Spotify today dominates the market for music streaming services for consumers. Now a new startup, started by Spotify’s ex-head of business development Andreas Liffgarden and co-founder of Beats Music Ola Sars — and backed by Spotify itself — wants to transform that same music platform into a B2B service.
Soundtrack Your Brand plans to sell Spotify music subscriptions to businesses like bars, restaurants, shops and other public venues. According to Liffgarden, who is chairman of Soundtrack Your Brand, the idea behind the startup is to draw on the popularity of Spotify for music streaming as a way to disrupt the current market for music in public venues. “The general consensus is that two-thirds of all customers are being served by CD music in public spaces,” Liffgarden told me. “It’s a hugely interesting space to go into from a business point of view.”
And a legal point of view, as it happens: Most venues would prefer to be on the right side of the law when it comes to music royalties, he says, and they are starting to “look to streaming services to provide those solutions.” But at the same time, it’s an opportunity that Spotify itself has not tapped, since the licensing that Spotify has with labels and other rights holders restricts music streaming to individuals.