School Project

1. A Broken Record:
How The Music Industry Survived Its Recession
Dan McCoy
Professor Donovan
The College At Brockport – School Of Business
ENG 302 Business Writing (Summer 2014)
Saturday, August 9, 2014

2. • Overview
• History of Record Industry
• What Caused The Crash
• Revenue From Touring
• Revenue From Music Sales
• Revenue From Licensing
• Where The Industry Is Headed
• Press Repeat

3. Overview

4. History
• Edison records “Mary Had A Little Lamb” in 1877
• “First Three”
• “Big Five”
• “Big Six”
• “Big Three”

5. TheCrash

6. Touring
Total Gross: $205,158,370
Total Attendance: 2,178,170
Total Capacity: 2,178,170
No. of Shows: 90
No. of Sellouts: 90
Total Gross: $157,299,100
Total Attendance: 1,425,442
Total Capacity: 1,853,022
No. of Shows: 205
No. of Sellouts: 0
Total Gross: $147,947,543
Total Attendance: 1,581,939
Total Capacity: 1,583,801
No. of Shows: 114
No. of Sellouts: 111
Total Gross: $137,982,530
Total Attendance: 1,595,161
Total Capacity: 1,600,851
No. of Shows: 87
No. of Sellouts: 84
Album: “Unapologetic” (2012)
Sold: 1.13 Million
Profit: $11.3 Million ($10 each)
Live / Record: $126.7 Million
Label: 50%

7. Music Sales
60 Streams = 9.1 cents $1.29 – Apple 40 cents = 90 cents label $1 per 1,000 plays
Pay 25% of total revenue per year
$17.98 CD-Label gets $10.57 (59%)

8. Licensing
$500,000 for Rolling Stones and Beatles songs $250,000 for “Tomorrow Never Knows”
$2 million annually $$ “Revolution” $$
$25 million

9. The Future

10. • Overview
• History of Record Industry
• What Caused The Crash
• Revenue From Touring
• Revenue From Music Sales
• Revenue From Licensing
• Where The Industry Is Headed
• The END