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Digital Music Process Flowchart

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Hannah Gee

on 24 January 2013

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Transcript of Digital Music Process Flowchart

Label Masters Production Marketing Promotion Release Distribution Retail Public Composer/
Songwriter Artist Publisher VPL PPL Video Performance Ltd Phonographic Performance Limited MCPS PRS Sheet Music Clubs/Live SYNC PPD Radio Television 8% Physical sale
8.5% Digital sale
(Ann Harrison, 2011) More commonly relevant to classical music, it is the publisher that has the right to issue copies for a song to be reproduced in printed from as sheet music.
This includes the fee for orchestral scores with individual instrument 'parts'. This could be a flat rate as much as £30-40,000 for its hire.
The publisher would presumably charge the merchandiser either a flat fee or a royalty per unit sold and the songwriter ought to be entitled to a share of such income.
(Ann Harrison, 2011) FOR MUSIC PRS for Music is the brand name for the MCPS-PRS Alliance. PRS (Performing Right Society) licenses and collects royalties when music is played and performed. This includes live performance, radio play etc.
For more information see: http://www.prsformusic.com MCPS (Mechanical Copyright Protection Society) licenses and collects royalties when music is reproduced. Both societies work together efficiently to minimize operating costs for members. The Label starts the process by signing the Artist.
Within the contract signed between both parties, the Label acquires the copyrights of the recordings from the artist in return of the use of studios, professional engineers etc. Est. 1934 Publisher owns the copyrights of the SONG in return for monitoring the royalty flow and collecting royalties. The publisher is normally hired by the Songwriter/Composer. Publisher makes money through commission of royalties. Traditional example: 30/70 split of royalties in the composer/songwriter's favour.
(Ann Harrison) The PRS rules require that at least six-twelfths (i.e. 50%) of the performing income is paid to the songwriter direct. This money does not therefore go through the publisher's hands to be used to recoup any advances but goes direct to the songwriter. Songwriter/Composer get royalties from PRS/MCPS when a song is used or played because they own the lyrics. They may choose to deal with PRS/MCPS directly and receive 100% of royalty flow, or interact with a publishing company, which will in return for approximately 30%-50% of royalties and ownership of the song, will deal with collection of royalties, licenses for use in print, films and physical and digital records. Songwriter/Composer Publisher Gives the
Administration Rights License to record song License to print sheet music License to use in films/adverts Gives license to song users Gives license to song users Gives license to
song users They take the Publisher's Share of royalties anything from 30% to 50% then pass the remaining royalties to the Songwriter/Composer.
(Donald Passman p254-255) 50/50 of SYNC royalties is split between the Publisher and the Label because the publisher owns the copyright of the song and the Label owns the copyright of the recording. The user must obtain a license from PRS for the use of the music, which price will range given the length of music. A percentage will be paid by the music user to PRS as a royalty fee, which will be forwarded to the the Publisher and Label. (Passman, 2008) Mastering and Production stage includes the production of: Artwork Marketing Designing Campaigns and researching your Target Audience Types: Online/TV/Radio Licensing Registering with PPL/VPL in order to collect royalties Gaining permission to use an existing song through MCPS Encoding Applying Metadata for digital music and producing the correct digital formats to sell music Marketing and Promotion stage includes the production of: Digital Operations Creative/Video Press Applying Metadata for digital music and producing the correct digital formats to sell music The income comes largely from licenses taken out by broadcasters, shops, pubs and so on. (Ann Harrison, 2011)
Business must gain a license to be able to play music in revenues. these licenses range from a 'blanket' license regularly used by large establishments to one off licenses. PRS collect these royalties from the business and distribute to the publisher and songwriter. Similar to Live and Clubs, Radio and Television have to obtain licenses for the use of music. Most requesting an annual 'blanket' license. Again PRS collect the royalties and split between the Publisher and the Songwriter. Aggregators - collect music from independent artist and Record Labels and distribute to Digital Retailers DSP's Streaming/Subscription - releasing music on streaming services such as Spotify to allow consumers to heard music for free. The royalty rate of revenue is negotiated by PRS for Music but usually is around 10.5% with a per stream minimum of 0.085p. Providers - iTunes for example who sell a song for £0.99 take 30% service fee from the sale of the product. The record label possibly then takes a further 25% in packaging fees and then give approx. 15% to the artist. Television Channels have to gain permission and licenses via VPL. In return VPL collects royalties from physical and digital download sales and then delegates payments to the appropriate parties. Public Venues gain licenses for song recording use from PPL. In return PPL collect and delegate royalties to the Record Label and the Artist http://www.ppluk.com/
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