In our analysis, smaller societies under political influence could often not raise their revenues in line with the rising incomes of their economies. While the Baltics, the CEE and SEE region are not so poor compared to Western Europe as they used to be 20 years ago, most tariffs are way below reasonable levels. This is an opportunity. At the same time some societies are charging rather high and disputable tariffs in some cases to make up the revenue.
We started a cooperation with a few societies in 2014 to prepare for such an outcome, and to justify the differences among royalty tariffs in the EU. Our benchmarking reveals which tariffs can be disputed, and which tariffs may have leeway for increase.
Tariffs should be set to a level that music can be best exploited in broadcasting, digital, hotels, restaurants, clubs and all locations where people want to enjoy a better ambiance instead of noise. Too high tariff are illegal and will eventually result in less use of music.
Our experience with competition cases and regulatory approvals can help to review your tariffs, identify the threats and opportunities, and to balance them in a way that benefits your members and your users as well. We believe that our benchmarks fulfill the criteria set out by the ECJ in AKKA/LAA vs Konkurences padome, but it goes beyond the imagination of the parties involved in the case. Our CEEMID catalog consist of about 1000 objective indicators than can contribute to understanding differences in tariff levels across Europe.