Wednesday, January 02, 2008

CRB's Salamon: Country Faces A Challenging Marketplace

Hopefully, you already subscribe to the Country Radio Seminar update emails, but if not.. here's a link to a must read.

* Radio revenues fell 5% in the third quarter of 2007 to $5.5 billion, the worst quarterly decline in years. The loss is due entirely to decreases in local revenue--which fell 5% to $3.7 billion in the third quarter--and national, down 8% to $1.1 billion.

* 2007 album sales are predicted to be 20% less than last year. Joe Galante, Sony BMG Nashville Chairman says “This year will be the worst year for Country since Soundscan started tracking the format in 1992."

* The song business fared better in 2007. In March the performance rights organization ASCAP announced that it has record revenues of $785 million for the fiscal year 2006, representing a 5% growth, with royalty payments to its members in the amount of $680 million. In September BMI reported that it would distribute more than $732 million in royalties for its 2006-2007 fiscal year, with revenues of more the $839 million, which is an eight percent increase over the prior fiscal year.

* Touring likewise had a successful year, especially Country’s major artists.

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