- Apr 28, 2021
- Business Update
JD and UMG to Cooperate on Physical Music Products
by Vivian Yang
JD Entertainment, the arm of cultural and entertainment unit under JD.com, and Universal Music Group (UMG) announced on Apr. 26 to deepen cooperation on “internet + physical music” ecosystem, providing a one-stop consumption experience for music fans in China.
The two sides will work on the promotion of physical records and co-develop more high-quality vinyl records and artists’ merchandise.
Better hardware performance in recent years has driven people’s increasing need and passion for high-quality music experiences and sales of CD and vinyl records are on the rise.
“Physical music is not out of date,” said Garand Wu, managing director of Universal Music China, at the cooperation announcement ceremony in JD’s headquarters in Beijing. Though streaming music is mainstream now, UMG’s physical music products achieved 23.5% growth during the pandemic in 2020, according to Wu.
Simon Han, vice president of JD.com pointed out that “JD.com strives to offer the sense of ceremony that many music lovers covet when they wish to enjoy music. By cooperating with UMG, we can provide more high-quality physical music resources to satisfy the diversified needs of our customers and build better connections between artists and fans, enhancing their mindset to seek international music products on JD’s platform.”
Authenticity stays at the core of JD Entertainment’s development. On the one hand, JD Entertainment leverages its capabilities such as OEM (original equipment manufacturer) resources to work with artists to build their authentic merchandise. On the other hand, the platform provides a reliable and convenient shopping experience to boost the fans economy.
“JD’s efforts in copyright protection and capabilities in supply chain, big data, digital marketing and more are widely recognized on the market. This cooperation is a meaningful exploration for us to promote the healthy development of the physical music market,” Wu added.
Concurrent with the cooperation announcement, the two sides jointly released the debut solo physical album of Sunnee, a former member of popular Chinese idol group Rocket Girls 101 and a signed singer under UMG. Since pre-sales on JD.com on Apr. 15, the album has become the No.1 pre-sale physical album of the year so far on the platform.