great live act and a memorable and distinct brand will survive.” – John Hartmann, former manager of Peter, Paul & Mary; Crosby, Stills & Nash; America; Poco; the Eagles

Introduction of Rafaela McEachin

Rafaela McEachin is defying the odds on multiple levels when it comes to music, events and business. Growing up and living in NYC taught her how to advance, keep up and monitize business on fast, high end platforms female music execs. At one point, Rafaela managed multiple stars and upcoming talents, but in the mix was the desiring passion to become the hottest inspirational and gospel CEO in the game.

From setbacks to repeated problems, adversity and structure has always positioned Rafaela to dominate anything she’s put her mind to. With her major up and coming record company “MY FATHER’S HOUSE RECORDS”, her and her team has positioned new business practices that is about to set the industry on fire!

A lot of high-end expectations has surfaced from the public about the company’s initial push, but professionalism is in the team’s bloodline. Huge events are now being scheduled for the company, so stay tuned because Ms. McEachin has the best of plans planned!

Rafaela positioned new business practices

Rafaela McEachin is defying the odds on multiple levels when it comes to music, events and business. Growing up and living in NYC taught her how to advance, keep up and monitize business on fast, high end platforms. At one point, Rafaela managed multiple stars and upcoming talents, but in the mix was the desiring passion to become the hottest inspirational and gospel female CEO in the game.

From setbacks to repeated problems, adversity and structure has always positioned Rafaela to dominate anything she’s put her mind to. With her major up and coming record company “MY FATHER’S HOUSE RECORDS”, her and her team has positioned new business practices that is about to set the industry on fire!

 A lot of high-end expectations has surfaced from the public about the company’s initial push, but professionalism is in the team’s bloodline. Huge events are now being scheduled for the company, so stay tuned because Ms. McEachin has the best of plans planned! 

Structure has always positioned Rafaela to dominate anything

Rafaela McEachin is defying the odds on multiple levels when it comes to music, events and business. Growing up and living in NYC taught her how to advance, keep up and monitize business on fast, high end platforms. At one point, Rafaela managed multiple stars and upcoming talents, but in the mix was the desiring passion to become the hottest inspirational and gospel CEO in the game.

From setbacks to repeated problems, adversity and structure has always positioned Rafaela to dominate anything she’s put her mind to. With her major up and coming record company “MY FATHER’S HOUSE RECORDS”, her and her team has positioned new business practices that is about to set the industry on fire!

A lot of high-end expectations has surfaced from the public about the company’s initial push, but professionalism is in the team’s bloodline. Huge events are now being scheduled for the company, so stay tuned because Ms. McEachin has the best of plans planned!