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Essential Guide to ... Jukebox Solutions Sector Overview BBPA toasts Oct pub results
Value of music tourism revealed
The success of the UK’s jukebox sector remains strongly tied with that of the pubs industry. On October 31, the British Beer and Pub Association announced that beer sales in British pubs were up 5.2 per cent in the third quarter, representing 103m pints of beer.
A new report by UK Music has underlined the importance of music to the UK’s tourism sector. According to the trade body, 6.5m music-loving tourists generated £2.2bn while attending UK festivals and concerts in 2012.
New HQ for PRS In October a deal was agreed that will see PRS for Music taking 52,000sq.ft of commercial office space at King’s Cross, London. The organisation, which represents over 100,000 songwriters, composers and music publishers, said the move will enable it to maintain a central London presence while streamlining and improving its property portfolio.
‘Record year’ for music sales Earlier this year, the Official Charts Company reported that 2013 is set to become a record year for music sales. In July, the group said singles purchases had increased by 2.5 per cent year-on-year.
SWOT ANALYSIS
Music to our peers Reflective of the challenging times the pub sector is facing, digital jukeboxes are becoming more affordable than ever before, but without sacrificing content or functionality. nlike any other form of coin-op entertainment, digital jukeboxes offer an unrivalled depth and breadth of choice for operators and end users alike. Catchy songs are catchy songs forever - one only has to look at the number of cover versions currently doing the rounds - but the way in which they are presented to the public is constantly moving forward, thanks to the UK’s digital jukebox and music content providers. Today’s digital jukeboxes offer an unrivalled depth and breadth of choice for operator and end user alike - and in doing so provide the ultimate in steady earners.In the same way that the internet and smart phones have revolutionised the way we run our lives, today’s digital jukeboxes are light years away from the old CD or vinyl players that dominated the UK market in bygone times. While digital jukeboxes are much more sophisticated than their analogue predecessors, they are just as user-friendly, but offer a huge range of functionality.Today’s menudriven jukebox touchscreens, in the same way as tablet interfaces,are simple to use and offer a host of options above and beyond single song selections. These interfaces offer multiple options that make operations such as creating and editing song queues really simple for operators. The other benefit of being able to add and delete songs in seconds, without having to transport vast numbers of CDs or vinyl, gives jukebox operators the opportunity to tailor their offer accordingly and hands venue managers more control over the type of music and the way in which it is presented to customers. While easy to operate, jukeboxes come with a wide variety of options, such as con-
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tinuous play modes, which allows them to play multiple tracks back-to-back, without silences in between. The program can be interrupted at any time, to play a request, for example, and then continue playing from where it left off. Jukeboxes also have the option of playing music videos, thus creating an audiovisual dimension to a venue’s entertainment offering.This isn’t limited to the unit’s integral screen as with most modern digital jukeboxes there is the option to take the video output and connect it to a larger display - such as a flat screen, HDTV or projector. Jukeboxes,therefore,remain a viable solution for most pub and entertainment venues - especially those who are looking for a costeffective, low maintenance, high quality sound system. Music tailored to suit the number and demographic of customers inside, can enhance a venue’s ambience, drive wet sales and increase cashboxes on nearby coin-op machines. In other words, playing ‘relevant tunes’ in the right circumstances can make customers stay longer, thus driving additional revenue, such as at the bar, in the restaurant or even through the cashboxes of other coin-op entertainment available such as pool tables, SWPs or AWPs. Digital jukeboxes have multiple advantages over their predecessors, with the most obvious being storage capacity. They can store millions of songs at a time, while maintaining the highest audio quality, and they are flexible enough for users to go as far into their functionality as they wish - from a single song selection through to a search for tracks of a similar genre or even a look at another pub’s current playlist. Some of them also offer karaoke.
SWOT ANALYSIS JUKEBOX SECTOR STRENGTHS • Familiar concept which has been established for years • Numerous different types in market always healthy competition • No cash payouts • Versatility through technology - background music, foreground music, karaoke, updates WEAKNESSES • Digital jukeboxes may be intimidating to ‘older generation’ • Not always available for use, unlike SWP and AWP machines • Functionality is so vast that not everyone is aware of their full range of capability • Price point can sometimes be offputting
Furthermore, jukebox party hire is becoming more popular in order to cater for a wide range of musical tastes without the big cost of a DJ or a band. Hired jukeboxes come with thousands of songs, ensuring there will be something in there for all tastes. This selection can be random or pre-programmed, ensuring the jukebox is a solution capable of providing the music for almost any event. The fact that the UK is blessed with some of the world’s best jukebox manufacturers
OPPORTUNITIES • Unlike a lot of coin-op equipment, all jukeboxes can easily be sold into other sectors such as home use and private party hire • Broadband and wireless technology has opened up new interactivity - and simpler updates • Sites outside the pub sector such as bowling complexes • Cross-promotions with other on site coin-op products – and other pubs in same area THREATS • Pub closures • Lots of other forms of entertainment in pubs competing for cashbox • Decline in pub footfall • Pubs reinventing themselves as restaurants
and content providers is one of the sector’s major strengths - and the knowledge that the major protagonists are now keen to keep operator costs down should see jukeboxes remaining an integral part of any entertainment venue’s overall offer. Jukeboxes, therefore, are a viable solution for most pub and entertainment venues. The bottom line is that there will always be a demand for music, but making it affordable to operators and pub-goers remains the biggest challenge of all.