Universal Music Group has signed up another global licensing deal, this time with a pioneering business-to-business cloud-based music streaming service called Soundtrack Your Brand. The new deal will allow the music platform offer tracks from the library of music produced by Universal Music Group’s own artists.
The aim of Soundtrack Your Brand is to deliver flexibility of music-streaming technology to brands and businesses for an ‘improved user and consumer experience.’ The model is based on full song trackability, and the deal will offer UMG’s artists and songwriters compensation and credit when their music is played in business and public environments.
Insight fro Soundtrack Your Brand has shown how playing music that reflects their brand’s value positively impacts a business, from noticeably moving sales to directly affecting customer satisfaction.
Ola Sars, founder and CEO of Soundtrack Your Brand, said: “Together with partners like UMG, we have re-imagined the licensing and business-to-business model. We hold the conviction that music has intrinsic value as an art-form and that creators must be compensated for their contribution to a business.
“Brands can benefit artists in accessing new fans, if their in-store music is matched to their customer and brand values. It is my belief that through Soundtrack, there is substantial value to be unlocked for artists, rights owners and brands.”
In 2019 Soundtrack commissioned Nielsen to carry out the biggest study on background music to date, engaging with 5000 small businesses across two continents and seven countries. Nielsen reports that 21.3 million businesses are using illicit consumer services, leaving potential revenue untapped for the global music industry. With 88 per cent of businesses playing music four or five days a week and 86 per cent prepared to pay for an improved service, the opportunity is substantial.
James Healy, SVP digital strategy and business development, Universal Music Group, said: “In Soundtrack, we have a partner whose technological and strategic re-imagining of an evolving business-to-business model will support us in ensuring creators are valued and fairly compensated.”
Paul Stuart, head of licensing and business affairs, Soundtrack, added: “Whether you run a bar in Brooklyn, a café in Sydney or a multinational brand, customer experience is everything. I couldn’t be happier for our customers who can now access UMG’s incredible artists and their music through their unrivaled catalogue and new frontline releases.”