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Music copyright negotiations set to give licensed fitness providers a reduction in fees

Music copyright negotiations set to give licensed fitness providers a reduction in fees
July 1, 2019

With the new OneMusic Australia copyright initiative branded taking effect today, Fitness Australia has advised of positive outcomes for fitness business and exercise and wellbeing professionals who are set to experience an average 6.5% saving on their music licensing fees.

In place to consolidate music licence transactions with Australia’s two music rights management organisations PPCA and APRA AMCOS, Fitness Australia was approached, two years ago, by the licencing bodies about the OneMusic initiative so they could best understand the industry’s needs.

As Fitness Australia Chief Executive, Barrie Elvish explains “(we) formed a Fitness Industry Music Copyright Response Committee consisting of representatives from nine different business models and have been in negotiations since then with a view to providing the industry a fair and reasonable tariff.

“(As a result) there are several positive outcomes to our negotiations including OneMusic’s definition of a class size and of background music.

“(However), the biggest impact for most will be felt when they receive their next music license invoice. We envisage an average 6.5% saving on license fees, and in some cases significantly more.”

With many fitness operators and stakeholders fearing a potential repeat of the dispute between the industry and PPCA earlier in the decade, the outcome is a welcome one.

Key changes the new OneMusic Australia regime include:

• The definition of a class has now changed to be a better reflection of industry.
• Group Personal Training of up to eight members on the gym floor, where the music isn't tailored or changed for that session, will no longer be considered a class, it’s now included in the background music tariff.
• Video music played on screens and virtual classes is now included in the background music tariff.
• Existing licenses with PPCA and APRA AMCOS will now come under one license structure by OneMusic although businesses still have to take out the rights for APRA AMCOS or PPCA should they wish to use music that is only subject to partial rights.

With OneMusic set to make contact with APRA AMCOS and PPCA licensees from today (1st July), Elvish added “I’m confident that tariff classifications now more in-line with the reality of delivering exercise services - a direct result of our broad industry consultation process.

“I see this as a very successful negotiation that we’ve facilitated on behalf of the fitness industry.”

Questions about music licensing should be directed to OneMusic Australia who can be contacted on 1300 162 162.

Related Articles

27th June 2019 - OneMusic Australia licencing system to launch on 1st July

16th June 2019 - Industry complaints sees Australian Competition and Consumer Commission demand music licensing reform

11th April 2019 - New permanent Fitness Australia Chief Executive announces peak body will focus on ‘core business’

6th October 2018 - $185,000 fine for Melbourne business underlines need for understanding of licences to play music in public

18th January 2018 - Fitness Australia’s Bill Moore flags industry challenges for 2018

6th November 2017 - OneMusic Australia looks to implement new licence scheme for fitness providers

21st October 2013 - APRA and PPNZ Music come together: OneMusic licence set to be benefit New Zealand businesses

7th June 2011 - APRA and Fitness Australia reach agreement on licence scheme for fitness classes

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