Kobalt’s global digital collection society, AMRA, has announced some impressive early results regarding collections from Spotify and YouTube.
During the first three months of administering Kobalt’s digital catalogue in Europe – in Q3 2015 and compared to the previous quarter – AMRA delivered a 26% increase in earnings from Spotify and a 34% increase in earnings from YouTube for Kobalt Music Publishing clients.
Combined, AMRA collected 28% more money from Spotify and YouTube in Europe during the period.
To put that into context, if Kobalt collected a million Euros from the two services in the prior quarter, this figure would have increased by $280,000 in Q3. Multiplied by four, you’re talking about in excess of an extra million.
This is especially noteworthy as AMRA’s pitch to clients actually revolves less around mature markets, and is focused more on upping collections in emerging territories such as Asia and Russia.
Willard Ahdritz, Founder and CEO of Kobalt, said, “I’m ecstatic to share these first results with our clients. This has been my vision since starting Kobalt, using technology and a new model to drive efficiency and transparency.
“And these initial numbers are just for Europe – wait until we see the explosive growth coming out of so many other untapped markets around the world.
“There have been too many missed opportunities for creators on a global scale – now the solution is here.”
“There have been too many missed opportunities for creators on a global scale.”
Willard Ahdritz, Kobalt Music Group
Until AMRA took over last year, Kobalt’s collection responsibility in Europe fell to its partnership with Swedish CMO STIM – a venture which, after it was struck in 2013, resulted in its own significant uplift in collections.
Tomas Ericsson, CEO of AMRA said, “This uplift is exceptional both because it’s in Europe, one of the most mature markets in the world, and because it’s in addition to the already significant uplift from Kobalt’s previous partnership with STIM.
“To deliver a combined 28% uplift from Spotify and YouTube on top of what Kobalt has already achieved with STIM, is truly an amazing result. As well as a strong indicator of the tremendous uplift to come from the other major DSP’s and other markets around the world.”
Following the purchase of AMRA in 2014, Kobalt announced the creation of what it calls “the first global, direct, digital mechanical and performing rights society”.
Kobalt mandated that AMRA would effectively broaden the direct-collection capabilities for all AMRA members by setting new industry standards for efficiency and transparency.
Since announcing its official launch, AMRA successfully entered into critical partnerships with leading global DSPs including Apple Music, YouTube, Spotify, Amazon, Google Play, and many more.
Music Business Worldwide