Big Issue - Clubs, DJs & Royalties

written by Gemma Curtis

25,000: the number of licensed venues holding gigs£22.8m: total PRS distributions for performances at gigs and clubs1.1 million: estimated number of DJ sets performed each year7,000: number of gigs and club events PRS sends researchers to£6.39: the amount a pub with a capacity of 100 paid to PRS each time a gig or DJ session was held.(PRS Survey UK.2003)

It may not be the most glamorous aspect of the music industry, but the function of PRS is undoubtedly one of the most vital for music producers in the UK. A non-profit organisation, the Performing Right Society (PRS) is the UK membership organisation of composers, songwriters, authors and publishers of music of all genres. Essentially the primary function of PRS is to collect and distribute royalties from music users, who publicly broadcast, perform and include music in 'cable production' services. In turn they make royalty payments to their members, although this is dictated by a number of factors and achieved with a varying degree of accuracy. Major television stations and large concert venues (typically covered by the PRS Concert Scheme) submit detailed reports of music used. The PRS methodology for analysing playlists of other venues including commercial clubs, pubs and club nights is conducted differently, and is less clearly identified despite its considerable magnitude - as the estimated 1.1 million DJ sets indicates. Considering the enormity of usage of recorded music by DJs and clubs the accuracy of royalty payments thereafter is a difficult area to govern.Interestingly, playlists of DJ sets and club nights are analysed in the same way and included in the same surveys as set-lists of live performances (those which fall outside of the fore-mentioned PRSConcert Scheme.) Adrian Crookes, Communications Officer of the PRS, explains the current monitoring system of its catalogue: "PRS employs market research company Maritz who make 7,000 visits to UK pubs and clubs every year, noting down the music that is being played there. It is the largest independent survey of its kind. PRS pays pubs / clubs performance royalties based on the information Maritz compiles."Each year, Maritz's main surveys aim to complete 2,500 DJ visits and 3,500 live visits, using a random selection process. A spokesperson for Maritz gives details of the procedure, "PRS use a stratified sample where venues are selected randomly. Visits are carried out throughout the UK, every day of the year, every year. The number of visits allocated to certain types of premises such as pubs, clubs and hotels are in proportion to the share of the total public performance revenue PRS receives from those premises types."Notably, when a club applies for a PRS licence it is with a condition that they assist in making returns when requested, and the visit is not made known beforehand. Also, once a Maritz researcher has visited a club or venue, there is no certainty as to when they will feature in the survey again.Obviously cost and practicality make it impossible to catalogue every individual DJ set or club night playlist. The cost of licensing and obtaining the set lists means that PRS has to operate a system of sampling, where set lists from a random selection of the events are taken and used to pay out all the royalties. Therefore it is crucial that the sampling is as accurate as possible to reflect royalty payments owed. In 2004, PRS made a number of alterations to their research, resulting in upping the number of Music Survey DJ visits by 75%, introducing an enhanced system in support of the UK music survey and, perhaps most significantly, supplementing information from Maritz visits by creating the Small Gigs And Clubs Scheme. As its name indicates the scheme encompasses DJs as well as live performances. Regular performers of small venues across the UK, (including pubs, bars, community centres and hotels) email PRS a set list including their usual songs, along with a list of 10 small gigs and club events. The royalty for the gig is calculated and royalties paid out across the accompanying set list. An exception is made if the event is already included in a PRS sample.Similarly, any DJ can voluntarily sign up to the scheme (email: gigsclubsscheme@mcps-prs-alliance.co.uk) and must supply full name, address and contact details. Those who join will be asked to complete a set list based on the music they'll be playing over a determined period of time, with royalties paid out based on this information. Adrian Crookes emphasises, "Any type of performer is eligible to join the scheme - DJs, members of live bands, string quartets, resident pianists in hotels etc - as long as someone is performing regularly and has access to email."All nightclubs are eligible for the Gigs And Clubs Scheme. Non-eligible venues are those we call concert venues. Typically these premises hold live performances in a concert setting and where there is usually a charge for admission. Performances in these types of venues make full returns of all works performed under the PRS Concerts Scheme."Although the Maritz researchers will enlist the DJs in the clubs they visit to fill out the performance information, clubs are not responsible for providing their DJs with PRS sheets. PRS sheets and statistics are ONLY gathered if they're part of the sample or have enlisted to the Gigs And Clubs Scheme. Thus it is essential for as many DJs as possible to sign up, and for the PRS to encourage participation. The onus lies with the DJ to want to supply this information, and may be a sticking point in the process.Although a DJ who plays his own music will reap the benefits (royalties are made to the music producer), there seems to be little incentive for other DJs to join. A well-respected local DJ who plays across many venues in South Wales sums this up: "I'm not aware of the scheme and would have no interest in signing up. If you asked other DJs I expect their response would be the same. Why would I want to - what do I get out of it?"Similarly John Rostron, who has been DJing under the pseudonom of Johnny Acid for a more than a decade suggests, "I would doubt DJs would be signed up to [the PRS scheme] because very few, if any, play their own music. There is no reason for me, as a DJ, to sign up because I don't produce music."PRS, however, take another view: "DJs who don't perform their own material join it because they want to make sure that the creators of the music they champion get paid. It costs nothing to join but makes sure the money finds its way back into music. Why wouldn't they want to do that?"Admittedly, the Gigs And Clubs Scheme is more straightforward and directly beneficial for performers and the form is rather easier for them to complete. As it requires songwriters, publishing and / or label listing- a performer will know this information, but a DJ may need to check it out. However, PRS have undertaken steps to encourage DJ participation, "With regard to DJs, PRS conducted, as part of the pilot Gigs And Clubs Scheme, an exercise to engage with most major DJ agents and representative bodies who were visited and asked to participate in the project. The project was championed by many DJs and details were broadcast on BBC Radio 1 and Kiss FM, featured on the BBC website and at the Urban Music Seminar."Other increases in promotion will inevitably also help, including currently the PRS website - full details of the scheme are provided at prs.co.uk; PRS membership magazine - the scheme's launch and updates are featured in M magazine (circulated to 44,000 PRS members and publishers); field based staff - PRS staff based around the UK are available to promote the scheme where appropriate and talks and seminars - PRS staff regularly engage with the PRS membership at open meetings, seminars and music events.Despite the Gigs And Club Scheme promotion and the Matriz research, it is questionable as to whether clubs, venues and DJs really have knowledge and / interest in royalty payments. Adrian Crookes disagrees: "Licence holders who are selected as possible venues for participation in the UK music survey are sent a letter explaining why PRS conducts the survey ie, to make sure the licence money paid by music users goes to the right people - the writers and publishers of the music performed. This information is sent to 45,000 venues a year, not just the ones that get visited.More and more DJs are aware that royalties are due from their performances of recorded music. PRS actively encourages regular DJ performers to submit details of what they are performing because again, we want to make sure the royalty goes to the right people - the music creators."Even those who do not fully understand the process, it is simple as, "all they need do is co-operate with our researchers when needs be." Similarly a spokesperson for Maritz defends the clubs, venues and DJs, "Most clubs and venues are happy to allow researchers into their venues. They appreciate that this is an effective method to make sure the licence money they pay goes to the right people - the writers and publishers of the music that is actually performed in their venue."The huge use of recorded music in the public forum is undeniable. PRS always attempt to increase accuracy in payments. But can it be deemed enough? Geographical factors may make a difference to a set-list, for Wales the number of clubs and frequency of DJs playing Welsh and Welsh-language artists will be much higher than anywhere else in the UK. This is one factor not considered by PRS."PRS does not differentiate by region or genre. The PRS UK Music Survey, the PRS Concerts scheme, the Live Concerts Service, and the Gigs And Clubs Scheme give Wales, and the rest of the UK a variety of methods to encourage and ensure that information about performances can be received by PRS and matched to a royalty."Interestingly, two documents - PRS Music Survey 2004: Most Played DJ Tracks in Wales and PRS Music Survey 2004: Most Performed Songs in Wales (Live) list the top 10 tracks played and performed in Wales, and did not feature a Welsh artist. The Beyonce's of the world are noted, but it may be concluded that on a lesser scale those who need to benefit most from the plays do not. Thus, this is where the Gigs And Club Scheme has the potential to make a difference. As Adrian Crookes emphasises of the scheme, "It's a surefire way of getting royalties to the correct writer and producers, particularly those creators who may not feature in other PRS distribution schemes. There are people for whom even a modest royalty can make a difference."As one of the main principles of the Gigs And Clubs Scheme is that every submission where a royalty is due, is paid, this makes a lot of sense and is an encouraging prospect.Due to the vast number of venues and club nights, the PRS may be unable to achieve any greater degree of representation of recorded music in this area. However, they continually look to better the system. As Maritz agree, "PRS, in partnership with us, is constantly looking at ways to improve the methods and practices it uses to operate the [visits] survey. In 2004 a series of processes was introduced which has helped enable us to collect greater numbers of survey performances than ever before." And they also have a strong belief in the current system. Adrian Crookes from PRS again: "The weightings used to work out the royalties from the sampled premises was designed by Professor of Statistics at Cambridge University, Frank Kelly. So, we are confident that we have produced the most accurate survey we can and is probably the most accurate survey of public performance in the world."PRS can do their best, but a general change in attitude should also be on the cards. Visit-based research is always going to be difficult to make more accurate, purely due to the enormity of the area. But DJs who sign up to the Gigs And Clubs Scheme can help bridge the gap between the megastars and the grassroots, and benefit those at a lower level by submitting details of their sets. Rather than the DJ asking why should they join, maybe they should be asking themselves why not?l Clubs, venues and DJs with unanswered queries regarding PRS can contact their local PRS Territory Manager or the National Sales Centre on 0845 309 3090. Or can check out the website: www.mcps-prs-alliance.co.uk for further information