WISH YOU WERE HERE - UK Music

WISH YOUWERE HERE

MUSIC TOUR ISM ’S CONTR IBUT ION

TO THE UK ECONOMY

OCTOBER 20 13

CONTENTS

1IFPI Digital Music Report 2013

Forewords

– Jo Dipple, Chief Executive, UK Music

– Ed Vaizey MP, Minister for Culture, Communication and Creative Industries

– Sandie Dawe, Chief Executive, VisitBritain

– Paul Latham, Chief Operating Officer,Live Nation International Music

Introduction

Music Tourism in Perspective

Music Tourism in the UK

Music Tourism in the Nations and Regions

UK Music Recommendation

Methodology

Annex: Tables

6

8

9

10

12

14

35

50

64

67

82

ACKNOWLEDGEMENTS

Throughout this project we have receivedsupport from a wide range of individuals andorganisations that have provided datasetsessential to this analysis. These include:

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We have also enjoyed fruitful discussionswith members of UK Music’s Live MusicGroup which have aided us in our analysis.UK Music’s Live Music Group is comprisedof representatives from the followingorganisations:

The Association of Independent Festivals The Association of Festival OrganisersConcert Promoters AssociationAgents AssociationInternational Live Music ConferenceThe National Arenas AssociationProduction Services AssociationMusicians UnionThe Music Managers Forum

The analysis was carried out by OxfordEconomics.

In addition, we are hugely grateful forthe support offered by Professor MartinCloonan of the University of Glasgow andProfessor Simon Frith of the Universityof Edinburgh who kindly acted as peerreviewers during the project. Their advice isreflected in the final methodologicalapproach outlined in this report.

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4 WISH YOUWERE HERE

1 IFPI Digital Music Report 2013

AEG LiveThe Association of Independent Festivals (AIF)Symphony Hall, Birmingham Arts & Festivals Management, De Montfort University,(with particular thanks to Richard Fletcher)

Glasgow Concert HallsLive Nation The National Arenas Association (NAA)PRS for Music (The Performing Rights Society)

Sage GatesheadSee TicketsTicket FactoryTicketmaster

WISH YOUWERE HERE

5

David Cameron Photograph by Alessandro Serranò.Couple in field. Photograph by Ghislain & Marie David de Lossy / cultura / Corbis.

MUSIC TOURISM IN NUMBERS

Prime Minister Rt. Hon. David Cameron MP

[Music] is an industry that is an international success story and we should go on backing it. It’s not just the exports that [it] providesfor this country. It’s not just the people [it] employs in this country. It’s the massive and growing music tourism, people coming to Britain to listen to great acts.

£2.2 BILLION

£1.3 BILLION

6.5 MILLION

41%

£657

24,251

Total direct and indirect spend generated by music tourism in 2012

Amount spent directlyby music tourists

Number of music tourists

Proportion of live music audiences that are music tourists

Average spend by overseas music tourists while in the UK

Number of full time jobs sustainedby music tourism

Earlier this year I was in the back of a taxiheading up to Abbey Road Studios. Thecabbie and I got chatting about the Beatles,as you do, and just before he dropped meoff he pointed to a dozen or so youngstersmarching across the zebra crossing.

They crossed in front, with us patientlywaiting in the idling cab, they were four ata time, taking pictures, laughing and joking.

People emulating The Beatles on theirAbbey Road album sleeve cover hasbecome another tick on the tourist listwhen people visit London, like going to theTower of London or taking a trip on the Eye.

This country is full of similar destinationspots for the musically inclined traveller.

Outside of London, in Liverpool, Manchesterand Glasgow, the effects of music tourismare just as pronounced. Tourists still flockto the Salford Lads Club to pay homage toThe Smiths; many take the trip downManchester’s Whitworth Street to marvelat where the Hacienda Club kick-starteda whole global dance movement andthe second summer of love.

In this research we’re not even countingthese people. This is something that wecould look at in future reports, but I thinkit’s important to think about theselandmarks in this report to provide morecontext. These are all strands of the UK’smusical landscape of which we should beincredibly proud. These landmarks are partof our rich cultural heritage which enhanceour offering to visitors to the UK – musicalheritage is part of their journey to the UK.

PRS for Music established the HeritageAward scheme in 2009 to recogniseimportant live music venues where iconicbands and songwriters performed.

Earlier this year, a plaque was unveiledat Imperial College to commemorate where

Queen performed their first concert inLondon on 18 July 1970.

Previous awardees include Blur, EltonJohn, Soul II Soul, UB40, Snow Patrol,Faithless, James, Jethro Tull, Dire Straitsand Supergrass.

Britain attracts thousands of touristsbecause of our music history. But we alsoattract thousands because we create someof the best music in the world today.

That means every year Britain is puttingon some of the most exciting gigs,concerts and events in the world in a myriadof world class and renowned venues andfestival sites.

Last year, I was at Heaton Park with225,000 Stone Roses fans as they kickedoff their resurrection in Manchester. In themud and the rain, singing along toIan Brown, it was clear that not all thesefans were from Manchester - or even theUK. They were musical tourists.

Checkout brilliant venues and festivals likethe Royal Albert Hall, the Roundhouse,Glastonbury and Hyde Park.

This Report details the specificcontribution that live music eventsmake to tourism.

However, we know that the impact ofmusic on tourism can be broader, creatinga direct economic contribution to citiesand regions. Music has the capacity tocreate a mutually reinforcing relationshipwith other tourist related and culturalactivities in an area.

A packed gig, concert and festivalschedule feeding into a strong musicalculture in an area can provide manyvaluable opportunities for local councilsand businesses to brand their locale.

FOREWORD

6 WISH YOUWERE HERE


PRS for Music heritage award presented to Queen at

Imperial College London, L-R Roger Taylor, PRS Chair,

Guy Fletcher, Brian May. Photograpy by Warren King

Jo Dipple, Ghostpoet and Steve Lamacq at the AIMAwards 2013, presenting

an award for Best Independent Festival.

Photography by James Arnold

Jo DippleChief Executive

UK Music

This has the obvious effect of generatingwealth and maximising economic activitywith the attendant regenerative andgrowth potential.

And with thousands of music touristsflocking into an area, it has the knock oneffect of providing a vibrant culture – forboth visitors and locals.

British live music’s primary job is to puton great shows which attract thousandsof music fans.

The by-product of that is to encouragemore of them to travel around Britain andalso for more tourists to visit this countryand help VisitBritain achieve its goal ofattracting another nine million moretourists to these shores by 2020.

UK Music and VisitBritain are committedto working with Government and theiragencies to design a strategy to maintainand grow our advantage in music tourism.

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Britain attracts thousands of tourists because of our music history. But, we also attract thousands because we create some of the best music in the world today.

Abbey Road crossing: music tourism in action. Photograph by Andy Rain.

This year’s Glastonbury reminded us yetagain of just what a powerful force ourmusic industry is. Easily the world’s mostfamous music festival, Glastonbury drawsin visitors from every corner of the globe,contributes more than £100 million to theeconomy annually and is a wonderfulcelebration of the strength and diversity ofthe UK’s live music industry.

But Glastonbury is only one example ofhow the music industry’s position as oneof our most successful creative industriesis unquestionable. Adele’s “21” albumreleased in 2011 was the best selling albumglobally for 2 years running.

Last year was the 5th time in 6 years thata British act claimed the world’s topselling album title, and 2012 saw UKartists‘ share of global album salesreach the highest levels on record. 2011saw the O2 arena sell more tickets thanany other arena on earth, making it themost popular music venue in the worldfor 5 consecutive years.

Music is without question an essentialelement of Britain’s tourism appeal, and itis this ability of the UK’s music industry toattract tourists from near and far to ourshores that is celebrated in this report.The huge financial contribution to the UKeconomy by the millions of music touriststo the UK annually makes it very clear thatwhen combined, the music and tourismindustries are powerful drivers for growth.The wonderful synergy that existsbetween these two sectors is somethingGovernment recognises, and the reasonwhy music is one of the major themesof the current GREAT Britain campaign -the Government’s most ambitiousinternational marketing campaign ever.

And Government is committed tocontinuing its support for the growth ofboth the music and tourism industries.The introduction of the Government’sLicensing Act has been credited withdoubling the number of musical festivalsover the last decade, we have extendedthe range of performances that nolonger require a licence and throughArts Council England we will be investingover £70 million a year in musicorganisations up to 2015.

The Culture Secretary, myself and theMinister of State for Sport and Tourismare working with colleagues acrossgovernment, as well as with committedprivate sector partners, to ensure that weprovide the conditions in which both themusic and tourism sectors can continueto thrive. Evidence, such as the researchcontained in this report, will be of theupmost assistance in helping us make thecase for continued support. I thank all ofthose involved in putting together sucha comprehensive and informative lookat just what these two dynamic sectorsare capable of delivering.

FOREWORD

8 WISH YOUWERE HERE

Ed Vaizey MPMinister

for Culture, Communication

and CreativeIndustries


British music is a cultural asset thatinspires people overseas. Our musicalheritage is as much a part of our appeal asBuckingham Palace or fish and chips.Heritage doesn’t stop at castles andstately homes: from the Roundhouse toThe Cavern Club, historic music momentshave been, and always will be, made inBritain. After all, we are the second largestexporter of music in the world.

Music is a global language and attractspeople to visit our cities and countryside.Whether it’s Elgar at The Proms, TheProclaimers at T in the Park or Manches-ter’s club scene, music transcends allboundaries and you don’t need to be fluentin English to enjoy it.

Britain’s recent successes on the globalstage - Adele, Jessie J, Mumford & Sons,Florence + The Machine - are all flying theBritish flag overseas and helping attractsome of the 31 million tourists who cometo Britain. Not to mention the iconic artistswho put British music on the map –TheRolling Stones, Elton John and The Who.The Beatles are synonymous with ourmusical heritage and have beeninfluencing musicians around the world fordecades. The current David Bowieexhibition is proving to be one of the mostpopular attractions in the V&A’s history.

In a VisitBritain survey, music washighlighted as an integral part of Britain’sculture and heritage. 44% felt it was acultural activity they would expect to be‘produced’ in Britain. When asked aboutmusical activities, visitors chose a Beatlestour in Liverpool, with those fromArgentina, Mexico and Brazil the keenestparticipants. Meanwhile, South Africans,Poles and Chinese visitors favouredheading to Glastonbury.

Many overseas visitors have experiencedthe live music scene across the UK, with

Brazilians the most active - 15% taking ina performance, followed by Kiwis (12%)and Norwegians (11%).

This research points to the huge potentialof music tourism to boost domestic andoverseas visitor numbers throughout thecountry. Glastonbury is rightly worldfamous, but what about the rest? There istruly something for everyone. Fancy somerock whilst holidaying in Scotland? Headto RockNess in Inverness-shire. Love yoursurfing as much as your music? Then it’sBoardmasters in Cornwall for you.

The ‘Symphony of British music’ that wasthe 2012 Olympic Games closingceremony was the perfect showcase forour range of musical talent, and broughthome to us just how much British musichas influenced the world. We are centrestage in the world’s live music industry.Now, we need to capitalise on thisstrength to welcome more overseasvisitors to enjoy the wealth of musicexperiences here, immersing themselvesin our cultural heritage at the same time.

Music is a key ‘pillar’ in our GREATcampaign alongside shopping, sport, food,heritage and countryside, and features inour global advertising. We recentlypartnered ‘Rock in Rio’, one of the biggestmusic festivals in the world, with aBritain-themed Rock Street and a Beatlestribute band re-enacting their famousroof-top gig.

I welcome this report. It should act as acatalyst to ramp up our activity and, withthe help of UK Music to forge partnershipswith producers, festival organisers,venues and promoters, raise awareness ofour amazing live music scene. VisitBritainis committed to working alongside UKMusic to ensure we maximise the benefitsfrom this largely untapped tourismmarket.

SANDIEDAWE

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Sandie DaweChief Executive VisitBritain

This reportshould act as acatalyst to rampup our activityand with thehelp of UK Music to forgepartnershipswith producers,festival organisers, venues and promoters toraise awarenessof our amazinglive music scene aroundthe world and to encouragemore visitorsfrom overseas.


I didn’t know what to expect from the headlinefigures in the Wish You Were Here report.We know how big the live sector is in thiscountry. That’s something quantifiableand measurable.

But, other areas of our industry, whichgreatly interest the policy makers inWestminster, are less well known. Musictourism is one of them. While promoterssweat over ticket sales, music touristsremain a relatively untapped – andpotentially massive - market that the UK’smusic industry can and should begin tocultivate more seriously.

Getting some numbers in place is thestarting point. It’s something we haven’tpreviously attempted on such a big scale.So when I saw £2.2 billion for total spend,I thought ‘that’s a pretty big number.’

You need to put that figure in context.That’s not everyone just popping on the busto catch a gig in their neighbourhood orcrossing town to see a concert. That’s onlythe people prepared to travel at least 33miles – and mostly a lot more - to get to seethe live music they love. That showscommitment.

Then, I started thinking about it a bit more.If UK tourism is worth around £115 billionthen the music industry is already providinga sizeable chunk of that. Clearly noteveryone in Britain is going to the Isle ofWight to build sandcastles or flying in fromGermany and France to tour stately homes.

I also wear another hat as the Chairman ofCreative and Cultural Skills. So when I saw24,251 jobs were sustained in the UK lastyear alone through music tourism then thatis excellent.

I know a lot of jobs in live music might onlybe temporary or short term, but some ofthem will be filled by young kids who

might be getting their first break in themusic business.

They might get a taste for the business andapproach one of our colleges to train up,possibly with an apprenticeship or trainingthrough the UK Music Skills Academy thatwas launched earlier this year.

The other figure that stood out for me wasthe £657 spent by foreign music tourists.And overseas travellers shelled out nearlya grand when they camped out at afestival as part of their stay.

That’s a fair whack because you wouldn’texpect our kind of tourist would have thehighest spend – there’s a lot ofimpoverished students there, sleepingin tents.

Many would think a slab of Tuborg lagerwould be one of the biggest expenditures,but with foreign visitors spending £910at festivals and domestic travellersshelling out £396 that’s significant cashbeing pumped into parts of the UKeconomy that are probably desperatefor a boost right now.

And make no mistake, these arechallenging times right now. When youlook at live music, you can’t ignorethe state of the economy because ourtarget audience is obviously impactedby factors such as youth unemploymentand higher education fees.

It beggars belief that kids are coming outof university now with the equivalent ofmortgages around their necks. Perhapsthose who are cool about having analbatross over their heads will still spendmoney on festivals. But, will they spend iton more than one festival? If they go tosomething at the start of the season inMay will they have enough for a ticket toReading or Leeds at the end?

FOREWORD

10 WISH YOUWERE HERE

Paul Latham Chief Operating

OfficerLive Nation

International Music


Focusing more on music tourism can onlyhelp. But, I’m not sure our festivals andconcerts are necessarily benefitting fromany general bounce in cultural tourism.If you want to go and see old buildings, theyare there whether you are travelling in Julyor December.

Music is more of a specialist subject.It takes focus – and a lot of determinedphone calls - to make sure your holidayin Devon will also take in three days ofGlastonbury.

That might mean we have to think moreabout how we market events overseas orpersuade someone in Taunton to travel allthe way up to T-in-the Park.

What we do know is that we have the skillsand imagination to put on the best showson the planet to attract visitors. Just lookat the Olympic Games opening ceremony.It was spectacular and reminded theWorld of not just the UK`s heritage butalso our indigenous creativity.

There is no shortage of that creativity inthese shores. We build great events from

scratch. And something like DownloadFestival proves you can bring over theoverseas visitors. Even though there aremetal festivals in places like Germany,Download is like a visit to Stonehenge formetallers. Getting that mass of metaltogether doesn’t happen easily, But it`snot just the mega-festivals that havethe creative flair, the Association ofIndependent Festivals team have some ofthe most imaginative themed eventssituated all over the UK.

People will travel further for the musicthey like presented in a way that they like.If we can persuade more people that iswhat the UK is doing right now, we havethe building blocks for more specific musiccampaigns.

Wish You Were Here can hopefully persuadethe powers that be that music is alreadya powerful tourism tool that is generatingmore than £2 bn in spending and boostinglocal economies all over this country.

Imagine what could be achieved with alittle more backing and support from ourfriends in Westminster.

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Many would thinka slab of Tuborglager would be one of the biggestexpenditures, but with foreignvisitors spending£910 at festivalsand domestic travellers shellingout £396 that’s significant cashbeing pumpedinto parts of the UK economy.

Marilyn Manson performing at the Download Festival, 2013. Photograph by Rune Hellestad / Corbis.

The UK has a whole range of assets -beautiful beaches, the Royal Family, ancientcastles, unrivalled museums and artgalleries - working in its favour. They all sellBritain and boost the tourist industry.

That sector’s economic impact on the UKeconomy is regularly researched anddocumented. The visitor economy is worth£115bn annually and employs 2.6 millionpeople . 1

Earlier this year the Office for NationalStatistics revealed the UK tourism sectorrecorded the strongest levels of spend andvisitor numbers since 2008. 2

A year after Britain hosted the London 2012Olympic and Paralympic Games, inboundtourism proved it is one of the UK’s keygrowth markets: 15.2 million visitors flockedto the country in the first half of 2013(an increase of 4% on the same period theprevious year).

Tourism Minister Hugh Robertson said,“These record figures show that ourtourism strategy is working. The tourismsector has a big role to play in deliveringeconomic growth and we must keep up thismomentum and continue to promoteBritain as a great place to visit.”

What is less well know, however, is thespecific contribution music makes to theUK’s tourism business.

There’s no doubt that the UK’s musicfestivals, such as Glastonbury, and theextensive touring programmes ofinternational acts, such as the RollingStones and Beyonce, attract massiveoverseas interest and foreign visitors tothese shores.

Cities steeped in musical tradition, such asLiverpool, have already made hugeprogress in creating a strong tourist tradearound music.

Earlier this year the city launched its BeatIn The Mersey tour to promote other bandsand music genres that have kept Liverpoolrocking over the years. 3

Other towns in Britain can replicateLiverpool’s ambition and push their ownmusical heritage.

Alongside inbound tourists, many musiclovers in the UK also travel long distancesto watch their favourite bands and artistsperform.

This is international and domestic musictourism working. And working well. But,exactly how much music tourism adds toGDP, contributes to employment and canhelp boost - even revive - local economieshas gone largely unexplored.

It is clear music tourism offers an opportunityfor economic growth at the local,regional and national level.

If the music industry can demonstrate livemusic encourages more people to holidayin the UK, or travel around the UK to get togigs, it can calculate how much moneymusic tourists generate and also estimatethe potential for future spend.

This provides ammunition to gathersupport from politicians representingregions where thousands, perhaps millionsof pounds, will be spent by music fans.

New, music specific, tourist strategiescould then be unleashed in these areas.

INTRODUCTION


There’s no doubt that

the UK’s music festivals, such as Glastonbury, and

the extensive touring

programmes of international acts, such as

the Rolling Stonesand Beyonce,

attracts massiveoverseas interest

and foreign visitor to

these shores.

1 The Economic Contribution of the Visitor Economy: Deloitte and Oxford Economics, June 2010 for VisitBritain2 Office for National Statistics (August 2013) retrieved from: https://www.gov.uk/government/news/uk-tourism-sector-boosted-by-latest-spend-and-visitor-statistics

3 Liverpool Echo (2013) Liverpool music tour to go beyond The Beatles http://www.liverpoolecho.co.uk/whats-on/music/beat-mersey-music-tour-go-4065385

There are already precedents for suchspecialist music tourism campaigns. Earlierthis year the Government of Ontariolaunched a $45m programme, in tandemwith various tourism and marketing partners,to boost concert attendance and visitorspending. 4

Key strands of the strategy are to promoteOntario’s music and position the province“as a premier global destination for livemusic and music tourism.”

Music Canada has suggested the move couldcreate 1300 jobs in the province and generatea further $60m in economic activity. 5

The potential for the UK to build a similarcampaign, backed by the music industry,Government and promoters supported byall the marketing nous of tourism bodies,such as VisitBritain, is enormous.

Already, the UK has an edge on many ofits international competitors. It has a longlist of music - and potential music tourism- strengths, including some of the best andmost famous music festivals in the world.

Obviously, well branded festivals and thelarger venues hosting international stars,are well positioned to reach out to theoverseas visitor: these live music showscan be harnessed as a major economicasset by developing a comprehensivemusic tourism strategy.

The live music industry – from festivaloperators to concert promoters andmanagers - has years of experience inmarketing its gigs using a variety of socialmedia tools coupled with more traditionaladvertising routes.

The sector also holds massive amounts ofdata on fans and their live music behaviour,which could be used as part of this musictourism strategy.

It’s clear music can play a major role inboosting the UK tourist industry. But, howand by how much?

Up-to-date information and definitive dataon how successful music tourism is rightnow can provide a baseline upon whichfuture music tourism can be measured.

Using the data from Wish You Were Hereagencies will be able to measurethe effectiveness of any music-relatedtourism strategies and policies that areput in place over the coming years anddecades to amplify music’s part in Britain’stourism offer.

WISH YOUWERE HERE

13

The UK has an edge on many ofits international competitors. It has a long list of music - andpotential musictourism - strengths,including some of the best music festivals in the world.

4 Ministry of Tourism, Culture and Sport (2013) Ontario A Leader in Live Music: McGuinty Government Developing Live Music Strategy to Showcase Industry Globally

5 Music Canada (2013) The Next Big Bang: A New Direction for Music in Canada

Strawberry Fields is on the tourists’ destination list of Liverpool.Photograph by Jim Dyson.

Britain’s ambition is to attract 40 millionvisitors by 2020. Music tourism alreadycontributes to this, but the music industrycan play a much bigger role in helpingVisitBritain and others achieve this target.

By 2020, the country targets earnings of£31.5bn from inbound tourism. That is anadditional spend of £8.7bn. Music touristsalready spend over £1bn and an increase inthis sector could again help achieve thetarget set.

Overseas tourists are gold dust. Theycomprised just 6% of the total populationof music tourists in 2012, but accounted for20% of music tourist spending.

Support comes from across the politicalspectrum for the music industry to pushstrategies to help grow music tourism.

music tourism is already successful atdrawing tourists into every corner ofthe UK.

An increase in music tourism has thepotential to benefit every nation andregion of the UK.

Tourism agencies and the music industrycould work more to promote and spreadthe benefits of music tourism in areasoutside of London and the south east.

Music tourism can help improve Britain’simage overseas and also help promote newand young artists, who haven’t yet foundan audience outside of the country.

MUSIC TOURISMIN PERSPECTIVE


The Lord Bishop of Derby

Music is not only important

but a much underrated offer

that we make to the rest of

the world through tourism.

When people come here for music tourism they engage in making a

community and in being joined with others in a common culturethrough hearing

a common language.


HOW DO YOU GO ABOUT PROMOTING?

We do a mixture of things. We promoteourselves and also work a lot with the bignational promoters.

But, once a band is selling 3000 tickets inLondon they will generally have a long termrelationship with one of the big promoters. So we tend to promote the more esotericstuff. We work with artists for morecreative reasons rather than just a Londonstop off on a UK tour.

YOU SEEM TO LIKE DOING FESTIVALS?

Yeah, we do Short Circuit and iTunesFestivals. Then we have the contemporaryclassical Reverb and Ja Ja Ja Festivallaunching this year, which we hope to makeinto an annual event. It is all about Nordic

IN FOCUS:VENUE

WISH YOUWERE HERE

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RoundhouseHead Of MusicDavid Gaydon

Camden’s Roundhouse, home to the iTunes Festival. Photograph by Will Pearson.

food, screenings and exhibitions so itbecomes so much more than a gig.

When we do something like a weekendor three day event, it will be the weekendticket – the more expensive ticket - thatalways goes first. There is always anappetite for people who want to immersethemselves in the culture.

WHAT’S THE CAPACITY AND CONFIGURATIONS FOR MUSIC AND DO YOU PROGRAMME MUSIC ALL YEAR LONG?

We’ve got a capacity of 3118. We just uppedit a bit in a new seating systemupstairs to increase our seating capacity.So now fully seated is 1,200 and 1,800 allseated in the round. Sometimes wealso do cabaret tables, but the standardrock‘n’ roll set up is 2500 standing and600 upstairs.

We have invested heavily in infrastructure toallow us to flip back between events.Because of all the different art forms it doesmake it complex flipping from a circus showto a normal rock ’n’ roll gig to a big corporategig with sit down meal. Everyday brings usdifferent challenges, but that makes it agood place to be and keeps us on our toes.

Certain times of the year, such as spring,autumn and winter, are definitely better forlive music. March, April, May and thebeginning of June are normally good. But,July, August and September are prettyterrible because bands are generally tiedinto exclusivity deals with the festivals.

Last year, we probably did around 80 showsplus another 30 iTunes shows. This year,including iTunes, we will have around 150shows so we are pretty much back to back.This year, compared to last year, we havevery few dark days.

WHAT ABOUT THE OLYMPICSLAST YEAR?

Last year the Olympics were really hard forus. We thought we would do a big hireand tried to hire to one of the competingcountries as many venues did, but it all cameto nothing.

I think the whole year was affected by theOlympics in terms of people putting thingsoff or artists not wanting to play so I thinkwe really suffered in terms of the amount ofshows we did.

WHAT ABOUT THE KINDS OF BANDSYOU WANT FOR THE ROUNDHOUSE?

Everyone had a little bit of a dip last year sothis year there’s a lot more bands out

touring. Maybe there are less festivals sobands are not tied into exclusivity deals.In my remit I want to be really across everygenre and demographic so we have a verydiverse music policy. We don’t want to beall dad rock. So much different music worksin the space so we want to create a reallydiverse programme in there.

I work closely with promoters, agents,mangers and I go after particular showsthat I want to happen whether I promote itor it is externally promoted.

I don’t think there is any particular genre thatdoesn’t work and we can have a differentcrowd of people coming in every night.

I think both audiences and bands like it thatthe Roundhouse has this rich rock n rollheritage. It was this amazing eclectic venuethrough the 60s and 70s, with crazyhappenings, the first Pink Floyd performancewas here. The Ramones played here.So it has this rich cultural heritage.

But, I think the shape of the place also helps.If you are at the back at some venues thenyou are really right at the back. But, herethere is no back because it is round.

For bands looking out, the shape makes itlook intimate even with 3000 people inthere and that works for bands andaudiences alike. It creates more of a senseof occasion just because it feels differentfrom the normal venue.

Because of all this The Roundhouse is oftenused for a statement show. Younger bandssee it as a stepping stone and some moreestablished acts might prefer to do a runof three or four shows here rather thanplaying one big venue.


Lady Gaga leaves 2013iTunes festival at Roundhouse

© KP Pictures / Splash News / Corbis

I think both audiences and bands like it

that the Roundhouse has this rich rock n roll heritage.

IN FOCUS:VENUE

WISH YOUWERE HERE

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6 IFPI (2013) Recording Industry in Numbers: The Recorded Music Market in 2012 7 BPI 2013 BPI Yearbook

The UK music industry is an incrediblyimportant sector for the UK economy.

The UK is one of only three countries thatexports more music than it importsbecause the global impact of musicproduced in the UK or by British musiciansis massive.

The UK is the largest producer of recordedmusic in Europe and the third largest inthe world. 6 Incredibly, UK artists areresponsible for around 12% of global albumsales. 7

The UK has always produced world classmusical talent in every genre from dance toclassical. Some of the biggest rock and popstars on the planet, including The Beatles,The Rolling Stones, Pink Floyd, Led Zeppelin

and David Bowie, have launched fromBritain’s shores and their music is availableand bought in countries from Australia toZimbabwe.

Fortunately, that trend for producing worldbeating stars has not diminished in the lastfew years with artists such as Adele,Coldplay, Mumford & Sons, Jessie J andFlorence & The Machine all producingglobal selling albums and ensuring thatno fewer than five of the top 10 sellingglobal albums in 2012 were by British acts.

This continual unearthing and developmentof new globe straddling talent providesBritain with a shop window and a reasonfor people all around the world to beinterested in what is happening in the UKand to become potential music tourists.

MUSIC IS BIG BUSINESS

The UK is one of only three countries that exportsmore music than it imports.

GLOBAL TOP SELLING ALBUMS OF 2012 (SOURCE IFPI)

POSITION ARTIST TITLE TOTAL SALES (M)

1

2

3

4

5

6

7

8

9

10

Adele

Taylor Swift

One Direction

One Direction

Lana Del Ray

Pink

Rod Stewart

Rihanna

Mumford and Sons

Maroon 5

21

Red

Up All Night

Take Me Home

Born To Die

The Truth About Love

Merry Christmas, Baby

Unapologetic

Babel

Overexposed

8.3

5.2

4.5

4.4

3.4

2.6

2.6

2.3

2.3

2.2

MUSIC TOURISM IN PERSPECTIVE


Photograph by Simon Winnall / ©VisitBritain.

Britain hosts some of the world’s best knownfestivals, such as Glastonbury and Isle ofWight.

The country also attracts the cream of globaltalent playing in a range of top class venues,including the O2 and Royal Albert Hall.

Last summer’s Olympic Games also saw thebest of British music take centre stage forthe opening and closing ceremonies andat shows in Hyde Park and across London.

The Games brought obvious and significantgains to the capital and the nation as awhole. There have been a catalogue ofreports that have made a study of theGames’ economic impact and their legacy –including their potential to increase tourism.

One of these reports suggested that lastyear’s Games would generate amassive net increase in tourist visits (10.8mbetween 2005 and 2017). The additionaltourist expenditure was expected togenerate another £2bn contribution to GDP. 8

Obviously, music played a major part in theGames. However, its contribution – andits potential to increase tourism – has beenless well researched.

Despite overseas media showeringpraise on Britain’s musical offering duringlast year’s Games the internationalinterest in British music and its inherentlinkage with the UK as a place to visit(for a holiday or a concert) hasn’t beenfully exploited. 9

WISH YOUWERE HERE

19

8 Oxford Economics/Lloyds Banking Group July 2013 The Economic Impact of the London 2012 Olympic & Paralympic Games 9 Guardian (July 2012) World's media lavishes praise on Olympic opening ceremony retrieved from http://www.guardian.co.uk/media/2012/jul/28/world-media-london-olympic-opening-ceremony

Arctic Monkeys performing at the 2012 Olympics opening ceremony. Photograph by Lars Baron.


WISH YOUWERE HERE

20


TOURISM IS ALSO BIG BUSINESS

10 John Penrose MP Minister for Tourism and Heritage, DCMS (2011) Government Tourism Policy11 VisitBritain (2013) Delivering a Golden Legacy: A Growth Strategy for inbound tourism to Britain from 2012 to 202012 Government Tourism Policy March 2011

Tourism is a massively important sector ofthe UK economy. It is one of the UK’s sixbiggest industries and the country’s thirdlargest export earner. 10

The UK attracts 31 million people fromacross the globe and last year theseoverseas tourists spent £18.6bn in the UK. 11

Overseas and domestic tourism togethercontribute £115bn to the Gross DomesticProduct and provide employment for 2.6mpeople. One in 12 jobs in the UK is eitherdirectly or indirectly supported by tourismand 44% of the employees in the sector areunder 40.

Tourism is also a growth industry. Althoughthe UK’s GDP did not grow last year, thespend by overseas tourists increased by 4%.

However, there is still enormous potential togrow the sector, something recognised bythe 2011 Government Tourism Policydocument. This suggested the domestictourist sector was ripe for expansionbecause Britain currently runs a largetourism deficit.

The UK attracts 31 million people

from across the globe

and last year theses overseastourists spent £18.6 billion.

Only 21% of Britons holiday at home,compared to nearly 30% in the rest ofEurope. 12

This is where music tourism - travellingto concerts and festivals across Britain -offers significant scope to help boostdomestic tourism and, consequently,economic growth

The growth potential of both domestic andoverseas tourism has not been missed bypoliticians, eager to lift Britain’s economy.In July 2012 Prime Minister David Cameronsaid there was no reason to stop “pushingthe message that Britain is a GREAT placeto visit, a great place to come and dobusiness.”

In April 2013 Culture Secretary Maria Millerechoed this view. She said that in the 21stcentury travel was something within thereach of more people. “This change offersBritain an incredible opportunity to growour tourist industry, helping to create morejobs and bring in further investment andgrowth.”


WISH YOUWERE HERE

21

The Olympic Stadium one of the UK’s newest music venues. Photograph by Chris Harvey.

There are a lot of reasons why tourists visitthe UK.

Some come to see the changing of theguard. Many Americans like playing ourgolf courses. Spanish surfers head off forCornwall’s beaches, Shakespeare lovershead for Stratford upon Avon and Berlinhipsters head out east to Hoxton.

But, there’s another reason why all thesepeople flock to the UK. They come for themusic.

Britain is the music capital of Europe. TheBeatles, The Rolling Stones, Led Zeppelin,David Bowie, Elton John, Rod Stewart, TheSex Pistols, The Clash, Elvis Costello, NewOrder, Coldplay, Adele, Mumford & Sons,Florence + The Machine, One Direction –they all made it big here before the world gotto hear about them.

Spanish, German or Australian fans can seea gig any night of the week featuring anartist from the UK. But, there is somethingspecial about coming to the home of Britishmusic to see and hear British bands play live– or even where they sleep and buy theirclothes.

A recent survey by the UK’s national tourismagency found the country’s musical successon the domestic and global stage was one ofthe reasons for attracting at least some ofthe 31 million tourists who travelled to theUK last year. 13

VisitBritain found that 44% of incomingtourists to the UK believe music was oneof Britain’s key cultural activities.

Many tourists from countries, includingArgentina, Mexico and Brazil, rated amusical experience highly. The ForesightReport found that 11% of all respondentswould like to go on a Beatles Tour and some8% were keen on a trip to Glastonbury:South Africans were the most likely (13%)to travel to Somerset to experience thefestival.

Music is now one of seven pillars ofVisitBritain’s multimillion pound GREATBritain image building campaign launchedin 2011 and given an addtional £12m offunding over the 2013-14 financial year.

This ambitious marketing campaign,featuring slogans such as Culture is GREATand Music is GREAT, was delivered asa direct response to Penrose’s 2011Government Tourism Policy. In addition tothis major advertising campaign, thepolicy document also highlighted two otherobjectives:

–– to increase the number of UK residents holidaying in the UK

–– to break into the world’s top five visitor economies

A crowd shot at the Reading Festivalfeatures in the Music is GREAT campaignand helps remind potential hoilday makersthat Britain produces some of the bestmusicians and music on the planet.

MUSIC+TOURIST=MUSIC TOURISM


VisitBritain found that 44%

of incoming tourists to the UK believed

music was one of Britain’s key cultural activities.

13 VisitBritain (2012) Foresight: The Importance of music to inbound tourism


WISH YOUWERE HERE

23

Music is one of the seven pillars of VisitBritain’s multimillion pound GREAT Britain image building campaign


Government recognises this and has clearlysignposted that tourism is a cornerstone ofits policy to grow the UK economy.

In August 2010 Prime Minister DavidCameron set out his ambition for tourism;in a speech at the Serpentine Gallery inLondon, Cameron said he wanted morevisitors from overseas and – also,importantly - to encourage more Britons toholiday at home. 14

Cameron wanted tourism to focus onnational parks, seaside towns, castles, coun-try houses, museums, galleries, and -importantly - festivals and viewed tourism asa key factor in rebalancing the economy withboth public and private sectors playinga part.

VisitBritain now suggests that with the rightbacking the UK could attract 40m overseasvisitors a year by 2020, earning a massive£31.5bn. 15

The UK is at the centre of the global livemusic industry. But, its role in generating -and potential to increase - tourism has notbeen adequately explored.

Music does clearly have a big part to play inthe tourism story.

As a recent report about the musicindustry in Scotland suggested, “Music isa significant aspect of the cultural valuethat Scotland uses to drive tourism,both explicitly and implicitly.” 16

Successful music tourism is often theproduct of a complex, interlockinginfrastructure where a region’s musicalassets, including festivals and concertvenues, are the building blocks.

A vibrant music scene, such as that foundin Manchester in the eighties around theMadchester movement, will have a majorimpact on a city or region’s bottom line;creative workers and businesses will beattracted to an area with a thrivingcommercial music economy.

Major televised music events such asGlastonbury Festival and The Last Night ofthe Proms also help shine a light on the UKand can ramp up the travel plans of peoplewatching in Berlin or Paris.

WISH YOUWERE HERE

24

A vibrant musicscene, such

as that found inManchester in the eightiesaround the Madchester movement, will have a

major impact on a city or

region’s bottom line.

14 D. Cameron speech retrieved from http://www.bbc.co.uk/news/uk-politics-10950167.15 VisitBritain (2013) Delivering a Golden Legacy: A Growth Strategy for inbound tourism to Britain from 2012 to 2020.16 Behr A and Brennan M (2013) Scotland on Tour: Strategies for promoting the music industry within and outwith Scotland.

OVERSEAS VISITORS SPEND £18.6 BILLION IN THIS COUNTRY

UK TOURISM’S ECONOMIC CONTRIBUTION

£115 BILLION ANNUALLY TO GDP

PROVIDES 2.6 MILLION JOBS

44% OF PEOPLE EMPLOYED IN TOURISM ARE UNDER 30 YEARS

Source VisitBritain


Tourism also makes a positive contributionto many local and regional economies. Ittraditionally employs a higher percentage ofyoung people, who are more likely to beinterested in music.

Thus, music and tourism are excellent bedfellows. Separately, they are strong,established businesses. But, together theycan become powerful drivers for growth,employment and enrich the culturaloffering of a region.

Any music festival or the region it is basedin can brand itself and then market thatbrand – and all the musical delights thatmake up the offering - overseas ordomestically.

Teamed with promotional support from alocal council, Government and touristagencies the brand recognition couldincrease exponentially and the cultural,musical and economic gains can be addedup annually.

The success of Austin in the US is a case inpoint. By branding itself the live musiccapital of the world – when actually the livemusic scenes are much bigger and broaderin cities such as Los Angeles and London –and marketing its annual SXSW musicfestival has helped the Texan capital rakein around $1.6bn in annual revenues fromvisitors. Music tourism has been estimatedto account for around 50% of that. 17

Similarly, New Orleans has branded itselfthe home of jazz and Nashville is thecapital of country.

Birmingham has already considered aproposal to establish a Music Birminghamoffice to help push the city’s musicalheritage.

A ‘Destination Birmingham: A Music City’report published by Birmingham CityCouncil in February 2012 suggested thecity had not exploited its music history toattract more tourists. The report stated:‘we believe Birmingham could and shoulddo more to celebrate its diverse musicalheritage.’

The benefits, it suggested, would ‘provide afocal point for visitors and celebrationsand improve external perceptions ofBirmingham.’

Some ideas mooted included establishinga music ambassador, a plaque schemeto celebrate musical achievement, apermanent hard rock exhibition and a musicdigital archive.

In 2010 the Association of IndependentFestivals borrowed the twinning of townsconcept to launch a cultural exchangeprogramme that helped raise the profile ofindie festivals in the UK around Europe. 18

At the time AIF co-founder Rob Challice saidhe hoped the twinning initiative would leadto many creative partnerships.

Participating festivals have built localawareness of their twins through crosspress and marketing promotions and talentdiscussions have helped to co-ordinatebookings of international artists andfurther reinforce the fundamental valuesthat unite the festivals.

25WISH YOUWERE HERE

17 Music Canada (2013) The Next Big Bang: A New Direction for Music in Canada18 Association of Independent Festivals Twin Festivals: A Cultural Exchange retrieved from http://www.aiforg.com/news.php?news_search=twinning

Austin branding itself the livemusic capital of the world – when actually the live music scenes are much bigger andbroader in cities such as Los Angeles and London – and marketing its annualSXSW music festival has helped the Texan capital rake in around $1.6bn.

Photograph by Adrees Latif.


Twins have also been sharing not onlyartists and expertise but also audiences,as competition winners have been giventhe chance to experience the twin festivalin action.

There have been a number of studies toinvestigate how music and tourism fittogether and what its economic impact is.However, these have largely focused onindividual festivals, such as Glastonbury 19

and Reading, or a particular region. 20

There has also been quite a bit of workinvestigating how many people visit

Liverpool every year to visit the birthplaceof The Beatles and how much they spendat the city’s Matthew Street Music Festival. 21

UK Music also contributed to the level ofunderstanding with its Destination: Musicreport in 2011. 22

This was a very useful marker for Wish YouWere Here and subsequent work in thearea. Now there have been calls fromthe highest political levels to uncovercomprehensive and up-to-date data on thevalue of live music and tourism.

WISH YOUWERE HERE

26

19 Baker Associates/Mendip District Council (2007) Economic Impact of Glastonbury Festivals 20 Baker Associates/University of Reading (2010) Economic Impact Assessment for the 2009 Reading Festival 21 itsliverpool.com We Can Work It Out retrieved from http://www.itsliverpool.com/passions/we-cant-buy-their-love-but-can-we-put-a-price-on-the-beatles/ 23 UK Music/School of Tourism Bournemouth University (2011) Destination: Music The Contribution of music festivals and major concerts to tourism in the UK

Chvrches performing at SXSW 2013 in Austin Texas. Photograph by Tony Nelson.


WHAT DO YOU DO?

Festicket aims to make booking musicfestival trips easy and very cost effective bycreating packages that include tickets to thefestival, accommodation in the local area,transfers for those coming from furtherafield and transport between the hotel andfestival.

So far, we have worked with over 80 festivalsworldwide, with around a dozen of thosefestivals located in the UK, including Bestival,Camp Bestival, Leeds, Latitude and EasternElectrics.

Many of those festivals we continue to workwith, and are also on our way to buildingrelationships with many more new andexciting events.

Festicket works very closely with festivals,creating packages with festival-goers verymuch in mind and tailored to their specificneeds.

We offer a wide range of packages for eachfestival, providing for those who want tocamp up to five-star luxury, as well as forthose who just want to find cost-effectivelocal hotels and apartments. Our packagesare very often available to purchase directlyfrom the festival website through our white-label platform, so essentially the organisersare providing their clientele with analternative and hassle-free range of ticketand travel options.

We also provide a level of customer supportthat you wouldn’t get through the bulk ofother routes to purchase festival tickets.

WHAT KIND OF THINGS DO PEOPLE GO FOR?

We try and offer the full spectrum, soeverything from camping and glamping toapartments and five star luxury hotels.If you want to camp but don’t want to orits not practical to go out and get a tentand equipment, we will get it for you.

We curate packages that are built aroundthe needs of a festival goer, which meansthat we don’t just pick the closest hotel to afestival or the cheapest, we’ll pick the hotelthat is right for the festival audience.

Some of our packages also includetransfers and shuttles from the airport tothe festival site or their accommodation,and there have also been packages wherewe can organise shuttles to take them andpick them from the festival. We’ve also doneferry packages for the Isle of Wight.

ARE YOU GETTING A LOT OF PEOPLE FROM ABROAD?

We have a lot of reach in Europe andpeople in Europe are used to travelling allover the continent to go to festivals. We arealso quite lucky to have so many concertsand festivals here in the UK.

Different UK festivals face variouschallenges and vary in appeal. We foundthat at Latitude everyone who booked withus was from the UK, But interestingly forLeeds around 40% were from outside ofthis country.

Continued overleaf...

IN FOCUS:TICKETS

27WISH YOUWERE HERE


Festicket’sHead of MarketingBarri Coen

We had three from Australia, probablybecause Leeds has a higher internationalprofile and also an international airport, andwe have also been having conversations withcustomers in Japan.

WHO DO YOU AIM FESTICKET AT?

We are aiming at music fans and alternativeholiday fans. The beauty of festivals is wedon’t have to look at it in the same way as apackage tour holiday.

It is not someone’s big holiday for the year;people might go to more than one festival soit is slightly more of an impulse purchase.

The typical conversion path in the touristindustry is something like 28 days fromresearching a holiday to booking it. We seethat usually 80-90% of our purchaseshappen on the same day someone has beenon our website.

ARE YOU IN FAVOUR OF A MUSIC TOURISM STRATEGY?

Going to gigs in Paris does seem to be fairlynormal and transport links are very good. Idon’t know how much that happens inreverse, but we could be doing better tomarket our gigs there.

When it comes to festivals obviouslyeveryone in the world has heard ofGlastonbury, but have all the rest ofthe festivals done enough to promotethemselves overseas?

If people come to a festival in this countrythen they are likely to stay for at least a fewdays spending more time in London orBritain.

It is about getting small and medium sizedfestivals to present themselves becausesome of them like Secret Garden Partyyou just don’t get anything like thatanywhere else in the world. There is a bigopening for the way festivals presentthemselves and market themselves abroad.

WISH YOUWERE HERE

28

If people come to a festival

in this country then they are likely to stay

for a few days. There is a

big opening for the way

festivals present

themselves and market themselves

abroad.

MIA at Bestival 2013. Festickets works with Bestival and Camp Bestival. Photograph by Caitlin Mogridge.

The BPI, a trade body that represents the UKrecorded music sector, held an event in June2013 where the Prime Minister DavidCameron made the point that the UK musicindustry was an “international successstory”. He also said the Government shouldback it partly because of the “massive andgrowing music tourism, people coming toBritain to listen to great acts.” 24

The political interest in music tourismhas increased since. Jim Cunningham MPtabled a two part question in the House ofCommons on June 28 2013.

Cunningham asked the Culture SecretaryMaria Miller to estimate the financial effectsof the Glastonbury Festival on the local andnational economy. 25

The Labour MP for Coventry South alsoasked Miller to “make an assessment of thebenefits to the economy of the musicfestival industry.”

Creative Industries Minister Ed Vaizeyreplied for Miller. Vaizey said that thecreative industries and tourism are amongthe sectors with the greatest potential todrive economic growth.

Vaizey said, “The Glastonbury music festivalis a great example of the strength anddiversity of the UK's live music industry.While we produce economic estimates onthe value of the creative industries to the UKeconomy, including the music industry, wedo not do so for specific music festivals.”

Vaizey’s answer indicated there was - andstill is - a significant gap in Governmentstatistics covering tourism and music’srole within it: Wish You Were Here andsubsequent research from UK Music andthe music industry will help enrich thestatistics and understanding.

On July 11, 2013 Lord Storey tabled a debatein the House of Lords asking the Governmentabout its plans to support and promote theimpact of music upon tourism. 26

The Lib Dem peer was joined in the90-minute debate by nine other peers,among them Conservative peer Lord Black,Labour’s Baroness Liddell and theGovernment spokesperson on culture in theHouse of Lords Baroness Northover.

The cross party group of influential peerscalled on Government to develop a newstrategy to support music-based tourismand help grow the UK economy.

Lord Storey said music festivals have beenattracting unprecedented numbers ofoverseas visitors and have been pouringmoney into local economies. He arguedthat the world’s “evident love” of the UK’smusical heritage should now be harnessedand used to support music tourism.

He told the House: “I have seen first-handthe positive impact music can make on localtourist economies. But, we must alsoconsider the impact music can have on thecountry as a whole. Great Britain simplyhas too much potential for musical tourismfor the Government to stand idly by.I strongly urge the Government to considerhow best to implement a well defined musicstrategy.”

Storey suggested that to attract moreoverseas music tourists, Governmentshould emphasise and engage with existingtourist bodies and authorities across Britainand help them market themselves as musictourist destinations.

MUSIC TOURISM: THE POLITICAL CASE

29WISH YOUWERE HERE

24 Paul Williams, Music Week (2013) We Have To Back The Music Industry 25 Music: Festivals and Special Occasions House of Commons (2013)

retrieved from http://www.publications.parliament.uk/pa/cm201314/cmhansrd/cm130704/text/130704w0003.htm26 Tourism: Music, Question for short debate (2013) House of Lords. Lord Storey to ask Her Majesty’s Government what plans they have

to support and promote the impact of music upon tourism.

Creative Industries, MinisterEd Vaizey

The creative industries and tourism are among the sectors with the greatest potential to drive economic growth.The Glastonbury music festival is a great example of thestrength and diversity of the UK's live music industry.



Photograph by Alen Popov.

Storey’s stance was supported by BaronessLiddell of Coatdyke, who is also anon-executive director of the nationaltourism agency VisitBritain. The Labourpeer said music festivals and events werethriving and helping to attract domestic andoverseas visitors, but that more couldbe done to support them.

“We are not doing as well as we couldfor music tourism. We need to havemore resource behind promoting ourmusic tourism…We have the talent, thedetermination and the worldwide focus.Let us make this a key pillar of our tourismstrategy into the future.”

Lord Clement-Jones, the Lib Dem peerwhose private members bill led to theremoval of much red tape around gigs insmall venues and pubs with last year’sLive Music Act, also called for a “properlyjoined-up strategy” for music tourism.

Lord Clement-Jones suggested thatinformation from Wish You Were Herecould prompt Government and relevantdepartments (he cited DCMS, BIS, DCLG,Defra, the Home Office and Treasury) toco-operate with the music and touristand hospitality industries and agencies

including VisitBritain, VisitEngland, UKTI,the British Council, the Arts Councilto identify the “real levers and barriers”to growing music tourism.

Baroness Northover, the Government’sculture spokesperson, accepted the debatewas right to emphasise the importance ofmusic and tourism and praised UK Music’scontribution to its understanding.

Further, the shadow minister for culture DanJarvis used a platform at the MusiciansUnion conference in Manchester in July2013 to stress how music tourism can be a“huge economic force”. 27

The Barnsley MP told the conference thatthe music industry is constantly adapting tofind new, innovative ways to grow and thatmusic tourism is a key part of that.

Jarvis said: “Music tourism is a fairlyrecent phenomenon in the UK, but it is nowan integral part of our national economyand local economies around the country.”

He referred to Glastonbury, T in the Park,Bestival and the BBC Proms as the kindsof events that have helped attract touristsand bring in millions of pounds to theeconomy and create thousands of jobs.

WISH YOUWERE HERE

31

‘We are not doing as well as we couldfor music tourism.We need to havemore resource behind promotingour music tourism…’Baroness Liddell of Coatdyke

27 Dan Jarvis MP speech at the MU Conference July 24 2013, retrieved at http://www.danjarvismp.co.uk/news/speeches-articles/speech-to-the-musicians-union-manchester).

House of Lords debated music tourism in the summer. Photograph by Tim Graham.


Jarvis added his local Live in Barnsley indoormusic festival had managed to attractaround 3000 music fans. “It was a greatboost to our music economy, with localbands performing and Barnsley’s businessengaging with and supporting the event.

“At a local level, music is just as vital to ourcommunities – not just from a financialperspective.”

The interest from Cameron, Cunningham,Jarvis and others has demonstratedan unprecedented interest in music tourism.

Never before has a sitting PM praised musictourism’s contribution to the economy; norhas the subject been debated in such detailin Parliament.

Music tourism is a hot issue at the highestpolitical levels. It is something Governmenthad praised and shown a willingness to backand Wish You Were Here will, hopefully,provide them with a starting point.

An all encompassing music tourismstrategy would need support from theGovernment with measures to ensure thenight time economy in Britain thrives.Nothing turns off an overseas visitor more –especially one from late night cities suchas Barcelona and Berlin - than a pub ormusic venue shutting down at midnight.

Public transport also needs to be part of thestrategy. The last bus leaving before thegig ends is no good to anyone. The policeneed to be involved to keep a lid onanti-social hotspots so that tourists movingaround the country feel safe and come backfor more.

The issue of secondary ticketing could alsoimpact the tourism industry. If touristsbelieve they are being ripped off orscammed online by companies sellingover-priced tickets to concerts andfestivals, they might think twice aboutrevisiting.

The live music and tourism sectors also relyheavily on skilled people. To ensure thatmusic tourists continue to enjoy brilliantand professionally managed concerts, themusic industry needs to ensure its futureworkforce is highly trained.

UK Music has contributed to this with thelaunch of its Skills Academy earlier this year.This provides a specialist apprenticeshipscheme and also myriad access routes –including via its network of rehearsal rooms- into the music industry for youngstersfrom a range of backgrounds.

The Government should examine the UKvisa regime and how it impacts visitingmusicians to this country. Encouragingmore overseas artists and bands couldinspire more of their fans to travel tothe UK.

VAT in relation to how it is applied to musictourism could also be reviewed. The UKcurrently applies the full rate of VAT onadmissions to cultural attractions, includingmusic events, which puts it at a majordisadvantage to competitor countries inEurope such as France and Germany.


Shadow Minister for Culture, Dan Jarvis

Music tourism is a fairly recentphenomenon in the UK, but it

is now anintegral part

of our national economy and

local economies around the

country.


YOU’RE GOING TO BE HELPING OUT WITH AUDIO AT THE OLYMPICPARK THIS YEAR, HOW WILL THAT BE?

Well last year there was so much going on Irarely left the bunker. We started off lastsummer with the Diamond Jubilee, we didBuckingham Palace, The Mall, St James Parkand Hyde Park.

So, yeah I’m excited about the Olympic site.It is a very different lay out to what we did inHyde Park over the years – and there aren’tthe neighbour issues. So we are lookingforward to being able to put the gas pedaldown a bit.

HOW DO YOU SET UP FOR A SHOW?

Everything is bespoke, every event we do,every tour we do, it’s all different. That’swhat makes live so exciting. Even on a tourwhere you are going to different venuesaround the planet each venue can have itsown issues and you have to plan for themaccordingly.

There might be acoustic issues, there mightbe access issues, there could even bepolitical issues depending on which countryyou are in.

We prepare a dossier on each venue listingall the local issues. But bearing all of that inmind you can still go somewhere with CliffRichard and you might be in a differentsituation than if you are with Kasabianbecause what they and their audienceexpect can be very different.

WHAT’S BEEN HAPPENING WITH SOUND OVER THE LAST DECADE OR SO?

In the last 15 years the line arrayconfiguration of speakers has taken over.The quality of the sound is becoming moreand more refined. There haven’t been anyquantum leaps in audio in terms of speakertechnology, but they have been refiningthe line array.

Digital consoles, which have been aroundfor a while now, have made mixing easierbecause they are more compact and muchmore powerful. They also take up less realestate, which is very important especially intheatres where six seats each night are veryexpensive.

As you can imagine though, it is verycapital intensive because we replaceeverything between five and ten years andthat can be very expensive when you thinkthe cost of a stadium system now is gettingon for around £2m.

ARE ARTISTS INTERESTED IN SOUND?

Some are, some aren’t. Peter Gabriel is veryinterested and David Gilmour has got themost incredible pair of ears. Robert Smithis also very into the audio side.

But, audio is such a subjective medium. It’sa given at a concert. It’s like your toilet, youuse it all the time, you don’t think about ituntil something goes wrong , then you’ll doanything to put it right.

Continued overleaf...

IN FOCUS:LIVE SOUND

WISH YOUWERE HERE

33


Britannia RowProductionsManaging Director Bryan Grant

Also, it has been said that people listen withtheir eyes at concerts. I’m not sure that isstrictly true, but there is a lot of visual stuffthat goes on at a concert so it is a veryholistic experience.

I think if the sound isn’t right a lot of peoplemight say the band wasn’t very good ormaybe the concert wasn’t very good.Sometimes they are not quite sure why theydidn’t like it. Maybe it was too loud or maybenot loud enough. You can sometimes get twopeople sitting next to each other, one thinksthe concert was the most blissful experienceof their life and the other thinks it is totalcrap. It’s a very subjective medium.

WHAT SORTS OF SKILLS DO PEOPLENEED TO WORK IN AUDIO?

When I started you had to have a cleandriving licence, be able to lift heavy thingsand be able to plug stuff in.

But, nowadays the technology is such thatcrew and technicians going out with soundsystems have to have a pretty high level ofknowledge; basically they have to becomputer literate.

They have to have a knowledge of mains,they have to have a knowledge of physicsand they have to have a knowledge ofweight because they might be hangingseveral tonnes of stuff in the air. You haveto know you are doing the right thing andthe weight loading in the roof of the buildingis sufficient. And you have to have peopleskills because you have to work in a team.

I’d liken it to being in a submarine; you haveto have people cooped up on a tour bus forseveral months without them wanting tostab someone.


IN FOCUS:LIVE SOUND

Symphony Hall Birmingham. Photograph by THSH / Adrian Burrows. Symphony Hall Birmingham is a blue print both architecturally and accoustically for concert halls around the world. It is currently ranked no. 1 of a 189 attractions in Birmingham on the travel website TripAdvisor.

DEFINING A MUSIC TOURIST

This study set out to establish whatproportion of audiences at concerts, gigsand festivals is comprised of music tourists,as distinct from the local population.

There is no hard and fast definition of whatmakes a person a tourist.

We classified music tourists into twogroups: domestic tourists, who areresident in the UK; and overseas tourists.

To qualify as a domestic music tourist, wefelt that the person should have to travelbeyond their normal stomping ground.

Many people regularly travel a gooddistance for work, to go shopping, or forentertainment. To be a music tourist, wefelt they need to travel further thanthey would for these routine activities.

MUSIC TOURISMIN THE UK

WISH YOUWERE HERE

35


GOVERNMENTOFFICE REGION

AVERAGE COMMUTINGDISTANCE (MILES)

DOMESTIC MUSIC TOURISMTHRESHOLD (MILES)

EAST MIDLANDS

EAST OF ENGLAND

LONDON

NORTH EAST

NORTH WEST

SCOTLAND

SOUTH EAST

SOUTH WEST

WALES

WEST MIDLANDS

YORKS & THE HUMBER

UK

12.4

13.8

11.5

13.9

11.1

15.7

12.9

13.3

12.2

12.7

13.6

11.8

37.2

41.5

34.5

41.6

33.4

47.2

38.8

39.9

36.6

38.1

40.9

35.5

Estimated average commuting distance and associated distance threshold for categorisation of domestic music tourism.

So we looked at the average commutingdistance for each region.

We decided that to qualify as a domestictourist, the person had to travel at least 3times the average commuting distance inorder to attend the gig or festival.

In order to qualify as an overseas musictourist, the person must normally reside ina country outside the UK and had to booktheir ticket in advance, from their homeaddress in a country outside the UK.

This suggests that the person wasdetermined to get to that gig.

These definitions of a domestic andoverseas music tourist run the risk ofunder-estimating the contribution thatlive music makes to tourism.

However, by erring on the side of caution,we can be rock solid in our confidence thatthe figures in this report represent theminimum contribution that live music makesto tourism.

DEFINING A LIVE MUSIC EVENT

Our focus was squarely on live musicevents, where music was the mainattraction. We included all genres of music.

We excluded events where live music wasjust one of several forms of entertainment,and not the primary draw..We did not include opera, ballet, or musictheatre.

We only counted ticketed events. Andwe only counted live music events held atvenues with a capacity of at least 1500.

This definition of a live music event mayresult in an under-estimate of the truenumbers of music tourists.

Again erring on the side of caution,we can be confident that the figures in thisreport represent the minimum contributionthat live music makes to tourism.

COUNTING THE NUMBER OF MUSIC TOURISTS

Having defined who qualifies as a musictourist, and what event qualifies as a livemusic event, the report set out todetermine what proportion of a typical livemusic audience is made up of musictourists, as opposed to the more localpopulation.

To do this, we examined ticket transactionsheld by ticket agents and box offices.

We looked at the first part of the postcodeof the ticket purchaser, and measured thedistance from the purchaser’s postcode tothe venue’s postcode.

Our sample size was huge, representingmore than 25% of the total in-scope livemusic attendance population.

This gave us the most detailed andcomprehensive picture ever of the livemusic-going population.

ASSESSING THE ECONOMIC CONTRIBUTION OF MUSIC TOURISM

Once we counted the number of musictourists, we wanted to ascertain how muchthey spent during the course of their visit,so we could calculate how that spendingbenefitted the regional and nationaleconomy.

We first looked at how much each personspent on the tickets themselves. We thenlooked at the retail sales receipts collectedby live music venues for spending on foodand drink and ancillary items like parking.

For spending at festivals and for off-sitespending on accommodation and transport,we drew from 7,840 survey responsescompleted by music fans after theyattended live music events.

This rich mix of data inputs provided thesolid basis upon which to report on thefantastic contribution that live musicmakes to tourism in the UK.


By erring on the side of

caution, we canbe rock solid inour confidencethat the figures in this report

represent the minimum contribution

that live music makes to tourism.


MUSIC TOURISM IN THE UK

WISH YOUWERE HERE

37

41% of the audiences at all live music events in 2012 were either domestic or foreign music tourists.

Last year - an Olympic year, when the eyesof the world were focused on athletescompeting in East London - the musicindustry’s rich and varied programme ofconcerts and festivals drew nearly 6.5million domestic and overseas musictourists.

Despite the absence of the Glastonbury

ATTENDANCE

Festival, which pulls in over 170,000visitors (most of whom have travelled welloutside their average commuting disances)and the continuing economic slump, livemusic continued to be a major draw formusic tourists.

41% of the audiences at all live musicevents in 2012 were either domestic orfoeign music tourists.


ATTENDANCE AT LIVE MUSIC EVENTS

6,495/41% 9,479/ 59%

MUSIC TOURISTS

LOCALS

ATTENDANCE000S

16,000

15,000

14,000

13,000

12,000

11,000

10,000

9,000

8,000

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

MUSIC TOURISTS LOCALS



Some 83% of all live

music fans bought

tickets for concerts;

17% of ticket purchases were for festivals.

ATTENDANCE AT CONCERTS VERSUS FESTIVALS

There were far more concerts and gigs heldthroughout the year than music festivals. Concerts and gigs accounted for 83% of


all live music attendances - locals and musictourists combined - while festivals accountedfor 17% of all live music attendances.

Leaving aside locals, and looking just at themusic tourist population, three-quarters

attended concerts while the other quarterattended festivals.

TOTAL ATTENDANCE AT LIVE MUSIC EVENTS

17% 83%

FESTIVALS

ATTENDANCE000s

CONCERTS

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0

FESTIVALS CONCERTS

MUSIC TOURIST ATTENDANCE AT FESTIVALS AND CONCERTS

25% 75%

FESTIVALS

ATTENDANCE000s

CONCERTS

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

FESTIVALS CONCERTS

WISH YOUWERE HERE

39


Music tourists comprised 37% of the concert population and 59% of the crowd at festivals.

Concerts take place on most evenings of the week and therefore present more of a challenge to music tourists - who have to travel at least three times the average commuting distance -to get there.

PROPORTION OF MUSIC TOURISTS AT CONCERTS

37% 63%

MUSIC TOURISTS

LOCALS

Music festivalsgenerally takeplace at the end of the week and over the weekend, and often include onsite accommodation.

ATTENDANCEOOOs

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0



PROPORTION OF MUSIC TOURISTS AT FESTIVALS

59% 41%

MUSIC TOURISTS

LOCALS

ATTENDANCEOOOs

3,000

2,000

1,000

0



Photograph by Paul Bradbury.

WISH YOUWERE HERE

41


Domestic touristsaccounted for 94% of the music tourist population; the remaining 6% were overseas tourists.

Overseas tourists were represented evenly (2.4%) at festivals and concerts. 6% 94%

OVERSEAS

DOMESTIC

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

ATTENDANCE000s

Having established that music touristsmade up 41% of all live music audienceslast year, further analysis determined theproportion split between domestic (UKresident) tourists and overseas tourists.

Not surprisingly, domestic touristsaccounted for 94% of the music touristpopulation. The remaining 6% wereoverseas tourists.

Focusing soley on overseas tourists, it waspossible to calculate if they were morelikely to attend festivals or concerts.

The result was that they were representedevenly at both - 2.4% of the proportion ofattendees at festivals and concerts.


DOMESTIC VERSUS OVERSEAS MUSIC TOURISTS

OVERSEAS TOURISTS DOMESTIC TOURISTS

SPENDING


In 2012 music tourism

generated £1.27bn in direct

spending.


TOURISM SPENDING

914 1,266

INDIRECT

DIRECT

1,500

1,000

500

0

£ m

Live music is a stimulus for a huge numberof people to travel significant distances andthey generate huge spending.

This spending happens at the festival orconcert and on the way there and back,which includes the purchase of tickets,transport, food and drink, and in somecases, accommodation.

In 2012, music tourism generated £1.27billion in direct spending.

Music tourism also stimulated additionalspending throughout the supply chain. Forexample, to accommodate the increaseddemand for food and drink created bymusic tourists, caterers will buy in moresupplies from their wholesalers, who inturn will buy in more from their suppliers.This is additional or indirect spending.

Music tourism generated a further £914million in indirect spending, making £2.18bn in total.


INDIRECT DIRECT

43WISH YOUWERE HERE

The overseas music festival visitor spent, on average, £910 during their UK stay.

Total spend by overseas music tourists in 2012 was £248m.

Domestic musictourists spent £396 per head atthe music festivalsthey attended.

Total spend by domestic musictourists in 2012 was £1.02bn.


SPENDPER CAPITA SPEND BY MUSIC TOURISTS DOMESTIC & OVERSEAS

396 910 87 602

FESTIVALS CONCERTS

DOMESTIC

OVERSEAS

1,000

750

500

250

0

£

On average domestic music tourists spent£396 per head when attending musicfestivals – more than four times the £87they spent on average when attendingconcerts.

Total spend by domestic music tourists in2012 was £1.02bn.

Total spend by overseas music tourists in2012was £248m.

Overseas music tourists need to spend alot more than domestic tourists because ofthe travel involved.

They may also use the opportunity ofvisiting a festival to have a vacation. Thismeans they are more likely to spread theirwealth over a wider geographical area.

Overseas music tourists spent an averageof £910 during the course of their stay inthe UK when attending a music festival,and £602 during the course of their stay inthe UK when attending a gig.


PER CAPITA SPENDING BY DOMESTIC & OVERSEAS MUSIC TOURISTS

WISH YOUWERE HERE

44


Despite overseasmusic touristscomprising just 6% of the totalpopulation ofmusic tourists they were gold

dust to the economy

because they accounted

for 20% of allmusic tourist

spend.6% 20% 80%94%

MUSIC TOURIST POPULATION CONTRIBUTION TO MUSICTOURISM SPEND

DOMESTIC

OVERSEAS

100

90

80

70

60

50

40

30

20

10

0

SHARE

CONTRIBUTION T0 MUSIC TOURISM SPEND

DOMESTIC

OVERSEAS

1,400

1,200

1,000

800

600

400

200

0

SHARE

MUSIC TOURIST POPULATION

7,000

6,000

5,000

4,000

3,000

2,000

1,000

0

ATTENDANCEOOOs

SPENDING£ MILLIONS

SPENDING BY OVERSEAS MUSIC TOURISTS


%

378 248 1,0186,118

SPENDING ATCONCERTS AND FESTIVALS

45WISH YOUWERE HERE

There were far more concerts held duringthe year than festivals. However musictourists spent far more at festivalsthan concerts, boosting the significance offestivals to the economy.

Festival tourists spent £685, whichaccounted for 54% of all music tourismspending over the course of the year.

Concert tourists spent £581m, whichaccounted for 46% of all music tourismspending in 2012.


TOURISM SPENDING AT CONCERTS AND FESTIVALS

581 685

FESTIVALS

CONCERTS

800

600

400

200

0

FESTIVALSCONCERTS


TOURISTSSPENDING£ MILLIONS

HOW IS THE FESTIVAL SCENE RIGHT NOW?

Basically it feels very good to me. I couldn’tfind a reason to complain if I am honest withyou. We are surviving a disastrous economyand you can’t describe it in any other waythan a disastrous economy.

People across the board are feeling thepinch. People across the board are gettingpay increases at 1% or 2% less than the rateof inflation.

People across the board are earning atleast the price of a couple of festival ticketseach year less than they were earningthe year before.

Yet the market is holding up.

WHY IS THAT?

In many ways you’d have to ask thepurchasing customer. But, ultimately thereis a phenomenal sense of community at afestival. There is a sense of getting awayfrom the trappings of the pressures of lifeand festivals represent incredibly good valuefor what the ticket price is.

Even if you only saw five bands a day - andmost people would see a lot more than that- a festival ticket remains incredible value.

If you have got an interest in music, if you’vegot an interest in culture, I think the festivalticket remains incredible value.

THERE HAVE BEEN SOME INCREDIBLE FESTIVAL LINE-UPSTHIS YEAR; ARE ARTISTS HAPPIERTO PLAY FESTIVALS NOWADAYS?

Festivals pay the artists relatively well anda lot of artists play a lot of festivals. It is avery good source of income. The artistsdon’t have to carry sound and lights or havea stage manager and production manager.So it is a very economic way for an artiststo perform in front of either a committedaudience or a new audience. So from anartists’ point of view - of course the agentalways wants more money from us - thereality is festivals are very good value.

They are also able to get in front of largenumbers of people relatively inexpensively.That’s sometimes better than traipsing upand down the country night after night afternight and having to take your own sounds,lights, stage manager, production manger,dressing room manager, the whole lot.That becomes incredibly expensive.

So I think for the artists it is incredibly greatvalue. Also, the acts get the opportunity tocatch up with other bands, listen to othermusic and be influenced by other music.

Touring venues is quite a solitary andisolated experience and the entire nightdepends on just the one band as the mainreason for people to come in so there is abig pressure there as well. At a festival ifyou have a bad gig it doesn’t necessarilyspoil everyone’s fun.

IN FOCUSPROMOTER



Melvin Benn, Festival Republic

Managing Director

ARE THERE ENOUGH FESTIVALS NOW?

Every festival has upped their game to beattractive and make the experience betterfor the audience and the artist.

That has been a terrific spin off (of morefestivals joining the market). But, therehas been a levelling off. Three or four yearsago there was a new festival beingannounced every week, but that hasdefinitely disappeared.

ARE FESTIVALS DOING ENOUGH FOR GREEN CAUSES?

I personally feel that every individualwhatever their work space should try andminimise their footprint.

As a small group of people we endeavourto try and be better citizens.

We had a 30% reduction in energy usageacross all our festivals. That has beenbetter management of generators andbetter control of the oil usage. It was assimple as that and I think that will improvethis year because there are always otherthings we are trying to do.

Also, a 30% reduction in fuel usage is, notsurprisingly, a 30% reduction in fuel costsso there’s quite a benefit there.

WISH YOUWERE HERE

47

Every festival has upped their game to be attractive

Festival Republic is the organisation behind many festivals including Latitude and Reading 2013. Photograph by The Hell Gate / Corbis.

Spending generated by music tourism feedsinto the wider economy and contributes tothe UK’s Gross Value Added (GVA).

In the case of live music tourism, directGVA was calculated by subtracting thecosts of staging the live music event(excluding wages) from the revenuegenerated by the event.

Indirect GVA took the calculation of indirectspending and subtracted the costs ofproduction (excluding wages) further downthe supply chain.

In 2012 music tourism added a total of£934m to the UK’s GVA, direct and indirectcombined.

Direct employment relates to the number ofequivalent full-time jobs created as a direct

result of a live concert or festival takingplace and relates to people being taken onas security guards, merchandise sellers,lighting riggers, box office staff, et cetera.

Several conventions to calculate full timeequivalent employment were applied: thustwo part time jobs (each taking 20 hours perweek) and four seasonal full time jobs(lasting three months) were both takento equate to one full time job.

Indirect employment relates to the numberof jobs sustained as a result of economicactivity further along the supply chain,but arising from demand created bymusic tourism.

The calculations revealed that musictourism directly and indirectly sustainedover 24,000 full time jobs.

ECONOMIC IMPACTOF MUSIC TOURISM


Music tourismsustained

over 24,000full time jobs.


MUSIC TOURISM CONTRIBUTION TO THE ECONOMYEXPENDITURE, GVA, EMPLOYMENT

SPENDING GVA

914 1,266 389 544 8,115 16,135

MUSIC TOURISM SPENDING MUSIC TOURISM GVA MUSIC TOURISM EMPLOYMENT

INDIRECT

DIRECT

£ OOO

2,000

1,500

1,000

500

0

JOBS

20,000

15,000

10,000

5,000

0


EMPLOYMENT

WISH YOUWERE HERE

49

The economy has a significantimpact on thelive sector.


Live music statistics are very sensitive tofactors beyond the control of promoters,bands, managers and everyone else involvedin the production of concerts and festivals.

For example last year was the wettestsummer for 100 years and the second worston record; many parts of the countryexperienced floods.

This would have had an impact on bookingsfor festivals.

The economy has a significant impact on thelive sector. Average household income fellin the last quarter of 2012 and this squeezeon peoples’ pockets would also have beenfelt at the box office.

The Olympic Games would also haveimpacted on the sector. Leaving aside anypotential music fans, who would have spenttickets on the Games (leaving less money forbooking festivals) this spectacle wouldhave kept many music fans glued to theirTV sets over the end of July and August.

Some music festivals were cancelled lastyear and some tours delayed. This contrastswith the Take That Progress Tour in 2011,

which was the UK’s biggest stadium tourdrawing over 1.7m fans.

Another factor that needs to be fed intothis is that Glastonbury took one ofits scheduled breaks last year. Thisimmediately takes out thousands of tickets– and an enormous spend - from thedata studied.

However the sudden reappearance of theStone Roses and their successful showsat Heaton Park in Manchester, would haveoffset this some what.

These and other seasonal variations helpexplain a 6% fall (17 million) in totalattendance at ticketed live musicevents in 2012 compared to 2011, of which41% (7 million) were music tourists. Thefall in the numbers of music tourists in 2012was largely due to a weakening of thedomestic tourist market.

However, despite the economic gloom, theabsence of Glastonbury, the effect of theOlympics, and the dismal weather, livemusic continued to be a major draw fortourists.

SENSITIVITY OFLIVE MUSIC STATISTICS


Our analysis studied how music tourismimpacted the English regions and Wales,Scotland and Northen Ireland.

This study found that the capital aloneaccounted for 28% of all music tourismvisits to the UK with 1.8m coming to visitLondon.

With a total live music audience of 4.7min the capital, that meant that nearly 40%of the punters at any gig from Camdento Clapham were music tourists.

As the capital city, London is bound to topthe music tourism charts.

The World Cities Culture Report has mappedthe number of venues, dance halls and othermusical events in London. 28

It listed 349 live music venues. It also listedmusic festivals such as Lovebox in Victoria

MUSIC TOURISMIN THE NATIONS& REGIONS

WISH YOUWERE HERE

50

28 BOP Consulting Practt. A Oakley K (2012 The World Cities Culture Report, Greater London Authority)29 Notting Hill Carnival: A Strategic Review 2004 Greater London Authority

Park, which the report suggested helped toboost the number of musical performancesto just over 17,000.

The Notting Hill Carnival is not includedin Wish You Were Here’s scope (seemethodology), but it should be noted that itis now the world’s second largest – andEurope’s biggest – celebration of Caribbeanculture and attracts well over 1m visitors towest London over the August bank holidayperiod . 29

The carnival is chiefly music based withwell known DJs and radio stations such asBBC Radio One taking a prominent part.The strategic review estimated thecarnival’s economic impact could be morethan £90m.

Many of the visitors to the carnival areprobably tourists – both domestic andoverseas.

WHAT IS THE ETHOS OF THE FESTIVAL?

End of the Road Festival offers an intimateatmosphere to enjoy amazing music,comedy and literature all scattered through-out the grounds. Care and attention is paidto all aspects of the festival, whether it'sproviding quality food – which as much aspossible is organic and locally sourced - andbeer.

I think that our niche taste in music is themain service we were able to provide ouraudience that didn't quite exist in the sameway at any other festival before 2006. Ouraim was to create a perfect festival withelements that were important to us. Theyinclude an intimate atmosphere with afriendly and relaxed vibe, not beingbombarded with adverts and brands, nooverhyped bands headlining, a platformfor new music, respectful staff and securityand plenty of clean toilets. I also think ouraudience appreciate them.

Even the background music between bandsis carefully planned and we only book bandsthat we love. The music spans across allgenres, although mainly focuses on indie,country, folk, blues, electro and rock - butanything goes, as long as it's good.

WHAT MADE YOU DECIDE TO START?

I moved from Sweden to London in 1998 andI had set a goal to work in the music industry.However, once I got here I decided to get anormal 9 to 5 job and keep music as apassion outside of work. When my friendSimon Taffe, who ran a painting anddecorating business at the time (and stilldoes), came up with the idea of starting our

own festival, I jumped at the chance ofgiving my dream job a real go. Neither of ushad any background in the music industryand starting the festival was an incrediblysteep learning curve and a lot of hard work.

WAS IT A SLOW BURN OR SUCCESSFUL IMMEDIATELY?

The first year of a festival is so important.If you fail to convince your audience of howamazing your festival is in that first year itwill be a real struggle to grow. But, wecreated a fantastic first year and even wonBest New Festival at the 2006 UK FestivalAwards. Our audience numbers more thandoubled in the second year thanks to wordof mouth because everyone who came tothe first End of the Road came back withtheir mates in tow. When we started out weaimed for a capacity of 5,000, which wereached by year three. We are now at acapacity of 10,000 and still selling out everyyear. We feel this is a good size that stillallows us to create quality across all aspectsof the festival as well as keeping theintimate atmosphere. Each year comeswith a lot of risk, including the weather,competition from more and more festivals,the state of the economy and finding theright headliners, so we've constantly got towork on making the festival even better.

WHAT DO YOU DO TO STAY COMPETITIVE?

We continuously listen to our audience andseek their feedback. We review each year'sfestival and do our best to identify areaswhere we can improve. We also have a lotof brainstorming with our friends, whichhelps come up with new ideas because it’simportant to keep things fresh and providean element of surprise.

IN FOCUS:FESTIVAL

51WISH YOUWERE HERE

Sofia HagbergEnd of the Road Co-Founder



London is the music tourism

capital of the UK attracting

1.8 million music

tourists.

The North West dominated music tourism outside of the capital, accounting for

17% of all music tourist visits

in the UKin 2012.


London is the music tourism capital of theUK attracting 1.8 million music tourists.

London alone accounted for 28% of allmusic tourism visits in the UK in 2012.

The North West dominated music tourismoutside of the capital, accounting for 17% ofall music tourist visits in the UK in 2012.

The region drew in more than a million musictourists out of a total live music audienceof 2.87m.

The West Midlands was the third largestregion in terms of total numbers of musictourists, attracting 809,000 music tourists.

More interestingly, perhaps, is that musictourists comprised 50% of all live musicaudiences in the West Midlands onaverage. Proportionally, this is much higherthan the national average of 41%.

Only the South East can claim a higherproportion of music tourists relative tolocals at live music events. In the SouthEast, a whopping 53% of all live musicaudiences were, on average, comprisedof music tourists.

Northern Ireland, the North East and Walesarguably punched above their weight.Despite their relatively modestpopulations, they each attracted aninflux of nearly 200,000 music tourists.

E MIDLANDS

WALES

N IRELAND

NORTH EAST

EAST OF ENGLAND

YORKS & THE HUMBER

SOUTH EAST

SOUTH WEST

SCOTLAND

WEST MIDLANDS

NORTH WEST

LONDON

MUSIC TOURISM IN THE REGIONS & NATIONS

0 500 1000 1500 2000

MUSIC TOURIST ATTENDANCE 000’s

MUSIC TOURISM IN THE NATIONS & REGIONS

MUSIC TOURISM ATTENDANCE IN THE NATIONS & REGIONS

Nationally, on average 94% of music touristsare domestic tourists, while 6% are overseasmusic tourists.

This ratio was pretty consistent throughoutthe regions, although London was a notableexception. 11% of music tourists – around194,000 - watching gigs in the capital werefrom overseas compared to the nationalaverage of 6%.

The North West drew in an impressive45,000 music tourists from overseas - farmore than every other region apart fromlondon.

Scotland and the South West each pulled ina notable number of overseas tourists.26,000 visitors from overseas journeyed toScotland to attend a live music event, while22,000 overseas visitors headed in theopposite direction to live music hosted bythe South West.

The West Midlands was the fourth largestregion in terms of the number of overseasmusic tourists, drawing a healthy 24,000music lovers from abroad.

WISH YOUWERE HERE

53

E MIDLANDS

WALES

N IRELAND

NORTH EAST

EAST OF ENGLAND

YORKS & THE HUMBER

SOUTH EAST

SOUTH WEST

SCOTLAND

WEST MIDLANDS

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF MUSIC TOURIST ATTENDANCE – DOMESTIC & OVERSEAS

0 500 1000 1500 2000


DOMESTIC

OVERSEAS




1. BOP Consulting Practt. A Oakley K (2012 The World

E MIDLANDS

WALES

N IRELAND

NORTH EAST

EAST OF ENGLAND

YORKS & THE HUMBER

SOUTH EAST

SOUTH WEST

SCOTLAND

WEST MIDLANDS

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF MUSIC TOURIST ATTENDANCE – CONCERTS & FESTIVALS

0 500 1000 1500 2000


CONCERTS

FESTIVALS

dominated as the premium attraction formusic tourists.

With London boasting some of the greatestgig venues in the world – and a relative dirthof festivals within the M25 - it was nosurprise that 90% (1,622,000) of all livemusic tourists attended gigs and concertsin the capital city. That was much higherproportion that the national average of75%.

171,000 music tourists in the North Eastwere concert goers and just 23,000 went tofestivals.

680,000 of the music tourists in theWest Midlands were concert goers; theremaining 129,000 went to festivals.

In the UK as a whole, far more music touristsattended concerts and gigs than festivals.This is not a surprise with the thousands ofgigs and concerts every night of the year.However, music tourists comprise a higherproportion of festival audiences. Again, thisis not a surprise as some (Glastonbury,T in the Park) festivals are held in rurallocations with very small local populations.

Across the UK as a whole, the study revealed75% of all music tourists attended a concertin 2012, while a quarter attended musicfestivals. But the regional analysis did showsome disparities.

In London, the North East, North Westand the West Midlands concerts and gigs


MUSIC TOURIST ATTENDANCE AT CONCERTS VERSUS FESTIVALS

915,000 music tourists in the North Westwent to concerts; 171,000 went to festivals.

In terms of pulling in live music tourists,festivals ruled in the South East and EastEngland.

In the South East, 276,000 of the region’s392,000 music tourists – 71% – went tofestivals.

In the East of England 66% of live musictourists – representing around 185,000 fans- lolled about at festivals; well above thenational average.

55WISH YOUWERE HERE


In Wales, 45% of its 188,000 live musictourists attended festivals.

The South West also had a higherproportion of its music tourists attendingfestivals relative to the national average,even in a year when Glastonbury did nottake place.

41% of its 464,000 music touristspopulation attended festivals compared tothe national average of 25%.


Photograph by Istock image

The chart above shows direct spend bymusic tourists during the course of their visitto the live music event.

Direct spend includes the price of a ticket toa live show, food and drink, merchandisingsuch as T-shirts, accommodation (whererelevant), and ancillary items such asparking charges and tent pitch charges.A proportion of transportation costs wasalso included.

London was once again in a class of its own.Music tourists in the capital spent £322

million in 2012. Spending by music touriststo the capital accounted for a quarter of allmusic tourism spending in the UK.

Music tourists in the North West accountedfor 13% of all music tourism spending in theUK, while spending by music tourists in theSouth East accounted for 10%.

These are the only three regions, whosecontribution to the national figure reachesdouble digit percentage points.


Spending bymusic touriststo the capitalaccounted for a quarter of allmusic tourism

spending in the UK.


NORTH EAST

N IRELAND

E MIDLANDS

WALES

YORKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

MUSIC TOURIST SPEND IN THE REGIONS

0 100 200 300 400

MUSIC TOURISTS SPENDING £ MILLIONS


MUSIC TOURISM SPENDING IN THE NATIONS & REGIONS

57WISH YOUWERE HERE


NORTH EAST

N IRELAND

E MIDLANDS

WALES

YORKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF DIRECT EXPENDITURE– BY DOMESTIC & OVERSEAS MUSIC TOURISM

0 50 100 150 200 250 300 350


DOMESTIC

OVERSEAS

It was no surprise that overseas musictourists spent a lot more during the courseof their visit than a UK resident musictourist.

They usually have to fork our more fortransportation and accommodation costsbecause they have to travel further andusually stay in an area longer.

Overseas music tourists visiting Londonaccounted for a massive 38% of all musictourism spending in the capital, well abovethe national average.

The £123 million these overseas musictourists spent in London accounted for 10%

of all music tourism spending across thewhole of the UK last year.

Spend by overseas music tourists in each ofthe North West, South West and Scotlandregions accounted for 16% of the totalmusic tourism spend in that region.

While overseas music tourists to the EastMidlands and North East contributed arelatively modest £5 million and £4 millionrespectively towards total music tourismspending in the region, as a proportion,their spending represented 12% and 14%of the regional total.

Spending by overseas musictourists in theSouth East andWest Midlandsamounted to a healthy £15 million while overseas touristsspent £11m in the East of England.


SPENDING BY OVERSEASMUSIC TOURISTS

WISH YOUWERE HERE

58

Photography by I love images

Although many more concerts take placeeach year than festivals, people spend muchmore money at festivals. Thus, across theUK as a whole the split between spend bymusic tourists at festivals and concerts waspretty even: music tourists attendingconcerts accounted for 46% of all musictourism spending, while those attendingfestivals accounted for 54%.

Regionally, however, the story was anythingother than balanced. When it came tospending by music tourists, most regionswere either firmly in the festival camp orconcert camp.

Concerts ruled in the capital. 75% of musictourism spending in London was generatedby gig-goers, compared to the nationalaverage of just 46%. This spending equatedto £242 million.

The North East followed London withconcert-going tourists contributing the lion’sshare of music tourism spending in theregion. Concert tourists to the North Eastcontributed 69% of total music tourismspending in the region.

Concert and gig-going music tourists to theNorth West contributed 61% of musictourism spending in the region – muchhigher than the national average of 46%.In monetary terms, this spending is evenmore impressive at £102 million.

The West Midlands was also in the concertcamp, where music tourists attendingconcerts and gigs accounted for 55% oftotal music tourism spending in the region. In monetary terms, the contribution madeby those attending concerts was £65 millionwhile the contribution made by thoseattending festivals was £54 million.

The South East wears the crown as theregion that generated the most significantproportion of its music tourism incomefrom festival goers, as well as the most byfar in monetary terms - £119 million.

Festival goers generated a mind-blowing92% of all music tourism spending in theSouth East, compared to the nationalaverage of 54%.


MUSIC TOURISM SPENDING AT CONCERTS VERSUSFESTIVALS

Music tourists attending festivals in the Eastof England contributed an incredible 88% ofmusic tourism spending. That’s £80 million– on a par with London for festival spendingby music tourists in a region.

Festival tourists accounted for 77% of totalmusic tourism spending in Wales and 75% in theSouth West – again well above the UK average.

Festivals drove music tourism spending inthe East Midlands and Yorkshire & Humber.While just 36% of all live music tourists tothe East Midlands attended festivals, theycontributed an impressive 69% of musictourism spending in the region. Likewise,37% of music tourists in Yorkshire attendedfestivals, but their spending accounted for 71%of total music tourism spending in the area.

59WISH YOUWERE HERE


Even though festival goers to the NorthWest accounted for just 39% of total musictourism spending in the region, it stillamounted to a handsome £66 million –a higher figure than most other regions.

Northern Ireland is notable for most closelyfollowing national spending trends atconcerts and festivals (46%/54%) .

Spending at concerts by music tourists inNorthern Ireland accounted for 44% oftotal music tourism spending, while festivaltourists accounted for 56%.

In Scotland, concert goers accounted for40% of total music tourism spend, withfestival goers contributing the remaining 60%.

NORTH EAST

N IRELAND

E MIDLANDS

WALES

YORKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF DIRECT EXPENDITURE– AT FESTIVALS & CONCERTS

0 100 200 300 400

CONCERTS

FESTIVALS



In addition to calculating how much musictourists spent directly during the courseof their visit to a live music event, thestudy also estimated the indirect spendinggenerated as a result of music tourismfurther down the supply chain.

Indirect spending relates to the additionalexpenditure generated for UK businessessupported by supply chain activity resultingfrom the direct tourism spending.

Thus, wholesalers who supply cateringcompanies serving up hot dogs and fizzydrinks at live music gigs will indirectlybenefit from the upswing in demand for fastfood from music tourists.

The chart below shows the additionalindirect spend generated in each region.

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60


NORTH EAST

N IRELAND

E MIDLANDS

WALES

Y0RKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF TOTAL MUSICTOURISM EXPENDITURE – DIRECT & INDIRECT

0 150 300 450 600

DIRECT

INDIRECT

£ MILLIONS


TOTAL EXPENDITUREGENERATED BY MUSIC TOURISM

£ MILLIONS

GVA is the contribution that individual partsof the economy make to Gross DomesticProduct (GDP) – the standard measure of anation’s wealth.

In the case of live music tourism, direct GVAis the surplus arising from staging live musicevents, ie, the profits in the case of live musiccompanies and wages in the case ofindividual workers.

Indirect GVA is the surplus attributed tothe demand created by live music eventsfurther down the supply chain.

The ratio between expenditure and GVA isdifferent for each region, to reflect regionaldifferences in economic activity, wages,production costs, price of raw materials,and other factors.

61WISH YOUWERE HERE


NORTH EAST

N IRELAND

E MIDLANDS

WALES

YORKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF GVA – DIRECT AND INDIRECT

0 75 150 225 300

DIRECT GVA (GROSS VALUE-ADDED)

INDIRECT


TOTAL CONTRIBUTION OF MUSIC TOURISM TO GDP

£ MILLIONS

Direct employment relates to the number ofjobs that were generated as a direct resultof music tourism.

There is a relatively high proportion ofpart-time and seasonal employment in thelive music sector. Our calculations tookaccount of this.

The numbers in the graph relate to “full-timeequivalent” employment – meaning twopart-time jobs of 20-hours-a-week wouldequate to one full-time job, and four

seasonal full-time jobs each lasting threemonths would also equate to one full-timejob.

Indirect employment relates to the numberof jobs sustained as a result of economicactivity generated further down the supplychain, arising from the demand created bymusic tourism.

Variations in the ratio between direct andindirect employment reflect regional andsectoral differences in productivity.

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NORTH EAST

N IRELAND

E MIDLANDS

WALES

YORKS & THE HUMBER

EAST OF ENGLAND

SCOTLAND

SOUTH WEST

WEST MIDLANDS

SOUTH EAST

NORTH WEST

LONDON

REGIONAL BREAKDOWN OF EMPLOYMENT – DIRECT & INDIRECT

0 1,250 2,500 3,750 5,000

FULL-TIME EQUIVALENT JOBS

DIRECT

INDIRECT


TOTAL CONTRIBUTION OF MUSIC TOURISM TO EMPLOYMENT

HOW ARE THINGS SHAPING UP?

The venues all say the numbers are down,but they are surviving. No one is panicking.We’ve got several tours out at the momentand maybe they are 10% down on what wasprojected, but it’s not a disaster. Last yearthe flags were out because Take Thattoured in the previous year and now theflags are down because Take That arenot touring.

IS THIS SOMETHING YOU CAN PREDICT?

It is not a science. That’s the whole thingabout promoting. Also, you can’t reallycompare year on year because there are somany factors that come into play. Joe Blowmight tour one year and does 87%business. But, the following year thefactors that had influenced that tour, suchas CDs, press and radio play, may not bethe same so his business may go up ordown. You can’t predict that in advance.

IS THE ECONOMY HAVING A SAY IN HOW THINGS ARE GOING RIGHT NOW?

That is obviously the underlying reasonwhy things are going down, but I think thisyear may be crunchier. There are certainlystories out there that a lot more festivalsare doing badly.

We’ve heard several small festivals went onsale and realised they were not selling thetickets in the way they expected and pulledthe plug early.

Everybody will try and hold a festivaltogether until the last possible minutebecause if they pull the plug early thenthey might lose money; if they leave itnearer the time things may turn a corner...It could always pick up.

WHAT OTHER THINGS ARE HAVING AN EFFECT?

The weather is definitely a factor, to anextent people are telling me that last year’sbad weather has affected tickets for thisyear. If you got stuck in the mud at afestival somewhere last year you’re goingto think ‘do I want to go back? That wasn’tmuch fun.’

It seems that festivals can sell on whathappened the previous year. If they had asunny year and great year of ticket salesthe following year could be good. You getone bad year and…

You certainly see a bit more advertisingaround when perhaps in previous years afestival might have done one ad and soldout. But, if you think about it if you are10,000 tickets short and tickets are pricedat £200 that is a lot of money missing.

AGENT

63WISH YOUWERE HERE


AsgardPromotionsCo-FounderPaul Fenn

The weather is definitely a factor, to an extent people are telling me that last year’s bad weather has affected tickets for this year. If yougot stuck in the mud at a festival somewhere last year you’re going to think ‘do I wantto go back? That wasn’t much fun.’

In chapter one, we demonstrate the growingpolitical support to help music tourismrealise its potential. UK Music believes thissupport can be harnessed by a joined upstrategy for music tourism.

Such a strategy would see the music industryworking alongside central, national and localgovernment, as well as national tourismagencies from across Britain. The strategywould enable the impact of our research inchapter two and three to grow.

Central government could begin to makea number of interventions to kick off thestrategy. This would include:-

–- The Department for Communities andLocal Government to work on developingspecific targeted “live music zones” withincommunities to act as beacons for livemusic scenes. This could lead to a furtherreform of licensing laws to enable zones toapply for a relaxation of time constraints onperformances in order to compete withnight time economies in other countries.

–- The Department for Culture, Media and Sport to implement commitments fromearlier this year for further deregulation ofmusic performances.

–- The Department for Environment, Foodand Rural Affairs to support the Cultural andCommunity Distribution Deregulation Billwhich aims to reduce the bureaucracyassociated with handing out leaflets forsmall scale gigs and events.

–- The Department for Transport to look atsafety on public transport following gigsand festivals and develop innovative waysto improve the experience.

–- The Home Office and Ministry of Justiceto look at the effect of the secondaryticketing market on music tourism,



UK MUSIC RECOMMENDATION

A comprehensivestrategy for

music tourism

including consideration of legislative steps tocombat any abuse of the market.

–- The Department for Education shouldensure that school careers services workwith music employers to promote the widerange of highly skilled roles in the live musicsector and wider music industry.

–- The Department for Business, Innovationand Skills to help employers involved inmusic tourism to play an active role indesigning and delivering apprenticeshipsand training to suit the needs of the sector.

–- The Foreign and Commonwealth Office, as part of its work with UKTI, to work withcountries from across the world to unlockany restrictive entry practices that preventUK musicians from being able to break intooverseas markets and develop fan basesfrom across the world. Likewise, ensure thatFCO staff in UK consulates around theworld follow agreed policy and procedurewith respect to visa applications from visanationals seeking to work in the UK.

–- The Department for Energy and ClimateChange to actively promote green practicesat festivals and events to assist theGovernment in meeting its targets to reducecarbon emissions.

–- The Department for Work and Pensionsto work with venues and events to improveaccess for disabled people.

–- The Scotland, Wales and Northern Ireland Offices, together with respective devolvedgovernments and administrations, to workon existing and new policies to encouragemusic tourism.

The progress of any strategy should becontinually monitored over the next five yearsto enable progress to be measured alongsidevisitor targets for the UK made by agenciessuch as VisitBritain.

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65

Julie’s BicycleDirectorAlison Tickell


WHAT ARE THE BIG ENVIRONMENTAL ISSUES AROUND LIVE MUSIC & FESTIVALS?

For music this is such a big issue. We aretalking about bricks and mortar, we aretalking about the movement of artists andaudiences, we are talking about outdoortemporary events, the wood and steel usedin sets.

So what can we do together? It might bearound energy bundling or around collectiveprocurement of a commodity, but there aresome wonderful things we can start doing.

We need to recognise there is an issue. In both the built environment – music venues– and festival environment, we have to focuson energy use. We have a lot of old musicvenues that were not built with energyefficiency in mind.

They tend to be very leaky so there is a realopportunity for the music industry to sortout its building stock.

The low hanging fruit is always energyefficiency, having better insulation andbetter energy management. There is a lotof money to be saved if people do itreally seriously.

Some organisations have been brilliant,especially the big arenas. That is becausethey have got big energy bills so they areoften compliant under the CRC EnergyEfficiency Scheme (introduced byGovernment to reduce carbon emissions).

The biggest draws on energy are HVAC(heating, ventilation and air conditioning)systems, so understanding heating andcooling is important.

Also, lighting. Investing in low carbonlighting can save a lot of money.

And I suspect we will find there are somesavings to be done with sound.

We’re at a very interesting moment in ourenergy story where energy is becomingmore and more expensive so the need toget energy use down and transit from afossil based fuel economy to one that isbased on re-newables is urgent.

WHAT ARE THE CHALLENGES FOR FESTIVALS?

To work with festival promoters andsuppliers and see how we use diesel.

There is a disconnect between whatpromoters know about how much energy isused in their generators for their stages andwhat is being supplied to them.

Some people buy generators that are toobig and it is also how you use them. Youdon’t actually need to power a generator atfull throttle all the while, especially at nighttime when it could be idling. This soundsvery obvious and can potentially save a lotof money just by some basic housekeeping. Solar power can offer quite a lot at festivalsand probably isn’t used enough at themoment. The level of risk is much smallerthan it was.

Waste is also a big issue. Festivals in thiscountry have done very well on waste andyou have got some smaller festivals withzero waste.

With the bigger festivals we have seen ahuge reduction in waste plus a huge rise inrecycling.

IN FOCUS:ENVIRONMENT



Also festivals have been very good atlooking at their concessions and how theycan use green suppliers.

One of the things about festivals is they aregood at trying things out, they are places toinnovate. So if you look at what hashappened in the sustainability sector withinitiatives such as waterless urinals orharvesting urine these were tried out byfestivals a while ago.

Audience travel is an unfortunate sideproduct of travelling to see a gig or go to afestival, yes, but there is a lot of sharing cars.We are now at a point where more than twopeople travelling in a car has become thecommon way of getting about.

Most festivals now provide advice on how totravel more greenly and promoters areimaginative about some of the incentivesthey will give people such as campingprivileges if you cycle.

There are also a lot more local festivalspopping up so there is less need for peopleto travel long distances.

We want the tourists. The last thing we wantto say is we want to scupper an economy onthe basis of environmental stuff. We justwant to make sure we do it all a bit better allthe time.

ARE BANDS DOING ENOUGH TO SAVE THE PLANET?

I wish they were pushing the green messagea bit more; they could do a lot more thanthey are currently doing.

These are difficult places to pull togethersomething that requires systemic culturaland business model change.

We are not talking about a cause here - ifonly it was so easy - we are talking about areally profound change to how we thinkabout ourselves and our work in relation tothe world around us.

That requires us to think a lot aboutourselves and the sorts of choices wemake and how we relate to the businessthat supports us. If you come togetherto answer systemic change then thereis no single head.

We want thetourists. Thelast thing wewant to say

is we want toscupper aneconomy onthe basis of

environmentalstuff. We justwant to makesure we do itall a bit betterall the time.

This paper summarises our approach toestimating the economic impact of livemusic tourism (both foreign and domestic)on the UK economy during 2012. The resultsbuild on previous research, commissionedby UK Music, and carried out by theInternational Centre for Tourism andHospitality Research at the University ofBournemouth. The transparency with whichwe are able to outline this approach islimited, to some extent, by the confidentialnature of some of the data obtained fromthird party sources e.g. data provided by PRSfor Music on the value of royalty paymentscollected for artists.

For the purposes of measuring thenumbers of music tourists in the UK,their spending and associated economicimpact, this study counts music goersas tourists:

–– For overseas visitors, if they book theirticket to a music event from their homeaddress in a country outside the UK.

–– For domestic visitors, if they travel at least three times the average commutingdistance in the Government Office Region(GOR) in which the event took place inorder to attend the event.

We also include the following restrictions:

–– We have examined attendances at live music events in a setting with a capacitylimit of at least 1,500. As such the figuresshould be viewed as conservative. Theissue with not setting a limit on venuecapacity is one of tractability.

–– Live music must be the primary attraction at the relevant event. Great care has beentaken to exclude cases where music isonly part of the offering, such as culturalfestivals, arts festivals and musicaltheatre. Including these would necessarilyincrease the results.

Our methodology involved estimating theattendance at live music events across arange of entertainment venues (festivals,arena concerts, stadium concerts, parkconcerts and concerts at other venues e.g.nightclubs, theatres etc). This breakdownwas primarily influenced by the existingformat of some of the data that wasprovided to us (particularly by PRS forMusic).

For both concerts and festivals, two mainchannels of economic impact weremeasured: first, the box office receiptsgenerated by foreign and domestic tourists;and, second, ancillary spending of domesticand foreign tourists as a result of attendingthese events. Doing so required us toestimate the number of domestic andforeign tourists at within-scope events. Forthis, data from a range of ticket distributorswere used to estimate the proportion ofthese attendees that were domestic (asdefined in this study) and foreign touristsrespectively. In total, this gave a sample sizeof just over a quarter of the tickets sold towithin-scope events during 2012.

In addition, the economic impact includedestimates of the additional expenditure byforeign tourists during the entirety of theirstay in the UK. Such an approach wasconsistent with that used in the previous

METHODOLOGY

WISH YOUWERE HERE

67

The analysisof the impactof live musicon tourismwas carriedout by Oxford Economics

study and is also consistent with the methodused by the Office of National Statistics (ONS)when assessing the economic contribution ofevent-driven foreign tourism . 30

These expenditure estimates were thentransformed into more standard metricssuch as Gross Value Added (GVA) and FullTime Equivalent (FTE) employment.

The final stage of the analysis was to assessthe “multiplier” effects of such an injectionof expenditure. Although, many impactstudies quantify both the indirect andinduced effects of an initial direct stimulus,the analysis in this study is constrained tojust the indirect or supply chain effect. Doingso ensures that our estimates are consistentwith the official valuation of GDP.

The remainder of this section providesfurther detail on each of these stages asfollows:

–– The methodology used to classify local tourists.

–– The approach used to estimate theattendance and associated flows ofdomestic and foreign tourists to livemusic events.

–– The estimation of the various channels of expenditure including box office receipts, associated ancillary spending, and wider trip expenditure by foreigntourists.

–– The methodology used to transform these expenditure values (essentially estimates of direct GO) into an associated contribution to GDP and FTE employment.

–– The approach to quantifying the indirectimpact of live music tourism spending.


30 For example when the ONS assessed the value of in-bound tourism associated with the staging of the 2012 Summer Olympics, it included the total spending of foreign tourists who purchased tickets for Olympic and Paralympic events whilst in the UK. Seehttp://www.ons.gov.uk/ons/rel/ott/travel-trends/2012/rpt-travel-trends--2012.html#tab-Visits-to-the-UK-for-the-London-2012-Olympic-Games-and-Paralympics for further details.

METHODOLOGY

CLASSIFICATION OF A TOURIST

Domestic visitors were classified as either“locals” or “tourists” based on distancetravelled to the venue rather than onwhether their initial location was in adifferent GOR. The challenge with using a“distance” criterion was defining anappropriate threshold for distance travelled.To our knowledge, there is no officialguidance on this issue, with the ONS insteaddefining a domestic tourist as someone whohas travelled “outside of their naturalenvironment”.31 Given this phrase, we felt itappropriate to quantify the threshold interms of the distance of an average“commute” which provides a benchmark ofwhat one might consider a “naturalenvironment”. The decision to multiply this

distance by three was, to some extent,arbitrary (multiplying this distance by twowould also in our view be entirelydefensible) but reflected our aim to retaina relatively conservative approach toestimation.

In order to quantify average commutingdistances across the GOR’s we used datafrom the ONS on commuting patterns of UKresidents across Local Authority Districts(LADs) in 2011. 32 For each LAD, a postcodewas taken to correspond to the centre of thearea. The distance between relevant LADswas then quantified using mapping softwarewhich enabled us to produce an estimate ofthe average commuting distance for eachLAD. These figures were then appropriatelyaggregated to the GOR level. 33

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69

GOR AVERAGE COMMUTINGDISTANCE (MILES)

GOR DOMESTIC TOURISMTHRESHOLD(MILES)

EAST MIDLANDS

EAST OF ENGLAND

LONDON

NORTH EAST

NORTH WEST

SCOTLAND

SOUTH EAST

SOUTH WEST

WALES

WEST MIDLANDS

YORKSHIRE & THE HUMBER

UK

12.4

13.8

11.5

13.9

11.1

15.7

12.9

13.3

12.2

12.7

13.6

11.8

37.2

41.5

34.5

41.6

33.4

47.2

38.8

39.9

36.6

38.1

40.9

35.5

Estimated average commuting distance and associated distance threshold for categorisation of domestic tourism by GO

31 See for example p.12 of the TSA recommended methodological framework (http://epp.eurostat.ec.europa.eu/portal/page/portal/tourism/documents/BGTSA.pdf). 32 2012 data was not available at the time of the research. Since average commuting distance is unlikely to be subject to much short-term volatility any distortion to the results is likely to be negligible. 33 Data for Northern Ireland was not available, so the threshold was assumed to be equal to the UK average of 35.5 miles.

METHODOLOGY

ESTIMATING ATTENDANCE ANDTOURISM FLOWS

Our method for estimating attendancevaried according to the type of event venueand the associated evidence base that wasavailable. 34

FESTIVAL ATTENDANCE 35

We compiled a database of festivals alongwith information where possible oncapacity and attendance. In total, our listdocumented 279 festivals although not all ofthese took place during 2012.36 Of these, weobtained capacity data for 228 (82%).Therefore, the first step was to estimatecapacity data for the remaining 51 festivals.In order to do so, we used the followingdecision rules:

–– We assume that capacity informationfor larger festivals (capacity of at least30,000) will be more readily available andhence assume that all festivals with anunknown capacity are smaller than this.

–– It also seems reasonable to assume thatfestivals with no capacity informationare smaller on average. Therefore, we reduce our estimate of the number of unknown festivals that have capacitiesbetween 5,000-29,999 and 1,500-4,999by 25%.

–– In addition, it is assumed those festivalsfor which we have no capacity data butthat are thought to have capacitiesgreater than 5,000 have smaller average capacities than festivals in

our database, so we reduce the expected capacities of these venues by 33%. A similar assumption is made about festivals with an assumedcapacity of between 1,500-4,999.

–– Our evidence base for attendance is much smaller but is applied whereavailable. In line with the previousreport, we assume that festivals witha capacity of greater than 30,000 sold out with the remainder ofin-scope festivals assumed to havebeen attended by an audience of90% of the venue’s capacity.

–– As a final step, we attempted to adjustour estimates for the fact that the preceding analysis formed estimates of the daily capacity/attendance at thevarious music festivals despite the majority of festivals being multi-dayevents. In order to adjust for this, datawas collected on the length of festivals.Where this information was not available, we assumed a length of 2.7days, equivalent to the average length of festivals for which this information wasavailable. 37 Multiplying the daily attendance by the number of days wouldprovide an upper bound for the numberof unique attendees. However, it is clear that a significant proportion of visitorsattend for the entire duration (or at leasta period longer than one day) of thefestival. Therefore, we assumed that17.5% of festival goers were day visitorswith the remainder attending the wholeof the festival. This was based on ticketingdata made available to us about thebreakdown of ticket sales for some of themajor UK music festivals.



34 To reemphasise, for a festival to fall within the scope of this study, the primary offering of the event must be music, therefore excluding events such as the Edinburgh Festival, Greenbelt Festival, WOMAD and the Huddersfield Contemporary Music Festival where music forms only part of theoffering. 35 This approach draws heavily on the previous report undertaken by the International Centre of Tourism and Hospitality Research at theUniversity of Bournemouth. 36 In particular, a number of festivals were cancelled in 2012 reflecting a variety of factors such as poor weatherconditions, saturated demand for live events due to the staging of the Olympics etc. 37 This average excluded the Proms and other abnormallylong-running festivals in order not to distort the mean.

METHODOLOGY

In total, these steps resulted in finalestimates for total individual attendanceat within-scope music festivals of 2.8million in 2012. (See table below.)

ARENA ATTENDANCE

In comparison to festivals, estimating theattendance at arena concerts was morestraightforward. We extrapolated the resultsfrom reports by SEC 38 on attendance andbox office receipts of concerts at coveredvenues across the entire UK arena popula-tion . 39

For arenas not covered in the SEC report weassumed that the venues held the samenumber of concerts, were on average filledto the same level of capacity, and chargedthe same average ticket price. Based on this,we estimate total arena concert attendancein the UK of 7.8 million in 2012.

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71

38 “Music and Event Research 2012”, a report prepared for the NAA by SEC Ltd, March 2012, and “Music and Event Research 2012”, a reportprepared for the NAA by SEC Ltd, March 2013. 39 In addition to the NAA members, the results from the SEC report also cover ticket sales atthe Manchester Arena and the Metro Radio Arena in Newcastle. Together these venues account for over 80% of the total capacity of UK arenaswhich regularly stage music concerts. 40 PRS for Music is a society of songwriters, composers and publishers which licenses organisations toplay, perform or make available copyright music and then distributes accruing royalties appropriately. Since royalty payments are set as fixedproportion of box office revenue the value of a royalty payment can be used to quantify the box office revenue of that event.

NUMBER OF FESTIVALS

AVERAGE CAPACITY PER DAY

Capacity greater than 30K

Capacity between 5K and 29.9K

Capacity between 1.5K and 4.99K

Less than 1.5K

Unknown Capacity

Imputed between 5K and 29.9K

Imputed between 1.5K and 4.99K

Imputed less than 1.5K

Total

Total within scope

21

81

60

49

51

16

16

19

262

194

53,300

12,200

2,600

600

3,300

8,200

1,800

600

10,100

12,500

AVERAGE ATTENDANCE PER DAY

53,300

11,000

2,400

600

3,000

7,400

1,600

600

9,500

11,900

TOTALATTENDANCE PER DAY

1,119,000

895,000

141,000

28,000

153,000

117,000

25,000

11,000

2,335,000

2,297,000

TOTALINDIVIDUAL ATTENDANCE

1,228,000

1,190,000

183,000

31,000

200,000

156,000

32,000

12,000

2,832,000

2,789,000

Estimated UK music festival capacity and attendance in 2012

OTHER CONCERT ATTENDANCE

These events were classified into threeseparate categories: stadium concerts; parkconcerts; and concerts at other venues suchas nightclubs, theatres and academies. Foreach of these categories we used PRS forMusic data 40 on concert royalty paymentsto estimate the total box office sales forconcerts at these venues with a capacity ofat least 1,500 in 2012. Based on this, totalattendance at these events was estimatedusing an assumed average ticket price.The assumed average price was based onthe (mean) average price of the variousevent types according to the sample ofticketing data made available to us byticketing agents and box offices.

METHODOLOGY

ESTIMATING TOURISM FLOWS

Having generated estimates of totalattendance at music festivals and concertssplit by the various venue types, we thenestimated the respective flows of foreignand domestic tourists to these events usinga large sample of ticket data sourced froma variety of agents. Included in the datawere details on the number of ticketspurchased, the value of the transaction, thefirst half of the customer postcode anddetails on the name of the event and venue.Once this dataset had been filtered toexclude both events where music was notthe sole entertainment offering and wherethe venue had a capacity of less than 1,500,we were left with just over 4 million ticket

sales, equivalent to over a quarter of totalestimated attendance at the various musicevents.

Based on the available ticket sample, wedeveloped estimates of the proportion ofticket sales that were sold to domestictourists, foreign tourists and locals indifferent GORs across the five event types.For each domestic transaction, an estimatewas generated for the distance travelled bythe purchaser using the relevant postcodedata, and then compared to the thresholdvalues for a domestic tourist. In instanceswhere our sample size for the specificGOR/event type combination was less than5% of estimated total attendance, therelevant tourism penetration flows were



SHARE OF ESTIMATED ATTENDANCE

ARENAS FESTIVALS OTHER PARK STADIUM TOTAL

40%

35%

30%

25%

20%

15%

10%

5%

032% 20% 21% 17% 43% 27%

Estimated share of total attendance in ticket sample by event type

METHODOLOGY

estimated based on the average resultsf rom o ther regions. We decided toaggregate the results from ticket salesacross two years and apply the averagetourism penetration rates to ourattendance figures in each year. Therationale for doing so was that we wereconscious that although the sample sizewas relatively large, year-to-yeardifferences were more likely to reflectstatistical noise rather than a definitivechange in trend. This view was based on acomparison of the results for individualGOR/event type combinations where wehad a large sample size for both years (overa 1/3). In these cases, there was very littlechange between the observed patterns oftourism penetration between the two years.

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GOR

CONCERTS

Locals DomesticTourists

ForeignTourists

FESTIVALS

SCOTLAND

NORTH IRELAND

WALES

NORTH EAST

NORTH WEST

EAST MIDLANDS

WEST MIDLANDS

YORKS & THE HUMBER

EAST OF ENGLAND

SOUTH EAST

LONDON

SOUTH WEST

UK

66.4%

65.7%

61.8%

70.6%

63.3%

75.3%

51.8%

64.3%

72.6%

61.6%

61.7%

66.3%

62.9%

31.7%

33.1%

37.3%

28.4%

35.0%

23.6%

46.8%

34.4%

25.3%

36.8%

34.1%

32.5%

34.8%

1.8%

1.3%

0.9%

1.0%

1.7%

1.1%

1.4%

1.3%

2.1%

1.5%

4.2%

1.2%

2.3%

Locals DomesticTourists

ForeignTourists

38.8%

39.3%

37.4%

39.3%

42.0%

39.3%

39.4%

35.7%

38.7%

41.1%

60.0%

21.1%

40.5%

59.6%

59.1%

62.1%

59.1%

57.6%

59.1%

59.0%

62.7%

58.8%

56.0%

35.9%

73.8%

57.1%

1.6%

1.6%

0.5%

1.6%

0.4%

1.6%

1.6%

1.6%

2.5%

2.8%

4.1%

5.1%

2.4%

Assumed visitor shares by event type and GOR

METHODOLOGY

ESTIMATING TOURISM SPENDING

BOX OFFICE RECEIPTS

For festivals, we applied an assumed averageticket price to our estimate of total uniqueattendees. The assumed average price wasbased on the sample of ticketing data forfestivals across different regions of the UK.For regions where we felt that the datasample was not sufficiently representative(ticket sales covered less than 25% of totalestimated attendance) an average priceacross the other regions was used.

For arena concerts, we extrapolated theresults from the SEC arena survey on boxoffice receipts across other UK-basedarenas assuming the same average ticketprice of £43.71 in 2012. (See chart below.)

For the remainder of concerts (parks,stadiums and other venues), we used datacollected by PRS for Music on royaltypayments to estimate box office receipts atconcerts across each GOR. Since royaltypayments are set as a fixed proportion ofbox office receipts (although the tariff doesvary depending on the type of events), thismethod should provide an accurate means

of estimating total box office revenue.Although, it would be impossible to producea “complete” estimate for this question, weare confident that the PRS for Music figuresoffer the most extensive coverage of anyavailable source. These figures are net of VATand do not reflect any booking fees or othercharges by ticket vendors.

ANCILLARY EXPENDITURE

In general our approach to quantifyingassociated ancillary expenditure involvedapplying information gathered from surveyresponses on spending habits to ourestimates of the total number of foreign anddomestic tourists.

For festivals we relied upon a combinationof the AIF survey data for 2011 and2012 41 and survey responses supplied byRichard Fletcher, Festivals Manager at DeMontfort University. These surveys dividerespondents into locals, foreign anddomestic tourists 42 which neatly fitted intoour approach. Respondents are asked avariety of questions about total on-site andoff-site expenditure during their visit to thefestival. We categorised this expenditure


41 Given that the size of these surveys is not large compared to the overall population and that the results are fairly volatile from year-to-year wedecided to use the average results from the 2011 and 2012 surveys to help adjust for such statistical noise. 42 The AIF survey defines someone asa domestic tourist if they travel in excess of 20 miles in order to attend the festival. This clearly does not match up to our definition, the impact ofthis discrepancy is almost certainly negligible. 43 These figures have been adjusted to remove the estimated share of the Dublin O2 arena (in termsof attendance, capacity, box office receipts etc). Activity at the venue is counted as part of the SEC aggregate figures but falls outside of the scopeof this project which is only concerned with UK-based live music events.

UK ARENAS COVERED BY THE SEC REPORT 2012

AggregateCapacity000’s

234 6.014 43.71 252.9

AggregateAttendance000’s

AverageTicket Price£

Total Box Office Receipts£ mns

OTHER UK ARENAS

AggregateCapacity000’s

48 1.792 43.71 78.3

AggregateAttendance000’s

AverageTicket Price£


TOTAL POPULATION

7.806 341.2

TotalAttendance000’s


Extrapolated arena attendance and box office receipts 43

METHODOLOGY

into five items: accommodation; travel;onsite spending; offsite spending and other.The implied spending patterns aresummarised below. We then allocatedthis expenditure geographically using thefollowing decision rules, consistent with theprevious report:

–– It was assumed that 50% of the difference between foreign and domestic tourist’stravel expenditure will leak abroad, withthe remainder located within the UK. Forboth domestic and foreign tourists, weassumed that 50% of domestic travelexpenditure impacts locally. This residual50% was then split between the GORsbased on their share of UK transport GVA to ensure that the regional total summed to the national estimate.

–– In order to avoid double counting of boxoffice revenue (which can includecamping costs) we excluded one quarter of the accommodation expenditure by foreign and domestic tourists.

Although it is likely that average ancillaryspending at concerts will be lower than atfestivals, it is fair to assume that tourists willstill need to spend money to travel to thevenue and will undertake some offsitespending on accommodation, food anddrink etc. Therefore, in line with theprevious study we assumed that foreignand domestic tourists would spend thesame average amount on travel and offsitespending. However, reflecting the shorterduration of a concert, we scale these figuresdown to reflect one day’s expenditure.

In addition, we were allowed access to anNAA survey of individual members ononsite expenditure at concerts. Due toissues of confidentiality we are not able toshare details on the expenditure figurescollected in this survey but it does meanthat our results include estimates of onsiteconcert expenditure on merchandise andcatering. We assumed that these spendinglevels applied across the other concertvenue types (stadiums, parks, other).

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44 The onsite figures include the residual part of entertainment expenditure excluding the price of the ticket. The economic impact of the latter is already accounted for in terms of our estimate of box office receipts. The average festival price was based on the average price implied by the ticketing data.

AVERAGE EXPENDITURE [£]

Domestic Tourist

Local

Foreign Tourists

5.803

1.682

355

Sample Size

36.7

12.9

129.5

Accommodation

45.0

13.1

191.9

Travel

112.1

75.7

113.0

Onsite Spend

26.9

12.2

26.0

Offsite Spend

13.8

13.8

21.7

Other

Summary of survey responses on survey ancillary spending 44

METHODOLOGY

WIDER FOREIGN TOURIST SPENDING

In addition to the ancillary expenditure byforeign tourists related to their visit to themusic event, we have also estimated thewider trip expenditure by visitors to the UK.In order to do so we used data from thelatest International Passenger Surveys (IPS)compiled by VisitBritain. According to IPS(2012) the average foreign visitor to the UKspent 7.4 nights in the country on each visitwith an average expenditure of £81.0 pernight. We used these figures to extrapolatefor foreign music tourists for the remainderof their expected stay in the UK. Therefore,for festival-goers in 2012, it was assumedthat they spent an additional 4.7 nights(using the assumption that the averagefestival lasts 2.7 nights) in the UK spending£81.0 per night etc.

This additional expenditure was thenbroken down sectorally based on thebreakdown of tourist expenditure by regionclassified in the 2011 UK Tourism SatelliteAccount (TSA) developed by the ONS. Thisbreakdown is summarised in the table below.

VALUING THE CONTRIBUTION TO GDP AND EMPLOYMENT

The next stage of our analysis was totransform the gross expenditure figures(effectively an estimate of gross output(GO)) into metrics of more interestincluding the direct contribution to GDPand associated employment. In order to doso, our general approach was to apply arelevant ratio of GVA to expenditure(depending on the nature of the spending).FTE employment figures were then derivedbased on estimates of regional productivityin that sector.



Breakdown of tourist expenditure by region

GOR Accommodation Services forVisitors

Food & Beverage

Serving Services

PassengerTransportServices

SCOTLAND

NORTH IRELAND

WALES

NORTH EAST

NORTH WEST

EAST MIDLANDS

WEST MIDLANDS

YORKS & THE HUMBER

EAST OF ENGLAND

SOUTH EAST

LONDON

SOUTH WEST

14.9%

12.7%

15.1%

10.6%

9.9%

8.7%

8.7%

11.5%

9.2%

8.1%

13.3%

16.8%

21.3%

23.6%

25.5%

20.9%

18.5%

24.4%

20.8%

25.9%

20.5%

20.0%

15.4%

22.5%

14.6%

14.2%

9.5%

19.8%

24.1%

9.7%

14.6%

10.1%

15.6%

19.9%

31.8%

8.0%

Cultural, Sport & Recreational

Services

Other Product

4.5%

4.7%

6.1%

2.9%

4.5%

5.5%

6.6%

7.0%

4.7%

5.7%

4.1%

5.3%

44.8%

44.8%

43.8%

45.8%

43.0%

51.9%

49.4%

45.4%

50.1%

46.4%

35.5%

47.4%

METHODOLOGY

GVA

Ratios of sectoral GVA to GO were sourcedfrom the Annual Business Survey (ABS)produced by the ONS. The latest availablepublication relates to calendar year 2011, sothe results from this were assumed to holdin 2012. The table below documents theratios that were applied for variouscategories of expenditure including therelevant SIC codes that were used.

The ratios reported below were used for thevarious categories of ancillary expenditureidentified during the analysis. Meanwhile, forbox office receipts we used a breakdown ofrevenue from an arena concert suppliedby Paul Latham, Chief Operating Officer ofLive Nation from the UK Music Live MusicGroup. His view was that the relevantaspects of this dataset (i.e. the ratio of valueadded to total receipts) would also apply fora festival. Due to issues of confidentiality, wecannot provide details on the breakdown butthe data indicated that the ratio of GVA toGO for box office receipts was around 0.595.

FTE EMPLOYMENT

The resulting estimates of direct GVAwere used to quantify associated FTEemployment using relevant estimates ofproductivity by sector and region. Thesewere derived based on data and forecastsfrom Oxford Economics’ regional forecastingmodel which covers GVA and employmentacross a range of sectors. Since datawas not available to the same level ofdisaggregation as the ABS, wider sectorshad to be used to cover expenditurecategories (e.g. rather than passengertransport, transport and storage was usedas the relevant sector). In order to adjust forpart-time employment, we used data fromthe Business Register Employment Survey(BRES) by the ONS. This documentsthe number of full-time and part-timeemployees working across different sectorsof the economy. A scaling factor was thendeveloped assuming that a part-timeemployee on average works for half thenumber of hours per week as his full-timeequivalent. Productivity estimates aresummarised overleaf.

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All monetary figures presented in the table are in £millions except for the UK business economy which is in £billions.

Turnover and GVA by sector

SECTOR

Passenger TransportFood and beverage service activitiesAccommodationCultural, sport and recreational activityRetail trade, except of motor vehicle and motorcycleUK Business Economy

49.1 49.3 50.1 50.3 51.1565591 9347

SIC

46,82453,59519,09817,666341,7163,322

Turnover

16,29525,1539,8218,16068,908974

GVA

0.3480.4690.5140.4620.2020.293

Ratio

METHODOLOGY

QUANTIFYING THE INDIRECT IMPACT

In order to quantify the indirect impactacross the various regions of the UK weused a dynamic regional input outputmodel of the UK economy. The modelshows the major spending flows from“final demand” (i.e. consumer spending,government spending investment andexports to the rest of the world);

intermediate spending patterns (i.e. what

each sector buys from every other sector

– the supply chain in other words); how

much of that spending stays within the

economy; and the distribution of income

between employment and other forms

such as corporate profits. In essence an

input-output model is a table which shows

who buys what from whom in the economy

(See table opposite.)



FTE jobs per £million of GVA by region and sector

GOR Accommodation & Food Services

Arts, Entertainment& Recreation

Transport& Storage

SCOTLAND

NORTH IRELAND

WALES

NORTH EAST

NORTH WEST

EAST MIDLANDS

WEST MIDLANDS

YORKS & THE HUMBER

EAST OF ENGLAND

SOUTH EAST

LONDON

SOUTH WEST

38.4

37.6

39.5

36.5

37.0

39.7

41.3

39.7

29.3

41.8

28.0

37.6

32.4

25.8

35.4

31.0

31.3

30.5

30.0

29.6

29.7

27.4

21.5

27.1

23.0

34.2

26.8

29.9

28.2

29.5

32.3

30.6

32.5

27.6

17.5

24.8

Wholesale & Retail Trade

WholeEconomy

27.7

28.9

32.0

27.5

28.0

25.8

27.4

26.2

27.6

23.2

19.6

27.9

20.4

21.6

23.4

22.1

22.7

22.5

22.9

23.1

20.3

19.2

14.9

21.8

METHODOLOGY

The ONS periodically produces input outputmodels of the UK economy 45 but does notdisaggregate these to the regional level. Inorder to estimate such a variant for eachGOR, we followed the process adoptedby Flegg et al (1995).46 Therefore, therelationships between different sectorsembedded within the domestic use IO tableare adjusted to accommodate both theirrelative sizes in comparison with the rest ofthe UK, as well as their relative importancein the regional economy. In doing this, thedomestic use input-output table betterreflects the nature of the regional economyand the level of inter-regional tradeoccurring for the area of interest. Inpractice, the local multipliers are smallerthan at the national level, reflecting a muchhigher incidence of “leakage”. 47

In addition, an iterative process wasrequired to reflect the fact that some of the

“leakage” from another GOR will reflectdemand created across other regions ofthe UK. So, for example, a one stage-modelwould only pick up demand created forScottish suppliers by the live music tourismactivity estimated to have taken placewithin Scotland and therefore wouldexclude demand created for Scottishsuppliers by live music tourism activity inother parts of the UK.

Across each region, the input to themodel was calculated as the sum of GOless GVA (technically equal to intermediateconsumption) allocated sectorallyaccording to the breakdown of intermediateconsumption of the relevant sectorsaccording to the IO table. This generatedan estimate of indirect GO whichwas transformed into GVA and FTEemployment using the same process asoutlined earlier.

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45 The most recent covered economic activity during 2008. 46 Flegg A. T., Webber C. D. and Elliott M. V. (1995) “On the appropriate use of location quotientsin generating regional input-output tables”, Reg. Studies 29, 547-61. 47 “Leakage” refers to any channel through which an injection of money and thereforedoes not support economic output and activity in the specified region of interest. For example, when a company purchases goods and services, some of thesemay be purchased from abroad, and therefore would not add to the GDP of the company’s country of origin. These imports would be referred to as “leakage”.At a regional level, such leakage will inevitably be higher (compared to the national level), as “leakage” occurs not only when goods and services in the supplychain are purchased abroad but also from other regions within the national economy.

A stylised input output model

Industry 1

Industry 2

Industry 3

Industry 1

C 1,1

C 1,2

C 1,3

Industry 2

C 2,1

Industry 3

C 1,1

Employment

Incomes

Profits

C 1.4

C 1.5

Consumer Spending

C 4,1

Other Final Demand

C 5,6,7,1

Total Output

C 8.1

Leakages C 1,6,7

Total Inputs C 1.8

METHODOLOGY

HOW DID YOU START IN THIS BUSINESS?

I have lived here near Glastonbury Festivalall my life. For the past seven years werented out our house to journalists going tothe festival. That was lucrative, although abit of hard work.

In previous years we moved out of our houseand camped in the garden and it pays for ourfamily holiday. Out of that came festivalbeds because there was an obvious need formore accommodation in nice places.

Other than that the only alternative wasa tent or glamping, which has flooded themarket. But, glamping is not for everyone;you still have to share a loo with someoneand if you are working it is not ideal.

SO FESTIVAL BEDS WAS BORN OUT OF DEMAND FOR ACCOMMODATIONNEAR GLASTONBURY?

That and also a need for locals in the areato make a bit of cash out of the festival.

We have all had a moan about the traffic andthe noise. Now there is a chance for thelocals with homes in Glastonbury to make abit of money as well.

I think it has gone much more middle classand not everyone is cut out for camping.

HOW DOES IT WORK?

We put a flyer drop through the door. It willsay something like ‘would you fancy rentingout a house, a room or even a tent in theback garden’.

As long as there is a flush loo and it is dryand comfortable. Then we put up a list ofthe properties that are available. Basically,for Glastonbury we have a list of around 40properties – not all houses, some are B&Bs,some are just a room and a house share.

HOW MUCH MONEY CAN PEOPLE MAKE?

I think we have got about three houseswhere people are leaving completely. Theycan make something like £3-4000 if it istheir whole house.

If they are only doing B&B maybe they cantake £700 and we have proper terms andconditions like a proper letting company.

We had some places booked up six monthsin advance and people who go to the localB&Bs and hotels around book up for thefollowing year when they leave this year’sfestival.

DO YOU JUST OPERATE AT GLASTONBURY FESTIVAL?

No, we have been doing Reading, Leeds andBestival this year. And have plans to expandelsewhere, maybe even move abroad. It’s agood way of creating more accommodationand keeping locals at these places happyby putting a bit of money their way.

ACCOMMODATION


Festival BedsCo-ownerKate Lewis


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Ok Go at KoKo. Photograph by Rosie Allt.

ANNEXTABLES



REGIONTotal Attendance(‘000S)

MusicTourists(‘000S)

UK

LONDON

SOUTH EAST

SOUTH WEST

EAST OF ENGLAND

EAST MIDLANDS

WEST MIDLANDS

NORTH EAST

NORTH WEST

YORKS & THE HUMBER

NORTHEN IRELAND

WALES

SCOTLAND

15,974

4,650

738

1,053

634

540

1,620

645

2,867

888

502

427

1,409

6,495

1,797

392

464

281

174

809

194

1,086

380

193

188

537

Tourists as a share of live music audience (%)

41%

39%

53%

44%

44%

32%

50%

30%

38%

43%

38%

44%

38%

All music tourism attendance in numbers and share

REGION MusicTourists(‘000S)

DomesticTourists(‘000S)

UK

LONDON

SOUTH EAST

SOUTH WEST

EAST OF ENGLAND

EAST MIDLANDS

WEST MIDLANDS

NORTH EAST

NORTH WEST

YORKS & THE HUMBER

NORTHEN IRELAND

WALES

SCOTLAND

6,495

1,797

392

464

281

174

809

194

1,086

380

193

188

537

6,118

1,603

374

442

267

168

786

188

1,041

368

186

185

510

OverseasTourists(‘000S)

378

194

17

22

14

7

24

7

45

12

7

3

26

Domestic Touristsas a share of totaltourist attendance(%)

94%

89%

96%

95%

95%

96%

97%

97%

96%

97%

97%

98%

95%

Overseas tourists as a share of total tourist attendance(%)

6%

11%

4%

5%

5%

4%

3%

3%

4%

3%

3%

2%

5%

Domestic and overseas music tourism attendance in numbers and share

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REGION MusicTouristsspending(£mns)

DomesticTouristsspending(£mns)

UK

LONDON

SOUTH EAST

SOUTH WEST

EAST OF ENGLAND

EAST MIDLANDS

WEST MIDLANDS

NORTH EAST

NORTH WEST

YORKS & THE HUMBER

NORTHEN IRELAND

WALES

SCOTLAND

1,266

322

130

107

91

37

119

30

168

81

34

42

105

1,018

199

115

90

80

32

104

26

141

73

29

40

88

Overseastourismspending(£mns)

248

123

15

17

11

5

15

4

27

8

4

2

17

Domestic Tourismspending as a shareof total tourismspending (%)

80%

62%

89%

84%

88%

88%

87%

86%

84%

90%

87%

95%

84%

Overseas tourismspending as a share of total tourism spending (%)

20%

38%

11%

16%

12%

12%

13%

14%

16%

10%

13%

5%

16%

Music tourism spending - total, domestic and overseas in numbers and share

REGION MusicTouristattendance(‘000)

ConcertTouristsattendance(‘000)

UK

LONDON

SOUTH EAST

SOUTH WEST

EAST OF ENGLAND

EAST MIDLANDS

WEST MIDLANDS

NORTH EAST

NORTH WEST

YORKS & THE HUMBER

NORTHEN IRELAND

WALES

SCOTLAND

6,495

1,797

392

464

281

174

809

194

1,086

380

193

188

537

4,852

1,622

115

274

96

112

680

171

915

238

147

104

379

ConcertTouristspending(£mns)

581

242

11

27

11

11

65

21

102

23

15

10

42

Concert Touristattendance as ashare of total attendance (%)

75%

90%

29%

59%

34%

64%

84%

88%

84%

63%

76%

55%

71%

Concert Touristspending as a share of total tourist (%)

46%

75%

8%

25%

12%

31%

55%

69%

61%

29%

43%

23%

40%

Music tourism at concerts - attendance and spending in numbers and as a share



REGION MusicTouristsattendance(‘000s)

FestivalTouristsattendance(‘000s)

UK

London

South East

South West

East of England

East Midlands

West Midlands

North East

North West

Yorkshire & The Humber

Northen Ireland

Wales

Scotland

6,495

1,797

392

464

281

174

809

194

1,086

380

193

188

537

1,643

176

276

191

185

63

129

23

171

142

46

84

158

FestivalTouristsspending(£mns)

685

80

119

80

80

26

54

9

66

58

19

32

62

Festival Touristsattendance as a share of total attendance (%)

25%

10%

71%

41%

66%

36%

16%

12%

16%

37%

24%

45%

29%

Festival Touristsspending as a share of total tourist spending (%)

54%

25%

92%

75%

88%

69%

45%

31%

39%

71%

57%

77%

60%

Music tourism at festivals - attendance and spending in numbers and share

WISH YOUWERE HERE

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1 IFPI Digital Music Report 2013Beyoncé. Photograph by Denis O'Regan.

UK Music’s membership comprises of:-

AIM – Association of Independent Music

BASCA - British Academy of Songwriters, Composers and Authors

BPI - the trade body of the recorded music industry

MMF - Music Managers Forum

MPG - Music Producers Guild

MPA - Music Publishers Association

Musicians’ Union

PPL

PRS for Music

The UK Live Music Group, representing:

-- The Association of Independent Festivals

-- The Association of Festival Organisers

-- Concert Promoters Association

-- Agents Association

-- International Live Music Conference

-- The National Arenas Association

-- Production Services Association

-- Musicians Union

-- The Music Managers Forum



ABOUT UK MUSIC:

UK Music is the umbrella body representingthe collective interests of the UK’scommercial music industry fromsongwriters and composers to artists andmusicians, studio producers, musicmanagers, music publishers. major andindependent record labels, music licensingcompanies and the live music sector.

All material copyright © UK MusicUK Music26 Berners StreetLondonW1T 3LR0207 306 [email protected]

Design and Art Direction by Smiler Associates / smiler.biz

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Kings of Leon at V Festival. Photograph by Rosie Allt.

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