Music and the marketplace

What is an endorsement?

• A type of insurance coverage.
• A form of payment for services rendered.
• When an artist loans their image, persona, and expertise to promote a product by someone who pays them to do so.

• A legal document granting permission to do something.

Elements of an endorsement agreement

• Exclusivity, to always speak/use product in positive manner, uphold good image of themselves, advocacy of the product, use of product that shows, participation of events, come to life, events, be part of the social media, outreach, live clinics

• Identification of the parties involved, Compensation and payment terms, Duration of the agreement, Rights and obligations of the parties, Termination clause, Confidentiality clause, Governing law and jurisdiction
• Identification of the parties involved, Scope of the endorsement, Compensation and payment terms, Duration of the agreement, Rights and obligations of the parties, Termination clause, Confidentiality clause, Governing law and jurisdiction
• Identification of the parties involved, Scope of the endorsement, Compensation and payment terms, Duration of the agreement, Termination clause, Confidentiality clause, Governing law and jurisdiction

Length of agreement...

• 1 yr

• Term of agreement
• 4 yrs

• 7 yrs

Compensation...

• Over $100,000 every time

• Varies

Free goods:

• Garbage

• Never

• Can have whatever they want as long as it is used in professional career

Compensation:

• Nothing

• Often advanced payment to start – – major artists can range from 50 K to 250 K.

• Paid appearance.

• Tour support money

Use of social media:

• Endorser is expected to use social media platforms to showcase product

• Endorser doesn't have to do anything

Expectations of musician

• loyalty and advertisement

• Fame and fortune
• Loyalty, print ads, promotion, event, appearance, signed agreement with guidelines about promotion

• No criticism or rejection

Is copyright always shared equally?

• Yes

• No

Share or splits of publishing revenue:

• 70-30 split
• 10-90 split
• Key members get all of it

• Within internal band agreement. Usually Key members take larger portion of share.