Who Owns Kidz Bop? The Surprising Truth Behind The Music Empire

Kidz Bop stands as a remarkable music empire with over 23 million albums sold over the last several years and billions of streaming plays online. Craig Balsam and Cliff Chenfeld established the company to produce child-friendly versions of popular music. The brand's ownership changed hands when Concord Music Group purchased Razor & Tie, Kidz Bop's parent company, in 2018.

Who created Kidz Bop and why it started

Kidz Bop started when two music industry veterans saw something missing in children's entertainment. Cliff Chenfeld and Craig Balsam, co-founders of independent record label Razor & Tie, created Kidz Bop in 2001. They had three children each, which helped them spot a clear gap in the market.

The gap in kid-friendly pop music

Chenfeld and Balsam noticed something at their children's birthday parties. There wasn't any suitable music for school-aged kids. The music industry had split content into two boxes: preschooler songs (like "Wheels on the Bus") and adult pop music that kids shouldn't hear.

"We saw that there was a gap between music for tiny kids — Barney and all that — and pop music that wasn't safe for 4-to-12-year-old kids," Chenfeld explained in an interview. Vic Zaraya, Razor & Tie's COO, put it simply: "At the time it was Barney and Britney. There was nothing in between".

This empty space between kid and adult music was a perfect chance. Parents couldn't find songs that weren't too babyish for elementary school kids but stayed clear of explicit themes in mainstream pop. One music professional noted, "There's more of a need now... because as time has gone on, language has gotten more sexual, it's gotten more vulgar, it's gotten more offensive".

How Razor & Tie launched the first album

After spotting this gap, Chenfeld and Balsam used their experience at Razor & Tie (11 years old at the time) to create a solution. They came up with a simple idea: make family-friendly versions of current pop hits by changing questionable lyrics and let children sing them.

The first Kidz Bop album came out on October 9, 2001. They released it as a two-CD set with covers of late '90s and early 2000s hits. The album was ready in late 2000 (as shown by copyright notices), but its official launch happened in 2001.

Their marketing plan worked really well. Razor & Tie promoted the album through:

• Direct response TV commercials

• Deals with Target and Walmart

• Smart distribution channels

The numbers proved their success. The first album sold about 800,000 units without being in regular stores.

This made Kidz Bop a real hit, and their first five albums earned gold certification.

"They came up with the concept of taking pop music and having kids record it... and it worked," says current Kidz Bop president Sasha Junk.

This simple idea worked better than anyone expected, making Kidz Bop one of the most successful children's music brands ever.

Who owns Kidz Bop today

The kid-friendly music empire's ownership structure has changed by a lot since its early days. Concord Music Group now leads KIDZ BOP Enterprises LLC as the parent company, which marks a fundamental change from its beginnings.

Concord Music Group and its acquisition of Razor & Tie

Concord's path to KIDZ BOP ownership started in October 2015 with a stake in Razor & Tie. Both companies created "Razor & Tie Enterprises LLC" as a joint venture. Reports indicate Concord received about 50% of the independent rock label, though exact details stayed private.

The final step happened on January 17, 2018, when Concord bought all remaining equity in Razor & Tie. This complete acquisition gave Concord full control of the KIDZ BOP brand. Razor & Tie's cofounders Cliff Chenfeld and Craig Balsam stayed until mid-2018 before leaving the company.

The role of Michigan Office of Retirement Services

State of Michigan Retirement Systems owns most of KIDZ BOP, which might surprise many. This government pension fund has put over $1 billion into Concord, making it the company's biggest financial supporter.

Michigan works with Barings Alternative Investments to handle this investment, and their representatives sit on Concord's board. Robert Kleine, Michigan's former Treasurer, believes broadening investments into music copyrights helps protect pension funds.

How ownership has changed over time

KIDZ BOP's ownership experience shows the music industry's evolution. Balsam and Chenfeld ran Razor & Tie independently for 25 years after starting it in 1990, until Concord bought part of the company.

KIDZ BOP kept its winning formula under Concord's guidance. The Michigan-backed company expanded KIDZ BOP worldwide and broadened its products.

Concord saw leadership changes too, as Bob Valentine took over from Scott Pascucci as CEO in July 2023.

Sasha Junk leads as president now, managing 70 full-time employees and freelancers who create popular cover albums. KIDZ BOP will release its 50th studio album in 2025, while staying firmly under Concord's leadership.

Who runs Kidz Bop and how it operates

A dedicated leadership team runs the day-to-day operations and global expansion of Kidz Bop, the kid-friendly music powerhouse.

Sasha Junk's role as President

Sasha Junk took over as Kidz Bop's President in April 2020, after Victor Zaraya moved to Concord as Chief Revenue Officer. She earned this promotion following her ten-year stint as Senior VP of Marketing. Her 13-year journey with the company has seen the brand's progress from physical CDs to streaming dominance.

Kidz Bop has managed to keep its title as Billboard Magazine's "#1 Kids' Artist" for eleven straight years (2010-2019) under Junk's leadership. She plays a vital role in the brand's global reach by overseeing operations in five different languages. The brand's growth includes major collaborations with Hard Rock Resorts, Mattel, Subway, and Dollar Car Rental, which Junk helped establish.

How the team manages education and touring

Kidz Bop performers follow a well-laid-out educational program along with their entertainment duties. "The kids have a team of teachers who are with them for all parts of the process: recording, touring, music video shoots, etc.," explains Junk.

Performers switch to online schooling with personalized teacher guidance after joining the group. Junk points out, "I'd like to think that they get a really great education". Each day starts with classes, and the performers must keep good grades to stay in the group.

The touring division, which Junk started about eight years ago, works closely with Live Nation. Their shows now attract more than 250,000 fans yearly across 50+ cities. Tours took a break during 2020-2021 due to health concerns but came back with the Never Stop Live Tour in 2023.

Partnerships with Live Nation and brands

The collaboration with Live Nation is the life-blood of Kidz Bop's business model. They strengthened this relationship with a new three-year North American tour deal. Junk emphasizes, "Live Nation has been an exceptional partner, helping us build KIDZ BOP into the touring juggernaut it has become".

Chuck E. Cheese became Kidz Bop's official music partner in 2023, marking their third year working together. The brand made its way to Roblox through Gamefam and works with Red Light Management for its touring business.

The brand's reach extends through partnerships with Legoland Florida (2016), Spin Master's Unicorn Academy, and several media companies for international growth. These strategic collaborations help Kidz Bop connect with new audiences while staying the #1 music brand for kids.

How ownership influences Kidz Bop’s direction

Concord Music Group's purchase of Kidz Bop has changed the brand's direction completely. The company, backed by Michigan's pension fund, brings financial stability and growth-focused leadership. Their business model now goes way beyond the reach and influence of just recording kid-friendly pop covers.

Creative control and licensing

Kidz Bop keeps strict creative control of its content under Concord's leadership. The company follows a careful process to pick songs. They focus on Billboard Hot 100 hits that work well for young listeners. Each song's lyrics get a thorough review to remove any mention of alcohol, drugs, violence, and sexual content.

Being owned by a major music group helps secure licensing deals since Concord already works with big publishers and labels. The brand gets rights to about 100 songs each year from stars like Taylor Swift, Harry Styles, and Olivia Rodrigo.

Revenue streams beyond music

Kidz Bop has grown its revenue sources beyond album sales with Concord's guidance. The brand now makes money through several channels:

• Live performances – Tours reach more than 250,000 fans yearly

• Merchandise – Clothing, accessories, and branded products

• Digital content – YouTube channels with millions of subscribers

• Streaming platforms – Billions of streams across Spotify, Apple Music, and others

• Brand partnerships – Working with family-friendly companies

This diverse approach shows a smart business strategy that maximizes commercial success while staying true to family-friendly values.

Global expansion and localization

Concord's ownership has sped up Kidz Bop's growth worldwide. The brand now runs in the UK, Germany, France, Australia, and Mexico. Each market gets its own custom content. Local teams choose popular songs from their regions while keeping Kidz Bop's core style.

Every international version features child performers from that country who sing in their local language and accent. This local approach works well. It creates small franchises that appeal to specific cultural priorities while keeping the brand consistent.

Michigan pension fund's financial support through Concord lets Kidz Bop focus on long-term growth instead of quarterly profits. This approach helps build a lasting children's entertainment empire.

Conclusion

Kidz Bop represents a soaring win in children's entertainment. The brand identified a significant market gap and transformed into a global music phenomenon. The strategic collaborations with Concord and Michigan's pension fund have propelled international development while staying true to its family-friendly mission.

This unique ownership structure positions Kidz Bop perfectly to entertain young music fans worldwide in the coming decades.

FAQs

Q1. Who currently owns Kidz Bop?

Kidz Bop is currently owned by Concord Music Group, which acquired Razor & Tie, the original creators of Kidz Bop, in 2018. The majority owner behind Concord is actually the State of Michigan Retirement Systems.

Q2. Who is the president of Kidz Bop?

Sasha Junk serves as the president of Kidz Bop. She has been with the company for over a decade and was promoted to this role in April 2020. Under her leadership, Kidz Bop has maintained its position as a top kids' music brand and expanded internationally.

Q3. How does Kidz Bop select and modify songs for their albums?

Kidz Bop carefully selects songs from the Billboard Hot 100 hits that can be appropriately modified for young listeners. They review each song's lyrics, removing references to alcohol, drugs, violence, and sexual content to ensure the music is family-friendly.

Q4. How do Kidz Bop performers balance their education and entertainment responsibilities?

Kidz Bop performers follow a structured educational program alongside their entertainment duties. They transition to online schooling with one-on-one teacher guidance. Their typical day begins with classes, and maintaining good grades is mandatory to remain in the group.

Q5. How has Kidz Bop expanded beyond music albums?

Kidz Bop has diversified its business model beyond album sales. The brand now generates income through live performances, merchandise sales, digital content on platforms like YouTube, streaming on services like Spotify and Apple Music, and partnerships with family-friendly companies.