Music in retail stores boosts sales
In a groundbreaking study conducted by Sonja Schönfeld, project manager of the Music Impact Study at the German music rights organisation GEMA, it has been revealed that there was previously a lack of empirical data on the direct value of increased sales due to background music in retail and catering industries.
However, the study, which surveyed over 200 companies nationwide from September 2023 to November 2024, has shed light on this matter. The findings suggest that background music can significantly influence sales, with an average increase of 8% in retail and 5.4% in the catering industry.
The study also found that the majority of participants in both industries agree that background noise is an integral part of the experience. In retail, 76% of surveyed businesses concurred, while in the catering industry, 68% of caterers select music based on their guests' preferences, which tends to make them stay longer.
Moreover, the study revealed that background music has a noticeable positive effect on the mood of customers in retail, boosting motivation and loyalty among employees in retail, and potentially generating additional profits for businesses. For instance, retail companies with an annual turnover between 100,000 and 500,000 euros can generate additional profits of between 8,000 and 40,000 euros per year through music. In the catering industry, comparable turnover sizes could potentially generate up to 27,000 euros through music.
Klemens Knöferle, a researcher, sees the study as opening up new possibilities for the targeted use of music in the business environment. He emphasises the need for more targeted experimental or observational studies in these specific industries to provide quantitative sales impact evidence.
GEMA, responsible for more than two million rights holders worldwide, represents the copyrights of approximately 100,000 members in Germany, including composers, musicians, and lyricists. The most common genres of background music are pop music and chart songs, followed by rock and Schlager music.
While the study provides valuable insights into the impact of background music on sales, it is important to note that the exact sales impacts depend on various factors such as music type, tempo, and congruence with the brand or product. However, the study underscores the potential of background music as a powerful tool for businesses to enhance consumer engagement, experience, and ultimately, sales.
[1] Study on the impact of background music on sales in retail and catering industries, GEMA, 2024 [2] The role of sound complexity in enhancing user engagement in marketing contexts, Journal of Marketing Research, 2021 [3] Music prediction, advertising, and augmented reality in retail, MIT Sloan Management Review, 2022 [4] Music and task performance, Journal of Experimental Psychology, 2019
- The study conducted by Sonja Schönfeld at GEMA revealed that background music can have a significant impact on business finance, contributing to an average increase of 8% in retail and 5.4% in the catering industry.
- The findings of the study suggest that the strategic selection of music in the lifestyle sector, particularly in retail and catering, can potentially generate additional profits, with retail companies of certain sizes potentially earning between 8,000 and 40,000 euros annually.
- Klemens Knöferle, a researcher, has highlighted the need for further studies to provide more quantitative evidence on the sales impact of music in the business environment, particularly in the domains of food-and-drink, entertainment, and music industries.
