INTRODUCTION
The music industry in Australia has developed over a number of years into one which encourages the growth of its participants. The` system 'is basically hierarchal, with performers progressing through different levels. For instance when a band first beings their outdoor they will perform for very low - if any fees. They may receive some airplay on a community radio station (if they have produced any recorded product) which will generally have a low number of listeners. As their popularity increases they will play at larger venues for larger fees, receive airplay on a larger community radio stations and may attract interest from publishers. Again as their popularity increases they will play in larger venues and may receive airplay on JJJ, a national government funded radio station popular with Australian youth, and may consider national tours. From here they will be negotiating with major record companies, promoters wishing to promote their shows, get airplay on commercial radio and may be considering international tours. This `structure' is not set in stone, often bands will progress through several levels very quickly or in fact jump a level. The advantage of such a structure is that participants in the industry are in a position to assess their development and their career in the industry can be measured.
The Australian Music Industry has developed into an industry that encourages both entrepreneurial and structured activities. I am involved in both the structured or regulated, and the entrepreneurial areas of the industry. I will endeavour to outline my work within the music industry in Australia.
Firstly I should explain what I mean by structured and entrepreneurial areas of the music industry. By structured I mean an area within the industry that is heavily subsidized by government and therefore government regulation is extremely prevalent. By entrepreneurial I refer to the areas of industry that require financial investment for which the profit gained is directly proportional to the risk.
The main sphere I have been involved in the area of the structured music industry is education and training. Some of the other areas of the music industry that are heavily influenced by government include, copyright, radio licensing, contract law and health and health and safety issues in the workplace.
EDUCATION AND TRAINING
Education and training within the music industry is becoming increasingly important in the development of the industry from the individual, band and professional level. We have without doubt noticed that with an increase in technology(eg. the internet) that competition in the selling of music whether live or recorded id becoming increasingly competitive. As a consequence we have realized that we have has to become a lot smarter in all areas of the industry. Obviously the answer to the need for increased skill levels is in the development of education and training programs which are readily accessible to both those people wishing to enter the industry and to those already working within the industry.
The obvious necessity for training programs led to the development of the Basic Music Skills course developed by AUSMUSIC (an organization with which we share an office). This course allows the delivery of education in the Business of Music as well as Performance Skills in modules to offer as flexible training as possible. I should say that AUSMUSIC is in fact a private company, no longer subsidized by government and is eagerly seeking expanding their market.
The area in which government plays a major part is in the delivery of these programs. Most, if not all education and training at this stage is in some way or another paid for by either the federal or state governments. We have earlier this year had a change of government which has translated into a shift in funding arrangements to educational providers. We are yet to see the full ramifications of this shift in funding policy but I believe that education providers will increasingly have to seek overseas students or deliver programs via electronic means for which a charge will be made to generate further income. So, should you require a model of an educational package on the music industry, that is unique to the world, then there is no need to re-invent the wheel, the model exists and that model is for sale.
Education providers, such as ourselves, are coming under more and more pressure to generate income exclusive of government funding. Therefore it is a necessity that we provide more services that are marketable to the industry. The obvious roles that Songlines can adopt is that of employment broker and providing on the job education and training packages to the music industry. Our diversification to these areas is well under way and being met with wide spread approval and support.
In summary on matters of education and training, the imperative to increase the music industries level's of professionalism has been identified with the realization that increased competition puts a huge strain on the existing skilled personnel. The conclusion being that increased professionalism requires increased provision of quality education and training.
In the areas of entrepreneurial aspects of the music industry I have been involved in managing venues which promote live contemporary music seven(7) nights a week, event management, international tours and local tours.
Given the size of the music scene in Australia it is necessary to develop the skills and more importantly the network to allow you to operate in more than one (1) sphere of the industry. Because of this the participants in the industry cross paths often, sharing information and at times spreading untruths or rumors. There are few secrets between secrets for long.
TOURING AUSTRALIA
The music industry in Australia has a reputation, especially within Australia, as being full of rouges and sharks with little regard to business ethics. I believe that this situation has changed, however in the past there are true tales of performers being `ripped off'. The stories of performers being stranded in Central Australia with promoter disappearing with the cash are true but becoming less and less prevalent. However if you are considering venturing into Australia then it is advisable to ensure that you are sure you are dealing with an ethical person or organization. Should you wish to verify the credentials offered to you from a potential Australian associate then we at Songlines would be pleased to offer our advice.
Touring within Australia has become an expensive exercise. The number of tours that a band will undertake in a year is usually two (2) or three (3). Touring Australia in the early 1980's was an extremely profitable venture, these days with the increased competition of international touring acts coming to Australia as well the escalating costs of travel, production and accommodation it has become more difficult for local acts to successfully tour. It is most common for an act tour with the purpose of promoting a recent release of recorded product whether that be either a long play CD or single. Acts generally tour with the support of their record company. This support could be in the form of additional publicity material or financial. The cost of this support is generally recoverable from record sales.
As a promoter I am often vary when a record company becomes involved in the publicity of a show in which I am involved. The reason for my concern is that recorded product rather than to the sale of tickets to a particular performance. Therefore it is important that as a promoter of a show that you must keep control of all publicity.
The management of events or festivals is an expanding area of the music industry. I have been involved in running these events for approximately five (5) years. In fact the festival market is so large now that it is possible for acts to tour Australia and play festivals 52 weeks of the year. I know this contrary to what I previously stated in relation to the cost of touring, however it is possible so long as the act is structured in such a way as to maximize efficiency. The festival market is of course an ideal avenue for international acts to increase their revenue without compromising the sale of concert tickets in major cities. Many festivals are located in regional areas therefore so long as the tour is scheduled correctly it is possible to include festival dates into any tour.
Over the previous four (4) years the staging of Music Festivals featuring large international and local performers has become a regular feature of the Australian Music scene. It is my belief that these large events have become too common and therefore no longer special. Promoters have been competing for the same headlining acts within the same time frame which of course only increases the cost of each act but increases the competition for ticket sales. The average ticket price for such an event will range from Aus$35.00to Aus$60.00. There has been a number of events that have lost large amounts of money for the promoter in recent years and I believe we will see less and less of these events. There is still room for these large events but perhaps fewer of them.
One type of event that has expanded is that of the dance party. It is common for 6000 people to attend a dance party. These parties will be held in the any major city perhaps 5 times a year. The ticket price for attendance will be in vicinity of Aus$60.00. A number of promoters are already prolific within this area and I believe we will see a further expansion in this area.
Working in the Australian Music Industry is exciting and fulfilling and offers financial rewards. The industry is becoming increasingly aware of the need to compete in the world market and the implication of this realization. We face the same problems of the world market and the implications of this realization. We face the same problems of the music industries of other countries and believe that to continue the development of our industry try we need to keep abreast of technological change. Most importantly we need to develop associations with other like minded businesses around the world.