Dubai: Web TV is not the only entertainment playing in town — music streaming services are just as keen in getting to the ears of their intended audiences. There’s Apple trying to score with its Music, while India’s Saavn and Gaana have been able to win over listeners with a daily diet of the Bollywood hit charts.
Then there are the many Arabic music streaming apps, cutting across genres and listener fancies. Into this mix comes Australia’s Guvera, which has already managed to hit some high notes — by way of members — in markets like India.
“In the Gulf, streaming is gaining in popularity very quickly, largely off the back of smartphone growth and penetration,” said Ananya Amin, Chief Commercial Officer — India & Middle East. “We are focused on giving members free access to their favourite music through our “brand-funded” model.
“In terms of the music industry, piracy remains an issue and the value losses that the industry suffers from. This is where Guvera comes in.
“We still offer people the free access to music that they are so clearly looking for, but our brand-funded model ensures that the artists and rights holders responsible for creating the music are properly compensated.”
Amin’s mention of the company’s business model is pertinent. Despite the fast-tracking in its popularity, music streaming has not exactly been able to spawn extremely profitable service providers At least, that is the case to date. A sustainable business model is still proving elusive even as the popular providers keep winning over new members, not necessarily paying subscription fees.
By aligning with brands with strategic tie-ins, Guvera’s model eschews subscription fees. “We believe that brand-funded music streaming is the only way artists will continue to be compensated for the work that they produce … and that we love,” said Amin. “We plan to become stronger by offering relevant content to members and keeping Guvera as fresh as can be.”
Sponsoring brands can align with the music channels on Guvera that “best fit their brand personality, objectives and target audience,” said Amin. “Complementary video, editorial and m-commerce features offer the opportunity to showcase a brand’s offerings within a contextually relevant, music-centred environment.
“Brands can connect directly with followers — for example, by posting targeted updates, exclusive offers and competitions and by making music recommendations to their followers. We are confident of having a sustainable business model in the long run with brands.
“Globally we license 30 million tracks of both local and international music — including Bollywood — which we feel makes us the music app of choice in the region.”
If that is so is for the future to tell. But there is a sizeable and growing base of listeners who prefer to eschew the DJ chatter that comes with tuning into FM and AM stations and just go direct into the music experience.
But it’s a constant learning experience for service providers. And changing even as the music keeps playing in a subscriber’s headset. Apple, for instance, is planning a few tweaks to its Music services after a relatively slow build-up for the new addition to its portfolio.
So, what’s next for the music streaming business? “Music will seamlessly integrate with lifestyle, sports, health, fitness and really every aspect of our lives,” said Amin. “We want to give members every reason to come and listen to our playlists and create their own. There are playlists for every occasion.”
With music streaming, it’s all in the curating
• The Guvera platform curating of playlists is managed locally. There are in place processes to ensure the titles on air are in sync with the regulations on explicit lyrics of the individual market.
• The company is headquartered in Australia and since 2008 has raised more than $150 million (Dh551 million).
