In the world of electronic music, where tracks are frequently played in clubs, at festivals, and increasingly on streaming platforms, it is crucial for producers and artists to receive fair compensation for their work. This is where Performance Rights Organizations (PROs) come into play. PROs act as a crucial link between music creators and the various businesses that use their music, collecting royalties on behalf of the artists when their music is performed or reproduced. If you want to know more about music royalties and how they work you can check out my article about royalties.
In this article, you’ll learn about the role PROs play in electronic music production, the benefits they offer to producers, and what you need to know to make the most of these organisations.
What are Performing Rights Organisations (PROs)?
Performance Rights Organizations (PROs) represent songwriters, composers, and music publishers, ensuring they receive royalties when their music is publicly performed or reproduced. This includes live performances at venues and clubs, radio broadcasts, television shows, digital sales, and streaming. PROs are essential for managing the complex network of rights associated with music and ensuring that creators are compensated for the public use of their works.
Governments have not installed specific surveillance systems for tracking copyrights, which is why artists and composers have established PROs to pursue and manage their royalties. These organizations fill a crucial role that government agencies do not cover, ensuring that the intricate web of music rights is monitored and enforced effectively.
Some of the most well-known PROs include ASCAP and BMI in the United States, GEMA in Germany, and PRS for Music in the United Kingdom. Each of these organizations operates in specific regions but often has reciprocal agreements with PROs in other countries to ensure global royalty collection.
Which rights do PROs control? (GEMA Example)
GEMA is the main Performance Rights Organization (PRO) in Germany that you, as an artist, authorize to manage certain rights on your behalf. These rights are inherently yours the moment you create your music. By working with a PRO like GEMA, you ensure that these rights are properly handled and that you receive the royalties you’re entitled to. Here’s a breakdown of the specific rights GEMA manages for you, and how they relate to your work as an electronic music producer. The most relevant for electronic music are the first three rights: performance rights, broadcasting rights, and mechanical reproduction and distribution rights. Everything else is not particularly relevant for electronic music, but it’s still good to know what is covered by PROs.
- Performance Rights
- GEMA controls the rights to public performances of your music. This means they collect royalties whenever your tracks are played live in venues like clubs, at festivals, or other public events. For electronic music producers, this is crucial, as much of your music’s exposure comes from live DJ sets and performances.
- Broadcasting Rights
- These rights cover the broadcast of your music on radio and television. If your track gets airtime on any radio show or is used in a TV program, GEMA ensures you’re compensated for these broadcasts.
- Mechanical Reproduction and Distribution Rights
- GEMA also manages the rights for mechanical reproduction and distribution, which includes the creation and distribution of physical and digital media like CDs, vinyl, and multimedia products. This is relevant if your music is being sold or distributed on physical formats, as well as digital downloads.
- Rights for Public Playback of Broadcasts
- GEMA ensures that when your music, played on radio or television, is then played publicly in places like bars, restaurants, or stores, you receive royalties.
- Public Playback Rights via Audio and Audiovisual Media
- Film Screening and (Limited) Film Production Rights
- Statutory Compensation Claims
- Right of Public Access
- Right to Use Music as a Ringtone
How PROs benefit electronic music producers
As mentioned above, performance rights and mechanical reproduction and distribution rights play a particularly important role for creators of electronic music. Here’s a brief explanation of how performance rights organizations theoretically collect royalties for producers.
Royalties from DJ performances and club plays
In the electronic music scene, DJ performances are the classic way tracks reach an audience. When your music is played by a DJ in a club or at a festival, you are entitled to performance royalties. Performance rights organizations collect these royalties from the event organizers and are then obligated to distribute them to the rights holders. In practice, this can vary in effectiveness. The larger the event and the more guests in attendance, the higher the licensing fees that organizers must pay to the PROs. If your tracks are featured at such events, you should make sure to register with a PRO, as it can be quite worthwhile.
Record sales, downloads and streaming royalties
With the rise of digital platforms, streaming services and online stores have become significant distribution channels for electronic music. Performance rights organisations monitor both traditional record distribution and online platforms, ensuring that composers receive royalties when their tracks are reproduced.
Specifically, this means that whenever your tracks are played or bought on platforms such as Beatport, iTunes, Spotify, Apple Music, YouTube, SoundCloud, etc., copyright royalties are generated, which PROs collect for you. How much these platforms pay per stream or download varies from service to service.
Read more: How much streaming services pay per stream.
An exception, to my knowledge, is Bandcamp, which follows a different model where creators are compensated directly through purchases on the platform, without the involvement of performance rights organisations.
Registering with a PRO: What You Need to Know
The choice of the right performance rights organization (PRO) primarily depends on where you are based and where your music is most likely to be played – but it doesn’t have to be limited to your location! For example, if you are based in the United States, you might consider membership with ASCAP, BMI, or SESAC. In Germany, GEMA is the main PRO, while PRS for Music operates in the United Kingdom. Each PRO operates in a specific region but often has reciprocal agreements with other PROs around the world, meaning they can collect royalties internationally on your behalf.
It’s important to research the PROs available in your region and understand their specific benefits, fee structures, and services. Some PROs may be better suited for electronic music and offer specialized services or a stronger international reach. Therefore, it can also make sense to choose a PRO based abroad if the situation benefits you.
The registration process
The process of registering with a PRO is generally straightforward, but it can vary slightly depending on the organization. Typically, you will need to provide details about yourself as the rights holder, as well as information about your music, such as titles, release dates, and publishing information.
Once you are registered, you need to regularly update your catalog with new releases. This ensures that the PRO can track and collect royalties for all your music. It is also important to register any collaborations or remixes, as these can also generate royalties.
Keeping your catalog up to date is crucial. This means registering new tracks as soon as they are released and providing accurate details for each work. Many PROs now allow you to upload sound files for better track recognition as well. This helps improve the accuracy of tracking and ensures that your music is properly identified when played. The more comprehensive and precise your catalog is, the better your chances of receiving royalties.
Simply put, if the PROs do not have your tracks in their database, they cannot pay you, even if sales or plays are reported.
Should You Join a Publisher Alongside a PRO?
While a PRO manages your public performance royalties, a publisher can take your earnings further by handling other types of royalties, such as sync royalties. Good publishers actively seek out opportunities for your music, like placements in films or commercials, and negotiate deals on your behalf. They also help manage international royalties and digital platforms, areas where a PRO alone might not have full coverage.
For very active composers, the additional revenue streams and industry connections a publisher provides can make it a valuable partnership. However, publishers typically take a percentage of the royalties they manage, so it’s important to weigh the potential benefits against the costs.
