Market Trends:
Social Distancing Guidelines Extended To April 30, Proceeding As Expected
President Trump extended the guidelines for Social Distancing until April 30th, with many states pushing the stay-at-home orders until April 30th. The USA has the most confirmed cases in the world, as well as the most tests completed. This extension will hopefully mitigate the spread. Some people are beginning to fall into a routine, which will help them through the mental effects of self-isolation. This extension was expected by many, and as we noted last week, most events were already cancelled for the month of April. This will put further pressure on those that rely on events for income, as well as other “non-essential” services.
#TogetherAtHome #PlayApartTogether
The music industry has partnered with the Global Citizen/ World Health Organization to create the #TogetherAtHome series, where many superstar artists like Charlie Puth and John Legend and some smaller artists perform live streams and virtual concerts for their fans and supporters. The gaming industry has also followed with its own #PlayApartTogether campaign, which aims to incentivize players to stream special events with rewards and exclusives. Overall, pretty wholesome stuff.
Donation Funds: Who, What, And So What?
In order to reduce the impact of the initial economic shock of the COVID-19 virus, the entertainment industry has come together to donate millions of dollars to provide aid to the most “hard hit people.” First off, this is a noble gesture. On deeper analysis, three questions:
1. Who are these “hard hit people?”
Basically, it’s people not receiving income due to cancelled music events like concerts, film projects that are postponed or cancelled, and other miscellaneous bookings.
2. What is the aid?
On the public front, MusiCares and the Recording Academy have set up one of the larger funds that provides grants up to $1,000 to compensate music industry professionals. On the private front, companies like Netflix have announced their own private funds where the majority of the financial assistance will go towards compensating crew members’ salaries working on their own projects that are currently postponed or cancelled.
3. So… We good?
While these donation funds are providing aid to short-term income loss shocks, it is evident that these funds are not sustainable as long-term welfare. Although these “hard hit people” can also apply for CARES Act loans such as the EIDL (Economic Injury Disaster Loan), these are one-time payments, not income. It is imperative for the industry to explore sustainable solutions that do not require handouts.
Big Winners:
Stay At Home Creators
Some creators have made the most of social distancing and have put out some amazing content. By doing something different and being able to adapt, these people are simply increasing their engagement and are advancing their careers. Here are some of our team’s favorites:
Talk Shows:
- Miley Cyrus: Bright Minded – Miley chatting with celebrities about how they are handling social distancing and life in general.
- John Krasinski: Some Good News – An at home talk show (SPOILER ALERT he reunites with “The Office” co-star Steve Carrell in one episode!)
TikToks:
- Jake Miller: COVID-19 spoof short music videos about struggles of life at home with his family.
- Proctor & Gamble X Charli D’Amelio: collaborated on the #distancedance challenge
- The McFarlands: Family starring themselves in TikToks as they’re quarantined together.
Concerts:
- UnCancelled Music Festival: The UnCancelled Music Festival brings together musicians, fans and venues from around the globe affected by the Covid-19 crisis for a virtual concert experience to help sustain the music industry during this trying and unprecedented time.
Notable Deaths:
Adam Schlesinger
Adam Schlesinger died at age 52 from Coronavirus earlier this week. He was the co-founder of the band, Fountains of Wayne (known for “Stacy’s Mom”). He wrote compositions for Tom Hank’s “That Thing You Do!” and the romantic comedy series, “Crazy Ex-Girlfriend.” He won 3x Grammy Awards, 1x Emmy Award, and earned Oscar and Tony nominations.
Much of Adam’s work savored those special effervescent moments in everyday life. He died too early. Carry on his legacy and find enjoyments out of the little things in life!
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