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British talent tap into the Chinese music markets
UK Trade and Investment in partnership with the Association of Independent Music (AIM) are supporting 17 British music companies, enabling businesses from all areas of the industry - for instance, music managers, songwriters, music publishers, and record labels - to succeed in one of the fastest growing music markets - China. The companies will take part in 'AIM for China' - a trade mission to Shanghai and Beijing from the 25th Oct - 3rd Nov.

The programme provides (in both Beijing & Shanghai) opportunities for UK delegates to:

  1. present to Chinese industry
  2. network with industry executives
  3. learn about doing business in China
  4. have meetings with potential business partners

Specific objectives include scoping the viability and making key contacts to help develop

- live performance/touring,
- licensing/distribution,
- synch licensing, and
- new media initiatives in the region.

The 2005 mission will build on AIM's successful mission to China last year and the scoping mission to South East Asia & Japan (2001), which identified China as having the greatest potential for new business. Sales of singles, CDs and DVDs were $211.8 million in 2004, a 6.8 % increase on 2003 (IFPI).

This mission also follows on from another key joint Government/AIM
initiative launched in China this year - a new office facility based in Beijing to act as a single point of contact for independent UK music companies.

There will be a particular focus on the opportunities for viral marketing through the internet and on the ring tones business which is growing very rapidly in China. Simon Wheeler, Head of New Media for The Beggars Group, and Chairman of AIM's New Media Committee commented "The mission gives the UK industry an opportunity to learn how artists are being popularised through non-traditional means, with ring tones proving to be a very significant feature of the business model. As AIM's representative for New Media, I hope to be able to establish new relationships to build on these opportunities for the UK music industry".

Trade Minister Ian Pearson said: "China as a key market which British music companies can succeed in. The Chinese economy is growing at an unprecedented rate which has seen an explosion of innovation and creativity. China's accession to the WTO will further stimulate its music market. I have no doubt that British innovation can help China fulfil its desire to develop its growing music scene."

According to Alison Wenham, Chief Executive of AIM: "With the UK music office facility now fully operational in China, we are receiving many enquiries from UK companies keen to raise their profile in China. There are still considerable market barriers to overcome, but we are confident that, over time, effort will be rewarded by a growing business partnership with the Chinese Music Industry. Our latest mission to China builds on this work to date, and will support companies ready and willing to do business the Chinese way."

The companies on this year's mission are:

  • Archangel Productions
  • Beggars Group Digital
  • Big Help Music Ltd
  • Binary
  • Chocolate Fireguard Music Ltd
  • Concept Music
  • Dantien Records/Yeahpod
  • Fabric
  • Hornall Bros Music Ltd
  • Hospital Records
  • Matador Records
  • MCPS
  • Ninja Tune
  • Poptones Records Ltd
  • Taste Management Ltd
  • Timewarp Distribution Ltd
  • Timeless Music Project Ltd

The companies presenting to the delegation include:

Beijing

Sohu.com
Rock for China - Entertainment Promoter
Soundbuzz
R2G - Aggregator/Telco
China Pump Factory - Club/Promoter
Modern Sky

Shanghai

Fairwood Music (South East Asia) - Publisher
Channel [V] - TV Station
Saatchi & Saatchi - Advertising Agency
Shanghai Arts Corporation - Promoter

The initiative was put together by the Association of Independent Music (AIM) and UK Trade & Investment working closely with SWAT Enterprises (one of the leading music marketing consultancy in Asia).  SWAT operates the new music office facility in Beijing, opened in April 2005.

The British music industry already employs 130,000 people. Britain's creative economy is now worth over ?11 billion to UK plc supporting 2 million jobs. It produces a higher proportion of the UK's total wealth - 8% of GDP - than anywhere else in the world. The ?11.4 billion it contributes to the UK balance of trade is well ahead of the construction industry, insurance and pensions, and twice that of the pharmaceutical sector.

AIM is the non-profit trade body established in 1998 by UK independent record labels to represent the independent record sector, 1/5 of the UK market with 2004 sales worth nearly ?1/2 billion from mainstream retail alone.

AIM has 900 members, from the smallest start-ups to the largest and most respected independents in the world. AIM promotes this exciting and diverse sector globally, leveraging the sector's power as a fifth major to enable its members to grow, grasp new opportunities and break into new markets. AIM has agreed collective licensing deals with Sony Connect, Yahoo, Musicnet, eMusic, Karma Download, Tunetribe and others through its new media arm AIM Digital, and remains the only organisation to have inked deals with both old and new versions of Napster.

AIM oversees an independent sector whose artists have claimed the Mercury Music Prize for three years running and earned two thirds of nominations in 2005. This cutting edge sector also scooped the third highest number of 2005 Brit nominations and came behind only Universal in terms of wins, with indie signed Franz Ferdinand grabbing the Brit for "Best British Group" closely followed by the Ivor Novello Award for Best Contemporary Song.

UK Trade & Investment is the lead government organisation that provides support for UK companies looking to develop international business. It also provides support for UK overseas companies wishing to invest in the UK. UK Trade & Investment has a wide range of services, backed-up by a network of trade advisors worldwide who can provide market intelligence, advice on regulations, sales leads, and financial and practical support.

SWAT Enterprises is the leading music consultancy specialising in licensing and marketing services in China and throughout the Asia Pacific region.