Record Labels
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HYBE’s BigHit Music record label named current general manager Seon Jeong Shin to be the next president, following approval at a shareholders meeting and board of directors resolution on Tuesday (Nov. 26). Shin, who was named to Billboard’s 2022 40 Under 40 list for helping develop HYBE’s artist training system, played a role in the […]
Gamma., Kakao Entertainment and SM Entertainment have formed a strategic global alliance to launch British boy band dearALICE, the companies jointly announced on Tuesday (Nov. 26). The pact will include global distribution in the U.S., U.K. and Korea/APAC, along with label services across A&R, production, marketing, promotion, brand sponsorships and global business development.
dearALICE’s formation was documented in the six-part BBC One series Made in Korea: The K-Pop Experience, which was produced by Kakao, SM and British production company Moon&Back Media (The X Factor, Britain’s Got Talent). The show followed the group’s five U.K. members — Blaise Noon, Dexter Greenwood, James Sharp, Oliver (Olly) Quinn and Reese Carter — as they embarked on a 100-day K-pop-style training regimen at SM. An original soundtrack album from the show was also released.
The parties came together in L.A. to finalize the agreement. Those in attendance included Larry Jackson, co-founder/CEO at gamma.; Joseph Chang, co-CEO at Kakao Entertainment and CEO at SM & Kakao Entertainment America; Jung Min Choi, chief growth officer at SM Entertainment; Kevin Nishimura, COO at SM & Kakao Entertainment; Ben Cook, president of UK & Europe at gamma.; Russ Lindsay, co-founder at Moon&Back Media; and all five dearALICE members.
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dearALICE is slated to release its official debut single by the end of this year.
“I have found that it is a superpower in life to embrace the truth of ‘I know what I don’t know.’ I have always been intrigued by the music and culture coming out of South Korea, and to now partner with Kakao Entertainment and SM Entertainment on dearALICE affords gamma. an opportunity to learn from THE BEST in that culture,” said Jackson in a statement. “We are already finding a special creative kinship with Joseph, Kevin and their teams. Our ideations are very much aligned albeit informed by different life experiences, from disparate corners of the globe.”
Jackson continued, “The cleverness of creating this show, it premiering on the BBC in the U.K., and bringing this extremely talented group to the world by way of it, was their idea, and we are thrilled to be a part of it. Kakao Entertainment and SM have always been purveyors of true, patient artist development in Korea, and I have deeply respected their approach from afar. Expect to hear a lot from dearALICE in 2025.”
“Our partnership with gamma. represents an exciting step in our ongoing strategy for the successful launch of dearALICE,” said Chang. “Collaborating with a label of gamma.’s stature, known for its deep industry expertise and innovative approach, allows us to accelerate our efforts in bringing forward dearALICE to audiences worldwide. dearALICE stands out as a truly distinctive project for our company, blending British roots with the global reach and creative influences of Kakao Entertainment and SM Entertainment. We believe this collaboration will unlock new opportunities for the group to thrive internationally, while also showcasing their groundbreaking artistry to music fans across the globe.”
Added Lindsay, “What an amazing twelve months it’s been for the boys! From being cast in December last year, to experiencing a unique and unforgettable 100 days of K-pop training with SM Entertainment in Korea, then premiering a 6-part Saturday night BBC One TV series in the summer, followed by the Made in Korea: The K-Pop Experience Original TV Soundtrack EP release and a superb live performance on the UK’s highest-rated entertainment show, BBC One’s Strictly Come Dancing! It’s a testament to their incredible hard work and passion that sees them sign a major global recording and distribution deal with gamma., joining a stable with some of the world’s most talented artists and music executives.”
Brady Bedard has been appointed as the executive vice president of promotion for Atlantic Music Group, transitioning from a 26-year career at Sony Music and Columbia Records, where he most recently served as senior vp of pop promotion. In his new role, Bedard will take the lead on promotion strategies for the Atlantic, 300 and 10K Projects labels.
Bedard’s career has been marked by significant contributions to the success of high-profile artists such as Adele, Beyoncé, Harry Styles, Miley Cyrus, BTS, and many more. A native of the Twin Cities, he began his career as a college rep for Sony Music in 1998. Over the years, he progressed through roles in marketing and radio promotion, eventually landing his most recent position in 2018. His expertise spans multiple genres and a deep understanding of the evolving radio and music landscape.
AMG CEO Elliot Grainge praised Bedard’s extensive experience and strong industry connections, emphasizing his ability to navigate the complexities of promotion.
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“He’s expertly navigated the ever-shifting radio landscape for more than a quarter century, with a passionate devotion to the music and deep relationships across the industry,” said Grainge.
Bedard’s appointment is part of a broader leadership restructuring under Grainge, who recently also named Alana Dolgin as the label’s first president of digital marketing, underscoring AMG’s focus on digital innovation.
This leadership evolution aligns with broader strategic initiatives at Warner Music. In last week’s earnings call, Warner CEO Robert Kyncl commended Atlantic and Warner Records for driving growth through innovative talent discovery and promotion. He highlighted the success of 10K Projects, a joint venture between Warner and AMG, attributing its rapid growth to Grainge’s digitally driven strategies. Kyncl also lauded Grainge’s intensity — “I love that about him,” he said — and decisive leadership, which he believes attracts top talent.
Bedard expressed enthusiasm for his new role, citing Atlantic’s legacy of artist development and its strong reputation in radio promotion.
“Having spent my entire career so far at one company, the only other place I could ever imagine working is one with such a rich history of artist development and genre-spanning roster as WMG,” said Bedard. “Atlantic is a legend in the radio promotion business, and to join the company at this transformational moment is tremendously exciting. I want to thank Elliot for this amazing opportunity.”
Warner Music Group (WMG) reported earnings on Thursday (Nov. 21), and there was much that its executives wanted to discuss beyond the usual profitability metrics and balance sheet management. On a call with financial analysts, CEO Robert Kyncl discussed Warner’s recent reorganization — how it built a simpler, flatter, faster structure, according to him — as well as why he’s so confident that streaming revenues will continue to deliver strong growth and the company’s M&A and internal investment plans.
Here are some of the highlights.
Bullish on subscription streaming growth
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WMG executives said they expect subscription streaming revenue to continue to grow by high single-digit increases, and analysts peppered them with questions about how they will achieve that. WMG CFO Bryan Castellani said that roughly 70% of that growth will come from more people paying for music streaming subscriptions everywhere — from markets like the United States, where many already pay to stream music, to places like India, where far fewer people do so but where there is much room for growth. To bolster his argument, Castellani pointed to the 70 to 80 million new subscribers he says began paying for streaming subscriptions in the past year.
Additionally, WMG gained a greater share of the most streamed songs thanks to popular releases from Rosé, Bruno Mars, Teddy Swims, Benson Boone, Charli XCX, Zach Bryan and others. Kyncl said WMG’s market share of the Spotify 200 has increased by 10 percentage points since he became CEO.
The final reason for their optimism is the various price increases at the DSPs that Kyncl believes his side will benefit from, including things like higher wholesale prices earned off of family plans and other multi-user subscription streaming plans that currently get discounts; higher-priced subscriptions for super fans; and premium audio or further audience segmentation. “Wholesale prices generally go up,” Kyncl said. “It may not have happened that way in music in the past, but it is how it happens in 99% of industries. We are just trying to align with the way the world works.”
Elliot Grainge’s Star Rises Inside and Outside WMG
Kyncl kicked off the call with comments about WMG’s recent restructuring, which included promoting Elliot Grainge, the founder of the independent label 10K Projects and son of Universal Music Group chairman/CEO Lucian Grainge, to lead the renowned Atlantic Records Group. Kyncl described Atlantic and Warner Records as “important twin engines of growth” and said Elliot’s team has “an impressive ability to discover extraordinary talent across multiple genres and find fresh ways [to make them] stand out from the crowd.” Kyncl added that Warner Records, under the leadership of Aaron Bay-Schuck and Tom Corson, is adroit at driving hits and creating superstars.
“I cannot stress enough how exhilarating it is to watch the creative success of both Warner Records and Atlantic are having,” Kyncl said.
An analyst later asked Kyncl what it is about Grainge that worked at 10K and if that will translate to future success at Atlantic, acknowledging that Grainge “has stepped into a much larger, broader and important role.”
Kyncl said 10K has demonstrated “phenomenal growth from top line to bottom line” since Warner began a joint venture with the independent label last year, and he thinks Grainge and his team’s digitally native approach gives Warner an edge for how music is being consumed and shared and how artists are being discovered today.
Kyncl also praised Grainge for his intensity — “I love that about him” — and said he takes strong points of view when making decisions, adding that doing so appeals to talent.
The silver lining of cost cuts
Cutting costs, reducing its headcount and restructuring some label groups saved an estimated $260 million on an annualized basis, WMG said in September — money Kyncl says is now freed up for dealmaking and internal investments.
“Our focus on efficiency has freed up capital, enabling us to increase our investments in growth opportunities,” Kyncl said in prepared remarks.
WMG also increased investment in A&R by around 11%, allowing it to sign more new artists and songwriters and to make more catalog acquisitions.
Additionally, WMG continues to explore companies to acquire that could fill a need within its larger companies — so-called bolt-on acquisitions. Billboard reported in June that WMG is shopping for an alternative distribution company, and it poached Goldman Sachs investment banker Michael Ryan-Southern this summer to lead M&A; WMG’s companies around the globe are now exploring the gaps in their services and looking to Ryan-Southern’s team for suggestions on acquisitions to fit those needs. The company is also exploring the launch, with equity partners and debt facilities, of a catalog acquisition platform and fund for artist advances, sources tell Billboard.
Universal Music Group made a pair of announcements on Wednesday that signal the global leader in music is getting more and more serious about China.
Universal Music Greater China and Modern Sky, a leading independent music label in the country, pressed send on a strategic distribution agreement giving the domestic label’s catalog and artists access to UMG’s global distribution network, fostering collaboration and promoting Chinese music and youth culture internationally.
Additionally, UMGC announced a pact with iQIYI, China’s leading online entertainment platform, to distribute new releases from contestants of reality show The Rap of China 2024 worldwide. This agreement includes support for the rap artists and opportunities for the top three finalists of the iQIYI-produced show to visit UMG’s global music labels and studios, with a goal to foster international collaborations with other artists and producers.
Modern Sky, founded in 1997 by Shen Lihui, has been a key player in China’s indie music scene, producing over 500 albums and working with influential bands and artists. The label’s roster includes over 150 acts, featuring Matt Lv, Aflou, DOUDOU and other established and emerging talents across diverse genres. Modern Sky is also known for organizing the Strawberry Music Festival, China’s first large-scale outdoor music festival, and hosting over 30 festivals and 1,000 performances annually. The label has expanded internationally with divisions in New York, Liverpool and Tokyo, with plans to debut the Strawberry Music Festival in Tokyo in 2025.
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As for The Rap of China, a hit since its debut in 2018, UMGC will dedicate a team to support the narrative-driven show’s artists in A&R, management, marketing and merchandise development.
Timothy Xu, chairman and CEO of UMGC, expressed excitement about both collaborations, highlighting their potential to amplify Chinese music on the global stage. He said the Modern Sky agreement “not only broadens the global reach of Chinese music but also highlights the distinct energy and creativity that define China’s young generation today,” and noted the alliance with iQIYI’s The Rap of China 2024 “reaffirms our commitment to nurturing Chinese rap talent but also extends their global reach, bridging cultural gaps and enriching the international music landscape with the dynamic culture of Chinese rap.”
Modern Sky founder Shen Lihui said his label has “always embraced an independent spirit and a forward-looking vision,” adding they hope to “bring a fresh side of Chinese originality to the world, inviting audiences everywhere to experience the unique energy and cultural depth of China’s youth.”
Earlier this year, UMG expanded its partnership with China-based Tencent Music Entertainment, parent of streaming platforms QQ Music, KuGou, Kuwo and WeSing. In 2021, UMGC became the first major music company to establish multiple frontline label operations across China with the launch of Republic Records China, and the re-launch of historical labels Polygram Records China and EMI China alongside Universal Music China.
UnitedMasters has announced the promotion of music industry veteran Gerardo Mejía to the newly created position of senior lead of Latin music. This advancement recognizes Mejía’s significant contributions to the company’s growth and influence in Latin music.
Mejía, previously serving as an A&R at UnitedMasters, has been instrumental in expanding the company’s reach within the Spanish-language genre, boasting several achievements including discovering and signing 2024 breakout Latin superstar FloyyMenor, a teenaged rapper from Chile.
“UnitedMasters has really granted me the runway and latitude to follow my instincts and seek out artists who are unconventional, yet undeniable,” said Mejía in a press release. “They’ve given me the utmost trust, and it’s been incredible to continue my journey here. I’m very thankful and excited for what the future holds. The sky is most definitely the limit.”
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Under his guidance, FloyyMenor’s viral hit “Gata Only,” featuring Chris MJ, put Chilean reggaetón on the global map. Additionally, it won the Billboard Latin Music Award for Global 200 Latin Song of the Year and held the No. 1 spot on the Hot Latin Songs chart for 14 consecutive weeks, marking a historic achievement as Floyymenor and Chris MJ became the first Chileans in 25 years to top this list.
“Gerardo lives and breathes music. He has been a major force in the explosion of Latin music globally,” said UnitedMasters founder/CEO, Steve Stoute, in a press release. “He has an impeccable ear for talent and a knack for artist development while empowering his artists to exceed their potential time and time again. It’s a pleasure to announce this much-deserved promotion.”
UnitedMasters vp of music/head of A&R, Mike Weiss added, “We are incredibly proud to be promoting Gerardo to this role. Gerardo has continued to reinvent himself while discovering star artists for many years. This success did not happen overnight, and we can’t wait for the future in our Latin Music business.”
As Mejía steps into his new position, he carries a robust record of multi-industry achievements. He first gained international attention as a young Ecuadorian immigrant turned U.S. pop sensation with his 1990 hit “Rico Suave.” The track not only charted impressively—peaking at No. 7 on the Billboard Hot 100, No. 2 on Hot Rap Songs, and No. 12 on Dance Singles Sales—but also played a pivotal role in ushering Latin music into the U.S. mainstream. Transitioning from Latin pop performer to Latin Power Player, Mejía’s strategic roles in artist development and A&R at major labels have continually shaped the evolving landscape of the music industry.
His tenure at Interscope Records was marked by facilitating Enrique Iglesias’ U.S. breakthrough, and he further impacted Latin’s growth by fostering the reggaeton movement during his time at Univision Records. Transitioning seamlessly into entrepreneurship, he also launched Rico Suave Coffee, intertwining his music and business acumen. This breadth of experience underscores his ability to shape the future of Latin music at UnitedMasters with a strategic and innovative approach.
Read our previous profile of Gerardo Mejía here.
Republic has announced the promotion of Kevin Lipson to the newly created position of chief revenue officer, effective immediately, as touted by president and COO Jim Roppo.
In this role, Lipson will lead revenue strategies for artists across Republic Records, Mercury Records, Def Jam Recordings and Island Records through the Republic Corps. Collective. He’ll oversee teams involved in streaming, e-commerce, data, retail, gaming, sports marketing, media planning and catalog initiatives, while also driving innovation campaigns to boost audience and revenue growth.
The New York-based Lipson is a 28-year veteran of Universal Music Group, having held senior management roles at Republic, Island, Def Jam and Universal Music Group Distribution in both LA and New York. His tenure at Republic — most recently as evp of global commerce and digital strategy — has seen the label earn titles such as Billboard 200 Label of the Year and Billboard Hot 100 Label of the Year, and achieve the industry’s ten biggest streaming weeks of all time.
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His team has delivered successful albums for artists like The Weeknd, Metro Boomin and Morgan Wallen, among others. In mid-2022, Lipson’s marketing rollout strategies for Post Malone’s Twelve Carat Toothache album earned him a hat-tip as Billboard‘s executive of the week.
The expanded role, but not title, for Lipson — encompassing revenue strategy at the label group — was initially announced in March as part of the formation of the East Coast-based Republic Corps, designed to compliment UMG’s Interscope Capitol Labels Group out west.
Roppo praised Lipson as a “tenacious” and innovative, adding, “with a fresh perspective, he’s constantly looking for unconventional ways to break new artists and maximize global repertoire revenue for our roster of superstars.”
Lipson thanked Republic’s leadership for their backing and emphasized the collaborative nature of the team. “They support their people here first—which inspires everybody to compete at the highest level while breaking historic industry records,” he noted. “Our team is involved in many different facets of the label, which is inspiring to all. It’s not exclusive to marketing, sales, and data; it’s all-encompassing. Even with all of the incredible success, we’re constantly trying to evolve and better ourselves while staying humble.”
Taylor Lindsey has been named as Chairman and CEO, Sony Music Nashville (SMN), beginning January 2025. She replaces Randy Goodman, who announced in September he would be retiring at the end of the year after running the company since 2015.
Additionally, Ken Robold, has been named president and chief operating officer of Sony Music Nashville.
Lindsey will oversee Sony Music Nashville, as well as leading Christian music company Provident Entertainment. She will remain based in Nashville and report to Rob Stringer, chairman of Sony Music Group.
“I’m very grateful to step into this role,” Lindsey said in a statement. “Along with Ken and the incredible SMN team, we are committed to fostering collaboration with our artists, creators and fans, and will create a vibrant community that not only honors our rich heritage in storytelling but also redefines the sound of country music for generations.”
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Lindsey has been head of A&R for SMN since 2021, most recently serving as vp. She has worked closely with Sony artists including Old Dominion, Luke Combs, Megan Moroney, Maren Morris and Mitchell Tenpenny, among others.
“I am very excited that we can promote a creative talent from within the company to this top position,” Stringer said in a statement. “I have witnessed Taylor become an all-round executive from an A&R background and she is ideally suited to plot the future for our Nashville team in a chapter where country music is clearly evolving and thriving as a key musical genre. I am also so pleased that simultaneously to Taylor’s appointment Ken will be in an important wider role helping her build a new era for Sony Music Nashville.”
Prior to joining SMN in 2013, Lindsey, who has been featured on Billboard’s Women in Music and Country Power Players lists, worked in A&R at BMG Music Publishing, where she represented Grammy-award winning songwriters such as Hillary Lindsey and Tony Lane.
Robold, who has also been on Billboard‘s Country Power Players list, joined SMN in 2015 as executive vp and COO. Previously, he was president of Zac Brown’s Southern Ground Artists and spent 22 years at Universal Music Group.
The news means that all three major labels in Nashville are headed or co-headed by women: Cindy Mabe is chair/CEO of Universal Music Group Nashville and Cris Lacy is co-chair/co-president of Warner Music Nashville alongside Gregg Nadel. It also means that all the heads of the three Nashville majors have changed hands over the past two years., with Lacy and then Ben Kline replacing chairman/CEO John Esposito at Warner at the end of 2022, while UMGN chairman/CEO Mike Dungan left his post in 2023, with Mabe officially taking over April 1, 2023.
Over the past decade-plus, few artists have become as much of a creative, cultural and economic force in the entertainment industry at large as Tyler, the Creator. Emerging from the hip-hop-meets-everything collective Odd Future, he has continued to innovate and expand the boundaries of his career each year, whether it be in fashion, festivals or with the type of music he puts out into the world — with plenty of recognition, and accolades, coming his way as a result.
But these past two weeks have topped even that. With the release of his latest album, CHROMAKOPIA — which dropped on Oct. 28, a Monday, bucking the industry norm of Friday — Tyler earned the biggest debut week of his career, with 299,500 equivalent album units earned — even more impressive given that it was achieved in just four days of the tracking week. Now, he’s landed a second straight week atop the Billboard 200, with another 160,000 equivalent album units — his first time spending back-to-back weeks at No. 1 on the albums chart in his career. And that success helps Columbia Records’ vp of marketing Victoria White-Mason earn the title of Billboard’s Executive of the Week.
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Here, White-Mason discusses the strategy that went into the release — including the much-discussed Monday debut — and how Tyler has been able to grow himself as an artist and a businessman so effectively through the years. “It’s clear that Tyler is truly an artist in every sense of the word, and he extends his taste level and ingenuity into all the verticals he touches,” White-Mason says. “Whether it’s fashion, business or film, he’s going to bring perspective that is shaped by curiosity and an enduring sense of wonder.”
This week, Tyler, the Creator’s CHROMAKOPIA spent its second week at No. 1 on the Billboard 200 after debuting at the spot last week, making it his third chart-topping album. What key decision did you make to help make that happen?
My job as marketing lead was to amplify, scale and make tangible the world of CHROMAKOPIA, which started with the CHROMAKOPIA trucking activation that launched alongside the album announcement. We knew that these shipping containers would be a centerpiece of the overall creative and it sparked the idea to utilize them as moving billboards originating in Tyler, Texas, with pitstops in multiple markets.
The activation was an ambitious endeavor made possible by an immense amount of collaboration across our teams — from complex routing and logistics to daily social touchpoints alongside the truck’s movements and planning experiential elements for fans along the way. The payoff was clear almost immediately upon launch, as the trucks became a movement builder for us.
Most notably, Tyler initially released the album on a Monday, instead of the industry standard Friday, meaning he missed out on three days of the chart week in his debut week. How did that affect your rollout strategy? And how important was the first day in your planning?
With a career-best debut, the numbers indicate that Tyler didn’t miss out on much! His intention for a Monday release was for listeners to start their week with CHROMAKOPIA, on their commute to work or school. By encouraging you to listen as a part of your natural routine at the start of the week, the hope is that you become an active listener in the process.
Of course, shortening the release week is not a natural instinctive idea in today’s market, but it is hard to overstate how remarkable a job Tyler did to create that awareness through visual trailers, touring announcements, live events and more.
At 299,500 equivalent album units, the first week was the biggest of Tyler’s career and the sixth-biggest debut of the year so far. How did you set this up differently from his other projects?
Tyler has always been a first-rate world builder, constantly innovating and transforming, and consistently besting himself in the process. With CHROMAKOPIA, I think we have an album and a campaign that feels almost cumulative in nature. It’s bursting with vulnerability, maturation, peak creative prowess and a pristine level of cohesiveness throughout it all.
CHROMAKOPIA’s success is not an anomaly, it’s the result of all the foundational work he’s done to get to this point. That said, we had a perfect storm of a tapped-in, fully engaged artist, an equally tapped-in and engaged fan base, and an overwhelming desire from fans to be fed.
With 66,000 vinyl sales in its first week, the album was also the third-biggest hip-hop vinyl album since Luminate began tracking sales in 1991. How did vinyl — and physical product in general, given his six CD boxed sets — play a role in this album campaign?
There’s an obvious and immense demand for physical product for this artist and we were fortunate to be able to make it available immediately thanks to the tireless efforts of our Commerce and Release Planning teams. The partnership between Golf Wang, Ceremony of Roses and Columbia Records is as strong as ever. We took all our learned experience to date from his previous releases and strategized the best way to make the strongest impact. Tyler’s standard of exceptional quality and creative cohesiveness were pivotal in helping to create the demand.
How has Tyler’s career grown and developed outside of just the recorded music to the point where you guys were able to set these benchmarks in just four days of release?
Tyler, the Creator is a genius and a generational talent. I don’t say this lightly, or with the slightest bit of hyperbole, and I think it’s starting to be recognized en masse. His ability to envision and, more importantly, manifest the worlds and characters that live inside his mind is truly unparalleled. It’s clear that Tyler is truly an artist in every sense of the word, and he extends his taste level and ingenuity into all the verticals he touches. Whether it’s fashion, business, or film, he’s going to bring perspective that is shaped by curiosity and an enduring sense of wonder.
The album has already spent a second week at No. 1 now. How do you keep the momentum going from here?
Before I had the opportunity to work with Tyler, I came across an interview he did where he talked about the importance of promoting your work. He told aspiring artists to be proud of the work they made and to never stop being a passionate advocate for your art. Tyler’s conviction and candor always stuck with me and now, years later, it is truly inspiring to witness his commitment to his craft firsthand.
CHROMAKOPIA’s momentum will continue to be sustained by that commitment. Look at Tyler’s activity in the 11 days since release and you’ll see that he is promoting the work authentically through his connection to his fans. What he’s encouraging is an ongoing conversation around the feelings that this music evokes and the connection that it helps create. On top of that, you have a massive world tour that will continue to expand the world of CHROMAKOPIA.
Andre Benz’s foray into the music business was not like most. He didn’t attend a music business program at a university, toil away at an unpaid internship or manage a local artist. Instead, he built his own YouTube empire at age 15.
Working from his childhood bedroom in New Jersey, Benz created the YouTube channel Trap Nation, where he featured a curated selection of dance music and remixes of popular songs. “Originally, it was just a hobby, but I think one of my positive and negative traits is I become obsessive about what I do,” he says. “I just kept doing it and doing it until one of the uploads blew up — a remix of ‘Wrecking Ball’ by Miley Cyrus.”
By the time of his high school graduation, Benz had become an unlikely but important tastemaker in the world of electronic music. He expanded Trap Nation into a whole suite of channels — Chill Nation, House Nation and Bass Nation — and he says his flagship brand grew to about 2 million subscribers. Today, it has amassed over 30 million.
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Around the same time, he met another student, Brandon De Oliveira, who went to a neighboring high school in New Jersey and had mutual friends. Their eventual collaboration led Benz to sell his YouTube channels to Create Music Group in 2022 and co-found Broke Records with De Oliveira the following year. Now 27, Benz says his goal is no less than building “the best independent record label in the history of the music industry,” and he takes inspiration from the digital-driven approach of Mike Caren’s APG and Elliot Grainge’s 10K Projects, which he says showed him what indie success can look like.
“What we’re doing would not work at any other company in the music industry — Republic, Columbia, Atlantic or Warner,” Benz says. “[Create founder] Jonathan Strauss and the entire Create team have given us full-on trust, opportunity and accessibility to do what we believe is right for the company. That means doing larger deals and taking larger risks.”
“Andre gave me this framed printed chart as a Christmas gift to commemorate the label’s launch,” De Oliveira says, “so we’d be able to look at it and grasp the level of growth the company has had over the next year.”
Jamie Pearl
Broke Records is distributed by Create and has a staff of eight full-time employees focused on finding and breaking artists. The label currently has “Embrace It” by London-based Angolan rapper Ndotz and “Alibi” by Iranian Dutch singer-songwriter-producer Sevdaliza on Spotify’s Global Top 50 chart and claims that its international roster, which includes Blackbear, Bread Beatz and Camelphat, generates more than 32 million streams a day globally on Spotify.
How does your YouTube marketing background and experience with algorithms benefit Broke Records?
ANDRE BENZ That’s our biggest advantage and the biggest difference between us and an older label — how we think about services for our artists. We don’t have to rely on paying outside people to do the [digital marketing] for us. I think a lot of companies love outsourcing work because it holds a third party accountable. If the artist complains, the label can say, “Oh, it’s actually their fault.” Some of these other labels have too much volume, too, and they’re not able to control what’s actually going on, so they outsource work.
Why are you succeeding with TikTok creator campaigns at a time when digital markets are saying they’re less effective than a few years ago?
BRANDON DE OLIVEIRA I think creator campaigns now are actually more influential than ever, but everyone’s spending way too much. We are constantly refreshing the list of creators that we’re [using]. Two or three years ago, labels got used to thinking, “OK, these are the big accounts now. We will just go to them.” These creators’ rates kept going up, and as the market kept getting more saturated, those creators didn’t move the needle anymore. In certain cases, we will spend on larger creators, but for the most part, we’re spending like $1,000 across 100 to 200 creators in really strategic markets — Eastern Europe and Latin America specifically. That’s typically where we start most of our campaigns before we move into more premium territories.
“Lowly Palace was the first label I started, at 19,” Benz says. “We created a hard-cover illustration book of our cover art to showcase the brand and vision that we had. I hold on to this to value the importance of progress and growth over the years.”
Jamie Pearl
Why those territories?
DE OLIVEIRA Cheaper cost, and these markets start a lot of trends on the internet. A lot of our marketing campaigns start as bundle deals. We spread less money across several tracks that have familiarity in whatever type of video we are into, whether it’s edits, dances, lip-syncs and so on. And a lot of those bigger creators in the more premium territories — where we would have had to spend $4,000 for one post — just jump on for free. Why? Because at some point, there’s a tipping point where creators jump on just because they see the videos using that song getting bigger.
Andre, why was Create the right partner for you? Why not continue to do things on your own?
BENZ There were three or four years after I started Trap Nation where I was, for lack of a better word, a degenerate. I wasn’t interested in music at all anymore. I couldn’t find any passion. I was just so young when I started it, and I felt like I didn’t have anybody to relate to in terms of what I was building. YouTube was declining, and our channels were declining in growth. I had never been through the process of growing quickly and then declining. I was like, “I’m out, I’m done.” I wanted a fresh start. The acquisition was less of a money thing than it was a fresh start. I was like, “OK, I can sell this company, move forward, get integrated into a new ecosystem and learn from other people who started their own company. Jonathan Strauss started [Create] around the same time I started [my company]. I thought, “I can learn from these people.”
How promising are YouTube Shorts and other features that the platform has added?
BENZ I’m super excited about YouTube Shorts. I think they’re going to continue pushing them from an algorithmic standpoint, and we see that we’re able to capture a lot of new audiences and revenue as well. We make a lot of money on YouTube Shorts for songs we are putting out because we have a really good content claiming team [through Create]. And because of our background with YouTube, we understand the platform better than any other label. They also give us a lot of support. Anytime we have songs trending on that platform, they’ll give us billboards in Times Square [in New York], in Los Angeles. They’ll feature us on the homepage. YouTube, out of all platforms right now, is by far the most powerful for the amplification of records.
Does virality on Shorts translate to non-YouTube streams?
BENZ Not really. Brandon and I share the same opinion that YouTube Shorts usually comes last in terms of virality. It’s TikTok, then Instagram, or TikTok and Instagram at the same time. Then it trickles over to YouTube a month later. But we see our songs stay super viral for a while on YouTube Shorts. I don’t think we’ve ever found a new song viral from YouTube Shorts — maybe once. We don’t look for artists or records on Shorts. It’s more of an audience-marketing opportunity.
The golden Broke hoodie “was the first piece of merchandise we produced under the new label,” De Oliveira says. “We continue to gift it to our artists and partners.”
Jamie Pearl
What are you doing to ensure the longevity of those songs that go viral and, in the long term, build a catalog?
BENZ When we started Broke, the plan was to build an incredible digital marketing team and sign a lot of these viral electronic songs because that’s what we know best. So we did that. And then we started moving to other genres: rap, alternative rock, pop. Then we hired a few more people. Now we have to start breaking artists and building longer narratives around artists, not just singles.
In two years, we want to have four to five superstars [with] 30 million to 40 million monthly listeners, selling out arenas, selling out merchandise. Sevdaliza is our first opportunity to prove ourselves. It’s a huge risk for our company because of the deal size, but I think it’s a once-ina-lifetime opportunity for us to go above and beyond. I want to prove to people that you don’t need to sign to Republic Records to get on top 40 [radio]. You don’t have to sign to Island to be the next Sabrina Carpenter. I don’t think anyone’s proved that yet.
What does the label landscape look like in 10 years?
BENZ A lot of distributors are going to start acquiring and starting up labels like ours. A lot of traditional record labels are going to continue the distribution model, which I think is a race to the bottom. It makes absolutely no sense. It’s going to be more fragmented, more democratized. You’re going to have more independent market share.
DE OLIVEIRA There will be a lower barrier of entry with [artificial intelligence] — whether that’s mixing, mastering, content production or the actual full production of songs. It’s going to be really interesting and it’s going to be super saturated. So figuring out how to create experiences and really personal moments between the artists and their fans will be the key distinguishing factor moving forward.
This story appears in the Nov. 16, 2024, issue of Billboard.