The value of Indie Music in Canada takes on many forms; it has entertainment value, intellectual and creative value, even therapeutic value. But what is its economic value? The Canadian Independent Music Association has does a lot of work to figure that out, and today they're ready to share what they've discovered.
CIMA has now released a groundbreaking report that tells Canada what those in our country's indie music scene already knows: it's not just a scene, it's an industry, and its one that contributes significantly to the national economy. Sound Analysis, An Examination of the Canadian Independent Music Industry, quantifies the true economic impact of the independent music sector. The value of the report is the truth that it reveals: indue music is a job-creating industry that supports more than 13,000 jobs annually, pays more than $93 million in taxes to the federal and provincial governments, and provides a positive balance and net gain to the provincial and national economies.
“The independent, Canadian-owned music industry is a dynamic, entrepreneurial community of artists and small businesses comprising labels, managers, publishers, promoters, studios, venues and more,” says CIMA President Stuart Johnston. “And while the music they make and perform is indeed the lifeblood of our communities, this report also shows that it helps drive our economy forward in truly meaningful ways.”
Focusing specifically on the Canadian-owned , English-language independent music industry, the report defines industry structure, sources of revenues and expenses, industry and artist activities, salaries and wages, employment and future trends and challenges. Some key highlights from Sound Analysis are:
· In total, the industry generated approximately $292 million in revenues in 2011, and contributed more than $300 million in GDP to the Canadian economy
· Artists generated another $79.4 million in revenues
· Almost half of the music firms in Canada – 46% – are sole proprietorships
· More than 13,400 Canadians are employed in the industry, 67% of which are artists
· 60% of the industry earns $50,000 a year or less in gross revenues, while the top 10% earn more than $500,000 annually
· Approximately 73% of these revenues are earned in Canada
· Employees of music companies earned an average $22,250 in wages in 2011
· Individual artists earned an average of $7,228 per year from music-related activities in 2011, though they only spent 29 hours per week pursuing such activities
Food for thought, or a real instrument of change and progress in a growing industry? The impact of CIMA’s findings have yet to be known, but this knowledge is definitely going to get a lot of people in and around the Canadian Indie Music industry thinking.