Monday, September 3, 2018

Telephone Hold Music Licence Scheme

Successfully setting up a switchboard operation with the just the right hold music so that callers not only barely notice they are in a queue but feel good about your front of house brand experience is what all businesses aim to achieve.

We believe the ‘copyright free’ style of music offered by specialist music on hold vendors – although not requiring a OneMusic licence – is not likely to achieve these ‘feel good’ and ‘brand engagement’ goals.

Telephone Hold Music can be communicated from radio (commercial, news or talk back) or a recorded source – including from music you have copied yourself – or from a specialist music on hold vendor.

The Telephone Hold Music scheme is available to all kinds of switchboard devices – from a traditional ‘fixed-line’ switchboard to a Cloud-based system or VoIP system.

A Telephone Hold Music licence would permit a business to communicate music as telephone hold music and copy music for the purpose of communicating – see copying below.

The scheme does not include the right to use incidental music on your website, play background music in a public space or play music for the benefit of your employees. Contact us to discuss further licensing for these and other uses of music.

Your Licence Fees

The rates are pegged to the number of locations (that is, physical premises) you have and whether you need to be covered for copying or not.

For single location clients, the proposed rates are as follows:

SINGLE LOCATION CLIENTS
(A)
CALLER CAPACITY LINES
(B)
ANNUAL RATE PER CLIENT COMMUNICATION ONLY
(C)
ANNUAL RATE PER CLIENT COMMUNICATION AND COPYING
1 – 2 $240 $300
3 – 5 $315 $390
6 – 10 $470 $590
11 – 25 $780 $975
26 – 50 $1,480 $1,850
51 – 100 $2,530 $3,036
100 – 200 $4,700 $5,640
201 – 300 $8,000 $9,600
301 – 400 $10,320 $12,380
Additional Lines Thereafter (Rate Per Line)

$18

$22

For clients with multiple locations – i.e. more than one physical premises – the proposed rates per client (not per location) are as follows:

MULTIPLE LOCATION CLIENTS
(A)
CALLER CAPACITY LINES
(B)
ANNUAL RATE PER CLIENT
COMMUNICATION ONLY
(C)
ANNUAL RATE PER CLIENT
COMMUNICATION AND COPYING
1 – 2 $320 $400
3 – 5 $460 $575
6 – 10 $710 $890
11 – 25 $1,180 $1,475
26 – 50 $2,340 $2,920
51 – 100 $4,140 $4,970
100 – 200 $8,600 $10,320
201 – 300 $15,000 $18,000
301 – 400 $20,000 $24,000
Additional Lines Thereafter
(Rate Per Line)
$30 $36

The defined legal terms can be found at the end of this information sheet but in plain-English the following may be helpful.

How do you calculate the number of Caller Capacity Lines?

For single location businesses with traditional systems simply calculate the maximum number of ‘held’ calls that can be supported at any one time. Where a business uses a VoIP or Cloud-based system calculate ‘caller capacity lines’ by the maximum number of simultaneous users that may be supported at any one time.

For multiple location businesses with traditional systems, this is simply the maximum number of ‘held’ calls that can be supported as a whole across all locations at any one time. Where licensees use a VoIP or Cloud-based system ‘caller capacity lines’ is simply the maximum number of simultaneous users across all locations that may be supported at any one time.

External Lines

The Telephone Hold Music licence scheme only applies to music used on lines for external calls.

Music used on lines used for internal calls (between staff on their office phone extensions or when dialing in for a meeting, for instance) also requires a licence but is covered under the OneMusic Australia Corporate and Workplace licensing scheme.

What is the difference between communicating music on hold and copying music on hold?

Yes to communicating music only:

  • If your business’ telephone hold system ‘re-transmits’ a radio station you do not need to be licensed for copying, just for communicating the music from that station (yes, talk back radio is included).
  • If your business’ telephone hold system just plays music from a CD you do not to need to be licensed for copying, just for communicating the music from the CD.
  • If your business’ telephone hold system just uses music you have already licensed (e.g. the company’s advertising jingle) and nothing else you do not to need to be licensed for copying, just for communicating the jingle music.

Yes to communicating music AND copying music:

  • If your business’ telephone hold system uses music from a hard drive or other device onto which you have copied music from CDs etc you DO need to be licensed for copying AND communicating the music.
  • If your business’ telephone hold system uses music from a person digital music service or digital download service you DO need to be licensed for copying AND communicating the music.

What if I don’t need all the rights on offer?

We understand that not all Telephone Hold Music use requires licences for both the song and the recording.

For example, you might communicate in your music on hold a recently recorded classical piece which was composed last Century, long out of Copyright (we call this in the Public Domain). Only the recording right would need  to be licensed.

In this example the licence fee payable under the Telephone Hold Music scheme will be rebated by 48.25% from the two-licence rate standard rate.  We simply need you to report to details to us and we will make the adjustment.

Legal Terms

Caller Capacity Lines means for non-VOIP and non-Cloud-based telephone systems the maximum number of held calls for a single location that may be supported at any one time where music is played, and in the case of VOIP and Cloud-based telephone systems the maximum number of simultaneous users across multiple locations that may be supported at any one time where music is played.

Telephone Hold Music means music used on a Telephone Hold Music system, whether sourced from radio or a recorded source.

Note that the final form of the definitions may change for drafting purposes in the published licence scheme. We may also add further definitions if required.