Americans spend billions of dollars
every year on music. The music industry includes hundreds of genres ranging
from rock, with popular artists like Bruce Springstein or The Black Keys, to
rap, with artists like Nicki Minaj and Drake. According to Billboard charts all of the artists mentioned previously have albums out that are
chart-toppers for their respective genre. The industry is defined by trends in
consumer buying, concert ticket sales, changes in radio station ownership
and/or sound, and most recently by the expansion of music accessed over the Internet.
According to a blog, from Heavybagmedia.com, which discusses the impact that technology has on music, 30%
of all recorded music sales is now in a digital format. The article goes on to
say that the Itunes store has now become the largest music retailer in the
United States. With an industry that is moving more and more into the digital
realm, many artists have begun to follow these trends. Performing artists such
as Radiohead and Nine Inch Nails have spearheaded the move towards encouraging
music in digital form. According to Another Blog that discusses Radiohead’s new
internet-downloading based strategies to increase profits, the UK rock band
sold 1.2 million copies of their album titled In Rainbows, online. The band
sold the album independently through their website, and listeners who
downloaded the album were able to donate money to the band. In short, Radio
head made more money selling their songs while taking donations then they would
if they had released the album through a label. According to an article on
Wired.com Nine Inch Nails followed a similar model and released an album that can be
partially downloaded for free, while the rest of the album is available for
download on Amazon.com for $5.
Many artists on the other hand are upset over the profit
losses they have experienced since the spread of music over the Internet. Music
sharing is a controversial issue that bands like Metallica have publicly fought
through lawsuits, and legal battles. Wired also discusses the bands battle
against piracy and their lawsuit against Napster, a music sharing website that
was shut down in 2001 after the suit.
The Internet also brought a
marketing and publicity change for the industry as a whole. Many of today’s
leading artists in all genres now branch out to their fans through social
networking sights such as Facebook, Twitter, and their music is available
through smart phone applications such as Pandora, and Slacker. Slacker,
according to MacWorld is a competitor to Pandora. The program allows users to listen to music for
free. Random stations are created based on user music preferences. The company released it’s first mobile
app for smart phones in 2004 and has gained licensing agreements with EMI,
Sony, Universal, and other leading companies in the music industry. Social
networking sites mentioned previously now allow users to become friends, Tweet,
and even Poke #Users or their favorite rock band or rap artist. I am personally
friends with many celebrities on multiple social networking sites, as are most
other 23 year olds currently. Bands now have discussions with their fans
online, and even encourage fan interaction digitally through interactive
contests.
Business Insider says the industry has lost more money than most people realize. The Article claims
that in 2011, Americans spent 3 times less on recorded music products then they
did ten years before. They suggest that the only future for music will be found
online and through Internet radio. This is why the bands have begun to move to
digital strategies that encompass a broad and diverse use of social networking
sites, and the Internet.
Since the music industry has
already began to change, it is my opinion that artists, producers, and all
music industry players should follow the old rule, If you can’t beat ‘em, join
‘em. You can only resist and fight the spread of music on the Internet for so
long. People have found a fast and easy way to download music, legally and
illegally, on the Internet. While Internet sharing, copyright, and piracy laws
are still being established, it is important to try and encourage the use of
the Internet to spread your music, and connect with your fan base. It has been
successful for many popular artists in many genres and if they accept the
change and embrace it using strategy, there is money to be made in the new
digital industry of music.heavybagmedia.com
I will leave you with the following video explains the point of view of an industry expert, former Sony Music Entertainment CEO Tommy Mottola, on the internet's takeover in the industry.
Until next time, see ya online.
