The Two Types of Music License Explained
Business → Marketing & Advertising
- Author Robin Dewar
- Published January 10, 2012
- Word count 517
There are 2 kinds of licenses popular whenever you purchase music for adverts, dvd themes, internet sites and other projects.
(i) Royalty-Free (Buyout music):
Practically, you have to pay a once only, standard fee, download the song from a website and use it for your projects: done.
Officially, Royalty-Free really signifies that, for your initial expense, the company/artists that produced and recorded the songs are waiving their rights to be paid royalties whenever the music is heard.
In truth, you did not really purchase the song itself, instead you paid for the license to make use of it. You do not personally own the copyright on the music, the composer/company does. Even with your license, they'll have made certain restrictions around the use of the music.
Here's an illustration: you can normally use a royalty-free sound-bed anywhere you would like, forever, as long as you're not reselling it. This is the normal condition in the license contract of music providers to stop users from establishing competing companies with that producer's very own music.
Royalty-Free music is the license with the least complications. Additionally, it's the more popular and least expensive. On the down side, the music is commonly offered to absolutely everyone, and is not regulated, simply put competitors might also opt for that exact same music and then use it in their marketing.
Royalty-Free sound-beds cost anywhere from about $20 to many thousand dollars (for made to order, recording studio music).
(ii) Rights Managed:
It probably will come as no real surprise that you would not be free to get the rights to a minute from Here Comes the Sun under a Royalty-Free license (as defined above). If it were available at all, it would be offered under a Rights Managed license.
This really is a seriously conditional license, regulated by the copyright owners to make certain that every piece is only utilized by small number of companies/projects and for certain targets (for example for regional TV marketing in Rhode Island, for 12 months). The level of music will undoubtedly be extremely good.
With this license, big companies would make a deal for the use of prominent music (like Eye of the Tiger) straight from the record label. For this, they'd pay high fees.
Moreover, there are studios that produce Rights Managed music for the general public and even though the licenses are way more expensive than Royalty-Free, they maintain a certain amount of exclusivity for that customer.
These kind of licenses run out and are usually much constrained (for example you can't make use of the sound-bed for a nationwide campaign if you just bought the license for a localized one). Also , they are monitored, as air-time improves the profits for the copyright owners (but is not from you but from music licensing/broadcasting organisations).
Rights Managed does include much more bureaucracy than Royalty-Free nevertheless, on the positive side, you will know that you get an exclusive, superior quality product.
Rights Managed sound-beds are priced anywhere from around $1,500 upwards dependant upon the usage.
Written on behalf of Stars & Catz School of Music by Robin Dewar.
Robin Dewar is a team member of Stars & Catz School of Music (an international music school that matches students to teachers for free). He's a seasoned music teacher, performer, writer and recording artist / sound engineer.
For more great articles, or to find a music teacher, visit http://www.starsandcatz.com.au or http://www.starsandcatz.com.au/lessons
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