1.
NASHVILLE’S
MUSIC INDUSTRY
E M I N E
A R I K A N
–
D I L A R A
C U M H U R
–
A N D R E S
G U T I E R R E Z

2.
M A R K E T O V E R V I E W
TOP RANKING IN THE MUSIC INDUSTRY
1. USA
2. JAPAN
58% 3. UNITED KINGDOM
4. GERMANY
25.1
OF THE MARKET IN DIGITAL SALES
IT TOTALED $2.60 BILLION
23.1
22.4
21.8
21.1
19.5
18.1
16.9
15.9
15.7
15.6
15
GLOBAL REVENUE OF THE MUSIC INDUSTRY FROM 2002 TO 2013
U.S. MUSIC INDUSTRY REVENUES
40%
35%
3%
21%
1%
Source: RIAA
Digital
Downloads
Physical
SynchronizaMon
SubscripMon
&
Streaming
Ringtones
&
Ringbacks

3.
I N D U S T R Y O V E R V I E W
MUSIC IN THE US

4.
N A S H V I L L E

5.
H I S T O R Y
1950s
MEDIA CENTERS WITH LONG HERITAGE
DRIVEN BY THE CONCENTRATION OF SONGWRITERS AND PRODUCERS
MUSIC ROW: THE HUB OF ‘MUSIC PUBLISHING & LICENSING’
HIGH GLOBAL RECOGNITION
CULTURAL CHARACTERISTICS
HIGHLY PROFESSIONAL, VARIOUS SPECILIZATIONS & FESTIVALS

6.
O V E R V I E W
ENTERTAINMENT
CLUSTER

7.
T R E N D S & C O M P E T I T O R S

8.
T R E N D S
OTHER
PLATFORMS
CROWDSOURCING
BRANDFUNDING
MOBILE
360 DEAL
ADVERTISING
SPONSORSHIP
VARIABLE PAY-MUSIC

9.
C O M P E T I T I O R S
35
30
25
20
15
10
5
0
COMPARATIVE MUSIC INDUSTRY CLUSTER EMPLOYMENT
NASHEVILLE
L.A
NEW
YORK

10.
C O M P E T I T O R S
160
140
120
100
80
60
40
20
0
COST OF DOING BUSSINES
NASHVILLE L.A NEW YORK

11.
R E G U L A T I O N S

12.
I N D U S T R Y & R E G U L A T I O N S
ROYALTIES
MECH.
PERF.
SYHNC.
90 % to labels
10 to 14 times more
to labels
50/50

13.
I N D U S T R Y & R E G U L A T I O N S
SONGWRITER EQUITY ACT
AN ACT DESIGNED TO ENCOMPASS COMPOSERS AND PUBLISHERS
TO EARN A FAIR COMPENSATION FOR THE USE OF THEIR
INTELLECTUAL PROPERTY. THE ACT IS AIMING TO PUT MECHANICAL
AND PERFORMANCE ROYALTY RATES IN LINE WITH “FAIR MARKET
RATES.

14.
S U S T A I N A B I L I T Y & E C O N O M Y

15.
CV
S U S S T T A A I I N N T T A A B B I I L L I I T T Y Y & & E C E O C N O O N O M Y
M Y
10
BILLION $ USD
ANNUAL ECONOMIC IMPACT
IN NASHVILLE REGION
MUSIC INDUSTRY CLUSTER JOBS PER 1,000 WORKING-AGE POPULATION (AGE 20-64) BY METROPOLITAN AREA

16.
O V E R V I E W
$72,751
$35,072
$104,560 $[VALUE]
$47,007
$74,992
$[VALUE]
$44,850 $45,433 $46,725
$50,027
$150,000
$100,000
$50,000
$0
NASHVILLE’S MUSIC INDUSTRY
GENERATED REVENUES 2012
Musical
instrument
Manufacturing
Musical
Instrument
supply
stores
Compact
disc,
tape
and
record
stores
integrated
record
reproducMon
Record
reproducMon
Music
Publising
Sound
recording
industries
Radio
Networks
Radio
StaMons
Musical
groups
and
arMst
Other
sound
recording
industries
4000
3000
2000
1000
0
NASHVILLE’S MUSIC INDUSTRY
GENERATED JOBS 2012
jobs
generated
2012
Musical
instrument
Manufacturing
Musical
Instrument
supply
stores
Compact
disc,
tape
and
record
stores
integrated
record
reproducMon
Record
reproducMon
Music
Publising
Sound
recording
industries
Record
Networks
Radio
StaMons
Musical
groups
and
arMst
Other
sound
recording
industries

17.
S U S T A I N A B I L I T Y & E C O N O M Y
NASHVILLE’S MUSIC INDUSTRY HELPS
TO CREATE AND SUSTAIN MORE THAN
56,000 JOBS WITHIN THE NASHVILLE
AREA
LABOR/POPULATION IS HIGHEST IN
COUNTRY, x10 MORE ACTIVITY AND x4
EMPLOYMENT COMPARED TO LA, NY.
NASHVILLE’S MUSIC INDUSTRY
CONTRIBUTES $10 BILLION TO THE
LOCAL ECONOMY. $3.2 BILLION IS
FROM LABOR FORCE.

18.
CV
S U S S T T A A I I N N T T A A B B I I L L I I T T Y Y & & E C E O C N O O N O M Y
M Y
-20%
ENERGY
-40%
WATER
845
SOLAR
PANELS
360.000
GALLONS
RAINWATER
GREEN
ROOF

19.
O P P O R T U N I T I E S

20.
O P P O R T U N I T I E S
• NASHVILLE
AS
THE
GLOBAL
HEADQUARTERS
OF
INNOVATION
AND
PROGRESS
IN
MUSIC
• CAPITILIZE
ON
CHANGING
DYNAMICS
OF
MUSIC
MARKET
AND
CONSUMERS
• INVEST
ON
TECHNOLOGY
OF
MUSIC
PRODUCTION
• NASHVILLE,
AS
THE
CENTER
OF
MUSIC
EDUCATION
AND
TRAINING
• REGULATE
TRADE
OF
MUSICAL
INSTRUMENTS
AND
MERCHANDISE
• REINFORCE
MUSIC
RELATED
POLICY
AND
PRACTICES

21.
THANK YOU