SOCAN 2022 Collections Increased 16% To $484M
There is a lot of good news in the SOCAN annual report; however, domestic royalty distributions to Canadian writers and composers have decreased by almost 10% in the past five years. Pictured: Society CEO Jennifer Brown.
By External Source
As the Canadian music industry gradually emerged from pandemic restrictions, SOCAN saw significant year-over-year increases in collections from music licenses for the use of the world’s music in Canada. Digital collections continued their upward trajectory, nearly surpassing traditional broadcast revenue, and collections from concerts exceeded pre-pandemic levels.
· Total collections: $484-million – a 16% increase over 2021.
· Total domestic collections: $374-million (+20% year-over-year).
· Total collections from the use of music on the internet: $167-million (+24% year-over-year).
· Reproduction Rights collections: $15-million (+35% year-over-year).
· Total collections from international sources: a 3% increase to $110-million.
The not-for-profit company was able to increase collections while decreasing its expense-to-revenue ratio to 11.7% – a full percentage point less than in 2021, according to the agency’s annual report.
The collective also attracted nearly 6,000 new members last year, for a grand total of 185,000 member composers, songwriters and music publishers.
“While increased collections result in more royalties paid overall, we are seeing that not all creators are benefiting from the increase in digital royalties. Canadian music creators are not receiving the same visibility in the digital spaces when compared to traditional spaces like radio,” the society’s CEO Jennifer Brown states in a release.
“The discrepancy is significant. In fact, SOCAN domestic royalty distributions to Canadian SOCAN creators decreased by 9% over the past 5 years due to digital revenue outpacing traditional sources.
“SOCAN’s member-centric strategy to maximize royalties and revolutionize our service for our members is taking positive effect,” Brown continued. “There continue to be strong headwinds for Canada’s music creators and publishers, but SOCAN is doing its part to benefit from the impact of digital forces by identifying and collecting new licenses around music uses and by advocating for government policy changes. Bill C-11 was an important step in supporting and promoting Canadian music in the digital space.”
SOCAN's 2023 annual report is available here.
