ANNUAL REPORT 2018-2019 VMDO ANNUAL REPORT 2018-2019 i We acknowledge the traditional Aboriginal owners of country throughout Victoria and pay our respects to them, their culture and their Elders past, present and future. Contents 3 CHIEF EXECUTIVE OFFICER’S REPORT 4 GENERAL MANAGER’S REPORT 6 ABOUT THE VMDO 8 STRATEGIC PLAN 2018 – 2021 15 THE YEAR IN REVIEW 16 THE FUTURE 22 MARKET DEVELOPMENT 28 MUSIC BUSINESS DEVELOPMENT 34 MUSIC BUSINESS DEVELOPMENT – FIRST PEOPLES 38 SUPPORT ACTS FOR THE BIG NAMES 40 CORPORATE GOVERNANCE 40 ORGANISATIONAL STRUCTURE 41 MUSIC VICTORIA BOARD 45 VMDO STEERING COMMITTEE 47 VMDO STAFF VMDO ANNUAL REPORT 2018-2019 1 “I think what I was struck by is that, very much like Nashville, there is such a deep music community here and there’s so much support that is really lovely and wonderful. You don’t get that in a lot of places. I feel that kinship in Melbourne the way we have it in Nashville” – Cameo Carlson, mtheory 2 VMDO ANNUAL REPORT 2018-2019 CHIEF EXECUTIVE OFFICER’S REPORT Patrick Donovan, Music Victoria Music Victoria was contracted by Creative Victoria in 2018 to manage the Victorian Music Development Office as a major two year project. It was part of the State Government’s unprecedented 2014 Music Works commitment, which at the time was the largest contemporary music funding commitment made by a state or federal government in Australia, and will fund the Music Market development at the Collingwood Arts Precinct which will house the VMDO in 2020. Music Victoria hired general manager Bonnie Dalton, set up the office, and recruited consultants to develop the strategic and business plans, which included the vision: The VMDO will grow the prosperity of Victorian music businesses. By supporting small to medium sized businesses capacity and developing pathways into new markets with a focus on First Nations and under-represented artists, the VMDO provides a business-focused lens to Music Victoria’s support for the industry. Music Victoria receives a management and administration fee to manage the VMDO, and Music Victoria board member Chris O’Neill chairs the industry Steering Committee to offer support and advice. Major strategic and financial decisions are approved by the Music Victoria board. While the office has been fully operational for less than 12 months, it has provided much needed support and pathways to the industry. Those outcomes are currently being evaluated and will be submitted to Creative Victoria as part of the lapsed funding program process. We look forward to hearing from the industry about the key outcomes which will enable us to focus on key gaps and opportunities moving forward. The music industry has undergone major disruptions in the last 20 years, and the VMDO is well placed to help the Victorian music industry capitalise on future opportunities, and prepare themselves for the inevitable next wave of change. Well done to the VMDO team on a great first year, and thanks to the State Government for continuing to invest in the contemporary music industry. Patrick Donovan CEO Music Victoria VMDO ANNUAL REPORT 2018-2019 3 GENERAL MANAGER’S REPORT Bonnie Dalton, Victorian Music Development Office I’m pleased to present the 2018/2019 Annual Report for the Victorian Music Development Office. The VMDO is an ambitious new project, and the local industry’s warm reception to its announcement in April last year by the Minister for Creative Industries, The Hon Martin Foley MP, and engagement with it since, speaks volumes to its need. It’s been a big 12-months, setting up and establishing the VMDO and delivering on the election commitments of the Victorian State Government within Music Works, a four-year, $22.2 million contemporary music funding and support program. One of the strengths of the VMDO is the way it consciously and comfortably occupies the space between State Government’s priorities and the commercial forces of the local industry. The fact that the whole VMDO team have come directly from the industry has given the VMDO the best chance to deliver meaningful outcomes for the industry. Now, as we move into the VMDO’s second year, the VMDO team has clarity and confidence in delivering goals for both government and industry on VMDO programs, within the structure of Music Victoria. This is evident at events like the monthly Networking Breakfasts where attendances and engagement is consistently high, and the enthusiasm and commitment of the presenters and participants in the Experts in Residence and Blak Sound programs. As General Manager, I’ve represented the VMDO at a number of international events over this first year of operations. I’ve learned a great deal and made many new connections, which have now been shared with the local industry. Some of these introductions are now international partnerships for local businesses and there are many others that have become key contacts in new networks, creating opportunities for Victorian music businesses, particularly in developing markets such as China. In addition to this, the important take away messages have consistently been around the need to be ready for the ongoing disruption that is inevitable given the indelible role that technology plays in our music business’ supply chain. In fact, moving away from a model where music business is regularly ‘disrupted’ and into an ongoing development and transition approach is one that many music businesses are already embracing and that the VMDO very much supports. It’s the scale of the change that I’ve been impressed with and the VMDO’s ongoing focus on innovation will continue to provide research, training and Critical Thinkers to help Victorian small music businesses prepare for and benefit from that change. 4 VMDO ANNUAL REPORT 2018-2019 Continuing the theme of ongoing development, the VMDO’s partnerships with the Association GENERAL MANAGER’S REPORT of Artist Managers (AAM) and the Australian Independent Records Association (AIR) to deliver Creative Victoria’s Fast Track Fellowship has significantly impacted the professional development of two of Victoria’s rising stars in the industry, Rhianon Damas and Danae Effern. In addition to Bonnie Dalton, their personal development, I’ve been impressed by what they’ve each learned from their respective host companies and the business innovation these experiences have sparked for both of them. Victorian Music In the coming months the local industry will hear more from Rhianon and Danae as we launch the second round of Fellowships with the AAM and AIR partners. Development Office The development of First Peoples’ music businesses is of critical importance to this office and the work of our First People’s Music Business Manager over this first twelve months has been very much focussed on consultation and engagement, the results of which will be consolidated to inform all of the VMDO’s work going forward. In addition to this, the creation of the Blak Sound program to support emerging First Peoples’ music businesses is currently being delivered as a pilot, in partnership with the City of Melbourne and Spotify, and we look forward to leveraging the results and learnings from the program overall and for each of the wonderful participants. Many of the connections that we’ve made over the past twelve months need time to develop and the true value of that work is expected to be returned in the coming months and years. However, there are innumerable examples of the immediacy of the VMDO’s work too. Maintaining the reputation of the VMDO to deliver mutual benefits to everyone we work with is a priority for the whole team to ensure the office can continue to connect the Victorian music industry with those opportunities for growth. This report includes details of the plans, programs and outcomes of the past 12 months and speaks to the preparation and support of the VMDO by Creative Victoria, the governance and oversight by Music Victoria and the VMDO Steering Committee and staff in realising the vision so far. I’m grateful for the opportunity to be a part of this exciting and important project and look forward to the year ahead. Bonnie Dalton General Manager Victorian Music Development Office VMDO ANNUAL REPORT 2018-2019 5 L-R: Neil Morris, Chris Carey, Cameo Carlson, Jake Beaumont-Nesbitt, Sianne van Abkoude, Katie Stewart, Bonnie Dalton. About the VMDO The Victorian music industry is a vast and complex network of people, ideas and experiences. We’ve opened up a dialogue with our peers who work within it and identified the places where we can contribute to making the most significant change for them. We enable Victoria’s music professionals to broaden their networks overseas and learn from the trends that are driving international markets; undertake business development and training; access resources and services; and learn from ‘experts in residence’ whose experience and points of view are invaluable for our industry. If they require fellowships or funding, we can also link them with opportunities to apply for those resources to help grow their businesses and expand their view of what’s possible. We’re the Victorian music industry’s professional support system. 6 VMDO ANNUAL REPORT 2018-2019 What we do The VMDO provides support directly to the Victorian music industry’s many businesses. We are highly aware of the significant economic and cultural value to be found in supporting the music industry, and the businesses within it, and we’re here to make sure that is not taken for granted. We assist Victoria’s small and micro music businesses in reaching their full potential through research, professional development and capacity building – ensuring a vibrant, thriving music industry. The VMDO is focussing on five core business priorities: A.