Navigating the Melody Maze: Venue PRO Licenses
Every team and stadium has (or should have) PRO licenses in place so they can play music in the venue. These PRO licenses or Performing Rights Organizations, grant teams the rights to push play so music can be used live, in stadium during an event. These PROs are responsible for collecting income on behalf of songwriters and music publishers when a song is publicly broadcast or performed.
Your teams aren’t the only ones who have to pay these fees. Any business that plays music must have PRO licenses in place. This affects more companies and businesses than you might think. A bustling cafe, an energetic sports bar, a tranquil yoga studio, and a raucous stadium all must pay licenses for the music played publicly in their business. Most in our industry know how important these licenses are for teams, as the right music can elevate the atmosphere and engage fans.
However, PRO rights companies are splintering into several companies and that is alarming to many teams and leagues. In the past, teams had to obtain licenses from ASCAP and BMI. That’s it. If you were in Canada, you had to add in SOCAN. Today, there are many companies that are representing PRO licenses for different artists. Now, in the US alone, you’ll have to clear ASCAP, BMI, SESAC, GMR, and AllTrack to have access to most music for in-stadium play.
Performance rights are sometimes purchased and moved from one company to another. For instance, GMR is a smaller company, but controls the PRO licenses for some HUGE artists including Metallica, Bruno Mars, Bruce Springsteen, Harry Styles, Steve Miller Band, The Weeknd and a lot more. If you have PRO agreements in place with ASCAP and BMI, but have not paid for a GMR license, you can be open to legal issues or hefty fees for playing these artists in your venue.
This is creating headaches for teams as they struggle to cover all necessary licenses in-stadium. This splintering of rights and the emergence of new PRO companies makes life harder during preseason as teams sometimes must decide which PRO licenses they will be paying. The good thing is that for the most part, these license are fairly affordable and although obtaining 5 different PRO licenses can irritate, you do not want to leave your venue open to lawsuits for improper music use.
Right now, it’s not horrible to obtain licenses from all 5 of these PRO companies, but if more companies start to pop up, teams can be left choosing between catalogs of artists to be played in stadium. This would be bad for teams, the music industry and these PRO companies.
At The Score, we want to help teams as much as possible. Part of what we do is to educate and help with understanding as to why licenses are important. Know that these organizations help protect the intellectual property of musicians and songwriters. Perhaps knowing why these organizations are in place can help take the sting out of PRO fees.
Why Venue PRO Licenses Are Important:
Legal Compliance: Playing copyrighted music in a public space without the appropriate licenses is a copyright infringement. This can lead to legal troubles and hefty fines. Venue PRO licenses ensure that your business complies with copyright laws.
Fair Compensation for Artists: When you obtain a venue PRO license, you're essentially paying a fee that goes back to the artists and composers whose music you're playing. This supports the creators and allows them to continue making music.
Vast Music Libraries: PROs have vast catalogs of music from various genres, making it easy for venues to access and play a wide range of tracks. This allows you to curate the right atmosphere in-stadium.
Performance Monitoring: PROs often use advanced technology to monitor which songs are played in commercial spaces. This data helps ensure that artists receive accurate royalties for their work.
Variety of Music Sources: You can play music from various sources, including CDs, streaming services, live performances, and more, without worrying about individual clearances as long as you have a venue PRO license.
Fan Experience: Music significantly impacts the fan experience. By having a PRO license, you can use music strategically to create the desired feel for the moment. You want these PRO licenses in place so you are not hindered by the tracks or artists that can be played.
Avoid Legal Issues: Having a venue PRO license means you won't have to worry about unexpected legal disputes or disgruntled artists, which could negatively impact your team’s reputation and your budget.