Ernesto Muñoz is a directing partner at the music management agency Pink House Management   Pink House Management whose portfolio of artists includes José Ignacio Lapido José Ignacio Lapido and the bands Supersubmarina  and Fuel Fandango . We met with Ernesto to grasp a better idea of the work involved in music management and get some tips on how to get ahead in the music scene in Spain.

Hi Ernesto! First of all, thanks for joining us on The Art Boulevard. We’d like to begin by asking, how would you sum up your professional career?

I started working in sales at an independent record label in 1992. Later I worked for a company that distributed independent labels in Spain (to FNAC and other distributors). After that, I joined Warner Bros as a promoter and Product Manager of national groups such as  Extremoduro  , Fito & Fitipaldis  and Rosendo . I then went on tour with Fito & Fitipaldis for two years, and later joined Sony as a Product Manager where I worked for three years, two of which were spent on the road with Chambao.

At this point, after 4 year and half years, I decided to set up my own agency. After having worked in marketing, record promotion and having experienced the other side of the business on the road, I felt that I was ready. What also influenced my decision was the fact that I had fallen in love with a demo by Supersubmarina. I listened to the demo and thought, “I want to be the manager of this group”, and that was it.

What did you and your business partner Alfonso Valverde do to take a group like Supersubmarina to where it is now? What steps did you follow to achieve its success?  

This business is based on four elements: the artists, the manager, the record company and the publisher. I have always believed that it’s better to have solvent partners before starting a project, so with Supersubmarina for example, we searched for partners who would help us to get started, as this is the most difficult part. With Supersubmarina we signed a deal with Sony as our record label and Universal as our publishers, and with Fuel Fandango, we signed with Warner Music and Warner Chappell. All four of us work in parallel of each other and towards the same goal of successfully positioning the bands on the national musical scene.

How did you go about contacting Sony and Warner and then getting them to sign a deal with Supersubmarina and Fuel Fandango?

In both cases it was easy because I had already worked for them both, so I knew the people first-hand and knew how each of them worked. The interest they showed from the word go was really important.

Now working with them both allows me to learn from each of them, which is great because I think that sometimes having everything with the same partner can make you lose perspective on things.

What risks are involved when you manage an up-and-coming band?

The biggest risk involved is rushing things. A multinational company makes its living from a very broad roster of artists, for them success means selling lots of records, and that’s dangerous. We want to build a band from within a multinational while maintaining the mentality of an independent band. We have to take great care of the independent scene because its key to helping these bands grow. On the independent scene, you can’t rush things; a band takes about 6-7 years to mature. I believe that a musician is prepared xat the age of 30 rather than at 24.

How would you define the relationship between manager and musician?

We try to establish a close, direct relationship between us, and try to ensure that great care and thought goes into every step that we take. You’ve got to think very carefully about each advertising proposal or interview before accepting anything. Working with a reduced roster of artists allows you to do this.

What do you take in to account when defining the strategy of each band?

In the case of Supersubmarina, singing in Spanish does limit you quite a lot. However, as we grow on the national scene, we’d like to create a market in Mexico from next year onwards and if we manage that, the next goal will be Argentina and Chile. Breaking the Anglo-Saxon market is very complicated, ‘Héroes del Silencio’ managed it but no one else has. Language is a handicap, but even if Supersubmarina did sing in English it would still be difficult for them because there are many very good bands from Sweden, France, Germany or England in their genre so they would have to compete with very strong contenders. That’s why we believe that a natural market such as Latin America is easier to break.

As for Fuel Fandango, I think that they are visually very attractive and the singer Nita’s stage presence is very international. They sing in English but they don’t do pop, so they’re not competing with pop bands. They’re different and that’s what makes them attractive to many different audiences. We witnessed it this year when we were in Prague, Basel, France, Algeria, Ukraine and Dubai. When you see peoples’ reaction, you get an idea of the market opportunities out there. A dancing and smiling audience is the best endorsement you can get.

Is the administrative side of artist management complicated?

I’m a disaster, that’s why it’s so good for me to have a partner like Alfonso. He takes care of that side of things with the help of an entrusted accounting agency. It’s really important to have someone unaffiliated to you that can advise you on estimated costs, estimated revenue, VAT and VAT free, income tax, etc., because even though you do learn things over the years, tax issues, tax returns and the SGAE (General Society of Authors and Publishers) are pretty complicated issues that you’re just not prepared for. You manage an artist but you aren’t their financial advisor or lawyer, so the accounting agency takes care of that side of things for us, they guide and advise us. We send them the contracts and they tell us “this clause yes, this one no”, it’s the only solution we’ve found so far to handle these issues.

Is there anywhere a musician can go to get more information and advice?

They could try the Association  ARTE , APM  and UFI; although these are more directed at managers that already have a roster of artists. I’m afraid I don’t know any platforms for unsigned musicians. You could try “La Noche En Vivo” in Madrid, they could help by giving you a list of venues, but apart from that, there aren’t any big platforms that I know of.

What has been your biggest achievement as a manager?

For me it’s the day to day stuff, every day is an achievement. Allowing the artists we have on our roster to keep evolving is an achievement, especially in today’s climate. With the recent VAT increase, we’re probably facing an even more difficult situation. Last year, when Portugal decided to increase VAT in the arts from 8% to 21%, concert ticket sales fell 41%, which means that many agencies, venues and bands are going to disappear. All we have left really is common sense, and to absorb a part of the VAT as producers and share the other half with the spectator. Imagine, you now have to pay 5 euros more for a ticket that used to cost 13 euros just because of the SGAE and Inland Revenue.

How do you manage to book gigs outside Spain?

For Fuel Fandago two institutions have collaborated with us, the Instituto Cervantes and the Ministry of Culture. They both felt that it was an interesting project and they helped us to set up gigs abroad. We were also lucky in the sense that the Director of the festival Les Transmusicales de Rennes  Les Transmusicales de Rennes, in France, was at one of the concerts we did in London, he completely fell in love with Fuel Fandango and he booked them. He liked them that much that even the background music on the festival’s teaser was by Fuel Fandango.

What’s next for Pink House Management? Any new projects on the horizon?

Well, we’re currently looking for a new group to broaden our roster. Now that there are four of us in the office, we need another group in order to maintain the company’s structure in case two of the bands decide to pack it in.

What selection criteria do you use when choosing a band?

Given the music scene in Spain right now, and the current climate, we’d like something that can be developed abroad, that’s very important. We’re looking for a group like Guadalupe Plata, they’re a trio so its easy to travel, and they also have that ‘something different’ quality to them, which would allow us to export them. What we look for doesn’t have to be similar musically to Guadalupe the style is actually irrelevant. To me, with the exception of Sevillanas I like everything! I also think that, as music styles tend to come around again, the swing and rockabilly scene could come back in a few years.

What piece of advice would you offer those groups who are thinking about sending you their proposals?

Don’t rush things, that’s the most important thing. Don’t spend an unnecessary amount of money on recordings and all the rest. Usually a demo is much more interesting than a finished recording because a recording is the final product and that limits the vision that a manager or a record label could have about the artist. Being a professional doesn’t mean starting from zero with something very professional. You should let people who are in the music industry to help you create the product. I know I much prefer to receive an imperfect demo than a finished, polished one.