The UK’s Music Managers Forum has published a new study suggesting music managers contribute GBP £714 million (USD $974 million) in value to the UK music industry.
The study, revealed at the MMF’s Manager Summit in London on Tuesday (September 16), is claimed to be the first comprehensive study of music managers’ economic impact.
The research, conducted by RMRResearch, JemAssociates, and TheHub, found that each £1 invested in management services generated £8 across the broader sector.
According to the study, artists, songwriters and producers capture 88% of the total value, equivalent to £627 million ($855m), through increased earnings, productivity and business connections facilitated by their managers.
The remaining value flows to independent labels, music publishers, booking agents, lawyers and brand and marketing professionals through what researchers described as a “ripple effect,” according to the report, which you can read here.
“As the researchers themselves highlight, if music managers disappeared overnight, then the impact on the rest of the industry would be unthinkable!”
Annabella Coldrick, Chief Executive, Music Managers Forum, said: “As the researchers themselves highlight, if music managers disappeared overnight, then the impact on the rest of the industry would be unthinkable!
“For the MMF, this is an incredibly important piece of research that, for the first time, places a tangible value on the roles that managers perform – both directly for their clients and as a ripple effect across the wider music industry.”
Coldrick continued: “We hope the findings will instill greater acknowledgement and appreciation of the increased demands on managers, and acceptance of those who are breaking free of industry conventions and pursuing new commercial models.
“While there is no one single approach to music management, the MMF believes there should be shared and unified expectations of the standards and skills needed to operate professionally.”
PaulBonham, Music Managers Forum
The findings come as MMF introduces a tiered membership structure designed to serve managers at different career stages: Emerging, Standard, Professional and Company memberships. The organization will launch a certification program for “Pro” members, requiring a two-hour exam covering key management responsibilities.
The MMF expects to announce its first 30 “certified” managers by mid-November. PaulBonham, Professional Development Manager, MMF, said the program aims to establish “unified” standards for professional operation.
Bonham said:“While there is no one single approach to music management, the MMF believes there should be shared and unified expectations of the standards and skills needed to operate professionally. The aim of our Certification Program is to set these standards, and to engender greater recognition and understanding of the role played by members of our community.”
The certification program was developed in partnership with experts from PragerMetis, SRLV, ICONAC, CMU and SimkinsLLP, and incorporates guidelines from the Creative Industries Independent Standards Authority (CIISA).
“It is incredibly encouraging to see the launch of this tailored program by the MMF, which will help managers hone their skills and in turn better support artists, wherever they are signed.”
The initiative has drawn support from major industry players including Universal Music UK, Sony Music UK, AIM, Beggars Group and Featured Artists Coalition.
DickonStainer, Chairman & CEO, Universal Music UK, said: “It is incredibly encouraging to see the launch of this tailored program by the MMF, which will help managers hone their skills and in turn better support artists, wherever they are signed.”
Sony Music UK added: “Sony Music UK welcomes the MMF’s new manager certification program. With its aim to benefit artists and make the industry stronger, this complements the ongoing work record labels are also doing to improve education and build an infrastructure to support long, prosperous careers.”
Alongside the membership structure changes, the MMF published a guide to alternative investment options, which members can access for free. The guide aims to help managers understand the investment environment and make their businesses and clients “investible” funding targets.
The publication contains a directory of fintech firms and catalog acquisition companies, plus strategic advice from MMF Associate Joseph Davis, Partner & Head of Corporate at Bray & Krais.
“With its aim to benefit artists and make the industry stronger, this complements the ongoing work record labels are also doing to improve education and build an infrastructure to support long, prosperous careers.”
Sony Music UK
At Tuesday’s summit, Sound Royalties CEO and Founder Alex Heiche delivered the keynote address. A series of three panels were also held to discuss management value and investment. The panels featured Kim Frankiewicz (Concord Music Publishing), Rob Challice (Wasserman), Cam Blackwood (Rezonate Music), Jennifer Horton (Matrix Equity Partners), Allesia Avallone (Language of Sound), Maarten Puddy (VOWTA), Ludovic Hunter-Tilney (Financial Times), Ric Salmon (ATC Group), Daniel Ross (Ross Bennet Smith) and Chloë Roberts (Young).
The MMF also elected two new board directors this week
EliseBrown, founder of RevereArts, and SarahAbbott, finance director at WildlifeEntertainment were elected as new directors. They replace Sammy Andrews of DeviateDigital and Stephen Taverner of East City Music. Vice-chairJill Hollywood of Echo Beach Management and Hide Whone of TheoryManagement were both re-elected to the board.
Music Business Worldwide
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