Universal Music Group has signed a multi-year deal with B2B digital music company 7digital Group to create bespoke streaming services for select artists.
The agreement, which spans three seperate digital music products, will see 7digital power online stores for artists where fans can download and stream music and buy merch and products, reports City A.M.
It sounds like a similar offering to the rise of artist-specific apps that flooded the market a few years ago, offering a direct-to-fan eco-system.
“each contract focuses on UMG initiatives that enable deeper engagement between artists and their fans, and leverage a range of revenue streams within digital music.”
simon cole, 7digital
7digital’s chief executive Simon Cole told City A.M. that the firm aims to provide a range of services to record labels that helps them create fresh revenue streams beyond the £9.99 a month streaming subscription.
7digital and UMG have reportedly tested the new services with Shania Twain (pictured) and Kanye West.
Announcing the contract win, Cole said: “We are delighted to be announcing agreements with the world leader in music-based entertainment, Universal Music Group.
“Each contract focuses on UMG initiatives that enable deeper engagement between artists and their fans, and leverage a range of revenue streams within digital music.”
Music Business Worldwide