Leaders Digest examines the views and decisions of executives and industry leaders through reporting, interviews, and opinion-led analysis.
“The future of African music is not merely in its cultural reach but in its sustainable economic foundation.” For Abuchi Peter Ugwu, Group CEO of Chocolate City, that principle defines the moment the industry is in.
Africa’s creative excellence is no longer in question; the real challenge is converting it into lasting financial value for creators through stronger systems, protected intellectual property, and long-term thinking.
The Future Of African Music Is Not Merely In Its Cultural Reach But In Its Sustainable Economic Foundation
Peter Abuchi Ugwu
Abuchi’s perspective is grounded in experience. He began behind the mixing console in 2008, learning the craft of sound engineering before moving into artist management, business development, and operations.
That journey from studio to boardroom shaped a leader who understands both the art and the economics of music and why sustainable structures matter more than short-term hype.
Under his leadership, Chocolate City has evolved beyond a traditional label into a multi-arm music group built around ownership, publishing, licensing, and diversified revenue. The focus is clear: build assets, not just hits.
Chocolate City Has Evolved From A Nigerian Label Into A Broader African Music Institution. How Do You Personally Define The Label’s Mission Today Compared To When It Started?
When Chocolate City was founded, our mission was focused and local: create a home for emerging Nigerian urban talent, build a roster of artists who could tell Nigerian stories authentically, and professionalise our corner of the music business. Over time, that mission has broadened without losing its original soul.
Today I define Chocolate City’s mission as threefold:
(1) to build and protect artist value, not just by breaking hits, but by structuring ownership, publishing, and partnerships so artists and the company both create long-term value; (2) to scale African creativity, to turn culturally specific Nigerian and African stories into products and intellectual property that travel across continents; and (3) to build infrastructure, education, live platforms, distribution and licensing mechanisms that make the ecosystem sustainable for the next generation.
In practice, that means we still sign and develop artists, but we also invest in brand partnerships, licensing, live production, distribution and institutional relationships so the label acts as a creative-industrial hub rather than only a singles machine.
We have grown from promoter/label to a 360 creative company with multiple operating arms, and that shift is mission-driven: move from launching artists to building a music economy that artists can live off of for decades.
As A CEO In Africa’s Fast-Changing Music Economy, What Leadership Decisions Have Had The Biggest Long-Term Impact On The Label’s Survival And Relevance?
The decisions that have the longest runway are rarely the most glamorous. First, we decided to diversify revenue lines early: licensing, brand partnerships, event production and distribution, so the company isn’t hostage to cyclical record sales. Second, we made strategic partnerships with global infrastructure players to amplify distribution and services while retaining creative leadership.
That kind of partnership increases reach without losing identity. Third, investing in internal capability, legal, data, sync/licensing teams, meant we could negotiate better deals for artists and the company.
Fourth, we committed to artist development as a long-term play instead of purely chasing virality; that requires patience, editorial rigour, and financial discipline.
Finally, building relationships with government and institutional partners to help create live infrastructure and regulatory clarity has been decisive.
All of these choices prioritised resilience and value creation over short-term hype, and they’ve kept Chocolate City relevant as the industry evolved.
African Labels Often Struggle With Sustainable Monetisation Beyond Hit Records. What Parts Of Chocolate City’s Business Actually Make Money Consistently Today?
Sustainable revenue comes from repeating, scalable activities. For us, that includes: licensing and sync (placing music in ads, films, TV and games), brand partnerships (long-term ambassadorships rather than one-off activations), music publishing administration and neighboring rights collection, live event production and touring (when done profitably), and distribution/artist services for third parties.
We also generate recurring earnings via catalogs older records that continue to stream and place and from creative agency work through our group companies that provide services to corporates.
The label’s website and corporate materials highlight our licensing and brand partnership services as part of the offering, and that’s not accidental: beyond the hit single, those lines pay bills consistently when built with process and legal clarity.
The key is turning creative output into licensable, trackable assets and then packaging those for brands, platforms and global partners.
How Do You Balance Artist Development Which Is Expensive And Long-Term With The Pressure For Short-Term Commercial Success?
Balancing long-term development with short-term pressures is a constant leadership negotiation. Practically, we segment investment into tiers: some artist projects are development-first (longer runway, smaller initial commercial expectations), while others are release-driven with clear ROI targets.
For the development cohort, we set clear milestones, brand-building metrics, audience growth targets, and catalogue milestones, so development isn’t endless spending but disciplined investment with KPIs. For commercially oriented projects we lean on larger marketing budgets and collaborations that increase the chance of near-term impact.
We also use revenue from licensing and brand work to underwrite development budgets, so short-term cash flows fund long-term bets. Transparency with artists is critical: they must understand the plan, trade-offs, and timeline. Finally, we leverage partnerships, co-funding with brands, distributors, or publishers, to share risk.
Development and commercial success shouldn’t be antagonistic; good development makes commercial success repeatable.
Do You Believe African Labels Should Prioritize Ownership (Masters, Publishing) Over Rapid Global Expansion, Or Is Scale Now Unavoidable?
Ownership should be the default ambition. Without control of masters and publishing, the upside from global expansion is diluted for the artist and the label.
That said, scale matters, you can’t monetize what no one hears. My view: build for ownership and scale, but sequence intelligently. Prioritize structures that protect artist IP (clear contracts, favorable splits, publishing registrations), and use partnerships to scale distribution and exposure without surrendering core rights.
Strategic licensing deals and joint ventures can extend reach while retaining ownership; avoid blanket sell-offs just for reach. Ultimately, a label that owns high-quality African IP is better positioned to scale profitably; scale without ownership often yields growth but little long-term wealth for creators.
Chocolate City Is Known For Nurturing Artists With Strong Identities. What Qualities Do You Look For In Artists Beyond Talent And Social Media Numbers?
Beyond raw talent and follower counts I look for: distinctiveness of voice (do they bring a perspective or sonic identity that’s recognizably theirs?), work ethic and humility (the creative life requires discipline and collaboration), cultural rootedness (artists who know their context make work that travels), storytelling skill (can they articulate why they exist as an artist?), and business awareness (willingness to learn about rights, timelines and partnership obligations).
Emotional intelligence matters: artists who can handle feedback and pressure sustain careers. Also, longevity is not just about the music, it’s about adaptability: can they evolve without losing core identity?
A great artist is an entrepreneur of their own story; technical skill matters, but curiosity, resilience and a point of view are what make careers.
At What Point Does An Artist “Outgrow” A Label, And How Do You Manage That Transition Without Conflict?
An artist outgrows a label when their commercial needs, strategic vision, or market scale exceed what the label can realistically offer under the existing deal.
Outgrowing can show in touring capacity, global marketing needs, desire for different ownership terms, or the need for bespoke infrastructure the label can’t provide.
Managing the transition cleanly requires foresight: include clear exit or upgrade clauses in contracts, maintain open communication, and treat growth as a shared success rather than a zero-sum fight.
When an artist’s ambitions require different partners, we negotiate transfers, licensing arrangements, or co-investment models that reward both sides.
The aim is to avoid cliff-edge conflicts; a reputation for professionalism and fair economics preserves relationships and sometimes creates future collaborations. Keeping the artist’s interest central reduces adversarial outcomes.
How Do You Protect Artists From Burnout In An Era Where Consistency And Visibility Are Demanded Nonstop?
Protecting artists begins with culture and processes. We insist on sustainable touring schedules and set reasonable content cadences. Constant posting doesn’t always mean better connection.
We encourage rest clauses in contracts and onboard mental health and wellbeing partners where possible. Creative planning is also about batching: produce quality content in focused blocks rather than a perpetual scramble.
Managers and the label should act as gatekeepers; that means protecting artists from everything that doesn’t move their career forward. Training artists in time management, media skills, and public-facing strategy reduces ad-hoc stress.
Finally, we measure creative output with health metrics, not just streams. If an artist is burning out, short-term pause plus strategic reinvestment often preserves long-term value. Sustainable careers beat fleeting visibility.
How Much Does Data Actually Influence Your Decisions, Signings, Marketing Spend, Release Timing Versus Instinct And Experience?
Data is now indispensable, but it’s a complement to not a replacement for instinct. We use streaming analytics, playlist performance, geographic listening patterns and social sentiment to validate hypotheses: where an artist is gaining traction, which songs resonate, and which markets to prioritize.
Data helps optimize marketing spend and release timing (e.g., playlist windows, local market seasons). However, signings still require human judgement on creativity, chemistry, and long-term potential.
Experience tells you which data signals are noise versus signal; for example, a viral moment may not translate into a sustainable audience. So we blend: use data to de-risk and refine, but rely on editorial instincts and relationships to make final strategic decisions.
Do You Think African Labels Are Fully Leveraging Streaming Analytics, Or Are We Still Behind Global Best Practices?
We’ve made meaningful progress, but we still lag the most advanced markets in integration depth. Some African labels have become sophisticated users of platform dashboards and third-party analytics, but many independent artists and smaller labels lack the tools, training and data culture to convert analytics into strategic action.
There’s a gap in infrastructure; standardized publishing registrations, centralized rights data, and pan-African reporting that reduces the effectiveness of analytics.
The labels that win will be those that institutionalize data capability: hire analysts, build dashboards that marry consumption with revenue, and create workflows that translate insights into promotion, touring decisions and sync outreach. So we are not fully there yet, but closing fast.
What Gaps In African Music Data Frustrate You The Most As An Executive?
The largest frustrations are fragmentation and opacity. Rights and ownership data are scattered. publishing splits, neighbor rights, and usage reports are not standardized across territories.
Another gap is reliable consumption data for informal economies and local radio/terrestrial consumption in smaller markets: that listening matters culturally but is hard to monetize.
Cross-border reporting is often delayed or inconsistent, and the lack of reliable metadata on recordings makes discovery and sync harder.
Finally, we lack unified pan-African royalty collection and transparent reporting, which increases leakage and reduces trust. Fixing these gaps requires coordination between labels, collecting societies, platforms and governments.
What Is The Biggest Misconception Global Partners Have About African Music Businesses?
Global partners sometimes assume African music businesses are casual, informal, or low on professional structures, that we’re just “culture” and not businesses with contracts, teams, and strategy.
That misconception underestimates our sophistication: many African labels run legal teams, data functions, and long-term IP strategies. Another misconception is that the African market is monolithic; it’s actually highly diverse with many distinct language and cultural markets.
Finally, some international partners think success must look Western to be “global” , but local authenticity is often the source of global appeal. Educating partners about this complexity and rigor is part of our job.
When Expanding Internationally, What Should African Labels Control Tightly, And What Should They Be Willing To Give Up?
Control tightly: ownership of core IP (masters and publishing where possible), artist brand integrity, A&R direction for the catalogue, and final approvals on strategic uses of the music.
These are the assets that generate long-term value. Be willing to give up or share: some distribution and marketing execution (especially in unfamiliar territories), local partners often have better market intelligence, and operational responsibilities like local touring logistics or localized PR.
Joint ventures that align incentives can work: you retain ownership but allow partners to scale the product. The balance is protecting long-term economic rights while outsourcing or partnering on market-specific execution.
Is Africa Building Its Own Global Music System, Or Are We Still Plugging Into Western Infrastructure?
We’re in hybrid mode. Historically, African music plugged into Western infrastructure for distribution, publishing and global reach. Now you see a maturing ecosystem: local DSP deals, homegrown collecting societies, regionally focused analytics startups, and growing in-house music tech.
At the same time, partnerships with Western players remain vital for certain services and global placement. The healthiest trajectory is an independent African system that interoperates with global infrastructure, we should be less dependent and more self-determining, while still engaging in mutually beneficial partnerships when they advance artist value.
What Structural Problem In Africa’s Music Industry Worries You The Most But Doesn’t Get Enough Attention?
The weakest structural link is royalty collection and rights enforcement. Collecting societies in many markets are under-resourced, fragmented, or lack modern systems, which means creators don’t get timely, accurate payments.
That leakage reduces reinvestment in talent and makes career-building precarious. Another under-acknowledged issue is live infrastructure outside a few major cities: inconsistent, poorly equipped venues undermine touring viability and limit artist income.
Both problems are solvable, but they require coordination between private industry, governments and international partners, and more urgency than I often see.
If You Could Change One Policy, Institution, Or Industry Behavior Overnight, What Would It Be And Why?
I would modernize and consolidate rights collection, a transparent, tech-enabled, pan-national framework for registration and payment. Imagine a harmonized system where publishing splits, neighboring rights, and usage reports are machine-readable and settlements happen quickly and fairly.
This single change would increase creator income, reduce leakage, improve investor confidence, and unlock capital for development. It would also make African repertoires more attractive to global licensers because the risk of unclear rights would fall.
The technology exists; the political will and coordination are the barriers. Change that and you accelerate the whole ecosystem.
What Will Successful African Record Labels Look Like In The Next 5–10 Years, Smaller And Smarter, Or Bigger And More Corporate?
The future music label ecosystem will be dual-structured: on one side, agile, specialized independent labels will focus on cultivating culture and engaging niche audiences; on the other, larger, more corporate entities will manage extensive intellectual property portfolios, infrastructure, and rights globally.
Success will not follow a single model, but rather be determined by results: either through being asset-light and rich in data, or by possessing deep catalogs and exploiting them across synchronization, film, and immersive experiences.
The most effective organizations will adopt a modular structure, using small teams for creative endeavors and vast networks for distribution and rights administration. The measure of scalability will shift from headcount to the inherent value of the catalogue.
What Advice Would You Give To New African Music Entrepreneurs Building Platforms, Labels, Or Data Companies Today?
To succeed in the music business, prioritize solving concrete, revenue-driving problems for creators and rights-holders, such as improving metadata, ensuring reliable payments, developing intelligent playlist strategies, or offering transparent licensing.
How Do You Personally Measure Success Now As A CEO And As A Contributor To African Culture?
As CEO, I measure success in three dimensions: financial health (diversified, predictable revenue streams), artist outcomes (do our artists build sustainable careers, meaningful ownership and global footprints?), and institutional impact (are we building systems that outlast any single hit?).
As a cultural contributor, success looks like influence: have we helped create platforms, conversations and infrastructure that allow African stories to be told and monetized on their own terms? Tangible examples include sustained careers we helped build, partnerships that institutionalize support for creators, and programs that teach the next generation.
Personal satisfaction comes from seeing artists thrive financially and creatively because of the structures we built.
(For context: I was appointed CEO of Chocolate City Music in 2021 and have since focused the company on value-creation and institutional growth; that appointment and direction shape how I measure outcomes.)
Are There Any Final Thoughts Or A Key Message You’d Like To Leave For Our Readers?
The future of African music is not merely in its cultural reach but in its sustainable economic foundation. Our collective responsibility as labels, platforms, and policymakers, is to transform this cultural excellence into lasting financial value for creators.
This requires a shift from isolated efforts to building robust systems, prioritizing the protection of intellectual property rights over transient achievements, and committing to a long-term vision.
This is the only path to building an enduring industry. We are currently at a pivotal moment. While Africa is rich in talent and culture, it suffers from a scarcity of reliable systems that can ensure equitable compensation.
By strategically investing in rights management, data infrastructure, and foundational systems today, we can secure a decade where African creators and entrepreneurs are the primary beneficiaries of the continent’s musical boom.
