Editor’s note: This is the second installment of Beats, Bytes and Brands, a monthly column on the newest trends and activations converging across the music industry and brand marketing.
As Q1 closes, music and brand partnerships have become an even more critical component of the growing influencer economy. According to Deloitte, 70% of U.S. consumers follow an influencer, and one-third said these personalities sway purchasing decisions.
As more marketers consider tapping influencers, it’s music’s boundless, year-round ability to open hearts that makes artist-brand partnerships so uniquely powerful. Marketers are leveraging the music consumption boom, which is growing at record pace.
With unprecedented global consumption and comprehensive artist data and insights, the music industry has given marketers the tools needed to confidently spend their marketing budgets alongside artists. Here are five themes that defined music brand marketing in Q1 of 2022.
The Latinx market looks for partners
Latin music represents 5.91% of all U.S. music consumption, making it one of the fastest growing genres. Hispanic American spending power is projected to hit $2.6 trillion over the next three years, which means the Latinx market is ripe for brand expansion opportunities. In 2022, brands like Crocs partnered with Latin music superstar Karol G to build a custom line of footwear that reflected her iconic style.
“These partnerships show how brands are not only embracing Latin artists but are tailoring artist partnerships based on certain demographics and Latin regions,” said Fernando Romero, head of advertising sales and brand partnerships at Fuse Media. “Brands understand that different Latin artists reach different segments of the Latinx community. That is why authenticity is such an essential pillar when aligning brands with an artist’s personal sense of style, identity and forms of self-expression.”
Nostalgia drives brands to legacy artists
Brands are tapping legacy artists not only to evoke nostalgia but also to engage with global music audiences that are predominantly consuming catalog music, which represented 69.8% of music consumption in 2021, according to data released by the MRC. In addition, legacy artists have become more open to the idea of brand partnerships. From Pepsi’s Super Bowl Halftime Show, which tapped rap legends including Dr. Dre, to M&M’s using David Bowie’s 1973 Aladdin Sane to drive their album art packaging campaign, the first quarter of 2022 was filled with unforgettable nostalgic moments.
“The overarching reason brands see value in catalog is because of brand recognition. Highly recognizable songs with just three to five seconds are highly identifiable to consumers,” said Jeffrey Straughn, partner and chief brand officer of Primary Wave. “Too many brands get caught up in heavy copy with advertisements and want to squeeze way too much in 30-60 second spots. Brands that allow iconic music to help drive the message will always be the campaign most will remember.”
Artists as corporate brand execs
Brands have begun recruiting marquee artists as culture executives to help influence the “lifestyle” elements of their identities. Kicking off 2022, we saw Orangetheory partner with Steve Aoki, making him their chief music officer, to help curate the musical elements that went into each workout. Virgin Voyages took a similar approach with their appointment of Jennifer Lopez as chief of entertainment and lifestyle. She will be directing Virgin Voyages’ brand touchpoints around entertainment, wellness and fitness.
“Partnering with any artist means you can access their creativity and understanding of audiences to drive forward your own brand’s experience,” said Nathan Rosenberg, Virgin Voyages’ chief marketing officer. “In the case of Jennifer Lopez, her values and vision for creating experiences for people match Richard Branson’s and our brand ethos brilliantly. She truly believes in the power of connecting people around the world and brings a creative perspective that is unmatched.”
Hip-hop continues to dominate
For many brands, tapping into hip-hop culture is one of the strongest ways to connect with consumers. In the U.S., for instance, nearly one-third of all music consumed in 2020 fell into the hip-hop and R&B genres.
Kicking off 2022, we saw some unique brand partnerships that added real value to the hip-hop community. Pusha T and Arby’s Filet-O-Fish diss track, “Spicy Fish Diss,” set the tone for the quarter when the rapper called out the McDonald’s sandwich as “tasteless” and even noted his involvement in co-writing the iconic McDonald’s jingle, “I’m Lovin’ It.” Hip-hop partnerships even bled into WWE’s Wrestlemania, where Wale brought his annual WaleMania event to The House of Blues in Dallas alongside Foot Locker, where the retail brand dropped exclusive merch in conjunction with the event.
“Hip-hop isn’t just a genre at this point, it’s the epicenter of culture,” said Juice Rodriguez, co-founder of Colorway Agency. “No matter what your interests are—whether it be in sneakers, gaming, NFTs or art—then music will naturally be intertwined. Brands should comfortably lean in, as the alignment in hip-hop is just an organic way to reach new worlds.”
NFT mania
Brands are certainly bullish about the future of NFTs and are partnering with artists to get more consumers involved with the technology. In January, Budweiser launched 11,000 Royalty NFTs to support 22 independent artists. Additionally, Wrangler launched 75 NFTs with recording artist Leon Bridges that are set to be auctioned off this coming September during Fashion Week.
Partnering with artists may be the best way to launch a brand’s presence in the NFT marketplace. Among the most desired types of NFTs are music and gaming collectibles, according to UTA’s Path to Primetime report.
“Brands looking to make impactful NFT drops should consider the benefits of incorporating organic partnerships with select musicians into the roadmap of their drops,” said Mike Boyd, head of music strategy for VaynerMedia. “Instead of only telling your friends that you were listening to a band before everyone else, now you can buy that emerging band’s first NFT that proves it, and brands can play a big role in helping fans secure those coveted bragging rights.”
Q2 predictions
Festival season kicked off Q2 with a bang, as Coachella set the stage for what will be a busy music-brand partnership season focused heavily on the live space.
Not only are U.S. festivals at near pre-pandemic capacity, but there are a record number of arena, amphitheater, club and even virtual tours hitting stages nationwide—Justin Bieber’s Justice World Tour, Charli XCX’s Crash Tour, and Shawn Mendes’ Wonder Tour are a few tours of note.
For brands, the hot touring arena presents new opportunities to connect with fans who have been deprived of live music for two years. Expect big activations and big spending on artist performances this upcoming quarter.
