Brands spend £100m on UK music industry

Brands and advertisers spent more than £100 million on the UK music industry last year, a 6.09% jump from 2011, according to a new study published today.

Commissioned by UK royalties-collecting society PRS for Music and compiled by brands-analysis agency FRUKT, the report concluded that brand owners like beverage giant the Coca-Cola Company, financial institution MasterCard, and car manufacturer Volkswagen invested £104.8 million in music during 2012.

Live-music sponsorship snapped up the biggest share of the takings, accounting for 34% of the total and bringing in £33 million. These included Coke’s sponsorship of the London Olympic Games Torch Relay and its 66 concerts, the eight music festivals supported by BlackBerry’s Summer Daze campaign, and Rihanna’s controversial Budweiser 777 tour.

In terms of market share, live-music sponsorship was followed by TV marketing, which represented 23.7% of the amount brands spent. Advertising accounted for 23.3%, followed by digital marketing, event creation and artist endorsement.

High-profile artist endorsement deals last year included Coke’s collaboration with producer/DJ Mark Ronson for the Olympic Games.
“Historically, sport was where big brands put their money, but the last 12 months have demonstrated the unique power of music to convey brand value and how the right partnership can benefit music lover, songwriter and business alike,” said Robert Ashcroft, PRS for Music’s CEO (photo), in a statement.