Deezer’s game-changing ‘Artist-Centric’ model: Boosting royalties for popular artists with Universal Music Group

Universal Music Group and Deezer‘s game-changing plan: Boosting royalties for popular artists

Under a recently announced deal, famous artists could get bigger royalties under Universal Music Group and Deezer’s game-changing pact. Thus, Deezer is set to introduce an artist-centric streaming model aimed at enhancing the rewards for artists and their music, all while delivering an even better experience for fans.

Santa Monica & Paris, September 06, 2023 – In a groundbreaking collaboration, Universal Music Group (UMG), a dominant force commanding over 30% of the global music market share, joins forces with Deezer, one of the music industry’s foremost independent streaming platforms. Together, they proudly introduce an artist-centric streaming model, meticulously designed to herald a new era of equitable rewards for artists and to elevate the music that resonates most deeply with fans. Deezer is set to premiere this trailblazing model, starting in France during Q4 2023 (Q4 meaning: beginning on Oct. 1 and ending on Dec. 31), with ambitious plans for expansion into further markets on the horizon.

“This is the most ambitious change to the economic model since the creation of music streaming and a change that will support the creation of high-quality content in the years to come”, said Jeronimo Folgueira, the CEO of Deezer.

The agreement was triggered simply by both companies recognizing that the current music streaming landscape needed rethinking. In the age of streaming, a surge in content, including non-artist noise, prompts a critical rethink of how platforms, labels, and artists nurture the music ecosystem. Deezer, for instance, has seen its catalog swell from 90 to over 200 million pieces in just two years, highlighting the need for a more artist-centered approach. For another example, recent music forecasts show that music industry revenues will grow by more than 51% by 2030.

Deezer’s new artist-centric model incorporates several key enhancements:

1. Artist Focus: Deezer prioritizes “professional artists” with a substantial fan base (1,000 monthly streams by 500 unique listeners) for fairer rewards and recognition.
2. Engagement Rewards: Songs receiving active fan engagement receive double boosts, reducing the impact of algorithmic programming.
3. Noise Elimination: Non-artist noise content is replaced with Deezer’s own functional music, not included in the royalty pool.
4. Fraud Prevention: Deezer maintains a robust fraud detection system to deter bad actors, safeguarding streaming royalties for artists.

image credits: Deezer