September 11, 2004
Muzak: Elevator Music No More
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Every day, Muzak is heard by 100 million people, the equivalent of more than a third of the U.S. population.
But if you're straining to remember the last time you heard sleep-inducing orchestrations of the Beatles played in an elevator or grocery-store frozen-food aisle, you have it all wrong. That was the old Muzak.
Today's Muzak is played in the Gap, McDonald's and Barnes & Noble and in homes via the Dish Network, to name a few. It sounds completely different, featuring combinations of upbeat, toe-tapping songs.
And there are words, real words sung by the artists themselves. Muzak has been doing that for decades. If it's a Beatles song, you'll actually hear Ringo, Paul, George and John. Unless, of course, it's a rendition sung by Tori Amos, Aerosmith or Nirvana.
It's, dare we say, hip?
"It's been one heck of a ride," says Alvin Collis, who is head of strategy and branding and joined Muzak 19 years ago. Collis, a thin 52-year-old wearing a dark T-shirt, pants and high-top sneakers, once played in a punk-rock band and admits to being fired as a child by his violin teacher. Not exactly how most people picture the typical Muzak employee.
Yet Collis is one of the people who has orchestrated Muzak's transformation into a much more modern company, an effort that officially began in 1997.
But Muzak's mission is still the same: provide music for offices, restaurants, retailers and other businesses to help maximize productivity, morale and sales. While the company has been successful in its 69 years more than half of companies that play music play Muzak it's still fighting the "elevator music" stigma. And Muzak officials have their sights set on the numerous businesses sitting in silence.
"If we have a problem, it's that we haven't told the story loud enough and clear enough," Collis says.
Muzak was founded by Gen. Owen Squier, who during the Great Depression patented the transmission of music over electricity lines. The name Muzak combines the word "music" with "Kodak," Squier's favorite company.
Squier introduced music into typing pools to help boost productivity. In the 1930s, as buildings grew taller and elevators became more prominent, Muzak was piped in to soothe the nerves of riders leery of the new contraptions. Thus, elevator music was born.
In the subsequent decades, Muzak spread into retailers, restaurants and other businesses countrywide. During Eisenhower's administration, Muzak was played in the White House. Astronauts even listened to Muzak in the Apollo lunar spacecraft.
Today, Muzak is a privately held company. The principal owner is ABRY Partners, a Boston-based media investment firm.
Muzak estimates it is heard in about 60% of the U.S. businesses that subscribe to music programming.
Many companies seek Muzak to customize their music, creating a personal soundtrack that can be heard only in their stores.
Moe's Southwest Grill is one of those firms. Not only does the Atlanta-based company want a soundtrack for its 133 casual restaurants to reflect its fun, upbeat style, it has another special request for Muzak: All of the artists must be dead.
"Our music is a tribute to the heroes of the days gone by, the legends who will never be able to enjoy Moe's food," says Carl Griffenkranz, head of marketing at Moe's. The music "creates an energy in our restaurant that we feel makes us successful."
On a recent visit to a Moe's in Charlotte, artists as diverse as Roy Orbison, Johnny Cash, Jimi Hendrix, Frank Sinatra and Marvin Gaye were heard. Griffenkranz says Ray Charles, who died in June, will be added soon.
Even though Muzak had evolved into a modern company, officials realized in the mid-1990s that to most people, Muzak was still, well, Muzak. And the company wasn't helping to change that image. Promotional materials were drab. There was no brand uniformity, be it the business cards or the 1,000 vans driven by technicians across the USA.
It became evident that a radical effort to better promote the brand was needed. Collis says it was a "necessity" from a personal level.
"People would ask, 'Where do you work?' and I wouldn't want to tell them," he says.
Collis, along with Kenny Kahn, head of products and marketing, went on a crusade, hiring a design firm to overhaul the Muzak brand.
A modern, simple logo an encircled, rounded "M" emerged, gracing updated business cards and vans. Edgy, oversize brochures were developed, featuring large lettering and examples of well-known, modern clients, with the words, "What does your business sound like?"
The company took its efforts to become modern to a new level at its headquarters, a futuristic-style building located just south of North Carolina's border near Charlotte. It built the 120,000-square-foot building four years ago, when the firm moved from Seattle, in part to take advantage of the South's lower operating costs.
"Once you decide to become a modern brand, you have to live that way," says Kahn, 42, a down-to-earth man who has been with the company seven years.
From the parking lot, visitors can immediately hear music. On a recent day, songs from the "New Grooves" program were being played, a combination of upbeat, jazzy music with a touch of Caribbean flair. It's hard not to bob your head a bit to the beat on your way to the door.
Kahn explains that the building was designed with an Italian city in mind. Near the entrance is the "city center," where employees hold spur-of-the-moment meetings and meet clients. Sometimes the entire staff greets potential clients. When the folks from Red Lobster restaurant came, staff members all wore Red Lobster bibs. Bowling lanes were set up for AMF Bowling Worldwide's visit.
Exposed wires snake across high ceilings, and the floor is solid concrete. There are no offices. Even the CEO doesn't have a door to close. Twenty-five conference rooms are sprinkled about, made of varying materials, including bamboo and plastic. Mailroom workers deliver packages riding an orange bicycle.
And although there is an elevator in the building, it does not have a speaker.
Everyone is dressed casually. On a recent hot day, employees were wearing shorts, jeans, T-shirts and flip-flops. There's not a tie in sight. Collis says employees often bring their families from out of town to see their workspace; he considers that a good sign.
As expected, music can be heard throughout the building. It's played fairly loudly loudly enough that a visitor is always somewhat aware of what's playing, but somehow remains undistracted. It's a soundtrack to what seems like a fun place to work.
"There's a feeling here that doesn't exist in a lot of places. I see it. I feel it," says Lon Otremba, Muzak CEO for nine months now. He notes that when Muzak recently held a Saturday job fair to fill about 115 spots, 3,000 people showed up. Employees conducted interviews from 8 a.m. until past 10 p.m.
Otremba, 47, is quick to point out that the company is blessed with a long legacy. In its 69 years, Muzak has established itself in the business world. That's where being a household word pays off.
"We have a legacy on which to build; we don't have to create it," Otremba says. "The intention here is not to put a keg of dynamite under it and blow it up.
Yet Otremba knows firsthand there is a Muzak stigma. Last year, when he was wooed from America Online, where he was the executive vice president of the Interactive Marketing Group, the recruiter initially told him everything about the company except for one minor point: the name. She wanted him to listen without any prejudices about Muzak. It wasn't until he had all the information that she finally told him what the company was.
Otremba laughs at the story now, saying he would have considered the job anyway.
Going forward, Muzak will continue to work to fight the elevator-music label, Otremba says. It's taken years to get this far, he says, and it will take many more years to get where they want.
As part of that effort, last month the company unveiled a new Web site design at www.muzak.com, incorporating music, quickly moving pictures and lots of company information, including its seven-decade history.
Company leaders are setting their sights on expansion both in the USA and abroad, where they have 13 offices in places such as Japan, Canada, Mexico and the Netherlands. While they note that Muzak is by far the leader in its industry, many companies still do not subscribe to any music providers. Muzak doesn't plan to enter the consumer market to compete with firms such as XM Satellite Radio, instead choosing to focus on commercial clients.
The challenge is to convince companies that do not play music that life would be better with Muzak, a challenge Otremba says the company is finally ready to tackle.
"I believe we will rewrite the rules again," Otremba says.
- Arik
Posted by Arik Johnson at September 11, 2004 04:06 PM | TrackBack
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