Music Dealers Company Meeting

How Music Agencies of Record are Shaping the Sonic Identities of the World’s Top Trademarks

Your Brand Hear: How Music Agencies of Record are Shaping the Sonic Identities of the World’s Top Trademarks

By:  Eric Sheinkop, CEO, Music Dealers Jun 30, 2014

Tags & Topics:

• BRANDS
• INNOVATION
• CULTURE
• BUSINESS
• OPINIONS

•  

One thing at the 2014 Cannes Lions International Festival of Creativity was remarkably clear: We are witnessing a revolution within the traditional Agency of Record framework. The rise of specialty agencies is shifting the paradigm to a new model, including the birth of the Music Agency of Record.

With major brands moving away from the Agency of Record model, they’re leaving their identities in the hands of more teams spread around the world. Doing so threatens the consistency of a brand’s voice and message. This is especially the case in areas like the music a brand uses in its campaigns, or its overall sonic identity, which needs the same formatting and guidelines as other communication elements such as logos or fonts.

When a brand switches agencies, the logo and branding are carried over to the new partner through style guides, visual identity systems (VIS) and more. Until now, tools and resources like these have never existed for a brand’s sound.

Today, brands are working with more specialized agencies to create more content than ever before. Music is not only showing up as a pain point, but as one of the largest missed opportunities to drive positive engagement, build a cohesive brand identity and create value. You wouldn’t let an editor change your company’s logo based on personal preference, but that’s exactly what’s happening with the use of music.

In Cannes past, Music Dealers, a creative licensing agency, has simply been considered a vendor to other agencies to supervise a music search and clear songs for commercial use. But this year, top brands including McDonald’s, which was named Creative Marketer of the Year, and Coke, who owned that title last year, introduced us to their more traditional agency partners.

Music Dealers is the first company to be appointed Music Agency of Record for some of the world’s most respected and creative brands. Earlier this year, The Coca-Cola Company introduced Music Dealers to 142 of their above-the-line creative agencies around the world. This move came after Music Dealers worked with Coke’s global brand teams to identify the right music to properly reflect the personalities of the brands. Fanta looks and tastes the same everywhere in the world, but the sound of the brand has come down to the personal taste of the local team. We needed a way to create more consistency and use every opportunity we have to create strong connections with consumers. 

Eric Sheinkop

Music Dealers curated “on brand” music for Coke, Sprite, Coke Zero and Fanta. Instantly we saw a pickup in use around the world from creative teams who appreciated the music that would help drive value for their productions. We’re cutting down the time it takes to find and source the perfect track using artists from more than 85 countries.

And Coke isn’t the only company catching on. McDonald’s recently introduced Music Dealers to their creative agencies to help with music selection on TV spots after completing a Music Dealers-run Sonic Identity workshop. Microsoft, Bacardi and other global brands have gone through similar workshops and created musical style guides to help inform their music choices. 

These workshops think through what a brand represents and how it wants to be seen and talked about before curating the right music for a campaign. Music doesn’t just help tell the story of what’s on screen; it evokes emotion so strong that it can carry the relationship with the consumer beyond the 30-second spot and help a brand become part of the consumer’s life in an organic way. Once a brand’s musical style guide has been created, the music they use in-store, in-restaurant, in radio, TV, Internet and any other touch point can be a proper reflection of the brand and help drive true value. 

As brands are creating more content through different sources and teams, the role of the music agency of record becomes even more important to help drive consistency.

People need music. They have a strong desire to discover new music and share that music with their friends. Brands have the opportunity to be their trusted filter and help deliver music that makes a difference in their lives.

Eric Sheinkop is co-founder and CEO of Music Dealers.

Music Dealers Boosts Senior Team as Music Licensing Industry Rockets to an Estimated $4 Billion

Senior appointments and technology innovation are key to Music Dealers’ strategy of revolutionizing how the industry licenses music globally.

"[Music Dealers' new senior appointments] are the ideal candidates to focus on developing our core business, strengthen our digital proposition and above all position Music Dealers as the dominant player in the music licensing industry.”

(PRWEB) May 27, 2014

Music Dealers™, the global B2B music licensing company, has strengthened its core leadership team with the appointment of four new senior members across the global business.

Announcing the appointments today, Eric Sheinkop, CEO and co-founder of Music Dealers, says the new senior roles are key to Music Dealers’ goal of developing game-changing technologies and forward-looking digital strategies that position the Music Dealers’ online platform as the unrivalled iTunes of B2B.

The new unified structure brings together some of the biggest names in the media, entertainment and tech industries to focus on launching an innovative online checkout embedded within the digital platform. Music Dealers will continue developing global clients, currently including The Coca-Cola Company, Sony, McDonald’s and Microsoft, collaborative partnerships, and creative resourcing.

The new appointments effective immediately are: 

•     Howard Tullman – CEO of 1871, the Chicago-based entrepreneurial hub for digital startups, joins Music Dealers as Executive Chairman of the Board. He brings 45 years’ management experience in the music, film and digital media sector.
•     Kayne Grau – joins Music Dealers as President from Apartments.com. He has a wealth of 15 years of experience directing successful business and technology operations.
•     Clay Johnson – joins Music Dealers as Vice President of Technology from Cars.com. Clay will lead all tech negotiations to implement a superlative user experience.
•     David Szostak – joins Music Dealers as Director of Marketing and Business Development, focusing on marketing strategies to drive revenue growth and brand awareness.

Under the direction of the new team and to satisfy client needs as licensing requests skyrocket, Music Dealers has integrated and launched online checkout into its platform. This is designed to simplify and speed up the process of discovering and purchasing authentic music for TV, advertising and music campaigns – anytime and anywhere in the world.

The concept will provide Music Dealers’ client base unprecedented 24/7 access to the world’s largest music catalogue of more than 180,000 songs by 17,000 independent artists from 85 countries.

Music Dealers CEO and Co-founder, Eric Sheinkop says, “Strong leadership within our organization ensures we maintain momentum as we continue to expand the reach, influence and innovation around the Music Dealers online music licensing platform. Howard, Kayne, Clay and David all possess a vital mix of deep industry knowledge alongside a passion for pushing boundaries. Along with our streamlined online checkout providing the perfect music for any media campaign, they are the ideal candidates to focus on developing our core business, strengthen our digital proposition and above all position Music Dealers as the dominant player in the music licensing industry.”

http://www.musicdealers.com

For more information and images, please contact:
Lyndsey Ager
lager(at)musicdealers(dot)com
312-533-2342

Notes to Editor:

About Music Dealers
Music Dealers™ is a global B2B music licensing company whose passion and mission is to help brands, agencies, TV networks, and film & game studios realize the full potential of music to drive value for their business. Music Dealers provides its clients unprecedented 24/7 access to the world’s largest catalogue of emerging talent via their online platform. By working with Music Dealers, artists have earned millions through sync placements, custom music creation, and clearance deals. In 2011, Music Dealers cemented an exclusive partnership with The Coca-Cola Company as the brand’s global music partner. Since, Music Dealers has formed partnerships with Viacom, The Orchard, INgrooves, and Havas Sports & Entertainment. Founded in 2009, Music Dealers is based in Chicago, with offices in New York, Atlanta, London, and Mexico City. For more information visit:http://www.musicdealers.com.

ERIC SHEINKOP - MUSIC DEALERS CEO - PRESENTS AT MICROSOFT

1871 HOSTS MICROSOFT BRIEFING AND EVENT WITH RAHUL SOOD

Why 'creatives' need the same love as tech startups

JOHN PLETZ ON TECHNOLOGY

Why 'creatives' need the same love as tech startups

April 08, 2014

Chicago-based Music Dealers helps independent musicians get their songs featured on commercials by brands such as Coke and McDonald's Corp.

For brands, it's cheaper to use independent music in Music Dealers' online catalog than a well-known song. The musicians are happy, because they gain both money and exposure. Music Dealers has distributed millions in payments to artists, whose music has been featured prominently in campaigns such as McDonald's ads during the Sochi Olympics.

Music Dealers' rise made a star of CEO Eric Sheinkop, who cowrote a book about music licensing in December. He went on the road to promote his book and company at South by Southwest in Austin, Texas, where 150 Music Dealers-affiliated artists also performed.

Mr. Sheinkop's presentation at Chicago's trade-show booth was more than lip service: He recently committed to keeping Music Dealers' headquarters here despite overtures from cities such as Las Vegas and Kansas City, and the allure of Los Angeles, New York and London, each of which is home to a Music Dealers satellite office.

He tells Crain's contributor Steve Hendershot more about why he's staying.

Crain's: Why were you considering making the move?

Eric Sheinkop: We had been debating (moving) for the past year. As soon as Music Dealers started doing well, the first thing I did was open up an office in Los Angeles, then New York, then London. All of them got a lot more attention and did a lot better than the Chicago office, even though we kept Chicago as the headquarters. And then other cities started coming after us to move our headquarters, like Kansas City and Las Vegas.

Crain's: How did Chicago convince Music Dealers to stay put?

ES: I grew up in Chicago, and I have a lot of pride for everything Chicago. As musicians we haven't always felt like we had the support of the city, but when the (Department of Cultural Affairs and Special Events, or DCASE) contacted us, and we saw that the mayor wanted to show artists that it was a friendly town for them, and that he was willing to cultivate that culture and bring artists there, well, we would do anything we could to get behind that.

DCASE came to us and said they want to create a reason for creatives to stay in Chicago. We all know that when people start getting attention, they just leave, and that's always a shame. Everybody has always said: 'To make it in Chicago, you have to make it outside of Chicago first,' which is kind of sad. But (DCASE) is looking at some things like tax incentives and initiatives like paying for staff training. And while there isn't any one particular thing that made us stay, we can see that they are trying, and that's very meaningful. (Mr. Sheinkop declined to detail the tax incentives offered to Music Dealers.)

Crain's: Why do you think the arts suddenly has the city's attention?

ES: As great as 1871 is, the amount of success and money that have come out of it isn't mind-blowing. The city is going to have to support other arts besides just tech, besides just coders and entrepreneurs. And I think they're seeing that. A couple of years ago, you never would have seen a Chicago-sponsored show with Chance the Rapper headlining and all these great eclectic Chicago groups. So I think the city is taking the right steps. I think they see they have to go beyond the tech world. Those startups are incredibly risky, so you've got to hedge your bets.

Steve Hendershot is a Chicago-based freelance writer and a regular contributor to Crain's.

Follow John on Twitter at @JohnPletz.

MUSIC DEALERS AND MCDONALD'S

Music Dealers ups work with McDonald's

by Tom Pakinkis 
2 days ago

 

•  
• 20

Global music licensing agency Music Dealers has increased its involvement with McDonald’s as the restaurant chain looks to make music a bigger part of its brand marketing – starting with the Sochi Winter Olympics.

McDonald’s approached Music Dealers in a bid to work smarter with independent artists and drive value for its brand through the use of music. 

In October 2013 Music Dealers lead a ‘sonic identity’ workshop for the company “to help them find their sound, guide them to strategically use music to drive value for their brand and create consistency in their music selections”.

“It's been a long time since music was a priority for McDonald's in their marketing campaigns,” Eric Sheinkop, Music Dealers CEO and co-founder told Music Week. “In the past music has been a complementary decision but the brand wanted to refresh the sound of its content.”

With Music Dealers, McDonald’s chose to use New Zealand hip hop artists The Wyld for its Winter Olympics TV ad campaign titled ‘Celebrate With A Bite’.

“McDonald's has one of the largest opportunities to share independent artists and their music with the world,” added Sheinkop. “By realising the untapped potential they have to connect with consumers and share great music they came to Music Dealers to help them achieve their objective.”

Why Music Plays A Big Role When It Comes To Branding

Why Music Plays A Big Role When It Comes To Branding

Steve Olenski, Contributor

I write about advertising, marketing, media & all subgroups therein.

I know, far it be for me to write an article which brings together music and branding. I kid of course for by now you surely know of my love affair with the concept of marrying and meshing the worlds of advertising, marketing and branding with that of pop culture – in this case, music specifically.

Not long ago I read a quote attributed to pop singer Adele in which she says “I don’t make music for eyes. I make music for ears.”

Coming from an artist that makes perfect sense of course.

However, in our world of marketing and advertising — especially in today’s highly visual world where Pinterest, Instagram and other image-based platforms are becoming more popular with each passing day — the need is paramount for the right music to be married to the right brand.

Not to say that music in advertising was not always important.

On the contrary.

Last September, in a piece I wrote for Branding Magazine entitled Music to a Brand’s Ears, I made reference to a paper written by David Huron, a professor at School of Music at Ohio State University entitled “Music in Advertising: An Analytic Paradigm.”

In the paper, which was written all the way back in 1989, Huron wrote that when it comes to the use of music in advertising and branding “music can serve the overall promotional goals in one or more of several capacities.”

His words still ring true today for sure.

However, he was speaking solely of the ways music can help move the proverbial needle; to move some product— which of course is every marketer’s and advertiser’s ultimate goal, of course.

But, what about the role music can play in establishing, maintaining and even growing the equity of a given brand?

How Does Music Build Value For a Given Brand? 

It’s a very open-ended question and one that would surely solicit a wide array of responses.

Why what do you know? Here’s some responses now.

Eric Sheinkop, President/CEO, Music Dealers and co-author of Hit Brands: How Music Builds Value for the World’s Smartest BrandsTop of Form

Bottom of Form

·         

“Music brings value to a brand in three ways: identity, engagement, currency. Specifically, using music to establish an emotional connection with a brand, increases brand recognition, creates excitement and buzz beyond the brand’s core products or services, and can empower consumers, giving them valuable content to discover and share. Music creates the value that brands need to win the war for attention and develop a genuine connection with their consumers. When used correctly, music not only creates loyalty, but true advocacy.”

Alex White, Co-Founder & CEO, Next Big Sound, Inc., leading provider of online music analytics and insights

“Brands increasingly need to stand out in a cluttered world and music is one of the best ways to resonate with their customers. As for the role music can play – a song choice can reinforce the particular message the brand is trying to convey and demonstrate a brands’ personality.”

Matthew Sommer, COO, Brolik, who has a degree in Music and has scored both commercials and films

“Music helps brands to form an emotional connection with their target audience in a unique way, in that it affects a wider audience than most other forms of artistic expression. With so much competition for attention, advertisers can’t afford not to use every tool in their shed, especially one as emotive as music.”

As for my thoughts on how music builds value for a brand. I agree with pretty much everything already said. Music absolutely hits that emotional nerve in all of us; a nerve that connects us as Sheinkop and Sommer say. Not sure I agree with Sheinkop when he says that music, when used correctly, can create loyalty and true advocacy. I won’t get too deep into the overall topic of brand loyalty, but I will say music can play a role in that creation, if you will, but it is surely not the only contributing factor.

A Little Specificity Please

Ok, so that’s some thoughts on how music can build value for a specific brand.

But what about the role it plays in a specific TV spot and/or campaign?

White: “Music is a universal language so I think that brands and ad agencies that are able to find the right music and sound for their product will dramatically improve the results of the campaign. For instance, if the brand stands for new and cool and is able to break a new artist as part of the campaign they will benefit from the song and potentially career growth of that act. Brands that use music as part of the campaign can drive the longevity and improve perception in the marketplace way more than if no music was selected.”

Sommer: “Music is critical to the feel and tone of almost any piece of video content. Simply changing the backing track for a video can totally change the mood, and sometimes even the implied meaning of the content. Be careful about the ‘right’ piece of music, though. Just because the editor was cutting the video to the Rolling Stones, doesn’t mean you’ll have a Rolling Stones sized music licensing budget. There are plenty of the ‘right’ song out there if you’re willing to spend the time to look.

Sheinkop: ”Music has just as much of an impact as the visual on the screen. At the most basic level, music, when heard in conjunction with a visual, is designed to pull the viewer in and help them experience the feeling of the story. Music is the emotional connection to anything visual. The right music makes the visuals more valuable and the product seemingly more meaningful. If there isn’t any music, the visuals better be hilarious or that campaign could suck. Music is what will make you look over at the TV when washing dishes after dinner. Music makes people talk about campaigns and share them with their networks.

For example, one of the most emotional campaigns on TV recently is the P&G Moms Olympic spots (example below). Watch those spots without music and see if you even know what’s going on. Without music, a brilliant campaign can go unnoticed. With music, a subpar creative production can go viral.”

My take? Well, the guys above are again, right on the money. There’s no question that the right music paired with the right brand in the right spot/campaign can increase the success of it exponentially. Music is that missing piece when it comes to advertising if you think about it.

A print ad, at least most print ads, cannot include music so they rely on the words and the images to tell the story. Same with outdoor and so on. Radio advertising obviously relies heavily on music along with copy.

But TV and video? Music becomes that missing link; that third piece to the puzzle. The piece that ties it all together.

Assuming of course the right music is paired with the right brand in the right spot/campaign.

Music & Advertising – What Could Possibly Go Wrong?

One final question I posed to Sheinkop, Sommer and White was “Are there negative consequences to not having the right music/artist paired with the right product?”

I liked all the replies I received to this query but one part of the reply I got from Sheinkop encapsulated perfectly my own take on this topic.

“A classic example of a common mistake brands make in their use of music is thinking like fans first. Specifically, not pairing the right artist with the right product but instead using their personal favorite well-known, popular personality instead of an artist loved by their consumers and who represents the brands personality and values.”

One word: Amen.

I cannot tell you how often I think this happens with brands, advertisers and marketers. And not just in the context of music selection. Oh heck no.

I absolutely believe there are an infinite number of decisions made as to whom will be in a given commercial/campaign and what music will be used based solely on the personal wants and wishes of CMOs, CEOs, ad agency owners and other high-level decision makers.

A given celebrity or song doesn’t really connect with a given brand? So what. If the right person wants them to be in the commercial and/or use their music just for a chance to meet them and take pictures with them — it will be done. Period.

Who cares if the campaign tanks? Someone can say they met so and so and got their picture taken with them.

Oh man, don’t get me started.

Ok, chime in on all this, please.

MUSIC DEALERS ERIC SHEINKOP ARTICLE IN BILLBOARD BIZ

Eric Sheinkop is the CEO of Music Dealers & co-author of 'Hit Brands: How Music Builds Value for the World’s Smartest Brands'. Follow him on Twitter at @Esheinkop.

With over 111 million viewers expected to watch the Super Bowl this Sunday and over $4 million spent on a 30-second spot, the Super Bowl is as much a culmination for advertisers as it is for the NFL. With the world’s most recognizable brands vying for attention, it’s a chance for agency creatives to showcase their very best work. Given the value brands gain from their use of music, the Super Bowl offers the largest stage to leverage the power of music to create intrigue and discussion for a brand after the whistle has blown.

Two hopeful reactions for any marketer: “That commercial was amazing,” and “That music was incredible. What was that song?” It’s a chance to set the social mediasphere ablaze with inquiries about songs, artists, and “where can I find that?!”  The advertisers that win in this game are the ones that know the type of music that best represents their brand, and that can create value beyond their commercials.

What interests me about the music choices in the Super Bowl is the correlation to Grammy winners announced one week prior. The Grammys and the Super Bowl are not just mega events close in airdate, there is a symbiotic relationship between Grammy winners, the Super Bowl halftime show, and music selected for commercials during the game. Is it a conspiracy or can we find a natural pattern? By analyzing the use of music in 2013’s Super Bowl ads, we can develop some pretty good predictions about the role music will play in 2014’s Super Bowl commercials. And, there are some interesting musical insights from what’s already been released this year.

The first is the rise of the independent. During Sunday’s Grammy Awards, triumphant independent artist Macklemore championed the indie music scene and called for its support. Macklemore and Ryan Lewis’ collaborative album, “The Heist”, is one of the most successful independent releases in the history of the music business (though it did get radio promotion and distribution from major labels). During his acceptance speech, Macklemore proclaimed, “We made this album without a record label, we made it independently and we appreciate all the support.” To boot, the American Association of Independent Labels reported that independent music won 50% of 2014 Grammys, an incredible feat for the flourishing indie music community.

The ad business is like any other, based on trends, and the trend of independent talent creating high-caliber music that resonates with fans will not be ignored. In 2013, 13% of Super Bowl ads utilized indie artists. While we can not claim that the 50% indie trend from the Grammys will be mirrored in Super Bowl ads, we certainly can count on a significant rise compared to last year.

The next interesting insight into the correlation between the Grammys and Super Bowl is the connection between the halftime show performer and Grammy Award winners. Pepsi, sponsor of the halftime show for the second consecutive year, strategically targets performers with mass appeal. As it turns out, those performers are coming off the heels of a Grammy victory a week prior, as is the case this year with Bruno Mars, winner in the “Best Pop Vocal” category. The same connection can be made to last year’s halftime show featuring Beyoncé, who had just won the Grammy for Best Traditional R&B Performance for “Love On Top”, and Cee-Lo Green, who performed with Madonna the year before that.

Smart marketers have long sought to leverage top artists for their campaigns, and we find Grammy winners often landing major spots throughout the year. What’s interesting and different about the Super Bowl is that brands don’t have time to react to the Grammy wins.  They’ve already placed their bet as to which artists will win. It’s a big bet and when a brand guesses right, the value to their consumers, and therefore their business, is tangible

For example, last year fun. took home Best New Artist and Song Of The Year for their mega hit, “We Are Young.” Then, only seven days later, Taco Bell released a clever cover of the song for their “Viva Young” campaign, “We Are Young” in Spanish. Taco Bell took their music licensing to the next level and made it an experience that entertained consumers and generated conversation while staying authentic to the brand’s Latin roots. Taco Bell bet on who would be the best of the year well before the Grammys and they got it right.

The trend of leveraging the best will surely continue. We speculate that before the last whistle of the game is blown, we’ll see a commercial containing a cut by Macklemore & Ryan Lewis, or perhaps a licensed use of “Royals” by Lorde. Which brand will capitalize on Pharrell, arguably the most influential figure in music this year as a producer and collaborator in several top Grammy nominations? We’ll have to wait and see.

We’d be remiss to neglect Pepsi’s Grammy Halftime Show ad, further bonding together the relationship between the two major events. "You music artists, you're always giving football the best halftime shows, so tonight, football is paying music back,” announced Deion Sanders to a faux Grammy crowd, before launching into a choreographed auto-tuned number. Hilarity ensued, with a number of NFL stars performing and parodying popular artists of the day. The event displayed Pepsi’s commitment to music and acknowledged the powerful correlation between the two events, with humor at its core.

Having the foresight to pick a popular artist or good song is one thing, but one of the most powerful ways for a brand to create authentic, long-term consumer engagement is by leveraging music in such a way that it creates value for the brand way beyond the 30-second ad.

We saw two well-executed examples of this last year, both from the auto industry. Volkswagen offered consumers a free download of Jimmy Cliff’s cover of “C’mon Get Happy” and featured the song on their brand-curated SoundCloud page, while Hyundai and The Flaming Lips joined forces to release the song “Sun Blows Up Today” written for the ad and included as a bonus track on the bands new album. Hyundai also offered 100,000 free downloads of the custom track on their website.

We already know one major contender using this strategy this year. Bank of America, U2, and RED, a group co-founded by Bono to enlist brands in fighting HIV/AIDS in Africa, have collaborated to produce a 60-second spot to introduce their new partnership.

The commercial will feature U2 performing a new song called "Invisible," which will be available for free on iTunes during the game and over the next 24 hours. Bank of America will donate $1 for every download in that time, up to $2 million. In one stroke of genius, fans are introduced to a completely new song from one of the greatest rock groups of all time, offered a free download of the track, all while knowing that the partners behind the campaign are bringing true value to the world. This campaign represents the truest form of using music to bring value to the consumer, the artist and the brand.

Why is music such an important focus for brands? Why do they use it to create extra discussion for their elaborate, beautiful productions? Grammy host LL Cool J said it best: “The force of music is universal... Music has the power of bringing people together like nothing else in this world...”

On a personal note, the fact that 50% of Grammy winners were independent artists this year fills me with hope that we will see more indies than ever before taking the stage at the Super Bowl.  With so many great indie artists and songs brands can help the world discover, I can’t wait to hear what the Super Bowl has for us this year. I’ll probably even watch part of the game played in between the ads too.