Opportunities for Canadian Companies in the ASEAN Region
Presented by: CAAMA (Canadian Association For The Advancement of Music & The Arts)
If ASEAN was a single country, it would rank as the 9th largest economy in the world in terms of nominal GDP. Approaching the market as one single trading bloc is entirely appropriate and feasible. Its GDP was nearly US$1.5 trillion in 2008, equivalent to three of the four BRIC countries (Brazil, Russia and India).
CAAMA (Canadian Association For The Advancement Of Music & The Arts) would like to open the market for Canadian music companies to do business with the ASEAN countries. ASEAN is the Association of Southeast Asian Nations. Its ten-member countries are Indonesia, Malaysia, Philippines, Singapore, Thailand, Brunei, Vietnam, Laos, Myanmar and Cambodia. Collectively ASEAN has a population of close to 600 million people, double that of the US. Its working language is English.
ASEAN is the fifth largest trading partner and fifth largest export market for the US and the EU’s third largest trading partner outside of Europe. It has Free Trade Agreements with China, South Korea, Japan, Australia, New Zealand and India.
The youth in the region are as well-versed in International music and artists as they are in the local repertoire. Most ASEAN countries are thoroughly exposed to western influences through trade, tourism, media and the Internet.
International music networks MTV and Channel V have been present in these markets for many years now and social networking is fast becoming one of the most popular of all Internet activities. In April 2010 Facebook established an office in Singapore, after first setting up in India. It is the top social networking site in Singapore, Malaysia, Indonesia, Vietnam and the Philippines.
It is still possible to contract with local indies on a market-by-market basis and consultancy services are available to coordinate activities and promotional initiatives between each. This targeted approach is more effective than a Pan ASEAN licensing approach where opportunities are much reduced and focus diluted.
Digital sales in Indonesia and Thailand now account for more than half of all music sold in these markets (IFPI). Thailand’s market grew 5% in 2009 as the growth in digital sales offset the decreased physical sales.
In Singapore, 64% of digital income is from subscriptions, bundled with mobile handsets, such as Nokia’s Comes With Music service. Mobile is the fastest-growing platform of any facet of the Internet today, with mobile browsing setting itself up to eventually overtake traditional desktop-based browsing altogether. The majority of the ASEAN countries have mobile phone adoption rates of over 60%, with Malaysia and Singapore rates recorded at over 100%. The developing countries (Cambodia, Laos and Myanmar) are experiencing multi-fold user growth year-on-year.
The mobile landscape in the ASEAN region represents an rich untapped channel to generate additional streams of revenue and income for music through digital downloads, paid streaming, music and merchandise sales.
Annual festivals are becoming increasingly popular with the local audiences, and promoters are beginning to take advantage of economies of scale by bringing in artists en route to these events. Hong Kong and Singapore hubs of carriers such as SIA and Cathay Pacific can facilitate stopovers at decreased prices.
Concerts held in this region usually have sponsors from the corporate industry, such as Telcos, tobacco and alcohol companies. In Indonesia, many of the concerts are sponsored by lifestyle and emerging technologies.
From March 10-11, CMW delegates will get an insider’s look at the Association of Southeast Asian Nations (ASEAN) – one of the world’s fastest growing economic regions. With a population of 575mn people and a combined GDP of $1.4 trillion, the ASEAN is considered Asia’s free trade hub. A growing market for western music, ASEAN represents important trade opportunities for Canadian artists and the music industry at large. Industry professionals from the ASEAN will be on hand presenting market overviews, conducting one-on-one meetings with Canadian delegates, and participating in speed dating networking sessions.
Spotlight on Southeast Asia Panel Thursday March 10th, 10:00am-11:00am
Co-Moderators
Jasper Donat CEO Music Matters Asia / Branded Ltd Hong Kong
Steve McClure Exec Editor McClure’s Asia Music News Tokyo
Panelists
Colleen Ironside MD Live Limited Hong Kong
Michael Hosking Founder & MD Midas Promotions Pte. Ltd. Singapore
Neil Thompson Deputy Managing Director Bec Tero Entertainment Bangkok
Yonathan Nugroho Director Trinity Optima Production Jakarta
Bernie Refuerzo A&R/Marketing Mgr Able Music International Inc. Quezon City, Philippines
David Bland Snr International Business Mgr PMD Plus Co., Ltd. Huaykwang, Thailand
Kieven Yim Marketing Consultant Sony / ATV Music Publishing Kwun Tong Kowloon
Nikki Chee Swat Enterprises Pte. Ltd. Singapore