Transcript Independent Publishers

Part 2: Songwriting, Publishing, Copyright, and
Licensing
Chapter 5
Start Thinking. . .
1.
Once a song is written, what’s the next step? How
does it get from the writer to the customer?
Chapter Goals
 Acquire an understanding of how music publishing
companies are structured and how they function
today.
 Learn how a publisher selects, then promotes, new
material.
 Gain an understanding of the essential elements of a
songwriter publishing contract.
 Identify a publisher’s potential income sources.
Music Publishing
 Heart of music publishing industry
 no longer “print” business
 now marketing and administration of rights
 “Keep your publishing!”
Types of Publishers
Major Companies
 Wide range of musical styles in catalogs
 Origins in
 Hollywood
 Broadway
 Tin Pan Alley
 Offer full line of services
Types of
Publishers
Major
Companies
Types of Publishers
Recording Company Affiliates
 Full line publishers
 Often operate independently of record label
 Acquire extensive catalogs
 Publishing/recording deals can be good for new artists
Types of Publishers
Independent Publishers
 Not associated with multinational publisher or label
 Many members of AIMP
 Some independents
 administrative duties only
 little or no exploitation
 Other independents
 old-style publishing and songplugging
Types of Publishers
Independent Publishers
Types of Publishers
Independent Publishers
 Artist-owned companies
 keep all publishing income
 generally publish only their compositions
 not involved in print publishing
 negotiate subpublishing deals abroad
 Writer-owned companies
 control copyrights and get songs published
 control promotion
Types of Publishers
Educational Publishing
 Limit catalog to music intended for students and
schools
 choirs, marching bands, concert bands
 Biggest sellers = piano + guitar
 Bench packs
Types of Publishers
Specialty Publishers
 Limited to one kind of music, e.g., Christian
 Country music = largest independent publishers
 Most specialty publishers small
 Prosper from sales + print business
Types of Publishers
Concert Music
 Classical music:
 opera, symphony, ballet, recital, choral, religious music
 Special editions for school orchestras and choirs
 Income = rental + licensing of scores, instrumental &
vocal parts
 Maintain catalogs of older European music
 Publish works of 20th century serious composers
 Some publishers are subsidized
Types of Publishers
Print Licensees
 Few music publishers print; they license to print
company
 Print firm
 bears full cost
 pays licensor royalty on sales (often 20% of wholesale)
 = selling agent
 Major publishers
 may bear full cost
 print firm receives distribution fee (20% of sales)
Subpublishing
Subpublishing Agreements
 Major publishers have branch offices in foreign
countries
 exploit American catalogs
 acquire compositions in foreign territories
 Independents seek subpublishers
 foreign independents
 affiliates of multinational companies
 The Harry Fox Agency
Subpublishing
Subpublishing Agreements
 Royalty splits
 80/20 or 90/10
 advances paid based on projected success
 3-year deals
 local PROs collect royalties
 collection deal versus subpublishing deal
Subpublishing
At-Source Deals Versus Receipts-Based Deals
 Multinational companies offer at-source deals
 At-source deal
 shares calculated on income earned in territory
BEFORE deductions by subpublisher
 Receipts-based deal
 shares calculated on income earned in territory
AFTER deductions by subpublisher
 Agreements for multiple territories
Administration
Royalty Department
 Managed by accountant or finance person
 Handles
 receipts
 disbursements
 fields inquiries
Administration
Copyright Department
1.
2.
3.
4.
5.
Conducts title searches
Registers claims of copyright
Records transfers of copyright ownership
Forms a liaison with The Harry Fox Agency to issue
and administer mechanical licenses
Keeps records of subsisting copyrights and their
pending expiration and termination dates
Administration
Legal and Business Affairs
 Lawyers must be expert in:
 copyright law
 music publishing
 tax law
 artist management
 recording industry
Administration
Print Publishing Operations
 Editing for print publications
 correct errors in notation
 rewrite portions to make
musical sense
 notation software changed
print publications
Administration
Print Publishing Operations
 The print production line
1. piece of music accepted for publication
2. title of ownership confirmed
3. claim to copyright registered
4. arranger scores piano-voice version
5. printer prints the music
6. printer ships and drop ships copies of music
7. promotion/advertising department generate sales
8. publisher pays author royalties based on sales volume
Administration
Distribution
 Most publishers sublicense and merely receive
royalties
 Print trail:
 publisher print publisher rack jobber 
retailer customer
 Online sales
 online aggregators
 music retailers’ Web sites
 publisher’s Web site
Administration
Creative Department
1. Discover and sign new writers
2. Maintain good working relationships with writers
under contract
3. Persuade artists and producers to record the writer’s
music
4. Secure synch licenses for film, TV, and commercials;
negotiate favorable rates when licensing uses of the
copyrights
5. Search out ancillary uses of those copyrights
Administration
Creative Department
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Sources for new material:
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writers currently or recently hot on the charts
recommendations from the field
writer already under contract
Acceptance criteria
Catalog acquisitions
Contracts With Writers
Refer to pages 72 - 76 of the text for a sample contract.
Split Publishing, Copublishing
 Sharing of publishing income (but not necessarily
administration duties)
 Administration is best left to those with experience
and resources
 Example: If publishing is split between label affiliated
publisher and songwriter’s publishing company, label
affiliated publisher should handle administration
(usually for a 10% fee)
 Harry Fox can be engaged to handle some of the
administration (mechanical and synch royalties)
Copyright Protection: Sampling
 Sampling can refer to the process of recording digital
audio, or:
 Sampling can refer to digitally copying a portion of an
existing recording for use in another recording
 Permission in the form of a license must be obtained
from both the copyright owner of the song and the
copyright owner of the recording (usually the record
label that released it)
 If permission is not obtained and a record containing a
sample is released, that is copyright infringement
Promotion, Advertising
 Popular Music:
 Publisher’s main goal is getting their music recorded
and broadcast to the public. This is usually done
through direct personal contacts
 Song Casting = matching songs with performers –
formerly the job of staff producers or A&R staff – some
record producers trust the “song casting” ability of
publishers enough to send requests for material for a
particular artist or project
 Cover Records (see notes – page 9)
Promotion, Advertising
 Digital Promotion = new paradigm for publishing and
record business – can also be done by DIY artists
 Synchronization Promotion – “synch” fee for film, TV
and commercials have doubled in the last few years
 Some publishers have “synch experts” who pitch
material to music supervisors (film & TV) and ad
agencies
Promotion, Advertising
 Educational Field
 Promotion of music for student and school use
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Direct Mail
Ads in music ed journals
Reading clinics
Internet – Email marketing (links to publishers web site)
 Classical Field
 Rentals of scores and parts
 Ads in music journals
 Overlap with educational field
Income Sources
Table 4.2 Publisher’s Potential Income Sources
Type of Music Use
Who Pays the Publisher
Broadcast performance
Publisher’s PRO (from broadcasters)
Nonbroadcast performances
Publisher’s PRO (from venues)
Mechanical royalties
Recording company
Sheet music sales
Publisher’s print music licensee
Synchronization of music
Movie, video or game producers
Special permissions licenses
Publisher’s licensee
Jukeboxes
Publisher’s PRO
Dramatic (or grand rights)
Producer of the dramatic performance
Foreign rights
Subpublishers; reciprocating PROs
Income Sources
Trade Associations
National Music Publishers’ Association
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Performs services through The Harry Fox Agency
Provides leadership for the music
publishing/songwriting community
Helps to formulate policy regarding
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copyright infringement
protection of copyrights in an age of advancing
technology
payment of royalties for electronic delivery of music
throughout the world
Trade Associations
The Harry Fox Agency, Inc.
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Established in 1927 as an information source,
clearinghouse, and monitoring service for licensing
musical copyrights
1.
2.
3.
4.
mechanical licensing
digital licensing
royalty compliance
royalty collection and distribution
Trade Associations
Association of Independent Music Publishers
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Formed in 1977 to educate and inform local music
publishers about industry trends and practices
Members include
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publishers affiliated with record labels, motion picture
and TV companies
individuals from entertainment community
For Further Thought. . .
 If the heart of the music industry is no longer about
the print business, but about exploiting rights, what
avenues for income are available to publishers?
 What are the different types of publishers, and how do
they differ in focus?