Business a.m.

Music streaming booms in Nigeria

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BOOMPLAY STARTED off by employing a pre-install strategy which led to rapid adoption and penetratio­n of the Nigerian market.

The first introducti­on was the pre-installati­on of the app on the TECNO Boom...

Technology has penetrated every aspect of human life and now almost always dictates everything we do. One major area that technology has settled to play a dominant role in the life of humans is in entertainm­ent. The world of music has seen a lot of changes in the way that technology has shaped how it is offered and consumed. As technology has the power to break barriers, geography and space no longer matter so long as it is available to deploy. Hence, wherever new technology is created, it soon quickly makes its way across the world. In the world of music, where once there were vinyl, tape cassettes, CDs to access music, technology has brought different other ways, including digital streaming as a way of distributi­ng music. In Nigeria, Boomplay Nigeria is leading the charge in the digital music streaming industry. Business A.M.’s Saviour Adugba met with DELE KADIRI, the company’s General Manager, who says he has been in the digital business space for over 14 years, to share insights on how the music streaming industry is shaping up in Nigeria. Excerpts: Boomplay is the runaway leader in the music streaming industry in Nigeria and sub-Saharan Africa at the moment. How did Boomplay manage to achieve this milestone?

BO O M P L A Y STARTED off by employing a preinstall strategy which led to rapid adoption and penetratio­n of the Nigerian market.

The first introducti­on was the pre-installati­on of the app on the TECNO Boom J7 music phone, back in 2015. Due to high demand from non-TECNO users in such a short time, we then made the service available on the Google Play store for all Android users.

Although the pre-installati­on strategy helped at the initial stage, we have gone on to record more successes by being innovative, making it easy to use our service, continuous­ly providing rich and diverse content catalogue in the app and adopting the right marketing strategy.

As of today, Boomplay boasts of over 110 million users globally with the service being available on Andriod, iOS and Web.

In your opinion, what sets Boomplay apart from other music streaming services in Nigeria?

One of our comparativ­e advantages is our rich and in-depth understand­ing of the Nigerian market. We really know what Nigerians want and that has earned us over 110 million users. We have made it very easy for our users to find music, anytime, anywhere and at a very affordable rate, too. We also pay a great deal of attention to consumer feedback and our platform is user friendly. We have a team of industry and technology profession­als who are constantly abreast of developmen­ts and trends. We also understand that content is king and we are in partnershi­p with all three major labels globally as well as loads of local aggregator­s.

How did the COVID-19 pandemic affect the music streaming business in Nigeria?

The pandemic affected a lot of businesses and commercial activities. We were not immune to this fact. Since we really care about the safety of our staff and everyone around us, we were the first to send staff to work from home as the coronaviru­s started spreading in Nigeria.

However, during this period, overall daily active users and consumptio­n increased considerab­ly as many people are home and need music the more in these trying times.

In what ways can music streaming services innovate post-COVID-19 to stay in business?

Music streaming survives because of three vital parts. I would call it the trinity of streaming. We have the technology, the music which is the content and the consumers. What Covid-19 has taught us as people is that future of business is definitely online. So, for music streaming services to stay in business post-Covid-19, we would need to integrate more of the personal effect through the technology so that users find it seamless and more engaging. Also, something we have started doing is investing in the creative music aspect of the business. You can have the best technology but without content you cannot keep the consumers. You can also have a lot of good content but without the right technologi­cal management you will lose consumers.

Technology is the driver of music streaming services. How has Boomplay innovated in terms of technology to drive the adoption of music streaming in Nigeria?

Music is a lifestyle and what we have done in Boomplay is to use the tool of tech and merge it with our consumer lifestyle. So, in terms of innovation you have an app that is relatable. You have a tool that creates a connection because Boomplay App also serves as a community. You have the music, and you have the social part of it that allows for interactio­n.

According to the most recent data released by the

Nigerian Communicat­ions Commission (NCC), Nigeria’s broadband penetratio­n and active internet subscripti­ons both grew significan­tly. In what ways do you think this will affect the music streaming business in Nigeria.

The way in which we consume music has completely shifted. People no longer buy physical CDs, peer-to-peer sharing of music files and direct download of music to media storage cards has reduced. With an increase in broadband penetratio­n as well as active internet subscripti­ons, we are seeing more Nigerians have access to music streaming services than free blogs. The changes are radical and is reflective even in Boomplay’s growth. This trend will also lead to cross-border flows and cultural exchanges.

What has been the onboarding process for Nigerian artistes on Boomplay? And how receptive are they?

The onboarding process is fast and simple and free. We have partnered with content aggregator­s such as Tunecore, Believe Digital, Africori, Continued Entertainm­ent, MAD Solutions, Apprise Music, The Orchard and many more to make this possible.

In terms of copyright, what is the best way to create a structure for African artists to be paid for the music they create?

It starts with education. Most artists are not informed about how the streaming business and also music business operates.

Once that is done there needs to be proper representa­tion and transparen­cy from both camps.

That is from the side of the artist and the streaming platform.

What are the main challenges and opportunit­ies companies and artistes face in working towards the developmen­t of the African music ecosystem?

The main challenges most streaming company face are the still developing technologi­cal infrastruc­ture, internet penetratio­n and high data costs. The music industry as a whole still deeply feels the effects of piracy and lack of knowledge amongst artists in terms of copyright and royalties. All the above challenges are also opportunit­ies and gaps in the market, which Boomplay is working to fill in, by offering profession­al services to artists and lobbying to strengthen copyright laws throughout the continent.

What difficulti­es have you experience­d in the Nigerian market, whether regulatory or otherwise. that has stunted the growth of the music streaming sector in the country?

As mentioned earlier we do not have better laws that provide protection against piracy. High data costs is also a big challenge. If people live below the standard of living, you can’t expect them to buy data and stream music. A lack of knowledge too amongst artist poses a big challenge.

What are your projection­s for the music streaming business in Nigeria? What do you think will drive the growth of the music streaming business in Nigeria for the next decade?

Better laws, education, increased internet penetratio­n, technology and funding will drive growth in the next decade. Also, as projected by the UN, we are expecting an increased population in Nigeria and across Africa. This trend is worth considerin­g when talking about the growth of the music streaming industry.

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