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BERLIN — After introducing himself in German — a daring act for a foreigner — Warner Music Group CEO Robert Kyncl said a few words about why he was so excited to be at the opening of the company’s new Berlin office. “The world is noisier than ever,” he said, just as the roar of nearby S-Bahn made it so, but there was considerable excitement about the music coming out of Germany. He shared one example: “Komet,” a recent hit by veteran rock artist Udo Lindenberg and rapper Apache 207 that has broken chart records.
While the German music business has historically been divided among its major cities, Berlin is emerging as the country’s music capital, and although Warner’s German headquarters will remain in Hamburg, it celebrated the opening of its new Berlin office with a big party. (The new office is for both Warner Music Central Europe and Warner Chappell Music Germany.) Next week, during the Reeperbahn Festival, the company will have a second “hauswarming” party at its remodeled Hamburg offices.
“We see this new space, alongside our revitalised Hamburg headquarters, as a sign of our commitment to local players in the creative and cultural scene,” said Doreen Schimk, co-president of Warner Music Central Europe, who spoke in German. “It shows the importance of Berlin as a European metropolis and a location for the music industry.”
Fabian Drebes, also co-president of Warner Music Central Europe, spoke about how the new building would serve as a “new creative hub with possibilities for events, concerts and more to support our national and international artists.”
Lars Karlsson, Managing Director Warner Chappell Music GSA & Nordics, Doreen Schimk, Co-President Warner Music Central Europe, Natascha Augustin, Vice President Warner Chappell Music Germany, Fabian Drebes, Co-President Warner Music Central Europe
Doering Agency
Warner occupies the top floor of the Schicklerhaus, a late-19th-century building near the Jannowitzbrücke S-Bahn stop, a block from the River Spree, not far from where the Berlin Wall once divided the city. These days, it’s about a mile from AEG’s Mercedes-Benz Arena. It’s a sleek, modern office, with prime roof space that overlooks the river. As about 500 partygoers mingled on the roof and a terrace, a drone hovered overhead taking photos. German artists attending included Peter Schilling, Katja Krasavice, and Shirin David.
“The music industry is of increasing importance for Berlin,” said Franziska Giffey, a deputy mayor for business, energy and labor. Speaking in what she called “Berlinish” — a mix of German and English that’s increasingly popular in a city filled with newcomers from all over the world – she said that music business jobs increased by 700 to about 6,800 this year, and that Warner would add another 150.
“Without the scene of such a vibrant city, we wouldn’t be the No. 1 publisher,” said Natascha Augustin, vp of Warner Chappell Music Germany. Warner Chappell leads the German music publishing business partly because of Augustin and her signings in German hip-hop. She told a story about starting out with a small Berlin office, moving to a slightly bigger one, and ending up here.
“Berlin,” said Lars Karlsson, managing director of Warner Chappell Music Germany, Switzerland and Austria, and Scandinavia, “is one of the most important cultural cities in the world.”
Universal Music Group Nashville has launched a comedy label, with the first release coming from Nashville-based comedian Nate Bargatze. Capitol Comedy Nashville will kick off with Bargatze’s Hello, World, out Friday (Sept. 15) on digital service providers (DSPs). The Grammy-nominated Bargatze has released several specials on streaming outlets, including Hello, World, which premiered on Amazon’s Prime Video earlier this […]
After netting his first No. 1 on the Heatseekers Album and Independent Albums charts last June with his acclaimed album Ganger, burgeoning Detroit star Veeze is partnering with Warner Records. The partnership also allows Veeze to launch his new label, Navy Wavy.
“What Veeze and Snake have built independently is nothing short of spectacular,” says Warner Records CEO and co-chairman Aaron-Bay Schuck. “Veeze is joining the Warner family with commercial success, real fandom, and incredible momentum, and we look forward to now adding our own expertise to make Veeze one of the most important artists in music. The relationship between Gee Roberson and Jean Nelson of Blueprint – who were instrumental in bringing Veeze into Warner – Snake, and myself goes back over 20 years, so it’s a real full circle moment for us all to now be back in business together. Tom Corson and I are over the moon that Veeze decided to join the Warner family. Now if only he will give us some golf tips.”
According to Veeze, he ultimately decided to forge a partnership with the label after a game of golf with Schuck and Warner Records COO and co-chairman Tom Corson. “Going golfing with Aaron Bay-Schuck and Tom Corson really persuaded me to do the partnership. Those guys are first-class gentlemen and I can see myself learning a lot from them,” he says.
Veeze’s manager, Terrance “Snake” Hawkins, is adamant that Veeze’s decision to jump ship and partner with a major label will change his career for the better, adding: “Veeze is the definition of how being resilient, teachable, loyal, as well as remaining true to yourself, can ultimately change your life for the better. This partnership will open doors not only for Veeze to grow as an iconic artist, but also pave the way for his Navy Wavy imprint. We are very excited about our partnership with Warner Records. We appreciate the efforts of Aaron Bay-Schuck, Tom Corson, Gee Roberson, Jean Nelson, Karen Kwak, Steven “Steve–O” Carless, Miles Gersh, Uwonda Carter-Scott and Julian Petty in getting this done, and know that together we will change the wave of music, deal structures, and the art of collaborations.”
Next month, Veeze will kick off The Ganger Tour. Check out the dates below.
10/10 – Gramercy Theatre – New York, NY
10/11 – Webster Theater – Hartford, CT
10/12 – The Middle East Restaurant And Nightclub – Cambridge, MA
10/14 – Union Stage – DC – Southwest, DC
10/15 – The Fillmore Philadelphia – Philadelphia, PA
10/19 – Hell At The Masquerade – Atlanta, GA
10/21 – HENAO Contemporary Center – Orlando, FL
10/22 – Underbelly – Jacksonville, FL
10/26 – Come And Take It Live – Austin, TX
10/27 – The Secret Group – Houston, TX
10/29 – The Cambridge Room At House of Blues – Dallas, TX
11/01 – Cervantes’ Masterpiece Ballroom & Other Side – Denver, CO
11/03 – The Underground – Mesa, AZ
11/04 – The Echo – Los Angeles, CA
11/05 – The Catalyst – Santa Cruz, CA
11/07 – August Hall – San Francisco, CA
11/08 – Harlow’s – Sacramento, CA
11/11 – Hawthorne Theatre – Portland, OR
11/17 – Fine Line – Minneapolis, MN
11/18 – The Rave / Eagles Club – Milwaukee, WI
11/19 – Avondale Music Hall – Chicago, IL
11/21 – The Shelter – Detroit, MI
As Big Loud Records experiences global successes with its artists, the Nashville-based label is expanding its footprint by opening offices in Australia and the United Kingdom and bolstering its presence in its Toronto office, which opened in 2015.
Big Loud senior vp of global marketing and strategy Brianne Deslippe will oversee the effort. Reporting to her will be newly named label managers Cayleigh Shepherd in London, who joins from U.K.-based imprint Snakefarm Records; and Johnno Keetels in Brisbane, Australia, where he most recently worked in Universal Music Australia’s media and editorial department. Meanwhile, Toronto-based employee Justin Clark rises from international coordinator to manager of national promotion/associate label manager.
“We started in year one with our Canadian office, and it has been a long-term goal of ours to have direct Big Loud representation in both Australia and the U.K.,” Big Loud CEO Seth England tells Billboard. “We waited for the best strategic time, but now makes the most sense with how we’ve grown as a company. We continue to keep an eye on other emerging markets as well.”
Deslippe adds, “With 25-plus artists now across multiple imprints and genres, it was important for us to have strong voices on the front lines, finding opportunities and making connections for them around the world. Having key experts in the field will be a valuable resource for our wider teams, staff and managers as well.”
Over the last few years, Big Loud has ramped up its global presence with artists including Morgan Wallen, HARDY, ERNEST, Hailey Whitters, MacKenzie Porter, Stephen Wilson Jr., Lauren Alaina and Griffen Palmer all playing dates outside the United States.
Cayleigh Shepherd
Courtesy Photo
A number of Big Loud artists are experiencing faster gains globally as they build domestically, including a handful of Canadian artists that label has signed.
“[MacKenzie] had multiple No. 1s in Canada and Australia before breaking through in the U.S.,” notes Deslippe of the Medicine Hat, Canada native. “Ashley Cooke, Hailey Whitters, and MacKenzie have also made inroads in the U.K. over the past 18 months, playing C2C Festival and receiving mainstream radio, press, and DSP support. Stephen Wilson Jr. has done four U.K. visits in the past year. Morgan, HARDY and ERNEST did a sold-out run this spring in Australia/New Zealand, and Morgan celebrated his first #1 ARIA album and single while we were in market. [Canadian artist] Dallas Smith continues to break every country record in Canada and will also spend more time in the U.S. during this next album cycle.”
Big Loud may sign artists specifically for release in Australia and the United Kingdom, but England adds, “It needs to be fantastic, something we love and where we see growth.”
Johnno Keetels
Courtesy Photo
While Big Loud has a global partnership with Republic/UMG for Wallen and Lily Rose, the rest of its releases are distributed internationally by Stem. This move will enhance the label’s strength in Australia and England, where they have also relied on third parties to help promote their artists.
With leaders in place in the three territories, Deslippe says Big Loud will continue to scale up as needed. “There is so much growth potential in these markets, I feel like we’ve just scratched the surface,” she says. “For a long time, I was the only international team member having moved to Nashville from Canada, but I’ve always been made to feel like a valued member of the core team. I’m excited to pay this sentiment forward and invite some more unique and different voices to the table.”
England says he’s taking a page from music executive Clive Calder, who in the ‘80s and ‘90s built Jive Records into an independent powerhouse before selling it to Bertelsmann Music Group in 2002.
Justin Clark
James Ramsay / skytography
“[Calder] expanded internationally and made it to where all their records were being worked globally by them,” England says. “And Jive, to my understanding, was the last great label who did this level of international expansion as an independent. And you know it’s no secret we’ve been a fan of studying those who have come before us.”
He also hints that there’s more to come with more partnerships down the road. “That’s why getting these international pipes, if you will, set up now, has never been more important or timelier for us,” England says. “This is the next logical step; be ready for the ones to come and stay prepared for the ones we have.”
Triple Tigers, the Nashville-based label home to chart-topping country artists Scotty McCreery and Russell Dickerson, has named Kevin Herring and Annie Ortmeier co-presidents, while former president Norbert Nix has left the company.
Herring had served as the label’s senior vp of radio promotion. Ortmeier joins from Universal Music Group Nashville where she was senior vp of streaming marketing. They will report to George Couri, Triple Tigers co-founder and Triple 8 Management co-founder. The moves align with Triple Tigers’ focus on terrestrial radio and digital media, such as streaming and social platforms.
“Triple Tigers 2.0 is here,” Couri said in a statement. “I look forward to stepping into a more active role, as well as having Kevin and Annie form a dual attack in the worlds of both radio and streaming & digital. Kevin’s radio singles batting average here is unmatched in the industry, and Annie comes from leading streaming and digital strategies at the biggest label in the business. With our company intentionally focused on maintaining a very small group of artists who benefit from dedicated attention, there will be tremendous impact on our roster.”
Launched in 2016 as a joint venture between Thirty Tigers, Sony Music Entertainment-owned distributor The Orchard and Couri’s Triple 8 Management (whose clients include McCreery, Eli Young Band and Corey Kent), the label has had tremendous success right from the start with McCreery’s first five singles and Dickerson’s first four singles going to No. 1 on Billboard’s Country Airplay chart. Dickerson’s current single, “God Gave Me a Girl,” is bulleted at No. 11 on the chart, while McCreery’s new single, “Cab in a Solo,” is bulleted at No. 40. Jordan Fletcher is also on the boutique roster. Couri is now Triple Tigers’ remaining managing partner.
A representative declined to comment on whether Triple Tigers co-founder David Macias had sold his stake in the company.
“I am very proud and honored to be entrusted with a leadership role at Triple Tigers,” said Herring, in a statement. “This is an amazing group of people and artists who are dedicated to making world class country music and lifting up the artists, songwriters, format and community.”
Ortmeier added, “I am excited to be joining George, Kevin and the team at Triple Tigers. I have admired Triple Tigers and the incredible success they have had thus far and am looking forward to being able to build upon that success with Scotty, Russell, Jordan and the team!”
Nix, who was also a partner in the label, is set to launch VISCYRL, a new artist development company in partnership with the Orchard. He leaves with fond memories. “It was us against the world. A David vs. Goliath story,” he says. “The most exciting thing for me was being able to bring in this team of people who were dedicated to the music and understood the vision. We came out of the chute with a string of No. 1 singles. It was an honor to lead that group of people.”
In August, Travis Scott fans on Reddit sprang into action. “$5 VINYL GO!” one user wrote in r/travisscott (234,000 members). The call-to-arms post came with a photo of a discount code that made buying the rapper’s double-LP Utopia — once $50 — about as costly as a gallon of milk in New York City. That price point proved irresistible: “This gon be my first vinyl why tf not,” one devotee responded. “Travis … gonna be selling 100k [in] his 4th week,” another added.
That fan wasn’t far off: Scott sold 88,500 vinyl copies of Utopia — 161,000 album-equivalent units overall — in the U.S. through his web-store in his fourth week atop the Billboard 200 albums chart, according to Luminate. Between the July 28 release of Utopia and Sept. 7, fans have snapped up more than 331,000 double LPs.
Vinyl album sales have been growing for 17 straight years, and in 2022 they accounted for $1.2 billion in revenue in the U.S., according to the RIAA. As the format has become more popular, a growing number of stars have moved to capture fan demand by releasing LPs of their own, often leading to eye-popping first-week numbers. What made Scott’s record rollout unusual was that some Utopia vinyl was available for $5 — both through bundle deals, where fans could get a record at that low price if they bought more than $120 worth of merchandise, and some stand-alone copies via discount codes.
At that price, many in the industry believe the rapper was not making a profit. One manager who spoke on the condition of anonymity says he was recently quoted around $7 a unit to manufacture an order of double vinyl. In a senior executive’s experience, “it costs $4 to make a single LP if it’s super bare-bones and you’re making a high quantity,” and more for a double LP. Throw in mechanical royalties, typically paid out on records at a rate of 12 cents per song, and it’s hard to imagine that a $5 double-record could make any money.
Even if Scott were selling some records at a loss, he’s not losing money overall: The rapper is famous for moving mountains of merch, some of which goes for a good deal more than $50. But the ability to offer up some records at $5 — $4.99 is the lowest price an album can be sold at and still count towards the Billboard 200 — shows the extent to which stars with fervent fan bases and formidable merch operations operate in a different world than most artists. And since an album’s streaming numbers usually dip as listener enthusiasm begins to wane after debut week, it’s possible that more artists might start to mark down records to help bolster demand and chart placement.
Luminate only receives data on total record sales, not the number of Utopia LPs sold at different price points. Scott’s label partner, Epic Records, directed questions about the rollout to the rapper’s manager, David Stromberg. Stromberg declined to comment on the record about vinyl pricing or sales strategy.
Executives say that selling some copies of Utopia at a 90% discount makes sense in certain circumstances. “We’ve lost money on individual album sales for chart position,” notes one marketer at a rival major label. A star could “spend $200,000 on ads and hope they convert [into streams],” the marketer continues. Alternatively, he suggests, “sell discounted albums, you lose money on those, figure it out on the back end, and hope the chart visibility helps with the overall story.”
“It’s a marketing exercise: In a genre [hip-hop] where streams dominate, be the only one to have a huge physical number,” adds another senior label executive not involved with Scott’s rollout. The price cut leads to a “sales bump and fan engagement.”
Sure enough, many rappers have ignored the vinyl wave. Steve Harkins, vp of sales and marketing at the distributor Ingram Entertainment, told Billboard earlier this year that “labels have said they’ve had challenges convincing artists and management to release their titles physically in some cases,” leading to a shortage of new albums on vinyl from rappers.
There are exceptions to this rule: Tyler, the Creator, has sold more than 360,000 LPs from across his catalog already this year, according to Luminate, while Kendrick Lamar has sold close to 270,000. But Luminate data show that at more than half a dozen rap albums that earned more than 500,000 album-equivalent units in 2022 had no vinyl component, including a pair of Drake releases, Lil Durk’s 7220, and Polo G’s Hall of Fame.
In August, Stromberg explained to Billboard that rap faces “inherent disadvantages” when it comes to “manufacturing physical music product.” “Due to the fluid nature of rap collaboration, leak culture and last-minute changes, vinyl lead time always far exceeds album delivery dates for rap,” he continued. “Pop artists are usually able to turn in their albums five to six months early and manufacture a significant amount of vinyl with a robust retail plan in place. Vinyl often ends up accounting for well over 50% of these pop artists’ first-week totals, whereas hip-hop is judged entirely on streaming.”
Key components of the Utopia rollout, Stromberg added, were “manufactur[ing] our own vinyl” and crafting “an e-com plan to leverage day-and-date physical music for the first time in modern mainstream rap.” So far, so good: Utopia recently passed Taylor Swift‘s Midnights (around 318,000 copies) to become the second biggest-selling vinyl album of 2023, behind only another Swift release, Speak Now (Taylor’s Version) (roughly 368,000).
And the big discount on Utopia helped some first-time vinyl buyers pull the trigger, according to their Reddit comments. “I am such a cheap ass,” one fan wrote on r/travisscott, “… but I actually bought a vinyl today because you can’t even get crappy vinyls for $5 nowadays. What a steal.”
“I don’t even buy vinyls,” another fan responded. “But $5 is $5.”
Roc Nation veteran Ty-Ty Smith and London-based musician and A&R executive Shabz Naqvi have joined with Universal Music to form a new label venture dedicated to Desi Trill, a new genre that incorporates South Asian music with hip-hop. UMG said the first release from the label, called Desi Trill Music, will arrive next month with […]
At 50, hip-hop is “as fresh, in demand and modern as ever,” declared Frank Briegmann, chairman and CEO of Universal Music Central Europe and Deutsche Grammophon. He said this to open the Sept. 7 event Universal Inside, the annual label showcase that this year was “Dedicated to hip-hop” in honor of the genre’s 50th anniversary. Example No. 1 was the night’s first performance, from Kontra K, a German rapper who performed “Für die Himmel durch die Hölle” (For Heaven through Hell) and “Summertime,” a No. 1 hit that samples Lana Del Rey’s “Summertime Sadness.”
German-language rap, the very concept of which would have been hard to imagine in the 1970s Bronx, is now the country’s most popular genre.
After the rapper badmómzjay performed, Briegmann spoke about the vitality of hip-hop, as well as the state of the music business in Germany. To mark hip-hop’s anniversary, Briegmann announced that Universal will release the collection Hip-Hop At Fifty (50 Jahre Hip-Hop), plus reissue classic albums like LL Cool J’s Radio and Eazy-E‘s Eazy-Duz-It, and put out vinyl box sets dedicated to Eric B. & Rakim and Public Enemy. At this point, of course, Universal Germany also has its own roster of Deutschrap stars, including Kontra K, badmómzjay, Sido, Luciano, Chapo102 and DJ Desue — all of whom performed later in the evening.
Briegmann also spoke about the more technical parts of the business, including the idea that there are more places than ever where labels can connect artists with fans – including smart automotive audio systems, fitness machines and metaverse platforms.
“We have gone from being labels to architects and builders of these integrated worlds,” he said. “Together with our artists, we create experiences that go far beyond pure audio consumption.”
One will be Universal’s “YOUniverse,” an interactive platform developed by Universal Music Central Europe that does not seem to exist yet in the U.S.
The music industry’s potential could still be limited, Briegmann said. He spoke about how the “value gap,” which labels and industry groups once invoked to point out that user-upload platforms like YouTube paid less than Spotify and Apple Music, still applied to short-form-video platforms. In the case of YouTube, he said, negotiations eventually led to fairer pay-outs – and he was hopeful the same would happen with these newcomers.
Briegmann also spoke about how artificial intelligence would affect the music business, including Universal’s recent deal with YouTube to develop AI technologies and protect artists from their misuse. The new technology is here to stay, and “we are united by the desire to view and develop AI tools from an artist’s perspective,” Briegmann said. “At the heart of our shared vision is the goal to build a safe, responsible and profitable ecosystem for music and video content.”
This week, it’s almost more difficult to find a music chart that doesn’t lead with Zach Bryan. The Oklahoma native’s new self-titled album exploded out of the gate, debuting at No. 1 on the Billboard 200 with 200,000 equivalent album units, while its focus single, “I Remember Everything” featuring Kacey Musgraves, simultaneously debuted at No. 1 on the Hot 100, his first No. 1 on each chart.
But that’s just scratching the surface. The album — which qualifies for both the country charts and the rock charts — is the first rock album to hit No. 1 in over a year; had the biggest week for a rock album in four years; and accumulated the biggest streaming week for a rock album in history. Meanwhile, “I Remember Everything” becomes the first song in history to hit No. 1 on all of the Hot 100, Hot Country Songs and Hot Rock & Alternative Songs charts, while all 16 of the album’s tracks are in the top 50 of the Hot 100, resulting in 20 of the top 40 songs on the chart being country songs for the first time… ever. If that’s not enough, “I Remember Everything” is the fourth straight country song to reach the top of the chart (following Morgan Wallen’s “Last Night,” Jason Aldean’s “Try That In a Small Town” and Oliver Anthony Music’s “Rich Men North of Richmond”) — also for the first time in history.
Any of which would be notable achievements on their own. But to set each mark all at once is, frankly, a little overwhelming. It’s been a long time coming for Bryan, whose last album, his major-label debut American Heartbreak, hasn’t fallen out of the top 40 on the Billboard 200 in the 67 weeks since it first debuted in the top 10 in June 2022. And the success of the project helps earn Warner Records vp of A&R Miles Gersh the title of Billboard’s Executive of the Week.
Here, Gersh helps to break down the success of the album and its big single, the recent run of success for country songs and where the label can help take the project from here. “I think the surge is really due to the quality of the songwriting attracting fans that want something that they feel they can relate to.”
This week, Zach Bryan’s self-titled album debuted at No. 1 on the Billboard 200 with 200,000 equivalent album units, his first to top the chart. What key decisions did you make to help make that happen?
This album was all about Zach. Coming off the great success of American Heartbreak and his sold-out tour, I think naturally the label wanted to pull out all of the stops to make this the biggest album possible. But the best decision that we — alongside [Warner Records co-chairman/CEO] Aaron Bay-Schuck — made was to give Zach the artistic freedom to create the album he wanted. We went against some industry norms with no advance singles or videos, but it turned out to be the exact right way to roll it all out.
At the same time, Zach and Kacey Musgraves’ duet “I Remember Everything” debuted at No. 1 on the Hot 100, the first chart-topper for each artist and Warner’s first Hot 100 No. 1 in a decade. How did the track come together and what was behind its big debut?
This was actually the last song on the album to come together about a week before release. Zach always wanted this song to be a duet with a female vocalist and there was some back and forth about who made the most sense. For a moment it looked like it could just be Zach on the song, but when Zach’s manager Stefan Max played me Kacey’s verse, it was a no-brainer. We knew it was the moment the album was missing, and I’m glad it’s resonated with fans. I’m honored to be a part of not only a No. 1 song for Zach but a big hit for Warner as well.
The album is the latest in a line of projects that qualify for both the country and rock charts — and “I Remember Everything” is the first song in history to hit No. 1 on the Hot 100, Hot Country Songs and Hot Rock & Alternative Songs charts. What do you think is behind this surge in these types of projects, and how does Zach’s album fit into that?
Zach’s music has always been genre-less in my mind. I understand where both the country and rock designations come from, but he’s always just seemed like a singer/songwriter. By producing and writing 100% of this album he was able to experiment with the sounds that inspire him. I think the surge is really due to the quality of the songwriting attracting fans that want something that they feel they can relate to.
The album also now has the biggest streaming week for a rock album in history and becomes the first rock album in over a year to top the Billboard 200. For a genre that doesn’t often over-index in streaming, how did this album break through?
Although you hear some rock production on this album, I wouldn’t say it caters to the traditional rock fan. This album was able to break through because of the authenticity and relatability of Zach’s music, and really just him as a person.
“I Remember Everything” also marks the fourth straight country song at No. 1 on the Hot 100, something that has never happened before in the entire history of the chart. Why do you think country music is resonating in the U.S. right now?
I think there’s a couple reasons for this. First, growing up in L.A. in the ’90s and 2000s there was a stigma around country music that it just wasn’t cool. That’s completely disappeared with artists like Zach, Tyler Childers and others. Second, as streaming has grown throughout the country, places where people typically listened to the radio and bought songs on iTunes have transitioned into streaming, and they’re streaming a lot. So while I think there are a ton of new country music fans, it’s also the way that they’re consuming music that has changed.
After such a scorching-hot debut, how do you continue to boost this album and its singles moving forward?
While we’re all so excited about the success of this album out of the gate, I think it will continue to grow on people as they decipher and discover the meanings of each song. Zach’s team — Danny Kang and Stefan Max — is fantastic and with them we will find tasteful and authentic ways to expose the music to more people. That may be through music videos that Zach also writes himself, through moments like the Grammys and great work on the digital side.
Exceleration Music, the independent music company that has invested in and acquired numerous indie labels over the past several years, has acquired global digital and physical distribution and music services company Redeye, it was announced Friday (Sept. 8).
The deal not only marks Exceleration’s biggest acquisition to date but an expansion into distribution and services, effectively creating an entirely new division at the company — albeit one that will continue to operate under the Redeye name. Under the agreement, Redeye founders Glenn Dicker and Tor Hansen will continue to lead the company, retaining its existing staff and infrastructure while taking advantage of the resources and expertise offered by the Exceleration partners and team.
“We looked at what was happening with the distribution landscape, [which was seeing] a lot of consolidation,” Exceleration co-founder Glen Barros tells Billboard. “You know, you have each of the majors buying up indie distributors, and we thought it would be good to really preserve and strengthen a great indie option and make sure that indie labels have a fully independent path to market.”
The deal also includes Redeye’s in-house labels, Yep Roc and Sundazed, along with its publishing company, Riff City Sounds. Yep Roc’s roster includes Nick Lowe, Dave Alvin, Aoife O’Donovan, Alejandro Escovedo, Chuck Prophet and Jobi Riccio. Sundazed is a reissue label based in the United States.
Redeye — which signed a distribution deal with Exceleration in May — represents some of the world’s most prominent independent labels, including Beggars Group, Domino, New West, Saddle Creek, Mom+Pop, Kemado/Mexican Summer, Stones Throw, Warp, Drag City, Real Gone, Innovative Leisure, Carpark, !K7, Thrill Jockey, Luaka Bop, Partisan, Sargent House, Ninja Tune, Barsuk and Daptone.
Founded in 1996 by Hansen and Dicker, the distributor is headquartered in Hillsborough, N.C., and boasts more than 120 employees spread across 15 locations in the United States, Canada, Europe, the United Kingdom and Australia. Prior to the acquisition, it was wholly owned and operated by Dicker, Hansen and their team. In 2019, the company merged with Sweden-based distributor Border Music to expand its distribution operation in Europe.
In addition to Hansen and Dicker, Redeye’s leadership structure will remain in place following the acquisition. The list of high-level executives at the company includes Michael Petkov, head of international; Jason Taylor, director of global sales (physical and digital); Laura Pittard, director of global marketing; Michael Howard, associate vp of global operations; Hank Stockard, global business development director; Sean Pecor, IT director; and Jim Trenner, global accounting director.
Moving forward, Exceleration will support Redeye’s existing growth plans by providing operational and strategic support as well as capital. “Redeye has done a lot of work over the last few years to expand their worldwide footprint on the physical side, and they’re been a digital distributor for a long time too,” says Exceleration co-founder Dave Hansen. “So we’re going to work with them to continue building that network and offer a real solution for their existing customers, our label group and new customers [as well].”
More than anything, adds Barros, the Redeye acquisition dovetails nicely with Exceleration’s overall mission: to strengthen the independent music community in whatever ways it can. “We really want to serve this community according to what’s important within this community, and [that] is having, I think, an independent vibe,” he says. “It really is looking at the whole sector holistically and saying, ‘How can we really fill the needs of the community and do it in an indie way?’”
Exceleration was founded in 2020 by a group of five prominent independent label executives: Barros (former CEO of Concord Music Group), Hansen (executive chairman of Merlin and former GM of Epitaph), Charles Caldas (former CEO of Merlin), Amy Dietz (former GM of Ingrooves) and John Burk (a Grammy-winning producer and former president of Concord Records). Its music rights group includes investments and partnerships with labels and catalogs including +1 Records, Alligator, Azadi, Bloodshot, Candid, Heroic, Kill Rock Stars, Mom+Pop, SideOneDummy and The Ray Charles Foundation/Tangerine Records. The company currently boasts nearly 30 employees and is currently hiring for two additional positions, including a head of finance. Funding for Exceleration comes from all five of its partners as well as institutional and private investors.
“Working with the Exceleration team feels like expanding the family,” said Dicker in a statement. “Sharing strong ideals and a strategic vision, it feels like the next natural step on our journey towards providing our world class distribution service to an expanded independent community.”