Much of the recent news in music has focused on the negative – layoffs at labels, outrage over ticket resellers, falling music sales – but good news is coming out today for those in live entertainment. North American-based companies are expected to spend $1.08 billion in 2009 to sponsor music venues, festivals, and tours. The impressive figure represents a 3.8 percent increase over last year’s total of $1.04 billion. The projections come from IEG Sponsorship Report, which tracks sponsorship spending across sports, music, and more.
“The fact that music sponsorship spending is holding its own in today’s turbulent economy demonstrates the growing importance of music to corporate marketers,” Bill Chipps, senior editor at IEG Sponsorship Report, tells Billboard.biz. If the projection is correct, 2009 will have the highest level of spending on music ever reported by IEG.
The majority of expected growth stems from new and incremental spending on major national music festivals and tours. For example, State Farm Insurance has an estimated low seven-figure budget to sponsor national and regional festivals and events this year. Other recent deals include a two-year partnership between Rascal Flatts and J.C. Penney and Research in Motion’s alignment with U2 on behalf of its Blackberry brand.
Music has always been a strong marketing tool for companies and their brands, but sponsorship is at a record-setting pace for just one reason – music fans are still willing to spend their hard-earned money on live entertainment, even during an economic downturn. But like any other industry, live entertainment must make improvements to continue thriving. Enter ArtistForce. Using the simple, web-based platform, industry professionals and performing artists can connect, discover talent, make offers, negotiate, develop contracts, and more. The entire booking process is streamlined to save time and money. You can learn more about the only web-based relationship management platform and booking solution for the live entertainment industry today – at ArtistForce.com.
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