Business model
A PRIVATE INITIATIVE TO DEVELOP CULTURE
Conducted by Maroc Cultures, a non-profit association, Mawazine-World Rhythms is a key player in the cultural offer in Morocco. Each year, it allows millions of people to attend shows, participate in workshops or enjoy contemporary creations. Based on accessibility for all, balancing quality and popularity of concerts, Mawazine-World Rhythms has become a festival with strong civic dimension, that offers a real alternative in a country where the music industry is non-existent, where the market suffers from piracy and where budgets of the Ministry of Culture are limited. In fact, Mawazine is today one of the few festivals in the world to not levy any public funds. This is the result of a long evolution that has allowed Mawazine to become an almost entirely autonomous festival. To overcome the shortcomings of the Moroccan cultural scene, Mawazine has, effectively, developed a business model that tends to reduce the role of sponsorship and to eliminate all public help.
A FESTIVAL LESS DEPENDANT ON SPONSORSHIP
Variable revenue (ticketing, pass, advertising space, etc.) now represents 68% of the total Mawazine budget, which, in turn, significantly reduced its dependence on private sponsors. In 2012, Mawazine took a new step by suspending all public and semi-public sponsors who have previously supported the festival. Today, the Mawazine business model is based on a budget that comes from:
- 32 % of private sponsors.
- 68 % of variable revenue.
This success is the fruit of an evolution initiated from 2008, where the festival reduced its part of the budget fueled by government grants. These have dropped from 6% to 0% of the total Mawazine budget. Consequently, the increase in variable revenue has allowed the festival to be free of charge for the majority of festivalgoers. Today, more than ever, Mawazine is a civic festival whose economic independence is guaranteed by the success of each edition.
BUSINESS MODELS CONSTANTLY EVOLVING
2001 – 2005 Mainly public funding 60% of public funds and 40% of public, semi-public and private sponsors 2006 – 2007 Start of ticketing 5% of ticket sales, 57% of public funds and 38% of public, semi-public and private sponsors 2008 – 2010 Reduction of government subsidies 6% of public subsidies, 34% of public, semi-public and private sponsors and 60% of variable revenue Starting from 2011 End of public subsidies 32% of private sponsors and 68% of variable revenue