From Brazilian gospel to Puerto Rican reggaeton and Dutch hip-hop, music streaming company Deezer is scouring the globe for gaps in the market where it can survive and thrive against Spotify and Apple. Francis Maguire reports
From Brazilian gospel to Dutch hip-hop - music streaming firm Deezer is scouring the globe for gaps in the market... Where it can steal a march on heavyweight streamers like Spotify and Apple. The French firm wants to establish itself as a 'cool' alternative to its more famous rivals... Focusing on local music genres in fast-growing markets rather than just mainstream acts. Deezer's hired local teams of 'editors' to identify talent in niche genres.... and even create Netflix-style original content. By doing this - the firm's bet streaming will outgrow all other forms of music listening in the coming years. (SOUNDBITE) (English) DEEZER CHIEF EXECUTIVE, HANS-HOLGER ALBRECHT, SAYING: "So you need to be have we have people on the ground. Let's put it this way you have to adapt to the local taste I'll give you an example in Colombia - 80 percent of the listening is local music and it's Christian music. In Brazil we're very focused on the nature of our gospel. We are the leader when it comes to gospel music for example. Germans love audio books." Producing original content also means the company is less reliant on record labels....who take the lion's share of streaming revenue. (SOUNDBITE) (English) DEEZER CHIEF EXECUTIVE, HANS-HOLGER ALBRECHT, SAYING: "The fact that we paid over 60 percent or even 70 percent in the old days back to the labels is way too high and it doesn't help us. It doesn't help us because we can't invest in marketing. It doesn't help the labels because we don't grow the market. So, I think we're coming to much more realistic terms right now and in the future for sure." Deezer is the streaming leader in its French home market...where it's been profitable for nearly five years. But faces a tough challenge if it wants to grow in markets already dominated by big hitters like Spotify.