The Economic and Cultural Value of Live Music in Australia 2014 was researched by the University of Tasmania and released by the Sydney-based Live Music Office.
The study combined a national consumer survey alongside a survey of venues in Hobart, Melbourne, Adelaide and Sydney. This is the first research of this scale completed since 2011.
While most live music surveys look at attendance and ticket sales, this one puts a sum on the contribution of live music over a 12 month period to the community’s well being and health.
Dr. Dave Carter, lecturer in Music Technology at University of Tasmania, said, “Our research shows that for every dollar spent on live music, three dollars of benefit is returned to the wider community. This is a significant, and unrecognized, contribution that includes the dollars that flow to the national economy as well as the ways experiencing live music enriches people’s lives”.
NSW has the biggest live music market, worth $342.5 million, followed Victoria at $275.7 million. Third is Queensland ($158.6 million), then WA ($103.6 million), SA ($59.6 million), ACT ($9.2 million), Tasmania ($5.7 million) and NT ($3.1 million).
In other findings:
– Ticket sales for music events are estimated at $958.1 million. The study argues that as ticket purchases are just 19.2% of total live music expenditure, “we can extrapolate to estimate that in 2014 individuals directly spent 5.0 billion dollars on live music in Australia.”
– Nationally, an estimated 65,000 full and part-time jobs are created by monies spent on live music, with taxation revenue generated for all tiers of government.
– Food and drink is the number one expense for those attending a live music performance equating to 29.3% of the total spend.
– Expenditure on tickets comes in second at 19.2% of spend, followed by travel at 17.6% and accommodation at 12.4%.
– Australian audiences are prepared to travel significant distances to attend live music, and this demonstrates live music is a source of regional competitive advantage.
A study of Sydney venues found issues concerning operators were liquor licensing conditions and direct and indirect costs associated with programming, particularly rent.
In Melbourne, competition, market saturation, location and gentrification were seen as the main barriers to commercial success.
Adelaide venues scored gentrification as the biggest barrier, while relative isolation was cited by Hobart venues.
John Wardle, policy director at the Live Music Office said, “This research is an important milestone for the Australian live music industry. We’ve created a benchmark for governments and the community to understand the importance of live music to Australian culture, community and the economy.”
An online version of the report is available on the Live Music office website.
