If you work in marketing or content creation, you’ve likely encountered the challenge of creating or licensing music. You understand its value: Music is an essential tool for all types of brands: it can make or break a big-budget TVC, or attract or repel customers from a store you’ve meticulously designed and trained the perfect staff for.
Despite this, as a brand music agency, we hear the same feedback and frustration: “Music is so expensive!” Constrained by poorly planned or prioritized budgets, marketers often resort to the same four royalty-free music websites, which compromises the quality of their creative output and even leads to tangible business losses as customers are turned off by uninspiring sounds.
Imagine this scenario: you’re working agency-side and have just sold an awesome idea to your client using a Kanye West track, only to find out that your music budget is about ten times too low. Now, you’re in the uncomfortable position of having to tell your client that, at best, they can get a track from an unknown artist.
So, how do you secure the best music at the best price and fulfill your creative promise to clients?
The first step is to develop a solid understanding of how music works and how its value is defined, ensuring better planning and budgeting. Here are three key pieces of advice on how to budget for it appropriately for your next project:
1. Consider the Brand and the Scale
Any piece of music has intrinsic value, but when used in a marketing context, its value is directly linked to the project’s size and brand profile. Music composers and rights-holders adjust their pricing based on whether their art is used for a charity or a multinational corporation, or for a digital campaign or a Superbowl ad. The brand itself may also affect the price: some artists charge more to associate their music with brands that don’t align with their fanbase, values, or image.
To match the quality of your production, we recommend that your music budget represents at least 10% of the total campaign budget. This ensures that your investment is proportionate to the overall project scale.
2. Work on Your Scope Carefully
Whether composing or licensing music, the scope of use significantly impacts the price. This usually includes the following categories:
- Formats: Number of scripts/films and their versions.
- Media: Platforms the project will air on (TV, online, cinemas, etc.), and the media investment in each.
- Territories: Countries/regions the project will air in.
- Period: Duration the project will air for.
- Exclusivity: Whether your contract includes an exclusivity clause.
Marketers often overestimate their scope, seeking periods of two years or more or asking for worldwide usage when their brand is only active in a dozen markets. A more precise and restricted scope can lead to better pricing. Define your scope by considering the realistic and exact usage for each media and territory; you can always extend it later. Avoid exclusivity clauses, which come at a premium—your competitors are unlikely to want the same song, and artists typically won’t allow it anyway.
3. Be Aware of General Budgeting Guidelines
While the cost of music varies globally, some general guidelines can help you plan:
- Globally Famous Hit Song: Expect a budget of at least six figures USD.
- Professional Composer: Proper compensation typically starts in the five-figure range.
- Library/Production Music: High-quality options (not from cheap royalty-free sites) usually start in the four-figure range.
If your budget doesn’t allow you to access the track of your dreams, trust the experts. Music agencies like MassiveMusic can help you find an exciting replacement track by an independent artist, re-record a cost-efficient cover of a hit song, direct you towards qualitative library music, and more. Valuing the music and the people behind it will do wonders for your brand.
Budgeting for music requires careful consideration of your brand’s needs, the scale of your project, and the scope of usage. By following these guidelines, you can secure high-quality music that enhances your campaigns and provides a strong return on investment. Remember, a well-planned music strategy not only meets your creative goals but also resonates powerfully with your audience.
By Pierre Carnet, Managing Director, MassiveMusic Dubai
