Performance Royalties: Tauren Wells’ “Hills and Valleys”

Bid on public performance royalties from this award-winning Christian Rock hit.

$50,300

closing price

Auction Closed

Top Bid: Greg S

The Theoretical IRR is a formulaic guideline based on an extrapolation of the normalized, historical earnings trend of the catalog. The Theoretical IRR is not a guarantee of future performance. It should be used for comparison purposes only. Each catalog has its own risk factors and the Theoretical IRR is not based upon a specific analysis of this catalog. Click here to view the basis for all Theoretical IRR calculations.

Historic royalty income is no indication of future royalty income. Future royalty income is dependent upon future sales and licensing revenue generated by the sound recordings or compositions associated with this listing.

Starting Price: $35,000
Bidding Increment: $900
Closing Price: $50,300
End Date: Apr 21, 2020, 3:00 PM MDT
Dollar Age: 3.78 Years
Last 12 Months' Royalties:

$8,931

Investment Term: Life of author + 70 years
Distributors: BMI
Rights Included:

Public Performance

Interests Included:

Songwriter (World)

Track List:

Track List

First Distribution (paid 30 days from receipt): June 19, 2020
Distribution Frequency: Quarterly
Buyer Fees:

1% of closing price or $500 (whichever is greater)

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What rights are included?

  Musical Composition Sound Recording
Copyrights included? No
Rights:
Mechanical
Public Performance
Sync
Sales
Streaming
Sync
Sources: Internet Streaming, AM/FM & Satellite Radio, TV/Film/Commercial Performances, etc. Internet Streaming, Satellite Radio, Digital Downloads, CD Sales, TV/Film/Commercial Placements & Performances, Samples, etc.
Distributors: BMI

Description

This single-song listing features RIAA Platinum, Grammy-nominated, top-10 Christian Airplay Chart, and top-5 Hot Christian Songs Chart hit “Hills and Valleys” by Tauren Wells.

LISTING HIGHLIGHTS:

  • Strong Streaming Growth
  • Life of Rights investment term
  • Platinum-certified track 

FINANCIAL HIGHLIGHTS:

The highest source of royalties for this single-song catalog also has the best performing growth trends. Streaming leads the way with 45% to overall earnings in the last 12 months, an increase of 32% over the prior year. This marks a natural transition from radio play to streaming activity for songs three years after their initial release. 

Radio remains the second-highest source of income, with 33% of the last 12 months’ earnings.

ABOUT THE CATALOG:

Released in early 2017, “Hills and Valleys” rose to No. 8 on the Christian Airplay Chart and peaked at No. 3 on the Hot Christian Songs Chart. The song earned a 2018 BMI Christian Music award, was a Grammy nominee for Best Contemporary Christian Music Performance/Song in the same year, and was the title track on the Hills and Valleys album, which received a Grammy nomination for Best Contemporary Christian Music Album.

Recently, pop/worship artist Rachael Nemiroff covered the track as well, and any public performance of the cover version will also generate royalties for the winner of this auction.

Key Drivers

Radio and Streaming. This song is in the midst of a transition from radio-dominated activity to streaming, a common trend with hit songs after three years from the original release. Over its entire lifetime since release, streaming contributed 25% of earnings. But in the last 12 months, streaming became the top source of earnings at 45%.

Radio activity generated 58% of royalties for this song over its lifetime since release. In the last 12 months, radio’s contribution fell to 33% of total earnings, as streaming activity ramped up. So as we're seeing the radio royalties begin to slow down, other income sources (streaming) begin to increase.

About the Royalty Distributor

Broadcast Music, Inc. (BMI) is one of four United States performing rights organizations, along with ASCAP, SESAC & Global Music Rights. It collects license fees from music users on behalf of songwriters, composers, and music publishers and distributes them as royalties to those members whose works have been performed. For more information on BMI’s distribution schedule, click here.

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