TikTok vs Universal Music: who loses out more? - Campaign Middle East (2024)

Earlier this year, TikTok and Universal Music Group’s deal fell through and saw the removal of all of Universal Music content from the platform.

We asked industry experts, if TikTok would be at a greater disadvantage than Universal Music Group after the fallout. Here’s what they had to say:

Yes

Irina Tatarinova
Head of Social Media & Influence Marketing, Flowwow

TikTok will face more complex challenges than Universal Music Group. Losing access to UMG’s catalogue, which includes 4 million songs (according to industry estimates, up to 80 per cent of all music on TikTok), is likely to result in decreased activity on the platform.

If tracks from artists such as Taylor Swift, Billie Eilish, and Adele are no longer available, users and brands may switch to other platforms, such as Instagram, where they can find this music. Sourcing alternatives could prove to be a challenging and expensive process for TikTok.

For UMG, the loss of TikTok will not be a significant revenue loss. However, artists will lose an essential promotional channel.

The MRC Data 2021 study confirms these concerns, finding that 75 per cent of TikTok users discover new artists through this platform.

No

Seyoan Vela
Chief Creative Officer, Living Room

It feels like a lose/lose situation for both parties. I’ve got teenage kids and the only way they discover any music now, whether old or new, is through TikTok.On the other hand, I’ve just looked up the artists that Universal Music have, and they are dominant.

Everyone from Taylor Swift and Adele to Drake and BTS, the Beatles and Lady Gaga. TikTokis the social media platform that is dominant in music and this dispute undermines that credibility.

In the end, I’m sure it’s all going to all be worked out. It’s only an argument about money.

Yes

William Varghese
Director, Codeyaya Technologies

The exclusion of music from renowned artists could significantly alter the dynamics of music-centric campaigns on TikTok. Brands and advertisers will face the task of adjusting by pinpointing and capitalising on trending sounds from emerging talents, whose appeal may not match that of established chart-toppers initially.

The key challenge lies in sustaining the same degree of user engagement and campaign virality within an altered musical landscape. This shift necessitates a strategic approach in aligning campaign objectives with the evolving preferences of TikTok’s diverse user base.

As brands navigate this terrain, there exists an opportunity to foster partnerships with up-and-coming artists, fostering a fresh wave of creativity and connection with audiences.

No

Florence Bicknell
Senior Social Media Executive, Coffee Communications

While the disagreement with Universal Music Group (UMG) has affected many users, TikTok is not all about dances/music. Users continue to share their Get Ready With Me’s, workout tips, weekend activities, etc., with or without the trending music behind their videos.

In fact, people have turned the split into a trend by dancing to royalty free music to poke fun at the situation.

The breakup with UMG has not affected TikTok’s momentum as much as the world thought it might have. I’m curious to see what TikTokers will come up with next to express their creativity.

No

Asiya Ali
Founder and MD, MKV Digital

The impact of TikTok on the social media landscape is significant, with a staggering 34 million videos posted each day.

While music has always been integral to TikTok’s identity, its success primarily stems from user creativity rather than solely relying on music.

As UMG’s music departs and potential label exits loom, users will pivot to other music options for content creation. While the virality of dancing to popular songs may decline, viral food videos and other trends will continue to thrive.

Brands will also shift towards custom sound collaborations to maintain their musical presence on TikTok, showcasing the platform’s adaptability.

No

Genevieve Saab
Social Media Manager, Umami Comms

With TikTok being one of the most popular social media platforms at the moment, and music of all sorts being one of the most easily accessible elements in the digital world, I personally believe TikTok will not only survive but thrive through the fallout.

Especially as the essence of the platform doesn’t rely on commercial music for its or its users success, but rather banks on more authentic experiences as part of its business model.

I actually believe it’ll push the boundaries of how creators come up with new and innovative ways to generate viral content, as seen with various original audios that have already been achieving this prior to the fallout.

Yes

Rama Abdulhadi
Group Account Director, Viola Communications

I believe it will have an enormous impact on TikTok and its users.

With millions of songs leaving TikTok, not only are users unable to make new videos with these songs, but also all existing content is being muted, which makes scrolling through TikTok’s For You pages a lot less engaging and fun, and let’s face it, AI songs will never be enough to replace real artists!

On the other hand, UMG, will also be impacted given that there are over 1 billion monthly active users on the platform which grants their songs such great exposure.