Mumbai witnessed The Indian Music Convention 2018 on August 22, 2018. As a result, the conference theme ‘Vision 2022’ brought all the stakeholders of music industry under one roof. In addition, the plan was to create a road map for India to grow to become one of the the top 10 markets of the world. International Federation of the Phonographic Industry (IFPI) determines the business ranks in music. On the other hand, Indian Music Industry has seen 25% growth for two consecutive years.
IMI endeavors to make Dialogue: The Indian Music Convention, a yearly event, says Blaise Fernandes, President & CEO, IMI.
The first achievement was remarkable. It was the agreement between the publisher, the label & the creative community. Second, IMI gave separate mandates & set of rights to these societies or bodies to work on. In addition, IMI inducted a host of new members on the boards of these societies. IMI also welcomed Zee Music Company on board.
Significance & Issues
IMI addressed piracy as one of the biggest issues. P2P sharing apps and websites based in Pakistan and India are fuel to the fire. Their stats recommend a loss of almost Rs 1200-1500 Cr every year. IMI revealed plans of seeking help from Ministry of Commerce to minimize loses.
My plea to the ministry (MoC&I) is that we (the creative industry) invest in talent and artists. We take the risks, keeping the culture of music alive. It is we, who need protection.” says Sridhar Subramaniam, CEO Sony Music India & Middle East, Chairman, IMI
The other issue raised was about undermining the power of music industry. In other words, the industry alone is merely an Rs 850 Cr industry. However, it empowers giant industries like Radio, Television, Live music and equipment industry. As a matter of fact, Radio industry is a Rs 3000-4000 Cr industry & Television generates Rs 25,000 Cr alone. In addition, live music and equipment generates Rs 2,000 Cr every year. While music industry powers these industries, it itself gets only 2-4% of the total revenue generated.
Streaming apps and the improvements in the digital infrastructure of the country have changed the way the country consumes music. Jio-Saavn venture holds a worth of almost Rs 7,000 Cr and will exist for at least 4 years. Radio Mirchi holds a value of Rs 3,300 Cr whereas Saregama is a Rs 1,000 Cr business entity. However, the music industry still has a lot to tackle.
There is a digital music explosion underway and the inaugural Dialogue 2018 is only the beginning of the discourse on how can the Indian music industry ride this $17.3 billion wave, also to identify the headwinds namely Price Regulation & Controls, Fair Value to creators, Value Gap, Digital Piracy a few to name and figure out how
to tackle these headwinds. – Blaise Fernandes, President and CEO, IMI
Sridhar suggested that a credible music chart is in the pipeline as well. January 2019 will witness an official music chart that people can rely on.
With all the plans and efforts directed towards a common goal, IMI’s plan of bringing India in the top 10 biggest music markets in the world by 2022 looks promising. Introduction of charts, new management, an improved subscription-based economy, and tougher anti-piracy measures taken by the government will all contribute to ending piracy in the country and subsequently to the growth of the industry.