So-called ‘identify and likeness’ rights have been simmering away as an fascinating enterprise throughout the music business for a while.
Briefly, the acquirers of stated rights can freely make use of an artist’s model and, erm, likeness, throughout varied merchandise and media, together with movie and TV.
Clearly sufficient, when stated acquirers additionally personal the music rights to an artist’s catalog, controlling ‘identify and likeness’ turns into all of the extra highly effective.
For instance: one pioneer within the ‘identify and likeness’ acquisitions enterprise is Main Wave, which has relied on its possession / part-ownership of such property to co-create the extremely anticipated Whitney Houston biopic, I Wanna Dance With Someone.
Main Wave has additionally acquired / partially acquired ‘identify and likeness’ rights to a bunch of different legends, from Luther Vandross to Prince, Stevie Nicks and lots of extra.
Others who’ve made current acquisitions on this world embrace Irving Azoff’s Iconic Artists Group (Seaside Boys, Linda Ronstadt) and BMG (Tina Turner).
The most important report firms clearly can’t merely stand by and watch all of this exercise play out with out taking motion.
And right now (November 16) the largest main of all of them has made its personal assertion announcement within the ‘identify and likeness’ house.
Common Music Group has confirmed it’s launching a strategic alliance with Genuine Manufacturers Group (ABG) to amass and actively handle artist manufacturers.
ABG is a worldwide model proprietor whose portfolio already consists of iconic superstar manufacturers akin to Marilyn Monroe, Muhammad Ali, and Elvis Presley.
In response to a press launch, ABG makes use of these rights to create “memorable model experiences that come to life throughout key client touchpoints, platforms and rising media”.
UMG and ABG say they are going to now collectively “mix [our] respective management in artist model administration to increase the legacies and cultural affect of artists all over the world”.
Confirmed the press announcement: “Working with artists, their representatives and authorized heirs, [UMG and ABG] will strategically market and place artists throughout a variety of client touchpoints leveraging their identify and likeness to drive alternatives in merchandise, memorabilia, licensing, model experiences and media and leisure, amongst many others.”
Sir Lucian Grainge, Chairman and CEO, Common Music Group stated, “UMG and ABG have robust observe information as highly effective stewards of artist and superstar manufacturers. By way of this initiative, we’ll put money into identify and likeness rights to create distinctive alternatives for artists with the purpose of drastically increasing their cultural and business affect.”
Jamie Salter, Founder, Chairman and CEO, ABG stated, “We’re honored to associate with the enormously proficient workforce at UMG for this groundbreaking initiative. Collectively, UMG and ABG will work strategically to protect the legacies of historical past’s best artists.”
That is an fascinating transfer from Common Music Group, which was notably aggressive within the music rights acquisitions enterprise in 2020.
In response to firm filings, UMG spent over $1.71 billion (€1.52 billion) final yr on a mix of catalog acquisitions and “advances to artists internet of recoupment”.
That determine was greater than thrice the equal spending sum that UMG splashed in 2019.
Common’s 2020 acquisitions, in fact, included the music catalog of Bob Dylan, for which UMG is believed to have paid upwards of $350 million.
In September this yr, UMG floated on the Amsterdam Euronext inventory alternate.
On the time of writing, UMG carries a €26.37 share value, equating to a €47.81 billion ($54.3bn) firm market cap valuation.Music Enterprise Worldwide