Fitness

Find out how this licence fee was set:

C1.2	Tariff	All inclusive	Background Music	Music in Classes
	Formulation	Per member	Per member	Per class
(i)	Processes/methodologies	2017 mediation process with particular fitness chain and then via OneMusic rate consultation and negotiation process including with peak industry body, Fitness Australia.	2017/18 consultation to develop new rate based on metric previously negotiated with Fitness Australia	2017/18 consultation process.
	Underlying data used	APRA generally uses a mix of relevant data sources to determine licence rates and impact on a particular business. This includes common sources of music, shifts in demand and changes in technology.	In 2012/13 APRA AMCOS shared data with fitness Australia to show that the new per member rate structure would not, across the industry as a whole, cause an overall increase in licence fees. APRA generally uses a mix of relevant data sources to determine licence rates and impact on a particular business. This includes common sources of music, shifts in demand and changes in technology	APRA generally uses a mix of relevant data sources to determine licence rates and impact on a particular business. This includes common sources of music, shifts in demand and changes in technology.
	Summary of Analyses/Evaluations	None	None	None
(ii)	Tribunal Decisions	No	No	No
(iii)	Use of ACCC Guidelines: Hypothetical Bargain	No	No	No
	Use of ACCC Guidelines: Survey Evidence	No	No	No
	Use of ACCC Guidelines: Benchmarks	Existing APRA AMCOS and PPCA rates for Fitness (Background Music and Music in Classes)	Pre-existing APRA AMCOS rate for background music in fitness centres and PPCA tariffs V2 and W.	Pre-existing APRA AMCOS and PPCA rate for music in fitness classes.
(iv)	Direct Licensing	Yes (opt out/license back is available). Where all musical works or all sound recordings are directly licensed, rate is reduced by 48.25%.	Yes (opt out/license back is available). Where all musical works or all sound recordings are directly licensed, rate is reduced by 48.25%.	Yes (opt out/license back is available). Where all musical works or all sound recordings are directly licensed, rate is reduced by 48.25%.
(v)	Other Matters	Provide alternative bundled rate structure that would benefit certain fitness centres when compared to obtaining individual rate cover. Per member rate is a common method for determining licence fees for public performance of music for businesses and organisations that operate on a membership basis.	None	Per class rate has been how fitness classes have been licensed for over 25 years.