NSM sales manager Alex Kirby is a bit of a zealot when it comes to his customers. “The customer is always first,” he answered when asked about the new music rights procedure which will now see NSM organise payments to PPL on their customers’ behalf. 

“The whole idea of having a jukebox is to benefit our customer and their customers,” he told Coinslot. “Taking away the admin burden in terms of organising rights fees and streamlining the process is a service we think is of major benefit, furthermore it will create a level playing field as nobody will be able to supply a jukebox without paying the necessary licenses”.

NSM has agreed to collect and pay the rights fee to PPL directly on its customers behalf, and at a discounted rate, and quarterly in arrears rather than yearly.

As you can imagine, It’s a massive task, especially with the Atom rampant in the marketplace, notching up over 3,700 units now with another 1,000 ready to hit the market in the coming months.

“Music rights are exactly that, rights to use “record labels” and “performers” music,” Kirby said. “Jukeboxes,and background music is a critical tool when setting the perfect ambience in almost every location, and we want to make sure that our customers can offer such products with the least amount of friction as possible. 

The extra administration is taxing for most businesses, and it’s an area where, given our direct relationship with PPL, we can lend our expertise”.

The annual rights fee from PPL is currently charged at £185 direct to location; NSM will be charging operators the discounted rate of £170, which means operators can earn a small margin in the process. 

If operators would prefer not to pay the PPL License fee on the sites behalf, they do have the option to opt out, and in this case, PPL will charge the location directly at £185 per annum.

Ultimately, this is a positive move for operators, pub groups, and the music industry alike.