EMI will take jobs axe to marketers in merger plan

Hundreds of marketers are expected to lose their jobs after EMI revealed it was axing the in-house marketing departments for its stable of record labels and setting up a central marketing function.

The division’s marketing budget is being cut from 20% of projected sales to just 12%. The record company, bought by venture capital group Terra Firma last year, announced a major restructure this week that could involve up to 2,000 of its 5,500 employees being made redundant.

It is understood that up to half of the casualties will come from marketing, after EMI Group’s chairman Guy Hands outlined the changes to the Recorded Music division.

The company runs more than 70 record labels, including EMI, Parlophone, Blue Note and Virgin. Their separate marketing departments will now be integrated.

The labels will concentrate on developing artists while the central marketing team will oversee promotional activities. It is thought there will be offices in key global locations. The new marketing team will also develop marketing practices reflecting changes in the way people buy music.

Mark Hodgkinson, EMI head of global marketing, says: “Bringing together marketing professionals in a unified global structure and being more innovative about our marketing will enable us to focus on consumers, providing a better service for our artists and consumers.”

The changes will lead to the loss of hundreds of jobs across the labels’ separate marketing departments. However, the company says many people working in “marketing” roles are not true marketers.

Hands has been critical of EMI’s bloated structure, which he says has been “struggling to respond to the challenges posed by a digital environment.”

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3703 or email customerservices@marketingweek.com

If you are looking for our Jobs site, please click here