The live music industry in Ontario seems to be thriving, and is organizing itself as a major component of the wider music ecosystem. At a time of increased private and public investment and international success, the industry is seeking to take the next steps to develop its capacity, increase growth, and effectively harness its strengths. In order to effectively strategize and implement a coordinated approach, the live music industry identified the need for a solid economic profile of companies operating in Ontario.
The development of an economic profile will provide the industry with a benchmark and enable the measurement of its progress over time. It will enable the live music industry to make informed strategic decisions, and to determine the impact the industry has on the Ontario and Canadian economies.
The economic profile is organized into four key areas: revenue, audience, economic impact, and future outlook. The key takeaways are as follows:
Revenue: Live music companies in Ontario generated $628 million in revenue from live music activities in 2013 as well as profits of $144 million. Artist management revenue from Canadian artists totalled $34 million in 2013, 54 percent of all artist management revenue, and Canadian artists generated $75 million in ticket sales.
Audience: In 2013, 558 festivals across Ontario sold a total of 15.7 million tickets, representing 7 million unique visitors. Ontario’s 616 venues have a combined capacity of 3.6 million. The 775 promoters operating in the province in 2013 promoted 81,600 shows, which sold a combined total of 5.4 million tickets.
Economic Impact: The total economic impact of live music in Ontario’s economy is $1.2 billion. Live music companies in Ontario were responsible for $484 million in total expenditure in 2013 and contributed $432.4 million in taxes to all levels of government combined. The economic impact of live music companies includes 10,500 full-time equivalent jobs, and tourism activity accounts for an additional 9,520.
Future Outlook: Survey respondents reported that access to tax credits and other forms of government funding, along with the availability of local Canadian talent, were the factors that most positively impacted their company growth. And 83 percent of live music companies in the province expect revenue growth within the next two years.
