The Canadian Musical Reproduction Rights Agency (CMRRA) has reported an 8.9% YoY jump in mechanical royalty payouts in 2023.
The licensing and collection agency, which represents the vast majority of music publishers doing business in Canada, distributed CAD $78 million (USD $57.8 million at the average exchange rate for 2023) during the year, the company said in a statement issued on Thursday (June 6).
The increase in payouts was driven by a 29% YoY jump in audiovisual post-synch, both organically and due to revenue from additional services; a 20% YoY increase in international collections; and 8% YoY growth in physical distribution channels, CMRRA said.
Payouts from online streaming services grew by 3% YoY.
“We are witnessing a significant uptick in music consumption, a trend that highlights the vibrancy and vitality of the industry, and which also emphasizes the growing demand for music across global audiences,” CMRRA President Paul Shaver said.
“We continue to implement strategic enhancements across our services to better meet the evolving needs of our clients. Music Publishers and self-published songwriters are at the heart of everything we do; their success fuels our innovation and drives us to continuously improve. We are committed to providing unparalleled support and opportunities for them to thrive in this ever-changing landscape.”
“We are witnessing a significant uptick in music consumption, a trend that highlights the vibrancy and vitality of the industry, and which also emphasizes the growing demand for music across global audiences.”
Paul Shaver, CMRRA
CMRRA, which was acquired by US-based SoundExchange in 2017, announced in January that it had entered into a partnership with another SoundExchange body, the Barbados-based Copyright Society of Composers, Authors and Publishers (COSCAP), in conjunction with SX Works Global Publisher Services.
Under the partnership, CMRRA oversees mechanical reproduction rights for COSCAP’s members in the Canadian marketplace, while SX Works manages end-to-end administration on behalf of COSCAP members with The Mechanical Licensing Collective (The MLC) in the US.
Over the course of 2023, CMRRA renewed a multi-year deal with SiriusXM, as well as several other DSPs, brought on board 247 new clients, and expanded its industry partnerships, which include the JUNOS (the Canadian equivalent of the Grammys), the Canadian Country Music Awards, the Indigenous Music Summit, Folk Music Ontario, and Battle of the Beatmakers, among others.
CMRRA said it is continuing work on building out its new publisher platform with SoundExchange, and in 2023, full-end administration – including invoicing, DSP payment collections, matching, royalty distributions and royalty statements, along with TikTok collections – were ported over with no client disruptions.
“We remain committed to enhancing our offerings and delivering exceptional value to our clients and partners and we look forward to another year of growth, collaboration, and success,” CMRRA said.Music Business Worldwide
