Sacem Annual Report and Accounts 2019 Strategic Review Management Report Transparency Report Financial Statements
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GETHER MUS IC SACEM ANNUAL REPORT AND ACCOUNTS 2019 STRATEGIC REVIEW MANAGEMENT REPORT TRANSPARENCY REPORT FINANCIAL STATEMENTS STRATEGIC REVIEW 02 A feeling of community 08 Innovation 01 Sacem in 2019–2020 KEY FIGURES 10 President’s statement 12 Q&A with Jean-Noël Tronc SACEM 14 Our five-year strategy 16 2019 Highlights IN 2019–2020 6,720 MANAGEMENT REPORT new authors, composers and 22 Operations and governance publishers joined Sacem, which 24 Supervision, members counts 176,150 members from 25 International, clients 168 different nationalities 26 Licences, private Copying 28 Regional network and clients Music accompanies us throughout our lives and 29 A global repertoire 30 Repertoire, mandates, distribution Sacem has been supporting those who create it for 31 Cultural aid 169 years. 176,150 authors, composers and publishers 33 Social responsibility 2M 34 Information systems trust Sacem to manage their authors’ rights. works generated royalties 35 Human resources, legal framework 04 Solidarity 16 2019 Highlights 36 Focus on Sacem’s business model 38 Collections As a voice for creators and a trusted Solidarity and a sense of community, 39 Distribution partner for music broadcasters, Sacem which form the basis of the collective 40 Financial performance strives to promote all genres of music. management model, have proven, in (combined figures) these difficult times, to form a solid and Sacem is a non-profit organisation effective foundation upon which to build 311,000 TRANSPARENCY REPORT that contributes to the vibrancy and a response to the troubles our authors, creators from around the world influence of creative work across the composers and publishers are going benefited from royalties distributed 44 Transparency report 1 world, with day-to-day support for through. These values give us strength by Sacem 46 Transparency auditor’s report cultural and artistic projects. as we shape a new future. FINANCIAL STATEMENTS In 2019, Sacem saw strong growth Together, let’s make music happen! 47 Income and expenses statement in the collection and distribution of 48 Balance sheet royalties, but 2020 has been marked by 50 Notes to the statutory the health crisis and its severe economic 68.671 financial statements consequences for our society. trillion streams were processed 54 Auditor’s report on the financial statements 56 Glossary 06 Social responsibility 22 Management report 57 Credits KEY DRIVERS To collect and distribute royalties for authors, composers and publishers of music; 1. dubbers and subtitlers; poets; comedians and author-directors. To protect and defend our members, their rights, 2. their interests and our repertoire. To offer our members individual support for everything related to social protection and 3. professional training. 1 Sacem collects the authors’ rights for French To dedicate ourselves to sustainable creation and international works played in France and 4. through cultural activity in France and across its overseas territories. It then distributes the globe. royalties to its members and to authors, composers and publishers from other authors’ societies the world over. SACEM ANNUAL REPORT AND ACCOUNTS 2019 01 STRATEGIC REVIEW MANAGEMENT REPORT TRANSPARENCY REPORT FINANCIAL STATEMENTS Oxmo Puccino Songwriter, performer SOLIDARITY: A FEELING OF ONE OF SACEM’S CORE VALUES COMMUNITY It means counting on one INSPIRED THE FOUNDING OF another to get through the SACEM AND HAS EXPRESSED difficult period ahead. ITSELF THROUGHOUT OUR ORGANISATION’S HISTORY The collective IN 2019: Since 1851, and going Breakdown of annual revenue allocated strong today management model by Sacem to its member authors, 3,000 By bringing together 176,150 authors, composers and publishers. Together, the founders built a requests for aid and exceptional composers and publishers, along with model based on equality. royalty advance were made by their works, Sacem has created an 89% 7% 4% authors, composers and publishers interface that allows 500,000 music In the 1950s, the creation of the who are members of Sacem between broadcasters to go to just one place for Comité du Coeur strengthened March and June 2020. According to permission to use music in return for the social and solidarity side of our a member survey, 8 out of 10 are paying authors’ rights (royalties). mission by offering aid and support interested in financial aid for the Royalties to songwriters and composers year 2021. As a non-profit society, Sacem is not Social allocations in distress. allowed to put savings aside or turn a Cultural funds (25% from private profit. All of our resources are dedicated copy levies) In March 2020, at the start of to distributing royalties, helping finance the health crisis and its related IN 2019 cultural projects, and contributing We distribute royalties equitably, with economic turbulence, we created financially toward a secure future 79% allocated according to the actual a plan with emergency measures for creators. dissemination of works, 10% according to come to the aid of authors, to survey, and 11% by taking normal composers and publishers €33.4M consumption patterns into account. 85% in difficulty. dedicated to social work of the funds collected are distributed; the remaining 15% goes toward funding our operations. 02 SACEM ANNUAL REPORT AND ACCOUNTS 2019 SACEM ANNUAL REPORT AND ACCOUNTS 2019 03 STRATEGIC REVIEW MANAGEMENT REPORT TRANSPARENCY REPORT FINANCIAL STATEMENTS Polo & Pan Songwriters, performers SOLIDARITY FOR A BETTER TOMORROW It’s about uniting all cultural actors WORKING behind a sustainable model where collective management will continue TIRELESSLY to protect us. TO FIND NEW SOURCES FOR AUTHORS’ RIGHTS AND TO FURTHER DEVELOP And creating partnerships that bring OUR DIGITALISATION together authors, composers and publishers and those who distribute their creations. Livestreams Royalty distribution Distributions from livestreams were The year 2019 marked a new milestone designed to respond to new methods in the distribution of digital rights, with of broadcasting in the context of the the first ever Facebook distribution. health crisis. Sacem was the first authors’ society in the world to set up such a And for the past four years, we have been Our partners Scène française W I T H remuneration system, which is based paying out royalties as soon as broadcast on contracts already signed with the programmes are processed, and royalties Understanding our partners and In support of our members and YouTube, Facebook, Instagram and collected. The acceleration of these their difficulties meant keeping an French performing artists, we Twitch platforms. distributions and their increased ongoing dialogue open with our launched the #ScèneFrançaise 500,000 clients and suspending initiative, a movement for solidarity 65 traceability requires the permanent local branches throughout France, royalty collection when their and responsibility with respect to development of new information we know our partners and their premises were closed. Building on culture that is “made in France.” technology tools. activities (background music, that, we were helping our clients in Audiovisual media, Internet concerts, shows, cinemas, their efforts to recover from the crisis platforms, broadcasters and other festivals, clubs). by extending credit equivalent to music-industry players were invited the duration of the lockdown to promote and disseminate French and by softening deadlines works to the general public across all for royalty payments. channels so French artists could benefit from the rights linked to Aid granted by Sacem was also such broadcasts. maintained for the vast majority 740,400 of cancelled events. contracts with 500,000 highly diverse clients 04 SACEM ANNUAL REPORT AND ACCOUNTS 2019 SACEM ANNUAL REPORT AND ACCOUNTS 2019 05 STRATEGIC REVIEW MANAGEMENT REPORT TRANSPARENCY REPORT FINANCIAL STATEMENTS Aya Nakamura Songwriter, performer SOCIAL RESPONSIBILITY FOR A SOCIETY THAT IS BOTH LOCAL AND INTERNATIONAL… ...TOGETHER We have a social responsibility LET’S toward our partners and a duty MAKE MUSIC to protect our members. HAPPEN At the national level, we have been fighting, together with professional organisations, to defend the status Our new identity conveys our of authors and their pensions. We participated with them in values more than ever. the construction of the National Music Centre. Music has never been more present Sacem accompanies those who in our lives create music: We will continue these efforts in 2020, But for songwriters, composers and first and foremost by reaching out to music publishers, the competition By helping these creators decision-makers and public opinion to has never been so fierce, and sources to emerge, live and reinvent ensure that our members’ professions of revenue are increasingly uncertain. themselves, throughout their are taken into account in national careers, thanks to the collection recovery plans. Yet we need them more than ever. and redistribution of royalties. The music they create lifts us up, carries The European Union remains an us away and soothes us. It brings us By developing mutual aid and social invaluable protective framework in together and binds us, on many levels protection programmes dedicated an increasingly uncertain world. Two It defines eras and can sometimes to them. fundamental directives were adopted profoundly transform society. on April 17th 2019: the modernisation of By fostering cultural vitality across copyright in the digital single market and France and around the world.