PlayNetwork Creates Dynamic Store Environments
PlayNetwork, started in 1996 in Redmond, Washington, has parlayed its unique and equally dynamic in-store entertainment services into a successful enterprise recognized by business editors as one of the fastest growing in the Pacific Northwest. PlayNetwork’s custom music programming, high-performance sound and digital video systems, video content, system design and installation, and a variety of innovative network solutions for efficient storage, delivery and playback of audio and video content, has resonated with such high-profile companies as Starbucks, Chipotle and Krispy Kreme.
PlayNetwork’s responsive customer service program is built around a centralized service management software system that provides immediate access to all location-specific account information to service and rollout project managers. PlayNetwork provides customers with real time access to store level service information for their entire chain. Licensed by all major record labels, publishers and performance rights organizations, PlayNetwork has access to millions of original artist songs that can be custom mixed and distributed through long-play CD-ROMs and/or via network delivery.
PlayNetwork has an award-winning quality assurance program for standards-based design and installation of in-store sound and video systems. Industry data shows that in-store entertainment services continue to grow in importance for retail businesses, and other kinds of businesses, as companies seek innovative ways to distinguish themselves from competitors.
“Where other services had been provided in the industry, there were a few areas that were untapped, or not as serviced as we observed with our customers,” explains Ryan Risenmay, PlayNetwork Communications Specialist. “We were looking for a service that would be specific and unique to each brand. One of the first things we did was work on establishing licensing agreements with the performing rights companies, the label companies. We had to make sure that the royalties would be paid and that we would have those relationships established so we would have access to the original titles of songs.”
In that way, as PlayNetwork acquired those relationships, and as built a library of music and access to that music, the company was able to program that into a strong, custom database internally, with custom traits associated with each song. That’s something PlayNetwork has noted as its hallmark – going into detail with each song, and identifying qualifiers. PlayNetwork has identified qualifiers such as style, tempo, and performing vocals. Those defining traits have enabled the company to load its database with that kind of detail.
A Unique Approach to Store Environments
“What makes PlayNetwork different is our ability to take a unique approach with each customer,” Risenmay says. “Because we built a database, it’s ready to be accessed. When we’re consulting, and we identify what is it about the brand that makes them unique, then how that translates into music, we’re able to access the database. Our music programmers can focus on accessing qualified songs. From there, they can fine tune play lists with each customer. That’s how we establish relationships with customers.”
PlayNetwork has a technology that compresses digital streams down to the ability to have up to 16 hours of music on a CD. That’s about four times more than any other service provider can offer on a CD. And yet PlayNetwork still maintains the digital quality that customers need for strong performance in their stores. The specific technology is a custom component exclusive to PlayNetwork. Customers will not hear the same song twice in a given play time, and employees don’t have to worry about managing CDs, every two hours.
“There’s another function, and it’s called day parting,” Risenmay says. “For example, in the case of COSI, which is a sandwich and coffee shop, they have five day parts throughout the day. They have day parts when we’re able to program each song to play within those characteristics. When the music is programmed into a CD with those same traits, the players that we issue will automatically read the data and pull the appropriate songs to play during specific times.”
Setting a Standard
When PlayNetwork first started out, stores seemed to think that all that was available to them, was a channel of music, such as a radio station or a digital stream that they could tap into on the Internet or through satellites. At that time, it was all that could be delivered to them in a cost-effective manner. But with PlayNetwork’s unique approach, customers were able to acquire specific play lists exclusively to them.
“With the quality sound emphasis, it’s not as effective anymore just to install two speakers,” Risenmay says. “We’re able to assist our customers in dispersing sound correctly and in an efficient manner, including achieving the appropriate balance, with consistency from store to store. That’s important when you’re talking about a chain of stores.”
Raising the Bar
To Risenmay’s knowledge, no industry has stepped up to establish standards in a business environment. It has been left to businesses to specify standards. Because of this, PlayNetwork ensures that management at each store is going to know what they can do with the environment. There are many factors that come into play when PlayNetwork designs a specific store environment, because of different flooring, acoustics, and other aspects.
“For example, one store may have a low ceiling while another store may have a ceiling that is high in certain areas,” Risenmay says. “We also consider such elements as pillars. We work with our customers to acquire actual CAD drawings of the stores and discussing take place via telephone with our designers and the construction crew. Our experts are familiar with testing various components and how they perform in those environments. It contributes to the success of our customers.”
A User-friendly Environment
Customers like the consistency PlayNetwork offers, and they like not having to be concerned about it once it’s installed, according to Risenmay. The systems are locked down for authorized service. Because they’re quality systems, the frequency of service calls is significantly reduced. PlayNetwork always receives feedback after they’ve installed a system. As soon as the first demo discs come out, customers call PlayNetwork to tell them they “hit it right on target.” Customers tell PlayNetwork the music is better than what they had before.
“It’s so nice to know that we have not lost a customer,” Risenmay says. “This is an aggressive market and we’re in a business in which we’re helping customers achieve success. We try to centralize all the information about the customer from the start, through the store rollouts, and so forth. Having that centralized internally here helps us to feel that we’re meeting their specific needs.”
A Vision of the Future
“In the next 10 years the retail industry will undergo a significant transformation,” says Adam Brotman, PlayNetwork President and CEO. “It’s happening now. Retailers will be forced to find new and innovative ways to compete and differentiate themselves from one another, and to some extent from the e-commerce experience. There will be subtle, but important ways for retailers to make sure they are the destination of choice for customers. We believe that’s going to be all about creating a store entertainment experience.”
There are a number of ways retailers are going to be able to enhance the entertainment experience in stores by utilizing audio and video on a number of different levels, according to Brotman. He sees the next 10 years progressing as stores increasingly develop the use of video displays on top of a high performance sound system for everything from dynamic signage, to images that they’ve either created, or asked to be created to enhance the store environment.
“There are trends that are taking place now that I think are important,” Brotman says. “One is the cost of flat screen video hardware, plasma and LCD monitors if you will, is for the first time allowing retailers to experiment with using dynamic signage and in store video and branded video content. That trend will continue with more stores deploying wide-area networks to connect their stores for a host of reasons, one of which will be to deliver media, like music and video to stores.”
A Satisfied Customer: Starbucks (Seattle, Washington)
Starbucks, founded in 1971 in Seattle’s Pike Place Market, has partnered with PlayNetwork for the past five years. Starbucks operates 3,331 coffeehouses across the U.S., and Canada. “We use in-store music programming as a core component of the retail experience for our customers, and store partners, and we’ve used music in this way for many years,” says David Brewster, Starbucks Director of Hear Music. “They offered a kind of technology that allowed us to bring more variety of programmed music into our stores, as our store base grew. It has allowed us to custom program the music customers hear in the Starbucks environment.”
PlayNetwork has provided Starbucks with technologically advanced solutions to delivering music into stores, and making the experience user-friendly. Starbucks wanted a vendor that was willing to work with them both philosophically regarding the kind of music they like to play in their store, as well as technologically. The company wanted a vendor that could provide a high quality, user-friendly system that operated on its own.
“It’s important to have a quality sound system, and we are always interested in trying to improve the quality of sound in our stores,” Brewster says. “PlayNetwork has been helpful in providing different solutions, especially speakers for different store environments. It’s critical that the system is reliable, as well as cost-effective. Economically, PlayNetwork has been able to be competitive in meeting our needs. PlayNetwork has played a major role in the success of our in-store environments.”
A Satisfied Customer: Chipotle (Denver, Colorado)
Chipotle, started in 1993, serves gourmet tacos and burritos. “Earlier on, Chipotle was doing burned CDs, going in and creating mixes,” says William Espey, Chipotle Special Weapons & Tactics. “Then we took it to another level with PlayNetwork. With the burned CDs we had 60 minutes of music, maybe eight tracks or 10 tracks on a disc, and the music grew stale fast. Redoing the discs to keep them fresh was an inefficient and costly way to maintain that component of Chipotle’s environment. In contrast, the beauty of PlayNetwork’s system is that we can get 16 hours of music on a disc.”
Chipotle uses its own stereo systems, but they use PlayNetwork’s CD players. One of the biggest issues with customers was the sound level in Chipotle’s environment. The architecture in Chipotle locations reflect corrugated metal, wood, and concrete floors. The problem with that was acoustically, it wasn’t conducive to good sound, because of reverberation and inadvertent amplification. Chipotle had difficulty with the earlier discs because of variations in sound levels. For example, there would be one song that would be soft, while another song would be loud. PlayNetwork’s system eliminated the problem.
“Another important issue was that we were paying per store, licensing on the songs being played,” Espey says. “That was a mess in terms of paper work. One of the primary motivations for me was that the licensing with PlayNetwork was built into the lease that we were creating with the players. It allowed is to eliminate not only the cost of the licensing, but also the administrative cost of licensing the songs.”
A Satisfied Customer: Krispy Kreme (Winston-Salem, North Carolina)
Krispy Kreme is known for its doughnuts, coffee and collectibles. “Two years ago, we began looking at our stores in a different way,” says Jack McAleer, Executive Vice President, Krispy Kreme. “A redesign was underway, and we thought about the next version of our concept. We wanted to create a space and environment that fully enhanced an all-sensory experience for our customers. We wanted to have music that was meaningful to our brand in some way. We were looking for a company that could help us put together a selection of music that matched our image.”
Krispy Kreme selected PlayNetwork because the company offers many different labels, as well as access to so many different songs from all decades. The company wanted customers who were around in the 30s, as well as customers of today, to have the opportunity to hear something and attach it to a memory at Krispy Kreme.
“PlayNetwork was the only company we talked to that was able to blend a mix of music that fit, with what we wanted to accomplish,” McAleer says. “We currently do not have the system in all stores. We’ve been installing it in our new stores over the last year or so. As we have installed the system, we’ve been receiving positive feedback from satisfied customers. It adds to the special experience at Krispy Kreme.”
McAleer notes that franchisees have expressed interest in the PlayNetwork system, and that they have seen the value of music and how it has enhanced the Krispy Kreme experience. For more information about PlayNetwork, you can go to www.playnetwork.com.
