24th August 2016: The Entertainment Retailers Association (ERA) which represents digital music services and music retailers in the UK welcomes media reports that Universal Music is to reduce the number of exclusives its labels strike with streaming services.
ERA’s members believe that exclusivity deals are confusing for consumers, potentially threaten the growth of the music streaming market and disadvantage physical retailers.
ERA CEO Kim Bayley said, “We have long believed that a level playing field is the key to healthy competition in the entertainment market.
“The premium music streaming sector has grown rapidly with a clear promise to consumers that they can effectively access all the music they might want for a single flat fee per month.
“The proliferation of exclusives means consumers are effectively forced to take out multiple subscriptions to gain access to all key releases.
“We believe this is damaging not just to individual services but to the market as a whole.
“We welcome reports that Universal is now moving away from exclusives and call on other labels to follow their lead.”
ENDS
Notes to Editors
- Media reports overnight here and here suggest that Universal Music, the world’s biggest record company is moving away from releasing individual albums exclusively to individual music streaming services;
- Among leading artists to have placed their albums exclusively with individual digital services are Drake, Beyonce, Kanye West, Frank Ocean and Rihanna
- Music streaming is the fastest growing part of the recorded music industry. In 2015 UK streaming revenues grew by 50% to £251m. Rapid growth has continued in 2016.
For more information, please contact Steve Redmond, steve@eraltd.org 07770 924 720
About ERA
ERA is the trade association representing the vast majority of retailers and digital services offering music, video and games. Its members range from independent record shops (Reflex, Sister Ray) to digital services (Spotify, Sky, Deezer, 7digital) to internet retailers (Amazon) to specialist High Street operators (HMV, Game) and supermarkets (Tesco, Sainsburys, Asda, Morrisons)