KYNCL ON 2024: "THE YEAR OF THE NEXT 10"

Warner Music Group CEO Robert Kyncl has alerted the troops that 2024 is “The Year of the Next 10” and laid out three key areas of focus.

In a memo to staff, Kyncl outlined the ways in which he feels the company needs to “make bold, intelligent choices about where we put our expertise, investment and energy” over the next 10 years.

The first of these is growing engagement with music via smarter A&R and marketing decisions, holistic catalog management and the expansion of distribution and administration. He continues by calling for an increase in the value of music via changes in royalty rates and DSP pricing, as well as superfan products. Finally, he lists seven skills and behaviors important to driving the company forward.

In A&R, Kyncl stressed geographic focus on where artists and songwriters come from and genres primed to succeed in the future. In marketing, he wants to see A&R, marketing, technology, and business intelligence developing best-in-class practices and using data “to help artists more consistently succeed and stoke the blue flames of their superfans.”

He wants to selectively market catalog like frontline releases and increase the focus on optimizing every title on the DSPs, aiming to “appropriately value the contribution of our artists, songwriters and catalogs,” maximize price opportunities and eliminate “low-value and functional tracks," which include nature sounds, white noise, sound effects and even silence.

Finally, Kyncl outlined seven steps for success, starting with expanding the role of subject-matter experts commensurate with the scale required to support the entire company and talent roster.

The WMG boss added that he supports “free-flowing information about failures and successes between departments” and flexibility in adapting to changes in the business.

When it comes to team development, he said, “Treating each other with respect is not just a moral imperative; it's essential to an environment of trust and creativity," elaborating: “First Team is your peers across the company; Second Team is the team you manage.” He acknowledges that this may seem counterintuitive but insists, "It leads to outstanding, deeply collaborative companies.”

Finally, Kyncl allows, “Leading is more fun than following. Being a first mover is more energizing than trying to close the gap. Even if you make mistakes, you’re given greater grace if you’re leading.”