Grabbing a drink at home to save money?
In tighter times, that has been a preferred option for many British drinkers, and the result on performance royalties has been negative. In clubs and bars, royalty collections group PRS for Music pointed to a slight decline in 2008, specifically a two-percent slip to 39.7 million pounds ($58.7 million).
That is the first decline of its kind, though the rest of the story was mostly positive for PRS. In 2008, revenues gained 8 percent to 608.2 million pounds ($900 million), up from 562.1 million pounds ($831.7 million) in 2007. Broadcast and online formats were a major contributor to the gains, increasing 16 percent to 180.2 million pounds ($266.6 million), and broader performance royalties gained 10 percent to 146.6 million pounds ($216.9 million). Royalties tied to physical media predictably declined.
Now, the focus shifts to a more controversial 2009. Pub crawlers will either crawl or stay home, though the PRS has more control over a messy YouTube situation. YouTube recently yanked music videos from its UK-based site following irreconcilable royalty demands, a development that is sure to impact earnings.