Industry Analysis & Industry Trends
The UK Sound Recording and Music Publishing industry produces, promotes and distributes original sound recordings and manages rights for compositions. There are two distinct businesses within the industry: music publishers, which earn about 78.0% of revenue, and sound recording studios, which draw the other 22.0%. The services are used by record companies, advertising agencies and media industries.
Over the five years through 2013-14, revenue is expected to have increased at a moderate compound annual rate of 1.1%. Despite falling record sales, industry operators have adapted relatively well to the resulting falls in mechanical revenue by developing new revenue streams, in particular within the television, film, radio and video game industries... purchase to read more
Industry Report - Industry Investment Chapter
Expenditure on wages accounts for a larger portion of revenue compared with capital expenditure. Depreciation accounts for an estimated 2.6% of industry revenue, while wages account for about 8.4%. The capital-to-labour ratio for the industry is 0.31:1, meaning that for every £1.0 spent on wages, £0.3 is spent on capital.
The music publishing business requires minimal physical capital expenditure as it is primarily a service-based industry. Publishers negotiate agreements with record artists and songwriters and draft music user licences with other organisations. They then track and collect royalties on the use of music and distribute funds to artists and songwriters. Public relations and promotion activities are also labour-intensive... purchase to read more