Exclusive Interview: BMG’s Laurent Hubert and Darrell Franklin—Part 1

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Laurent Hubert (L) and Darrell Franklin (R)

BMG Rights Management President Creative & Marketing North America Laurent Hubert and BMG Chrysalis Executive VP Darrell Franklin sat down with MusicRow recently to discuss sync licensing, communication, single strategy and more. MusicRow Publisher/Owner Sherod Robertson and Sr. News Editor Sarah Skates conducted the interview.

MR: How is the music business in Nashville different from other cities?

Hubert: Nashville is a unique place, because songwriting is core to the music business here. That’s not the case anywhere else in the world. For BMG, being in Nashville is absolutely critical. Nashville’s song community is attractive to publishers and writers. In the past five to ten years, Nashville has become less of an island and more cosmopolitan from a songwriting perspective. It is much more open because Nashville writers are starting to write outside of town, and outside writers are coming in.

Franklin: After going back and forth to LA, I see how much control Nashville publishers have, especially getting our own cuts and pitching songs. It’s kind of the last town where that is the main focus.

MR: How does BMG facilitate interaction between Nashville and its other offices?

Franklin: Communication is number one—we are an internationally thinking company. We have an international call every two weeks where for 30 minutes we go through every major act, discussing when they are going in the studio, and what types of songs they are looking for. I started out at Almo Irving, and the strength of that company was the fact that they linked all the international offices together and it was constant connection. BMG is the first place I’ve been since then that has that same focus. It’s all about communication and focus.

Hubert: Internationally, we might have 25 to 30 people on the call. We also have a weekly call here in the US with about 12 to 15 people. We are in about 10 markets, 10 territories, but our goal is to operate as one when it comes to the creative aspect. It starts with philosophy, which is focusing on music. After that, it’s about putting the organization in place that buys into that philosophy and executes on that philosophy. Communication is one part of the equation. The second part is having someone in LA who is dedicated to our Nashville repertoire and interacts with both offices as the ambassador. It started as an experiment this year and is working really nicely. It creates opportunities, and creates a different atmosphere in the LA office, so it’s not purely pop driven. We may create a similar position in New York.

Franklin: It helps with film and TV too; just having that person that’s in their face constantly.

Hubert: I find that Nashville’s sync revenue is typically lower than other catalogues, and I don’t think there’s any good reason for that. I think that [the initiative] starts internally, when somebody realizes this is music that we can place. Perhaps initially, the scope is limited, but it starts with a couple of placements, and then you gain traction.

MR: Has sync licensing become an increasingly important revenue stream in recent years?

Hubert: Generally speaking, you will find that revenue is one-third mechanical, one-third performance, and one-third sync, so sync is definitely a focus, not only for publishers, but for writers. Writers are realizing the record markets are not what they used to be, and will never come back. It’s changing expectations, which puts a greater burden on us to deliver on those expectations. I think some writers are being very clever in the context of writing songs. They are saying, “hey, perhaps there’s a way that I can write songs with a greater potential for TV or film placement.” You want to make sure that you meet that demand.

A lot of people talk about sync when they talk about marketing in the context of publishing, but I think it’s much broader than that. It’s about branding opportunities in this marketplace. Look at digital opportunities, the app world is untouched by music, at least legally untouched by music. What other opportunities are there? We have to start thinking in a more proactive manner in finding other vehicles to promote our music.

MR: What is a specific example of how this has worked for your songwriters?

Franklin: The Civil Wars would be a good one. Their main focus when the band finished their record was to hire a publicist, and then do lots of really discounted licenses, just to get the music out there. They were flexible with the rates so they could grow the brand. Once they built the fan base, the money followed.

Hubert: The film world has not grown if you look at the number of productions. The TV world is where things are happening. But you are competing with a whole host of music for placements. So how do you get through that clutter and place your music? You have to be flexible and creative. You may have to take a lower rate, but out of that you will develop a relationship. You have to be relationship minded as opposed to fee minded, and the relationship element will ultimately bring the fee, or at least give you a competitive advantage over other publishers in licensing your music.

MR: Tell us about your recent string of recent No. 1s. (“Somethin’ ‘Bout A Truck,” “Banjo,” “Home,” “Reality,” “Red Solo Cup”)

Franklin: All publishers go through the same process of pitching songs and trying to make sure that you are on every project, and also being strategic. If you pitch a brand new great song to a new artist, maybe you have a better shot at the single. Going to the big acts, your competition is so tough. You can only control getting on the album to a certain extent. Singles are where the stars align and it all works out.

We are very strategic about going for singles. When a new song comes in, we look at the pitch list and see who is cutting, and where they are in the process. Then we go for the best single chance. With “Red Light,” David Nail’s project was winding down, but the song came in. It felt like the right song and they were looking for a big single. It was a no brainer: let’s take that shot rather than go through the hoops of trying to get it on every other big act.

Hubert: You have to be in the singles business and have the radio performances. It starts from the very beginning of the creative process. I think writers are acutely aware that they have to think about singles themselves. But I don’t think anyone has the magic formula. At the end of the day, it’s about the music and you have to be able to push it through. I think we’ve done a great deal this year and expect to continue that way.

MR: Who are some of your new writers to watch?

Franklin: We have a writer/producer, Brandon Hood, I think he’s going to make a big splash next year. Kylie Sackley has been around town for a little bit, but she has the momentum to really take off. And Jonathan Singleton, who has had some success, but is really coming into his own now, so we’re excited.

The interview will conclude tomorrow (10/4) with Part 2. For more music publishing news, check out MusicRow’s upcoming print Publisher issue.   

Entrepreneur Center Hosts Digital Media Discussion

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(L-R): John Barker, Joe Galante, Malcolm Mimms, Ron Cox, Jody Williams

The complexities of music licensing and copyright in the digital age were highlighted at a “lunch and learn” event presented by Avenue Bank yesterday (10/2) at the Nashville’s Entrepreneur Center. Panelist/speakers at the event, which EC mentor Joe Galante helped organize, included Clearbox Rights’ John Barker, BMI’s Jody Williams, and entertainment attorney Malcolm Mimms.

Part of the day’s mission was to educate and ostensibly to shed light on problem areas in the music industry for the entrepreneurial crowd. Avenue Bank’s Ron Cox moderated the discussion, noting that he had been hearing an “ongoing, repetitive theme of questions around copyright.”

Barker explained the fundamentals of copyright including creation, protection, length of term, and revenue structure for songwriters with publishers. He further broke down the types of licensing for copyrights and described the differences between copyrights for songs versus sound recordings. When it came to digital music and licensing, the opportunities (and complexities) multiplied.

“The licensing scheme in today’s digital world is so complex, that’s what it looks like.” Barker motioned to a slide with an incredibly dense spiderweb of connections between entities in the digital, publishing, performing rights and creative worlds.

Williams underscored the importance of the performing rights organizations, collecting on behalf of copyright owners and licensing businesses. “If music is being played and money is changing hands, it’s licensable,” said Williams. He also acknowledged BMI payouts from terrestrial radio have been declining due to the economic slump.

However, Williams referred to the digital landscape as the “wild, wild west” and said it had shown an impressive 27% growth for BMI in the last year.

Mimms introduced what he called the “Siamese twins concept,” referring to the different sets of rights guaranteed for sound recordings versus songs. The tension between the two, he said, is a “constant tug of war.”

Also discussed at the gathering were online streaming rates versus iTunes downloads payouts, right of publicity for an artist’s brand, and the accountability issues that plague Pandora and Spotify.

Debbie Zavitson Forms Debbie Z Entertainment

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Debbie Zavitson

Music industry vet Debbie Zavitson has opened Debbie Z Entertainment, a full service publishing, management, artist development and independent song plugging company.

Her first signings are award-winning songwriter Vip Vipperman (Reba, Trace Adkins), Phillip Lammonds (Josh Turner, Blake Shelton, Hootie & the Blowfish), Curb Music Publishing, Jay Lazaroff (written music for over 100 film and TV shows including Survivor and The Apprentice), award-winning Canadian singer/songwriter Jess Moskaluke and emerging group Rocket Club.

“I couldn’t be more excited about this new company,” says Zavitson. “Pitching songs today is more of a challenge than ever, but the writers I’m working with bring such a passion and professionalism to it that it couldn’t be more rewarding.”

She began her career in the entertainment business as a singer performing throughout the country. She moved to Music City and landed a job with then independent producer Doug Johnson running his publishing company. Zavitson has discovered No. 1 hits including ACM Song of the Year “I Love the Way You Love Me,” and Blake Shelton’s “Austin.” She has worked in A&R at Sony and Giant Records, and in artist management with Shelton as her first artist.

She can be reached at [email protected] or (615) 578-2643.

BMI Promotes Two in Nashville Office

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Mark Mason, Bradley Collins

BMI has announced the promotions of Mark Mason and Bradley Collins, both of whom are key team members in the organization’s Nashville Writer/Publisher Relations department.

“BMI is lucky to have two such engaged and forward-thinking Writer/Publisher executives on our Nashville team,” said Jody Williams, Vice President of Writer/Publisher Relations. “Mark Mason consistently creates win-win opportunities for BMI songwriters by providing showcase opportunities, as well as through strategic partnerships he develops. Bradley Collins is an amazing talent scout, organizational point person and problem solver. Mason and Collins have a unique ability to amplify songwriters’ talents and mentor them, without losing sight of what makes a writer special.”

Previously a Senior Director, Mason has been upped to Executive Director, Writer/Publisher Relations. He started his career at RCA and joined BMI in 1995 as Associate Director, assuming increasing levels of responsibility for developing and coordinating showcases in Nashville and the region.

Collins has been promoted to Senior Director, Writer/Publisher Relations from his previous role as Director. He joined the organization in 2002 from Acuff-Rose Music Publishing. His duties include coordinating writer events, creating opportunities for BMI writers and publishers, and identifying new sources of revenue and exposure for artists.

Apple Streaming Service Delayed

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Apple’s plans to compete in streaming radio markets against stalwart companies Pandora, Spotify and iHeartRadio have been delayed after an agreement with publisher Sony/ATV and record labels failed to transpire, according to the New York Post.

Coupling with this news, Sony/ATV is reportedly planning to withdraw digital rights from ASCAP and BMI at the end of 2012, collecting compulsory licenses directly. This would follow a move made last year by EMI to pull digital license services away from its previous administer, ASCAP.

Apple’s plan to have its own music-streaming service built into the iPhone 5 was dramatically dashed when talks between the tech giant and Sony/ATV hit a last-minute snag.

Sony/ATV, the world’s largest music publisher, and Apple couldn’t agree on a per-song rights fee.

At the same time, Sony/ATV is about to set the music streaming sector on its ear as it will pull out of the two main copyright associations, ASCAP and BMI, in January.

Apple’s talks with the labels involves an element of promotion based on what music labels are pushing in any one month. Apple is talking about more flexible licenses than Pandora’s since it would allow the tech giant to point people directly to its iTunes store to generate sales. Apple’s streaming licenses would also allow it to play a selected artist more times than Pandora’s rights allow it to.

Sony/ATV–owned by the Sony Corp. and the Michael Jackson estate–brings incredible leverage in negotiations especially since it recently acquired the EMI publishing catalog, now controlling rights to about 3 million songs.

In related Apple news, the company released the iPhone 5 in 22 additional countries today (9/28) with plans to be available in over 100 by the end of the year. In a rare statement of apology today (9/28), CEO Tim Cook acknowledged the dysfunction of the Apple Maps update associated with operating system changes surrounding the iPhone 5 release.

Marc Driskill Joins Sea Gayle

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Marc Driskill

Chris DuBois, managing partner, Sea Gayle Music, has announced the hiring of Marc Driskill as executive VP & GM, to oversee the operations of the company. Driskill comes to Sea Gayle Music from ASCAP Nashville, where as VP & GM, he managed ASCAP’s Nashville operations.

“I have known Marc for over 25 years and have had the pleasure of working closely with him during his tenure at ASCAP,” said DuBois. “He will be a great asset to me and our company providing leadership and guidance as we continue to establish ourselves as one of the top music publishers in Nashville. On behalf of my business partners, Brad Paisley and Frank Rogers, we are thrilled to welcome Marc to Sea Gayle Music.”

Driskill has served ASCAP’s songwriter and publisher members for over 10 years and along with his music publishing experience, he has been a part of the Nashville music community for almost 14 years. He currently serves on the Board of Directors of the Academy of Country Music and the Music City Music Council.

“I have such respect for what Sea Gayle Music has been able to accomplish as an independent music publisher in Nashville and am excited about joining their team,” said Driskill. “I’m grateful to everyone at ASCAP for 10 wonderful years and look forward to working with them as an integral business partner to Sea Gayle Music.”

ASCAP Executive VP of Membership, Randy Grimmett commented, “Marc’s leadership has helped us to build a truly excellent team in Nashville, who will continue to offer stellar creative and business services to our members. We look forward to working with Marc in his new role at Sea Gayle, founded by ASCAP members Brad Paisley, Frank Rogers and Chris DuBois. We are delighted that Marc’s role there will keep him in the extended ASCAP family.“

BMI 2012 Fiscal Report

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For its fiscal year ended June 30, 2012, Broadcast Music, Inc. (BMI) has reported $898.8 million in revenues, and will distribute $749.8 million in royalties.

BMI’s revenues are down approximately 3% from fiscal year 2011, due primarily to new agreements with the Radio Music Licensing Committee (RMLC), which represents the vast majority of U.S. radio stations. BMI recognized the entire financial impact of the radio settlement in fiscal year 2012.

For the 2011 fiscal year, revenues were in excess of $931 million, with royalty distribution of about $796 million. In 2010 revenues totaled $917 million with distributions of about $789 million.

The impact on total revenues from the radio settlement was blunted by revenue increases in international, general licensing, cable networks and digital media.

New media and digital revenue reached an all-time high of $35 million, representing an increase of 27% over fiscal year 2011 and generating 6% of domestic revenue.

For the first time, international revenues accounted for more than a third of BMI’s revenue, totaling $302 million, up 12% from the prior year.

General Licensing revenue from physical establishments such as restaurants and nightclubs saw an 8% increase to $108 million.

BMI distributed payments on the largest number of individual musical works in its history in 2012. A total of 40 billion performances from BMI’s catalog of 7.5 million musical works were processed during fiscal year 2012.

BMI serves more than 650,000 licensed businesses and 550,000 songwriters, composers and music publishers. Songwriters including Lady Gaga, Foster the People’s Mark Foster, Maroon 5, Benny Blanco and Pitbull, Taylor Swift, Nicki Minaj and The Band Perry wrote many of BMI’s most-played hits of the year.

“BMI has weathered the economic storm remarkably well considering the negative conditions that have impacted many of our revenue sources,” said BMI President and CEO Del Bryant. “Our distributions to music publishers and songwriters have remained predictable and reliable. Even with the retroactive radio settlement and a challenging financial landscape, we have still been able to return nearly 84 cents of every dollar we have generated back to our publishers and songwriters. Our performance in fiscal year 2012 under these difficult conditions is a testament to our prudent fiscal management and to our resolve to responsibly manage the copyrights and income entrusted to us by our publishers and songwriters.”

 

No. 1 Party: Luke Bryan’s “Boom Boom” Song

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(L-R) Front: Producer Jeff Stevens, Co-writer Josh Kear, Luke Bryan, and Co-writers Rodney Clawson and Chris Tompkins; Back: Big Red Toe Music's Craig Wiseman and Seth England, Big Yellow Dog Music's Carla Wallace, ASCAP's Mike Sistad, Red Light Management's Kerri Edwards, Capitol Nashville's Steve Hodges, and BMI's Jody Williams.

Luke Bryan celebrated his latest No. 1 song “Drunk on You” on Sept. 17 at the CMA offices on Music Row. The BMI and ASCAP-hosted event honored Bryan’s fifth career No. 1 song, which was produced by Jeff Stevens and co-written by Rodney Clawson (George Strait’s “I Saw God Today”) and Chris Tompkins and Josh Kear, (co-writers of Carrie Underwood’s “Before He Cheats”).

Presentations were made by BMI’s Jody Williams, ASCAP’s Mike Sistad, Big Red Toe Music’s Craig Wiseman, Big Yellow Dog Music’s Kerry O’Neil and Capitol Nashville’s Steve Hodges. The accolades continued with presentations from producer Jeff Stevens, Red Light Management’s Kerri Edwards, Avenue Bank’s Ron Cox, CRB’s Michelle Kammerer and CMA’s Brandi Simms.

Clawson said, “These songs are like little babies. We hand them off and we pray they turn out the way we want them to.” He then quickly added, “It turned out the way we wanted it to!” Tompkins recalled thinking about Luke when he first came to town, “Dude, you’ve got dollar signs floating above your head,” and admitted Bryan is “still the same as he was back then.”

Kear thanked everyone involved in the “entire chain” explaining, “This is a perfect scenario. Sit around with your friends you like to hang out with anyway. Write a song and laugh your ass off while you’re writing it. The perfect artist finds it. The perfect producer makes it. You hand it off to the label and they turn it into a bigger hit than you could ever hope for.”

Luke Bryan took the stage and called the song the “crown jewel” on the album and added this is a “career-changing, life altering song that I will thankfully have the privilege to sing the rest of my life.” Luke admitted he didn’t know what to think about the “Boom Boom” line in the song at first, but then realized fans would be calling radio stations asking for “that Boom Boom song.” “That’s what historically the big songs have, that line the fans can gravitate to.” He added, “These are the days we look back and pinch ourselves as we remember the truly remarkable moments in our life.”

Closing the event, Bryan presented Jack Daniels Single Barrel whiskey donned with commemorative medal tags for the writers and team behind the success of the song.

Craig Wiseman shed a tear.

 

Industry Pics: David Lee, Matt Rovey, SOLID

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BANZ Music / Ten Ten Music Group has signed Nashville hitmaker David Lee to an exclusive, worldwide publishing agreement. Lee has penned No. 1 songs for Easton Corbin (“Roll With It”), Montgomery Gentry (“Lucky Man”) and Mark Wills (“19 Somethin’”). His latest entry on the charts is Alan Jackson’s current single, “You Go Your Way.” His songs have also been recorded by Tim McGraw and Faith Hill, Lady Antebellum, George Strait, Trace Adkins, Lee Ann Womack and John Michael Montgomery. “We are thrilled to have David Lee joining us,” states Barry Coburn, who heads BANZ Music and is Co-President of Ten Ten Music Group. “He has written many great songs that have become major hits, and we are looking forward to helping him achieve many more.”

“David Lee is one of Nashville’s finest songwriters and a true master of the craft,” adds Ten Ten Music Creative Director Dave Pacula. “We are proud to have this opportunity to work with David as he continues to build a catalogue that will leave a legacy for future generations of country music fans.”

(L-R): Patrick Clifford, Fain Spray, David Lee, Barry Coburn and Dave Pacula

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Songs of Bigger Picture VP of Creative Matt Rovey won Album of the Year honors at the recent Canadian Country Music Association Awards in Saskatoon, Saskatchewan for producing Dean Brody’s popular album, Dirt. This achievement marks the second consecutive year that Rovey and Brody have received the award. Rovey is currently wrapping up Craig Campbell’s sophomore album with Keith Stegall. See complete list of CCMA winners here.

(L-R): Michael McCarty, ole Music Publishing; Matt Rovey, Bigger Picture Group; Dean Brody; Robert Ott, ole Music Publishing; Gilles Godard, ole Music Publishing; Ron Kitchener, Open Road Recordings; Denny Carr, Roots Three Publishing

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SOLID continued the celebration of its 15th year with a Habitat For Humanity Build. Over 50 SOLID members and alum participated in the build working on two houses; framing one and siding the other. The 15th year celebration continues tomorrow (9/20) with a job shadow day for students from local universities. A mixer will follow at 6 – 8 pm at Tin Roof’s Green Room. Tin Roof will donate 10% of proceeds back to SOLID. More on SOLID’s 15th anniversary here.

Industry Ink Tuesday

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Belmont students and staff at the Best Job Ever Conference. (L-R) Back: John Coker, Taylor Fish, Jamie Stamey (Internship Coord.), Alison Junker, Tori MacDonald, Alena Moran, Tish Stewart (Career Development Specialist) Front: Lucas Boto (Coord. of Sound Reinforcement and Live Events), McKinsay Burnside, Malia Aguilar, Hillary Bridges, Emily Clark, Hanna Easley (Coord. of Student Enrichment), Ansley McAlister, Sarah Cates (Sr. Director Curb College Initiatives)

Recording artist and songwriter Essra Mohawk with HFA’s Sr. VP & CFO Al Pedecine during a recent Nashville meeting. Mohawk first gained notoriety with Cyndi Laupers' 1986 hit "Change of Heart." Today she has a catalog of over 600 songs.

• Belmont University’s Mike Curb College of Entertainment and Music Business hosted another installment of its Best Job Ever conference Saturday (9/15). Creative Nation’s Beth Mason Laird and Luke Laird offered the keynote address, and panels featured dozens of industry executives discussing publicity, songwriting, touring, agencies, social media and radio promotion. An entertainment journalism panel included MusicRow Founder/Boss Ross Media President David Ross, MusicRow’s Eric Parker, USA Today’s Brian Mansfield and ABC News Radio’s Hunter Kelly.

• NSAI’s Songposium is going on until Sept. 22, offering over 100 classes, as well as stacked nighttime songwriter rounds at the Bluebird Café. Visit nashvillesongwriters.com or www.bluebirdcafe.com for details.

• Kelly Donley has joined Nashville-based Safford Motley PLC’s entertainment law practice as an associate. A native of Bowling Green, Kentucky, Donley earned a law degree from Vanderbilt University, and a bachelor’s from the University of Notre Dame.

Kelly Donley

• Music by Nashville rock act By Lightning!, which is signed to Universal Music Publishing Group/ Brentwood Benson, is featured in a new ad campaign for Subaru. See it here.

• BMG Rights Management is offering alleged copyright infringers the chance to avoid future prosecution by paying a $20 fine, according to Billboard. The offer will be attached to infringement notices sent by ISPs to customers accused of illegal file sharing.

• ole MusicBox, one of the world’s largest providers of pre-cleared production music, has launched a new client website at olemusicbox.com. The site boasts leading edge search, service, fulfillment and e-commerce capabilities.

• Publisher Reservoir has acquired leading U.K.-based independent music publisher, Reverb Music. The deal covers the entire Reverb operation, including its catalog of over 30,000 copyrights and agreements with over 100 songwriters. Among Reverb’s key songwriters are BMI Award winner Jamie Hartman (The Wanted, Joss Stone), writer-producer John Fortis (Ellie Goulding, Prodigy), and Italian writer-producer Matteo Saggese (IL Divo, Zucchero, Adrianno Celantano).