| | |  Entertainment 
Mexican Recording Acts Embrace Corporate Partnerships
 Leila Cobo - Reuters
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August 28, 2010
Miami - In late 2009, the members of Mexican electro/pop group Moenia found themselves at a crossroads.
A veteran act with seven albums to its name, the group was without a label contract after stints with BMG and EMI. While the Mexico City-based trio was a hugely popular touring act, labels didn't view it as a hot commodity because it didn't sell a lot of music. And Moenia didn't feel like sacrificing a large chunk of its ancillary touring and merchandise revenue to get signed.
So the group's management company, the joint venture OCESA Sei Track, proposed an entirely different strategy: look for a brand partner and release new music under the auspices of that company.
With backing from Mexican beer company Cerveza Sol, Moenia recorded a live CD and DVD that was given to Sol buyers as a gift with the purchase of a 15-pack of beer. Sol paid Moenia a sponsorship fee and the band retains ownership of the master recordings.
More than 100,000 albums later - including 30,000 sold in stores with distribution through Sony - Sei Track founder Alex Mizrahi felt he was on to something.
"It was a mainstream success without a label," says Mizrahi, whose 18-act roster also includes singer Alejandra Guzman (Sony), rock band Motel and singer-songwriter Ximena Sarinana (both on Warner). "Brands today have a role in promoting not just an image but also music."
Buoyed by Moenia's success, Mizrahi sought out other partnerships, and on August 23, he released new music by Mexican pop star Benny Ibarra as part of a partnership between Sei Track and Coca-Cola Mexico. The venture includes a label, tentatively called Happy Records, which will release music downloads exclusively on Coca-Cola Mexico's website. Two other acts - alt-rock group Kinky and newcomer Flor Amargo - will release music on the site later this year.
Ibarra initially will release his new album, "La Marcha de la Vida," exclusively on Coca-Cola Mexico's home page, where fans can download the tracks through a rewards program. The deal also includes incorporating the artist into an advertising campaign that's still in development, product placement in videos and tour sponsorship, with every Ibarra concert billed as "Coca Cola Presents."
Under the deal with Ibarra, Coca-Cola has an 18-month window during which it can exploit all music content and a 30-day exclusivity window in which to have the music on its website. After that period, Sei Track's own Sei Track Music label will release the physical album with distribution through Sony Music Mexico.
The Mexico-based company, which also has offices in Miami, launched in 2002 and later joined forces with concert/event promotion giant OCESA, a subsidiary of CIE, to create their joint venture company.
OCESA Sei Track, which employs 42 people, signs artists to multirights deals that cover recordings, publishing, concert promotion and booking, and merchandising.
"Seeing brands be so proactive makes me think there is a tomorrow," Mizrahi says. "We are working toward a self-sustaining model that doesn't require multinational labels to develop artists." |
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