Indie Rock Composer-Performer

Transcription

1 Indie Rock Composer-Performer The following case study looks at income for an Indie Rock Composer-Performer, who writes, records and performs his own music and regularly tours the US and abroad. From he spent a significant amount of time as a salaried member of two different independent rock bands that actively toured the US and abroad, and typically played festivals and large rock clubs. When he tours his solo work, he performs in night clubs, galleries, pubs, art centers, museums, small theaters, and bars. The artist has formal training in composition and music. He has appeared on fourteen records as a leader, 32 records as a band member and 27 records as a sideman. He manages his own tours and those of the various ensembles that he co-leads. He sometimes works with a booking agent for his solo tours in Europe. He has non-exclusive relationships with several independent record labels. He is a member of AFTRA, SoundExchange and ASCAP. He is self-employed, does not have health insurance, and has no pension. This case study includes time series chart of income , revenue pies for each of the years , and an analysis of income versus expenses across time. It also includes analyses of income by band, income by role, and a breakdown of PRO royalties. PRIMARY GENRE Rock SECONDARY GENRES World Avant Folk Rock ROLES Performer Composer Bandleader Sideman Session Musician YEARS ACTIVE 1999 present TIME SPENT ON MUSIC 100% INCOME DERIVED FROM MUSIC 100%

2 CASE STUDY Indie Rock Composer-Performer Gross Revenue This section reviews overall gross revenue numbers for for the Indie Rock Composer, as well as definitions for each category. Gross Revenue, Live Performance 30.5% Salary 29.7% Composing 21.1% Recording 15.8% Sideman 1.5% Teaching 0.7% Knowledge of Craft 0.1% From , 30.5% of his income came from performance fees for solo shows. He made approximately the same amount of money 29.7% during this period as a salaried member of two different bands. Both bands paid him a consistent salary that drew from each band s respective corporate fund. 21.2% of his income was derived from compositions; 15.0% for publishing related income both advances and royalties for one of the salaried bands, for which he wrote many of their songs, and 6.2% in PRO royalties. CD sales and record royalties comprised 12.1% and 3.5% of his income, respectively. The remaining 2.9% was made up of session musician work (both live and on recordings), income as a producer, TV royalties for television performances, teaching, and SoundExchange royalties. In the next section, we look at gross revenue by year. Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles. Case studies are one of three ways this project is looking at musician income. Learn about methodology at money.futureofmusic.org. 2

3 CASE STUDY Indie Rock Composer-Performer Gross Revenue, 2008 In 2008, the Indie Rock Composer recorded with Main Band #1, and received a publishing advance for his share of the writing on Main Band s record. He also recorded as a solo artist, and with several other groups as a sideman. His salary, combined with his share of a publishing advance for Main Band, made up 72.3% of his gross income for He received PRO royalties for his writing credits for Main Band and other groups. He recorded as a sideman, did some arranging work for another group, and also taught private students. Revenue Category 2008 Details Salary 45.7% Contract musician income drawn from Main Band #1 s corporate fund. Corporate fund includes accumulated profits from live performance, label advance, record royalties, merchandise sales, licensing and digital SR performance royalties. Artist waived claim to these monies in exchange for his contract salary. Publisher Payments 26.6% Advance against songwriting royalties for album recorded in 2008 by Main Band #1 PRO Royalties 14.6% Songwriting royalties (includes Main Band #1). Artist co-writes songs with other songwriters in Main Band #1. Is primary songwriter in projects he leads Session Musician 7.4% Performances in both live and studio settings as a session player Live Performance 5.0% Live performance fees as a solo performer and as a bandleader (does not include Main Band #1) Record Royalties 0.3% Physical and digital sales of musical recordings Live Performance Digital Royalties 0.2% Internet streaming and downloads of a live performance by Main Band #1 through a venue-connected third party digital music service Teaching 0.2% Private music lessons 3

4 CASE STUDY Indie Rock Composer-Performer Gross Revenue, 2009 In 2009, Indie Rock Composer continued to draw a salary from Main Band #1. His solo record was released in 2009 and he toured the US and Europe to support this record. His live performance fees as a solo artist, combined with CDs sold on the road, made up 45.4% of his income that year. He continued to work as a live and studio session player and teacher. Revenue Category 2009 Details Salary 49.2% Contract musician income drawn from Main Band #1 s corporate fund. Corporate fund includes accumulated profits from live performance, label advance, record royalties, merchandise sales, licensing and digital SR performance royalties. Artist waived claim to these monies in exchange for his contract salary Live Performance 33.2% Live performance fees as a solo performer and as a bandleader (does not include Main Band #1) CD Sales On Tour 12.3% Physical and digital sales of musical recordings: solo projects and bandleader PRO Royalties 4.7% Songwriting royalties (includes Main Band #1). Artist co-wrote songs with other songwriters in Main Band #1. He is the primary songwriter in projects he leads Session Musician 0.4% Performances in both live and studio settings as a session player Teaching 0.1% Private music lessons Record Royalties 0.1% Physical and digital sales of sound recordings 4

5 CASE STUDY Indie Rock Composer-Performer Gross Revenue, 2010 In 2010, Indie Rock Composer continued to draw a salary from Main Band #1 for the first part of the year (57% of his 2010 salary income), then drew a salary from a second band in the second half of the year (43% of his 2010 salary income). He received publishing royalties and another piece of a publishing advance for Main Band #1, which made up about a quarter of his 2010 income. He toured the US, UK and Europe as a solo artist and his performance fees as a solo artist, combined with CDs sold on the road, made up 33.2% of his income that year. He continued to work as a live and studio session player, and also received AFTRA TV residuals for previous years live TV appearances performing with various bands, including Main Band #1. Revenue Category 2010 Details Salary 35.2% Contract musician income for two different groups (including Main Band #1) Live Performance 24.5% Live performance fees as a solo performer and as a bandleader (does not include Main Band #1) Publishing Royalties 22.4% For songs he wrote for Main Band #1 CD Sales On Tour 8.5% Physical and digital sales of musical recordings: solo projects and bandleader PRO Royalties 5.1% Songwriting royalties (includes Main Band #1). Artist co-wrote songs with other songwriters in Main Band #1. He is primary songwriter in projects he leads Publishing Advance 2.9% For new songs he wrote for Main Band #1 AFTRA TV Residuals 1.0% For live TV appearances performing with various bands Session Musician 0.4% Performances in both live and studio settings as a session player 5

6 CASE STUDY Indie Rock Composer-Performer Gross Revenue, 2011 In 2011, Indie Rock Composer earned 72.2% of his income from touring the US and Europe as a solo artist. 21% of his income was from publishing and record royalties from Main Band #1. His PRO royalties included songwriting royalties generated by songs written for Main Band #1, and for his own compositions. He took on work as a producer, working on two projects, which made up 2.2% of his gross income. Other income included a one time acting gig, and AFTRA TV residuals for previous live performances on television shows with a band. Revenue Category 2011 Details Live Performance 49.2% Live performance fees as a solo performer and as a bandleader CD Sales on Tour 22.4% Physical and digital sales of musical recordings: solo projects and bandleader Record Sales 11.5% For his previous work with Main Band #1, and also digital record sales for his solo projects Publishing Royalties 9.5% For songs he wrote for Main Band #1 PRO Royalties 3.5% Songwriting royalties (includes Main Band #1). Artist co-wrote songs with other songwriters in Main Band #1. He is primary songwriter in projects he leads Producer 2.2% Producing records of other bands Acting 0.5% One time acting gig AFTRA TV Residuals 0.4% For live TV appearances performing with various bands 6

7 CASE STUDY Indie Rock Composer-Performer Income vs Expenses The pie charts below show aggregate gross income, and the related expenses for Gross Income, Gross Expenses, Travel Overhead Equipment and Repair Publicity Recording Expenses Merch Expense Paid to Musicians Booking Commissions Paid to Musicians Production The pie chart for expenses has been scaled visually to represent that expenses consume about 53% of gross income. The table below provides details about expenses from Expense Category Details Travel 35.8% Flights, hotels, per diem, local transportation on tour Overhead 12.7% Communications expenses, mailing expenses, legal, bank charges, insurance, research, office expenses Artist Fees Paid 11.1% Sidemen in live performances and recordings Equipment Purchase and Repair 10.5% Publicity, Marketing and Design 9.3% Publicity, web hosting, fan management platform, album and merch designs, photography Recording Expenses 7.9% Engineers, studio rental, mixing, mastering Merch Expense 7.2% Buying CDs at cost, printing cost of merch items, customs, duties Booking Commissions Paid 4.2% For his solo tours in Europe and UK Production 0.9% Rehearsal space, live production crew Membership Dues 0.5% Paid to AFTRA, AAA, AFM 7

8 CASE STUDY Indie Rock Composer-Performer The chart below shows income versus expenses on a year-to-year basis. The grey line indicates net income, which has increased over the four years. Income v Expenses and Net, Knowledge of Craft Sideman/Session Work Merchandise Recording Composing Salary Live Performance Live Performance Expenses Other Expenses Solo Recording Expenses Merchandise Expenses The artist s overall net income in 2011 is 66% greater than his net from His solo tours became profitable in 2011, after three years of his solo tour activity being subsidized by his other music activities. On the next page, we break down Indie Rock Sideman s income by role as a performer, salaried player, composer and recording artist and provide detail about the income earned by each role in this time period. 8

9 CASE STUDY Indie Rock Composer-Performer Income by Role, Live Performance 31.1% Salary 29.7% Composing 21.1% Recording 15.8% Sideman 1.5% Knowledge of Craft 0.8% Income from Composing Income from Performing Publishing Royalties 44.4% Publishing Advance 26.3% PRO Royalties 29.3% Live Performance 98.1% TV Royalties 1.4% Acting 0.4% Digital Royalties 0.2% Income from Salaried Player Income from Sound Recordings Salary 100% CD Sales on Road 76.4% Record Sales 22.4% Merchandise Online 1.2% 9

10 CASE STUDY Indie Rock Composer-Performer The salary income is the most consistent from year to year out of all of his roles, which he ended in 2011 when he took on more solo performances. The performance income grows steadily as he invests more time and energy into it. His composing and recording income is less consistent. While there are elements of these roles that stay steady the PRO royalties and CD sales on the road the rest of the income in these two areas (71% of his composing money and 22% of his recording money) was tied to his affiliation with Main Band #1, and future income at the same rate is uncertain. Indie Rock Composer s solo tours are now profitable, though he still receives royalties from his affiliation on Main Band #1. When those royalties run out, he will need a new income source to fill the gap. Income by Band This chart and table illustrate Indie Rock Composer s income, broken down by band. From the artist was a member of four bands and worked as a session musician. Though the artist is involved in four bands and does additional sideman work, most of his income from was derived from his contract salary with the Main Band #1, and his solo work. Income by Band, Band Role Details Main Band #1 94.2% 55.9% 50.3% 25.4% Contract Salary Salary, publishing advance, publishing royalties, record sales, PRO royalties Solo 4.4% 43.4% 31.2% 74.5% Bandleader Live performance fees, PRO royalties for solo project, CD sales on the road, merchandise sold online, record sales Salaried Band #2 NA NA 16.0% NA Contract Salary Salary Band #3 0.9% 0.7% 2.5% 0.1% Co-Leader Live performance, CD sales on the road, PRO royalties Band #4 0.5% 0.0% 0.0% 0.0% Member Live performance, PRO royalties 10

11 CASE STUDY Indie Rock Composer-Performer PRO Royalties by Type This chart shows Indie Rock Composer s public performance royalties from the US and abroad, broken down by category. 96% of these royalties are income from his share of writing credits for Main Band #1. PRO Royalties by Type, The General category, which includes use of the music by nightclubs, restaurants, concert halls, hotels, and live performances of the Artist s compositions in UK and European countries, make up the bulk of the royalties. Type of Use Details General 54.5% 40.6% 57.1% 63.7% Use of music by nightclubs, restaurants, concert halls, hotels, etc. This also includes live performances of the Artist s compositions in UK and European countries which make up the bulk of the uses for this Artist. Radio 21.9% 35.9% 16.1% 15.6% Broadcast radio airplay, and live appearances on radio Television 21.8% 22.3% 26.4% 20.6% Use of recorded songs on TV (accompanying sports footage, direct license to shows, incidental music) and music licensed to or composed for films with TV broadcast of those films. Also, live performances of the Artist s compositions on television. Internet Streaming 1.5% 0.4% NA NA Internet streaming of music and/or performance Cinema 0.2% 0.8% 0.4% 0.1% Applicable territories license fee for screenings in movie theaters Reflections on the Nature of Investment and Work Cycles in Indie Rock While the finances of the Indie Rock Composer-Performer are particular to this artist, there are a number of things we can learn about artists similar to him based on what is in this report. Touring is an important revenue stream. For this artist, and many like him, income earned from live performance either for his solo work or as a hired sideman is his financial linchpin. Indeed, if he stopped playing shows, his income would plummet. But this artist also exemplifies the long-term value of compositions. In his case, his songwriting contributions to Main Band #1 not only led to publisher advances and publishing 11

12 CASE STUDY Indie Rock Composer-Performer royalties, but also PRO royalties for at least five years after origination. There s also an interesting story about risk and investment. Main Band #1 has a record label deal, a publishing deal, a booking agent and a manager. This means financial support, but also a significant increase in capacity, as record labels can help promote releases to radio, publishers can seek synch licensing deals, and booking agents can secure higher guarantees. As a salaried band member that also co-wrote many of Main Band #1 s songs, our Indie Rock Composer-Sideman benefited from this investment. But this also means there are greater external pressures on the band to actively tour and promote its records, to deliver a return on those investments. In contrast, his solo work is done with little to no outside investment. Without a label or publishing advance for his solo work, his publishing income, sideman work, and teaching income supplement his own creative output. And, we can see in recent years, the artist has taken on more risk and greater costs for a greater financial reward and more creative control. But it s also more difficult to build momentum, because it takes longer to build capital. This case study provides a detailed look at the revenue streams for a multi-faceted, full time musician. His time as a salaried player with a touring rock band served him well financially, providing him with guaranteed payments for performances, as well as publishing revenue for his contributions to the sound recordings, with very little risk. But, as we see with other case study subjects, there is often a tradeoff between financial risk and creative control. In recent years, Indie Rock Composer-Sideman has taken on greater risk in exchange for more creative input, managing his own recording and touring projects. While he is responsible for all of the costs, he is also the recipient of all of the profits. Luckily for this artist, his choices have served him well. 12

13 Jazz Bandleader Composer The following is the breakdown of income for a Jazz Bandleader-Composer, who writes, records and performs his own works and leads and participates in multiple ensembles and projects. As a jazz composer, he writes primarily for his own ensembles to perform and record, though he also occasionally writes incidental music for plays, radio, television and film. As a performer, he leads his own bands, but also spends time playing and recording as a sideman for other jazz composers-bandleaders. When he tours with his own ensembles they typically play jazz clubs, concert halls, large jazz festivals, and universities, in the US and around the world. He has released over ten records as a leader or co-leader, and has appeared on over 25 recordings as a sideman. The Jazz Bandleader has an advanced degree in music. He has a manager, booking agent, and a multi-year relationship with an independent record label. He is a member of Chamber Music America, NARAS, SoundExchange, and SESAC. He is self-employed and has health insurance, but no pension plan. PRIMARY GENRE Jazz SECONDARY GENRES Classical Hip Hop ROLES Bandleader Composer Sideman Teacher YEARS ACTIVE 1995 present TIME SPENT ON MUSIC 100% INCOME DERIVED FROM MUSIC 100% This case study includes time series chart of income , revenue pies for each of the years , and an analysis of income versus expenses across time. It also includes analyses of income by territory, and by role.

14 CASE STUDY Jazz Bandleader Composer Gross Revenue This section reviews the overall gross revenue numbers for for Jazz Bandleader, as well as definitions for each category. Gross Revenue, Live Performance 77.8% Composing 11.8% Recording 7.3% Sideman 1.8% Teaching 0.7% Knowledge of Craft 0.6% From , the majority of Jazz Bandleader s income 77.8% came from live performances and tours in the US, Europe, Canada and South America. Composing work accounted for 11.8% of his income, which including mechanicals, PRO royalties, publisher advances, and sheet music licensing. It also included some significant grants and awards. Most of the grants were commissions for him to write new works for his own and other ensembles. He also recorded every year, and his income as a recording artist (advances, record royalties, and CD sales on the road) accounted for 7.3% of his overall income during this period. Other income streams in this time period included 1.8% from performances and recordings as a sideman, and 1.3% from teaching, speaking engagements and master classes. We will explore these in detail in the charts and tables below. In the next section, we look at gross revenue by year. Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles. Case studies are one of three ways this project is looking at musician income. Learn about methodology at money.futureofmusic.org. 2

15 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2006 In 2006, Jazz Bandleader toured with his own ensembles throughout the United States, Canada and Europe. He received one major commission from a nonprofit foundation for a work that premiered in 2007, as well as smaller commissions as a composer. He received two advances from the jazz subsidiary of a major label to make a record that was released in 2006, and another record that was released in He recorded and toured as a sideman, and appeared on four releases as a sideman on independent labels. Revenue Category 2006 Details Live Performance 66.4% As a bandleader, he toured US, Europe and Canada Grants and Awards 15.6% Record Label Advance 12.1% As a composer, he received one major commissioning grant from a nonprofit to write a new concert pieces, and several smaller commissions He received an advance to record a small ensemble record for a jazz subsidiary of a major label. Record Sales 2.0% 1% record royalties paid by label, 1% records sold on tour Composition Commission 1.8% He was commissioned to write incidental music for a play Sideman 1.1% Studio and live performances as a sideman Mechanical Royalties 0.3% Mechanicals paid by label PRO Royalties 0.3% Paid by his PRO Teaching 0.3% 3

16 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2007 In 2007, Jazz Bandleader toured with his own ensembles throughout the United States, Europe and Canada. He was asked to write music for a film, a radio program, and received smaller compositional commissions for works premiered by his own ensembles. He recorded and toured as a sideman, and appeared on one release as a sideman on an independent label. Revenue Category 2007 Details Live Performance 78.7% As a bandleader, he toured US, Europe and Canada Composition Commission 7.0% Commissioned to write incidental music for film and radio pieces Grants and Awards 4.8% Small composing-related grants from nonprofit foundations to write new concert pieces Producer 1.9% Produced a record for another artist Sideman 1.8% Studio and live performances as a sideman Composer Income 1.7% 0.1% mechanicals paid by label and 1.6% publishing income from a mainstream hip-hop song that he has a co-writing credit on Record Sales 1.4% 0.97% record royalties, 0.4% record sales on tour PRO Royalties 1.2% Paid by his PRO Teaching 0.9% Advisor 0.6% He advised a foundation in a grant panel Speaking Engagement 0.2% Speaking at a university 4

17 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2008 In 2008, Jazz Bandleader toured with his own ensembles throughout the United States, Europe, Canada, and South America. He received a small nonprofit foundation commission for a work that premiered in He was a leader or co-leader on two releases on independent labels. He recorded and toured Europe and the US as a sideman. Revenue Category 2008 Details Live Performance 85.6% As a bandleader, he toured US, Europe, Canada, and South America Sideman 5.8% He performed live as a sideman in the US and Europe Record Sales 2.4% 1.76% record royalties, 0.65% record sales on tour Composition Commission 1.8% Incidental music for a film Teaching 1.6% Speaking Engagement 1.3% For industry conferences PRO Royalties 0.6% Paid by his PRO Mechanical Royalties 0.5% Mechanicals paid by label Grants and Awards 0.3% Commission for new work by presenter Digital Performance Royalties 0.01% Paid to performer by SoundExchange 5

18 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2009 In 2009, Jazz Bandleader toured with his own ensembles throughout the United States and Europe. He received a major commission to compose music for television. He signed a recording and publishing deal with a new independent label and released a solo record the same year. He recorded and performed locally and internationally as a sideman, appearing on four releases as a sideman in Revenue Category 2009 Details Live Performance 59.9% As a bandleader, he toured US and Europe Grants and Awards 10.8% Received prize as well as commissions from presenting organizations Record Label Advance 9.2% For new solo record, also, publishing deal Composition Commission 9.2% To compose music for a television show Record Sales 7.0% 6.4% record royalties, 0.6% record sales on road Sideman 1.8% Recording and performing live Teaching 0.8% Workshop and university Mechanical Royalties 0.7% Mechanicals paid by his label PRO Royalties 0.5% Paid by his PRO Digital Performance Royalties 0.01% Paid to performer via SoundExchange 6

19 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2010 In 2010, Jazz Bandleader toured with his own ensembles throughout the United States, Canada and Europe. He received an advance from his record label for two different recording projects. He received grants and awards for two different commissioning projects, where he wrote music for two different ensembles. He recorded and performed locally and internationally as a sideman, appearing on one release as a sideman in Revenue Category 2010 Details Live Performance 77.5% As a bandleader, he toured US, Europe, and Canada Record Label Advance 8.7% Recording expenses for two projects Grants and Awards 7.5% For two different commissioning projects Sideman 2.0% With three different ensembles Record Sales 1.4% 1.1% record royalties, 0.3% record sales on road Composer Income 1.1% 0.4% mechanicals, and 0.7% publishing income related to a hip-hop track he co-wrote Speaking Engagement 0.7% At industry conferences PRO Royalties 0.4% Paid by his PRO Teaching 0.3% Advisor 0.2% He served on a grant panel for a foundation Digital Performance Royalties 0.04% Paid to performer via SoundExchange 7

20 CASE STUDY Jazz Bandleader Composer Gross Revenue, 2011 In 2011, Jazz Bandleader toured with his own ensembles throughout the United States, Canada, Europe, Australia, and Asia. He received grants and awards for six different commissioning projects, where he wrote three new works for his own ensembles and groups, and three for other groups. He reached an agreement with an independent publisher to release sheet music of his compositions. He recorded and performed locally and internationally as a sideman, appearing on three releases as a sideman in Revenue Category 2011 Details Live Performance 90.3% As a bandleader, he toured US, Europe, Canada, Australia and Asia Grants and Awards 5.3% Six different commissioning projects PRO Royalties 1.4% Paid by his PRO Record Sales 1.2% 0.8% record sales on tour, 0.4% record sales from label Sheet Music 1.2% Publishing deal advance Sideman 0.2% LIve and studio work Teaching 0.2% Mechanical Royalties 0.1% Mechanicals paid by label Digital Performance Royalties 0.02% Paid to performer via SoundExchange Breakouts 8

21 CASE STUDY Jazz Bandleader Composer Income vs Expenses The pie charts below show aggregate gross income, and the related expenses for Gross Income, Gross Expenses, The pie chart for expenses has been scaled visually to represent that expenses consume about 80% of gross income. The table below provides details about expenses from Expense Category Details Artist Fees Paid 36.5% Fees paid to sidemen for live performances Manager Fee Paid 19.2% Paid to US-based manager (US and European booking agents take a percentage of touring income before payment is made to Artist). Tour Expenses 17.4% Flights, ground transportation, hotel, per diems Production 8.5% Equipment, rehearsal space, research, wardrobe, production crew, road crew, Overhead 7.8% Bank, taxes, telephone, postage, misc Recording Expenses 5.6% Artist fees, royalties paid, engineers, rehearsal space, equipment Marketing 3.3% Website, publicist Merch Expense 1.7% Paid to record labels for merchandise (CDs) to sell at shows 9

22 CASE STUDY Jazz Bandleader Composer The chart below shows income versus expenses on a year-to-year basis. The grey line indicates net income, which fluctuates from year to year. Income v Expenses and Net, Recording Other Income Grants and Awards Live Performance Touring Expenses Overhead Production Expenses Recording Expenses Income by Role Income by Role, Jazz Bandleader s gross income can be divided into five categories: touring, recording, composing, session/sideman work and income related to his knowledge of craft. The chart to the right shows what percent of each year s income falls into these five categories. Clearly, live performance fees are a majority of his income. 10

23 CASE STUDY Jazz Bandleader Composer Below are breakouts of of his income by role, from Income as Performer Income from Recordings Live Performance 97.8% Sideman 1.8% Sideman: Studio 0.4% Label Advance 68.3% Record Sales 23.0% Record Sales: Tour 8.5% AARC 0.2% Digital Performance Royalties 0.2% Income as Composer Income from Knowledge of Craft Grants and Awards 62.9% Commission 21.6% PRO Royalties 6.8% Sheet Music 2.9% Publishing Income 2.7% Mechanicals 3.1% Teaching 42.9% Speaking 24.8% Producer 15.7% Advisor 8.4% Grants and Awards 8.2% Role Details Touring 66.4% 78.7% 85.6% 59.9% 77.5% 90.3% Composing 18.1% 14.7% 3.6% 21.3% 9.1% 7.7% Recording 14.1% 1.2% 2.0% 16.3% 10.1% 1.2% Sideman 1.1% 1.8% 5.8% 1.8% 2.0% 0.2% Knowledge of Craft 0.3% 3.6% 3.0% 0.8% 1.2% 0.6% Live performance fees as a leader or soloist Mechanicals, PRO royalties, commissions, grants and awards, sheet music sales Record label advances, record sales, record sales on tour, digital performance royalties Session or sideman work on tour or in the studio Advisor, producer, speaking engagements, teaching Touring is an area that is actively pursued by Jazz Bandleader, and it s the role through which he makes the vast majority of his income. He retains a booking agent to contract engagements for him in the US, Europe and other territories. 11

24 CASE STUDY Jazz Bandleader Composer Most of the composing-related money is relatively passive income. With the exception of a handful of grants written by Jazz Bandleader earlier in his career, the vast majority of this income is initiated by someone other than Jazz Bandleader or his team. Recording is the most complex area of income for this Jazz Bandleader-Composer. He receives regular income every year for record sales and digital sound recording performance royalties. He actively sells his recordings on tour which makes up a stable portion of his income. The biggest differences from year to year are the record label advances, which accounted for 65% of his recording-related income from Jazz Bandleader has also earned significant money as a sideman, both on tour and in the studio. Knowledge of craft income, like the composing-related income, is largely passive. Organizations and institutions hire Jazz Bandleader to give a lecture or masterclass to university students, speak at industry conferences, or advise or produce. Performance Income by Territory This chart illustrates Jazz Bandleader s gross performance fee income for Performance fees include fees received for appearing on radio programs in the US, UK, and Europe. His US engagements remain relatively stable at 56-64% of his activity each year, though his activity increased sharply in 2010 and His European income tripled in 2010 and stayed at that level in This is due to an increase in the number of shows. See below for details on the increase on the number of shows played in this time period. Live Performance Income by Territory,

25 CASE STUDY Jazz Bandleader Composer PRO Income by Territory and Album Jazz Bandleader s income from his PRO shows that his compositions are publicly performed or licensed in Canada, Australia, US, Europe, UK and Asia. 52% of his PRO income comes from US uses, and 24% comes from Europe. Of the US uses, more than half of the income is from monitored radio airplay. PRO Income by Territory, The royalties generated by Jazz Bandleader s compositions are relatively evenly spread out among the different types of uses (radio, internet, live performance). The lifespan of his compositions seems fairly long, as most of his compositions are getting steady use throughout the period of PRO Income by Album, In 2010, as Jazz Bandleader began touring more aggressively, his composition catalogue earned more money from public performance use. 13

26 CASE STUDY Jazz Bandleader Composer Merchandise Income by Territory Merchandise Income by Territory, Here is a detailed view of the gross merchandise sold on the road. Jazz Bandleader only sells CDs of his own ensembles releases when he travels. He sold approximately the same dollar amount of CDs at shows in the United States from year to year, with an uptick in 2009 and His European CD sales are robust, but fluctuate from year to year, depending on whether he sells the merchandise himself after a show. (Sometimes the venue will contract a third party to sell merchandise. In those cases, Jazz Bandleader does not receive CD Sales on the Road income from that particular show, even if there were CDs sold at the concert). He sold no merchandise at shows in Canada. Reflections on Building a Career in Jazz The jazz field differs from the classical or indie rock worlds in a few substantive ways. While many classically trained musicians may aspire to be section or ensemble players, jazz players learn to solo and are encouraged to lead their own bands. Much of the classical music world operates largely on a non-profit patron model, whereas jazz has its roots in commercial music played in night clubs. But the commercial crossover viability of jazz is limited. Rather than emerging bands going in and out of fashion as routinely happens in the rock and pop scenes, jazz operates on a prestige model, where elder jazz greats are continually celebrated and younger bandleaders compete fiercely for a few opportunities to shine. This is the environment in which this Jazz Bandleader-Composer is building his career. While every artist s financial picture is unique and personal, there are a few themes that emerge from this case study about jazz musicians in general. Early investments pay off in the future. Emerging jazz artists spend years practicing their craft, picking up freelance gigs, and joining sessions with elder players. This not only hones their skills, but also forges the necessary connections and credentials in the field to move from being a session player to a bandleader. This was the path that our Jazz Bandleader forged for himself. And, those early investments doing session and sideman work are paying off now, both financially and creatively. 14

27 CASE STUDY Jazz Bandleader Composer Similar to our indie rock composer-sideman, this Jazz Bandleader benefits financially from playing multiple roles; he consistently earns money from live performances, while also seeing the long-term benefits of his compositions, which generate mechanical royalties, PRO royalties and sheet music sales year after year. During periods with fewer shows, income from compositions and sound recordings makes up a greater percentage of his gross income. Live performance is essential, and worth the investment. As with a number of our case studies, live performance fees are the primary even the dominant source of income in many years. Because it is the linchpin of his career, this Jazz Bandleader has made significant investments in maximizing it. He has a manager, a booking agent and a publicist. This allows him to both tour frequently and collaborate with others. Having a team in place has also allowed him to leverage his skill and connections to do much more; composing and recording his own work, contributing to various ensembles, working on commissioned pieces and serving as a sideman. With the benefit of hindsight, it s easy to look at these numbers and think that the Jazz Bandleader s careful choices over the years led automatically to this career outcome. But this is an incredibly competitive field, and one where luck and timing can play as big a role as skill and planning. While the jazz field has some unique traits, this case study underscores the importance of building and maintaining relationships, and investing wisely in one s career. 15

28 Contemporary Chamber Ensemble The following is the breakdown of revenue for a Contemporary Chamber Ensemble, which performs classical, contemporary and crossover jazz works, and records and tours internationally. The ensemble primarily performs and records works that were written by other composers. Sometimes they commission composers to write specific pieces for the ensemble, while other times ensemble members will arrange works for the group to play. When the ensemble tours they typically play concert halls, museums, churches, music festivals and universities in the US and around the world. They often add a special educational performance for young audiences or schools or special coaching for student ensembles to a concert date, and have developed an educational curriculum. The ensemble has released six records, and the members have also recorded occasionally as guest artists on other artists records. All of the members have formal conservatory training. Their team includes a manager who also books their tours for them and a freelance publicist, and they have a multi-year relationship with an independent record label. The ensemble is an LLC business partnership. PRIMARY GENRE Classical SECONDARY GENRES New Music Contemporary Jazz ROLES Performer Sideman/Session Work YEARS ACTIVE 1997 present TIME SPENT ON MUSIC 100% INCOME DERIVED FROM MUSIC 100% This case study focuses on the income and the expenses of the ensemble, as opposed to the financial picture of its individual members. While each member benefits equally from the ensemble s work via profit sharing, individuals may be supplementing their ensemble income with teaching or session work.

29 CASE STUDY Contemporary Chamber Ensemble Gross Revenue This section reviews the overall gross revenue numbers for for the Ensemble. Gross Revenue, Live Performance 95.4% CD Sales on Road 2.4% Teaching 1.7% Session Work 0.4% Record Royalty 0.1% In the period , nearly all of the Ensemble s income (95.4%) comes from live performance fees, with 2.4% attributed to selling CDs on tour. Starting in 2005, the Ensemble began a relationship with a large independent label and released five records from Record royalties total just 0.1% of their income during this period, while recording fees for appearing as a guest ensemble on someone else s record account for 0.4%. In 2010, the Ensemble began formally coaching student chamber music ensembles in an educational partnership with a conservatory, and the teaching income from that year comes from that partnership. In the next section, we look at gross revenue by year. Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles. Case studies are one of three ways this project is looking at musician income. Learn about methodology at money.futureofmusic.org. 2

30 CASE STUDY Contemporary Chamber Ensemble Gross Revenue: 2002, 2003, 2004 In this period, 100% of the ensemble s income came from live performance fees. The ensemble began working with a booking agent in 2003, and found professional management in 2004, which took over the booking agent and management role. Gross Revenue, 2005 In 2005, the Ensemble toured the US. Their first release with the large independent label did very well, garnering a nomination for a presitigous industry award. Revenue Category 2005 Details Live Performance 96.8% Fees for live performance CD Sales on the Road 3.2% Income earned from selling CDs at shows Gross Revenue, 2006 In 2006, the Ensemble toured throughout the US and released their second album on the large independent label. Revenue Category 2006 Details Live Performance 96.7% Fees for live performance CD Sales on the Road 3.3% Income earned from selling CDs at shows 3

31 CASE STUDY Contemporary Chamber Ensemble Gross Revenue, 2007 In 2007, the Ensemble toured primarily in the United States, with a tour in Europe, and dates in Canada and Mexico. They released their third record on the large independent label, and also appeared as a guest artist on another artist s record. They received their first royalty statements from their primary record label, which paid out royalties for their first two records. Revenue Category 2007 Details Live Performance 95.9% Fees for live performance CD Sales on the Road 2.2% Session Work 1.3% Income earned from selling CDs at shows Income earned from studio session work Record Royalty 0.6% Sales royalties Gross Revenue, 2008 In 2008, the Ensemble toured throughout the US and Europe. They released their fourth record on the large independent label, and also appeared as a guest on another artist s record that was released in Revenue Category 2008 Details Live Performance 95.8% Fees for live performance CD Sales on the Road 2.4% Income earned from selling CDs at shows Session Work 1.8% Income earned from studio session work 4

32 CASE STUDY Contemporary Chamber Ensemble Gross Revenue, 2009 In 2009, the Ensemble toured the US, and had dates in Europe and Mexico. They received record royalties for their first four records. Revenue Category 2009 Details Live Performance 96.6% Fees for live performance CD Sales on the Road 3.0% Income earned from selling CDs at shows Record Royalty 0.4% Sales royalties Gross Revenue, 2010 In 2010, the Ensemble toured the US, and had dates in Canada. They expanded the educational work they do with student chamber ensembles, and formed a partnership with a conservatory to coach young musicians. Revenue Category 2010 Details Live Performance 84.9% Fees for live performance Teaching 12.5% CD Sales on the Road 2.6% Income earned from selling CDs at shows Record Royalty 0.02% Sales royalties 5

33 CASE STUDY Contemporary Chamber Ensemble Income v Expenses The pie charts below show aggregate gross income, and the related expenses, for Gross Income, Gross Expenses, Manager Commission Touring Expenses Artist Fees Publicity Teaching-Related Marketing Merchandise Taxes Accounting Production The pie chart for expenses has been scaled to visually represent that expenses consume about 51% of gross income. The table below provides details about the expenses Expense Category Details Manager Commission 30.3% Commission paid to manager, who primarily secures and negotiates concert dates Touring Expenses 26.8% Transportation, hotel, per diem, etc. Artist Fees 17.0% Artist fees paid to guest artists or subs, make up artist, videographer, choreographer, stage manager, rehearsal pianist, wardrobe etc. Publicity 10.8% Publicist for live engagements Teaching-Related 3.4% Costs related to educational partnership with a conservatory in 2010 Marketing 2.8% Flyers, conference fees, website Merchandise 2.5% The ensemble purchases their CDs at cost from the label to sell on the road Taxes Paid 1.7% Accounting and Finance 1.3% Production 1.2% Concert dress, rehearsal space, sheet music, hospitality Composer Commissions Paid 0.5% Commissions paid to composers to write new works for Ensemble D to perform and record. 6

34 CASE STUDY Contemporary Chamber Ensemble Expense Category Details Venue Commission on Merchandise 0.5% Each venue they perform typically takes a commission on CDs sold at shows Administrative and Overhead 0.5% Postage 0.4% Legal 0.2% The chart below shows income versus expenses on a year to year basis. The grey line indicates net income, which fluctuates from year to year but has steadily increased overall. Income v Expenses and Net, Teaching Record Royalty Session Work CD Sales on the Road Live Performance Touring Expenses Teaching Expenses Merch Expenses Overhead Production Expenses The column graph above indicates that the ensemble s income is net positive from year to year. The Ensemble released records in 2005, 2006, 2007, 2008 and These expenses are not included on these charts because the record label covered the expenses of the recording. With touring, the Ensemble assumes all of the risk and covers all their tour-related expenses, but the reward is exponentially higher. They have earned a modest record royalty from their catalogue of releases. Most of the financial benefit related to recording comes from CD sales on the road, which are bought at cost from their label and sold at a higher price, minus the venue commission, at 7

35 CASE STUDY Contemporary Chamber Ensemble the shows. While album sales themselves are not a significant source of income from year to year, recording regularly is a way for the Ensemble to stay relevant in the eyes of the public and presenters. Albums also provide additional marketing around their tours, and are an opportunity for radio airplay. Reflections on the Chamber Music Landscape While this Ensemble s financial picture is unique, there are a number of findings that help us understand the landscape for chamber music groups and classical performers. First, the environment for classical players is extremely competitive. This Contemporary Chamber Ensemble operates in the same general landscape as the Professional Orchestral Player. Thousands of highly skilled players graduate from conservatories and music schools every year. Many of them teach, pick up freelance work, and hope to secure a position in an established ensemble or orchestra. A few try to build solo careers, or break through with a new ensemble. While the rewards can be great for those who succeed as performers a comfortable middle-class life the environment is extremely competitive. The fact that this chamber music group has succeeded in such a demanding marketplace is a testament not only to their skills as performers, but also the efforts of their management and record label to promote their work. Second, there are a handful of key decision makers that can make or break a classical ensemble s career. Most of them are curators or presenters. These are the people who book concert halls, theaters and festivals, and curate subscription series that present a carefully chosen array of concert music experiences for discriminating audiences. Even for the largest presenters, unless they exclusively focus on classical chamber music, there will only be one or two slots allotted for chamber ensembles on their season s schedule. But, as we see above, payment for performances is the core revenue stream for this ensemble, and others like it. Ensembles who are lucky enough to obtain professional management will usually focus exclusively on influencing presenters and obtaining engagements on various concert series and festivals in the US and abroad. Recordings are not considered a source of income, but as a marketing tool to keep the artists in the minds of presenters. Recordings play an interesting role in classical music. First, it s a more straightforward process. Classical performers generally don t write their own material, so they don t need to spend weeks and months rehearsing or writing new pieces for a recording session. They are all such skilled players that a recording session is almost 8

36 CASE STUDY Contemporary Chamber Ensemble perfunctory. Second, unlike rock or pop bands, classical ensembles don t tour the album. Whereas a band might write and record a record one year and then tour on that record for months, the album cycle has less of an impact on the touring schedule for classical players. Third, the potential financial return on a recording is limited. A successful classical record today might sell a few thousand copies, maybe 10,000 or 20,000 if it s very well received, so income from traditional sales will be limited. In fact, for most artists, income from sales of CDs at their own shows exceeds sales royalties paid by a label. But, for chamber music groups, low sales are not a reason to quit recording. For chamber music groups, CDs are marketing tools that keep them on presenters radars. Teaching and mentoring is built into the fabric of classical music, and is considered by many artists to be part of a successful musician s contribution to the field. The case study notes that, in 2010, the Ensemble took on a new teaching role, formalizing some mentoring and educational work they had undertaken in previous years. But why would a busy ensemble carve time out of its tour schedule to teach? Teaching has a special role in classical music. Every classical artist even the most successful ones has taught. Some have teaching positions at conservatories or music schools, or give private lessons. Others conduct prestigious master classes. Most concert presenters ask classical artists to take time to do an educational activity in addition to the concert performance date. And, many music festivals have a mentoring or coaching program for younger artists and ensembles to learn from older more experienced and established artists and ensembles. The Ensemble s formalization of an educational curriculum marks their contribution to the field. While they earn some money from the endeavor, it also reflects a tradition in the classical world of established artists giving back to develop future players. This case study of a Contemporary Chamber Ensemble provides a glimpse into this world one where highly skilled performers compete for a relative handful of performance opportunities, and where sound recordings and past performances are used to influence powerful presenters. Lacking composition income and merchandise sales, their income is remarkably dependent on live performance fees. This is a difficult world to navigate, and one in which the economic pressures and competition never cease. By being highly skilled and strategic, this chamber music group is successfully carving out a livelihood. 9

37 Jazz Sideman-Bandleader PRIMARY GENRE Jazz The following is the breakdown of income for a Jazz Sideman-Bandleader, who writes, records and performs his own works and leads and participates in multiple ensembles and projects. As a jazz composer, he writes primarily for his own ensembles to perform and record, though he has also written and performed music for film. As a performer, he leads his own bands, but also spends significant time playing and recording as a sideman for other jazz composer-bandleaders. He is also an administrator, serving as an artistic consultant for arts organizations and road manager and organizer for tours and festivals on behalf of other musicians. He has a background that includes formal musical training, including a MA in composition. When he tours with his own ensembles they typically play jazz clubs, concert halls, large jazz festivals, and universities. He has released 20 records as a leader or co-leader, has appeared on over 57 recordings as a sideman, and has produced 12 recordings for an independent jazz label that he co-runs. He owns all of his publishing and sound recording copyrights. SECONDARY GENRES Contemporary Classical World ROLES Performer Composer Bandleader Sideman Administrator Consultant Teacher YEARS ACTIVE 1999 present TIME SPENT ON MUSIC 100% INCOME DERIVED FROM MUSIC 100% Jazz Sideman-Bandleader is his own manager. He books his own tours in the US, but has a booking agent in Europe. He has had a multi-year relationship with three different independent record labels, and is actively involved in running one of them. He is a member of Chamber Music America and BMI. He has no pension, and only a catastrophic plan for health insurance. This case study includes time series chart of income , revenue pies for each of the years , and an analysis of income versus expenses across time. It also includes analyses of income by role, and a breakdown of sideman payments.

38 CASE STUDY Jazz Sideman-Bandleader Gross Revenue This section reviews the overall gross revenue numbers for for Jazz Sideman- Bandleader, as well as definitions for each category. Gross Revenue, Sideman 36.7% Administrator 22.9% Live Performance 15.0% Grants 11.6% Teaching 10.5% Composing 2.1% Sound Recording 1.3% In this period, Jazz Sideman-Bandleader made 37% of his income from sideman work from live performances and recordings in US, Europe, Canada, Mexico, and South America with 81 different ensembles. Approximately 28% of his income is from projects he led or co-led: 15% from live performances, 1% from recordings, and 12% from five grants received during this period. As an administrator, he earned 15% of his income as a music project consultant to arts organizations and 8% as organizing tours or concerts for other musicians for whom he also performs. He earned 11% of his income during this period from teaching, which fluctuates from year to year. PRO royalties accounted for approximately 2% of his income, generated by radio airplay and performances in Europe, as well as broadcasts of a film for which he wrote the music. In the next section, we look at gross revenue by year. Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles. Case studies are one of three ways this project is looking at musician income. Learn about methodology at money.futureofmusic.org. 2

39 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2004 In 2004, Jazz Sideman-Bandleader performed as a sideman with 16 groups, playing 49 engagements, including three shows in Europe. He had two teaching engagements at universities, and one at an after school program. As a leader or co-leader he played five local shows. He appeared as a sideman on four recordings that were released in Revenue Category 2004 Details Sideman: Performance 62.0% 49 engagements with 16 groups, including 3 in Europe Teaching 35.8% Two teaching engagements at universities, one after school program PRO Royalties 2.0% Music written for a film in 2001, which was then broadcast on television Live Performance 0.3% 5 local engagements as a bandleader performing his own music 3

40 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2005 In 2005, he performed a total of 67 shows as a sideman with 18 groups, including ten in Europe and one in Canada. He had two teaching engagements at universities, one in a K-8 school, and one ad hoc opportunity. As a leader or coleader, he played 22 shows including three in Europe. He received income for three recording sessions two of them were advances from a record label or foundation for his own projects as a leader or co-leader and one was as a sideman. He worked as an administrator/organizer for another musician on tour, during which he was also a sideman. He appeared on one recording as a leader, and on three recordings as a sideman that were released on independent labels in Revenue Category 2005 Details Sideman: Performance 49.3% 67 engagements with 18 groups including 10 European and 1 Canadian Teaching 33.7% Sideman: Performance + Organizer 2 teaching engagements at universities, 1 after school program, 2 ad hoc teaching opportunities 8.0% 1 engagement with 1 artist Live Performance 5.2% 22 engagements, including 3 in Europe Recording 2.8% Advance for two recording projects Sideman: Recording 0.9% 1 recording session PRO Royalties 0.2% Music written for film in 2001, broadcast on television 4

41 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2006 In 2006, Jazz Sideman-Bandleader performed as a sideman with 16 groups, playing 32 engagements including four in Europe, plus a radio performance. He had four ad hoc teaching engagements. As a leader or co-leader, he played 14 domestic engagements. He received income for five recording sessions with three different groups as a sideman (at a similar rate to his sideman performance engagements none of which are at union scale). He appeared as a sideman on five recordings that were released on independent labels in Revenue Category 2006 Details Sideman: Performance 43.1% 32 engagements with 16 groups, including 4 in Europe, plus one radio performance. Sideman: Recording 25.7% 5 sessions with 3 groups Live Performance 19.6% 14 domestic engagements Teaching 11.5% 1 after school program, 3 ad hoc engagements PRO Royalties 0.2% Music written for film in Plus European radio airplay 5

42 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2007 In 2007, Jazz Sideman-Bandleader performed as a sideman with 16 groups, playing 40 shows including five in Europe and one in South America. As a leader or co-leader he played 20 domestic engagements. He received income for three recording sessions as a sideman. He took five engagements for two different musicians, working as an administrator-organizer in addition to being a sideman. He also took a temporary part-time engagement with an arts organization working on music projects. He appeared on three recordings as a leader, on six recordings as a sideman, and served as producer on three recordings that were released on independent labels in Revenue Category 2007 Details Sideman: Performance 42.1% 40 engagements with 16 groups, including 5 in Europe and 1 in South America Administrator 31.6% 1 engagement with arts organization working on music projects Live Performance 16.3% 20 domestic engagements Sideman: Performance + Organizer 4.9% 5 engagements for 2 different groups Sideman: Recording 2.6% 3 recording sessions CD Sales on the Road 1.8% As a leader PRO Royalties 0.7% Music written for a film in 2001, which was then broadcast on television 6

43 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2008 In 2008, Jazz Sideman-Bandleader performed as a sideman with 11 groups, playing 27 shows including eight in Europe and one in Mexico. As a leader or co-leader he played 22 engagements including four in Europe, and received a grant to support an ensemble he co-led. He earned money as a sideman for six recording sessions with six different ensembles. He took two engagements for two different musicians, working as an administrator-organizer in addition to being a sideman on tour. He had one teaching engagement at university. He also took a temporary part-time engagement with an arts organization working on music projects. He appeared on two recordings as a leader or co-leader, on five recordings as a sideman, and served as producer on two recordings that were released on independent labels in Revenue Category 2008 Details Administrator 37.5% Arts organization working on music projects Sideman: Performance 30.0% 27 engagements with 11 ensembles including 8 in Europe and 1 in Mexico Live Performance 11.4% 22 engagements, including 4 in Europe Sideman: Performance + Organizer 6.4% 2 projects Grant 5.5% For collaborative project (co-leader) Sideman: Recording 4.6% 6 recording sessions with 6 ensembles Teaching 3.6% University class CD Sales on the Road 0.8% In Europe PRO Royalties 0.3% Music written for a film in 2001, which was then broadcast on television; European radio 7

44 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2009 In 2009, Jazz Sideman-Bandleader performed as a sideman with 16 groups in 24 engagements including three in Europe. As a leader or co-leader he played 27 engagements including a European tour, and received the first part of a grant to support a tour and recording of one of the ensembles he leads. He received income for two recording sessions as a sideman and two as a leader. He had one teaching engagement at a university, and one at a festival in Canada. He also took two temporary part-time engagements with arts organizations working on music projects. He appeared on four recordings as a leader or co-leader, on three recordings as a sideman, and as producer on three recordings that were released on independent labels in Revenue Category 2009 Details Sideman: Performance 31.7% 24 engagements with 16 ensembles including 3 European dates Live Performance 17.1% 27 engagements including a European tour Administrator 14.0% 2 engagements with arts organizations working on music projects Grant 13.3% For recording project as a leader Teaching 12.4% 1 university engagement, 1 festival-related engagement in Canada Sound Recording 4.1% 2 projects PRO Royalties 4.0% UK radio, television special Sideman: Recording 3.3% 2 recording sessions 8

45 CASE STUDY Jazz Sideman-Bandleader Gross Revenue, 2010 In 2010, Jazz Sideman-Bandleader performed as a sideman with 12 groups, playing 20 engagements including two in Europe and two in Canada. As a leader or co-leader he played 18 engagements including two in Europe and one in Canada, and received two new grants for projects he led. He received income for six recording sessions as a sideman. He had one teaching engagement at a university. He also took one temporary part-time engagement with an arts organizations working on music projects. He appeared on three recordings as a leader or co-leader, on two recordings as a sideman, and as producer on two recordings that were released on independent labels in Revenue Category 2010 Details Grant 34.1% 3 grants for 3 different projects as a leader Live Performance 22.8% 18 engagements including 2 in Europe and 2 in Canada Sideman: Performance + Organizer 20.3% 3 Engagements with the same artist Sideman: Performance 10.5% 20 engagements with 12 ensembles including 6 in Europe PRO Royalties 4.6% European radio, European live Performances Teaching 4.5% 1 engagement with university Sideman: recording 1.9% 6 recording sessions Administrator 1.3% 1 engagement with arts organization for music project 9

46 CASE STUDY Jazz Sideman-Bandleader Income vs Expenses The pie charts below show aggregate gross income, and the related expenses, for Gross Income, Gross Expenses, Touring Expense Paying Sidemen Overhead Publicity Equipment Recording Expense Cost of Goods Sold The pie chart for expenses has been scaled visually to represent that expenses consume about 50% of gross income. The table below provides details about expenses from Expense Category Details Touring Expense 41.0% Transportation, hotel, per diem, agents fees Sidemen 33.2% Artist fees paid to sidemen Overhead 8.1% Office expenses, utilities, supplies, insurance, taxes and licenses, memberships, legal and professional Publicity and Marketing 5.2% Publicist, advertising, mailing costs Production 6.1% Equipment and repair, Arrangement and copyist, research. Recording Expenses 4.6% Recording studio, rehearsal space Merch Expense 1.9% CDs to sell on the road 10

47 CASE STUDY Jazz Sideman-Bandleader The chart below shows income versus expenses on a year to year basis. The grey line indicates net income from year to year. Income v Expenses and Net, Recording Income Composer Teaching Bandleader Administrator Sideman Touring Expense Paying Sidemen Overhead Publicity Equipment Recording Expense The column graph above indicates a net income that fluctuates from year to year, with the lowest net income point at 2006 and the highest net income point at While the income related to his projects as a leader has increased steadily from , the requisite expenses have also grown. The income for Sideman, Administration and Teaching activities that do not have significant expenses attached subsidize his bandleader and composer activities in all years but Income by Role Income from Sideman Work The column graph above shows that Jazz Sideman s income falls into six general buckets: sideman work, administrator, bandleader, teacher, composer and income from sound recordings. Sideman: Performance 68.6% Sideman: Recording 9.0% Below and to the right are breakouts of of his income by role, from

48 CASE STUDY Jazz Sideman-Bandleader Income by Role, Bandleader 27.9% Administrator 22.9% Teacher 10.5% Sideman 36.7% Composer 2.1% Income as Administrator Income as Bandleader Administrator 64.8% Sideman: Performer + Organizer 35.1% Live Perform 53.8% Grants 41.5% Recording Adv. 3.1% CD Sales on Road 1.6% Income as Teacher Income as Composer 12

49 CASE STUDY Jazz Sideman-Bandleader By isolating his income by role, we can see how his activity in each role is sometimes determined by his available time. For example, more bandleader time means fewer sideman opportunities. Each role impacts the other. His composer and bandleader gross income has been steadily growing. The increase in the bandleader role gross income suggests an increased time commitment to his own projects - more time on the road as a leader. His sideman role provides the most consistent income. Gross income went gone down a little in 2009 and reflecting that he has less time to play for other bandleaders because of the increased time investment in his own projects. His teaching and admininstrator roles fill in the gaps. When he has a lighter schedule, or if the opportunity is particularly lucrative and he can make the time, he will say yes to teaching and administrative opportunities. The Jazz Sideman-Bandleader actively pursues opportunities as a bandleader, has long term collaborations as a sideman, and lets the other roles and relationships fill in as his remaining time allows (or as his income needs require). About Sideman Work Artist s sideman gigs are almost all obtained through word of mouth and reputation. There is no audition process. Often people specifically seek him out because they want to work with him. The financial arrangement is almost always a flat fee buyout for a studio or live situation. He does not retain any of copyrights generated by this sideman work, and these gigs are not under union contracts. As a bandleader, he hires sidemen, who typically get paid more than he does per gig. He raises money to pay his sidemen through guarantees from clubs or festivals, a cut of the door, personal investment, and occasionally grant support of some kind. Grant Expenses, 2010 Anatomy of a Grant In 2010, grants accounted for approximately 35% of Jazz Sideman s gross income. The following chart details how the money for all three of his 2010 grants was spent. Because all three were restricted grants that dictated how the money was to be used, which is not unusual for a foundation grant, and because all three were for ensembles that he leads, he spent 99% on expenses and took home 1% of the gross grant amount. This is typical for bandleaders; a large portion of their gross income goes to expenses. It s also worth noting that foundation grants are extremely competitive, and are not a guaranteed source of income by any means for an artist. 13

50 CASE STUDY Jazz Sideman-Bandleader Sideman Relationships over Time From 2004 to 2010, Jazz Sideman-Bandleader played 369 engagements with 81 different ensembles as a sideman. Fortynine of the engagements were one-time sideman gigs. The remaining 320 engagements were spread out amongst 32 ensembles, with 65% of the engagements coming from six bandleaders. Sideman Engagements by Group The two stacked area charts provide a visual representation of the number of sideman engagements he took on from and his income from those gigs. Each color represents a different bandleader or ensemble. We ve chosen the area chart format so you can see the relationships between Jazz Sideman and various bandleaders. A handful stay strong over time, with at least one or two gigs every year. Others might peter out after a couple years of activity, or are one only occasional shows. Number of sideman gigs each year Sideman Income by Group Over the period of , Jazz Sideman-Bandleader took on fewer sideman engagements in general, but he maintains a steady relationship with three or four bandleaders. Looking at income by group, 46% of his sideman wages comes from one bandleader. Though he is playing about a third the number of sidemen engagements in 2010 as he was in 2004, his total income for sideman work is 15% greater in 2010 than it was in

51 CASE STUDY Jazz Sideman-Bandleader Wages for Sideman Work by Territory This chart illustrates the average earnings for Jazz Sideman-Bandleader s sideman performance engagements in the US and outside the US. Non-US includes Canada, Mexico, South America, Europe and UK. The non-us venues ranged from major jazz festivals to theaters and concert halls and, occasionally, night clubs. In the US, most of the performances were in night clubs, theaters, and schools. Sideman Wages by Territory His sideman rate for US gigs has steadily risen over 8 years; his average rate in 2011 is more than 3 times his average rate in The non-us sideman rate varies from year to year, as the wages fluctuate depending on what kind of territories he is traveling to, what kind of venues he plays, and which bandleader he is playing with. Some bandleaders pay higher wages than others. On average over eight years, Jazz Sideman-Bandleader s sideman rate when traveling outside the US is approximately three times greater than what he makes in the US. That isn t necessarily to say that US gigs are always lower paying as a rule. Sometimes it may be easy and worthwhile for him to play a poorly paying gig at home that he would never consider flying to Europe to do. PRO Royalties by Territory This chart looks at the breakdown of Jazz Sideman s PRO income from PRO Royalties by Territory Practically all of the US income comes from the TV broadcast of the 2001 film for which Jazz Sideman-Bandleader composed the music, with the remaining 0.6% of his US earnings coming from Mobile/Internet/Other. The UK money is nearly all radio use, for one BBC radio special. 83% of the European money comes from General money from Finland, all earned in Countries 15

52 CASE STUDY Jazz Sideman-Bandleader included in Other category include Australia and Israel (radio airplay), and broadcast of the 2001 film for which Jazz Sideman-Bandleader composed the music in Japan, Peru, Venezuela, Canada and Brazil. Reflections on the Nature of Sideman Work One thing that is clear from this case study; the careers of sidemen like this artist involve maintaining dozens of relationships with bandleaders and collaborators. It demands flexibility, personal autonomy and being very organized, not only for scheduling gigs, but properly documenting his work so he s paid for performances and studio sessions. It also requires the artist to be a master performer and a willing collaborator. This is a remarkable skill set to have; someone who can pay attention to details, logistics and scheduling, but also have the performance and compositional skills to make it as a full time jazz musician. Clearly, his professional academic training in composition is a part of this mix, but years of sideman work have sharpened his playing, and widened his network of contacts for future gigs. What we learn from this case study, in general, is that sideman work has its own pros and cons. One of the cons is the constant hustle. The fact that this Jazz Sideman has played with eighty-one different ensembles in the past six years demonstrates great ability, but also a need to take on work in a piecemeal fashion with, perhaps, only three to six months of guaranteed work lined up at any time. The advantages are that sidemen are always paid. In fact, sidemen are often paid more than the bandleader. Sidemen are also immune to the risks and costs of touring or recording; their travel is covered and they simply follow the planned tour itinerary, or show up at the studio on time. Then, there s the creative tradeoff. Sidemen are hired to support the bandleader s vision, to follow their musical lead. While there is certainly room for improvisation and collaboration whether live or in the studio sidemen are paid for their time and expertise, thus they generally waive any rights to compositional or sound recording credits. While this, again, shields them from the risks associated with any artistic endeavor, it also means they don t reap the rewards related to the sale or licensing of works on which they performed. In this artist s case, we can see a conscious shift towards more bandleader work starting in While his gross income increased, so did his expenses as he became responsible for tour costs and paying sidemen. But this was a calculated tradeoff. Indeed, when we asked him about his time allocation, Jazz Sideman-Bandleader affirmed he would prefer to do less teaching and administration work, and more playing and writing. But he made an important 16

53 CASE STUDY Jazz Sideman-Bandleader distinction that the simple increased activity of playing and writing was not enough. He is dedicated to a very particular kind of jazz, one that is not widely known or well supported. Because he is devoted to this kind of jazz, he is willing to take on the administrative work, or the pro bono production work, or run a record label without pay, or help with a tour, because doing those things enable him to play the music he wants to play. Even though the artist featured in this case study plays a particular type of jazz, this is the career pattern experienced by many professional sidemen or session players. Being a session player requires first and foremost being a great player. But it also requires excellent people skills, organization, flexibility, and a lifestyle that allows them to say yes to the right opportunities. In return, session musicians are guaranteed payments for their time on the road or in the studio. It may take hundreds of gigs with dozens of ensembles to make it happen, but sidemen and session players can knit together a career as a full time musician. 17

54 Professional Orchestra Player The following case study looks at ten years of income and expenses for a young professional orchestra player. He is currently a section player in one of the top orchestras in the United States. This is his third salaried position with an orchestra, though in years past he has also earned significant income from freelance positions with a variety of professional orchestras and ensembles performing in the US and internationally. He has also earned some money doing session work in the studio with a range of artists, and from teaching and master class performances, though these sources have been dwarfed in recent years by his income as a salaried player. The artist is professionally trained and holds a conservatory masters degree in his field. He is a member of the AFM. He has health insurance and a pension provided as benefits of his current position. He does not compose and does not yet participate in sound recording revenue streams, which we discuss further in this report. PRIMARY GENRE Classical ROLES Performer Freelance player: live Freelance player: studio Teacher YEARS ACTIVE 2000 present TIME SPENT ON MUSIC 100% INCOME DERIVED FROM MUSIC 100% This case study includes a time series chart of income , revenue pies for each of the years , and an analysis of income versus expenses across time.

55 CASE STUDY Professional Orchestra Player Gross Revenue This section reviews the overall gross revenue numbers for , as well as definitions for each category. Gross Revenue, Salary: orchestra 64.8% Freelance: live 27.3% Teaching 3.1% Freelance: studio 1.9% Prize money 1.8% Recording Income 0.8% Radio royalties 0.3% The artist completed his undergraduate work in 2003, and received his conservatory graduate degree in While in school ( ), the majority of his income came from freelance performances with a variety of ensembles and regional orchestras. He also participated in and won a number of performance competitions, netting him some prize money. He also earned a bit of money from teaching. In 2004, he retained his first salaried position; a summerlong placement with a regional orchestra. He repeated that work in the summer of 2005 with the same company. In 2006, he began his first full-time position with a major orchestra. From 2007 on, the artist s income begins to shift towards that of a professional orchestra player; a salaried position that is supplemented by freelance gigs, studio work, teaching and honoraria. In the next section, we will look at gross revenue by year from 2007 to Graphs do not have a Y-axis dollar value in order to observe the conditions of our privacy policy. In addition, graphs and visuals in case studies are not comparable within or between case studies. Information detailed in case studies is based on data received directly from the artist or their authorized representative. The data analysis and lessons learned here are based on individual experience, and do not necessarily reflect the experiences of all musicians in genre or roles. Case studies are one of three ways this project is looking at musician income. Learn about methodology at money.futureofmusic.org. 2

56 CASE STUDY Professional Orchestra Player Gross Revenue, 2007 In 2006, the artist was hired as a section player in a professional orchestra. His income in 2007 reflects this, with 73 percent being derived from this salaried position. He also continued to do some freelance work with smaller orchestras, ensembles and chamber music groups, which accounted for 24 percent of his income. Two percent of his income came from teaching private lessons to a handful of students. Revenue Category 2007 Details Salary: orchestra 73.2% Salaried position with an orchestra. Payment includes rehearsals and performances Freelance: live 24.5% Payments for specific performances with a variety of ensembles, orchestras and chamber groups. Also a few club gigs and weddings Teaching 2.3% Private lessons 3

57 CASE STUDY Professional Orchestra Player Gross Revenue, 2008 In 2008, the artist ended his salaried position with one major orchestra, and he began auditioning for others. He continued to perform, touring Europe with a number of groups and freelancing with other professional orchestras. He also earned some radio royalties, which were passed through to him from the orchestra he was part of from Revenue Category 2008 Details Freelance: live 61.4% Payments for specific performances with a variety of ensembles, orchestras and chamber groups. Also a few club gigs and weddings. Salary: orchestra 35.5% Salaried position with an orchestra. Payment includes rehearsals and performances. Radio royalties 2.9% From performances with orchestra. Freelance: studio 0.2% Payments for studio session work. 4

58 CASE STUDY Professional Orchestra Player Gross Revenue, 2009 In 2009, the artist was hired as a section player in one of the top orchestras in the country. As a result, the majority of his income 74 percent was derived from this salaried position. He continued with some freelance live performances with regional orchestras and ensembles. He also did some freelance studio work, contributing to an artist s recording session and, separately, to some recordings for film and TV. In each case, he was paid for his time and skill; he did not receive any composition credits or any points on future record sales or synchronizations. Revenue Category 2009 Details Salary: orchestra 74.9% Salaried position with an orchestra. Payment includes rehearsals and performances. Freelance: live 17.9% Freelance: studio 7.1% Payments for specific performances with a variety of ensembles, orchestras and chamber groups. Also a few club gigs and weddings. Payments for in-studio performances for other artists sound recordings or soundtracks. 5

59 CASE STUDY Professional Orchestra Player Gross Revenue, 2010 The artist s income in 2010 continued to reflect his position as a full time salaried player. His freelance gigs with non-full time orchestras and ensembles also continued, but made up a much smaller piece of his annual revenue. The remainder of his income in 2010 came from a bit of work in the studio, and from teaching private lessons to two students. Revenue Category 2010 Details Salary: orchestra 86.4% Salaried position with an orchestra. Payment includes rehearsals and performances. Freelance: live 9.1% Payments for specific performances with a variety of ensembles, orchestras and chamber groups. Also a few club gigs and weddings. Teaching 3.2% Private lessons 2.9%, honoraria 0.3% Freelance: studio 1.2% AFM + AFTRA IP Fund 0.1% Payments for in-studio performances for other artists sound recordings or soundtracks. Distributes money to non-featured musicians (including orchestra players) based on royalties accrued in foreign territories 6

60 CASE STUDY Professional Orchestra Player Gross Revenue, 2011 The artist s income in 2011 continued to be dominated by his role as a salaried player. This was supplemented by a handful of freelance gigs both live and in the studio and some residual royalties paid through the AFM + AFTRA Intellectual Property Fund. Revenue Category 2011 Details Salary: orchestra 86.3% Freelance: live 4.9% Salaried position with an orchestra. Payment includes rehearsals and performances. Payments for specific performances with a variety of ensembles, orchestras and chamber groups. Also a few club gigs and weddings. Teaching 4.3% Private lessons, and honoraria for master classes and in-school performances AFM + AFTRA IP Fund 3.7% Freelance: studio 0.8% Distributes money to non-featured musicians (including orchestra players) based on royalties accrued in foreign territories Payments for in-studio performances for other artists sound recordings or soundtracks. 7

61 CASE STUDY Professional Orchestra Player Income v Expenses The pie charts below show aggregate gross income, and the related expenses for Gross Income, Gross Expenses, Musical Equipment Education Travel Expense Rehearsal Expenses Performance Expenses Other players/accompany Member Dues Overhead The pie chart for expenses has been scaled visually to represent that expenses consume about 25% of gross income. The table below provides details about expenses from Expense Category Details Musical Equipment 48.3% Purchase and upkeep of concert level musical instruments Education 22.1% Education costs and student loan payments Travel Expense 17.3% Work-related travel (usually reimbursed for these costs) Rehearsal Expenses 3.2% Purchasing sheet music and recorded music to learn new pieces Performance Expenses 2.7% Stage clothing Other players/accompanists 2.5% Paying other players for freelance gigs, accompanists for auditions, etc Member Dues 2.4% AFM Overhead 1.5% Application fees for competitions, auditions, minimal printing and promotional expenses 8

62 CASE STUDY Professional Orchestra Player The chart below shows income versus expenses on a year to year basis. The grey line indicates net income from year to year. Income v Expenses and Net, Radio royalties Recording Income Prize money Freelance: studio Teaching Freelance: live Salary: orchestra Musical Equipment Education Travel Expense Rehearsal Expenses What is really interesting about this artist and with professional orchestra players in general is the relationship between income and expenses. For this artist, there are only two significant costs in this time span: his education (including student loans, which were paid off in 2009), and his instruments. These are unavoidable expenses; it is highly unlikely that he would have a position in a major orchestra without an undergraduate and a conservatory degree (not to mention years of practice and performance). And, his job requires that he play on the best instruments, which are not only expensive, but also require insurance, upkeep, and special care while traveling. Clearly, his investment in career development education, freelance work, teaching, touring has served him well. As of late 2009, he has been in a position with an orchestra that provides a salary, health insurance and pension payments, but offers him enough flexibility that he can pick up the odd freelance gig or studio session. With student loans paid off and work-related 9