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MusicTank Newsletter - Nov 07


WITH A LITTLE HELP FROM MY FRIENDS #46

It would be fair to say that the arrival of the internet, and in particular the proliferation of broadband, has presented something of a mixed blessing for the music industry.  While online piracy continues to erode the revenue artists and labels receive through recorded music sales, many agree that this upward surge in connectivity has initiated a larger cultural explosion in terms of how we as fans discover, enjoy and relate to music.  It would seem the industry’s dark clouds have a silver lining: never has the global appetite for music been so great, we just need wise up to the challenges and opportunities of the 21st century musical landscape.

Easier said than done maybe, but there’s already plenty of cause for optimism. The well-documented live sector boom has seen gigs announced in record numbers with bumper attendances, catering to a burgeoning and enthusiastic market keen to grab a piece of the action.  Also, recent Emap research (as stated by Richard Fero at our recent Too Much Choice? think tank) indicates that technological empowerment is actually increasing the number of dedicated music fans and taste-makers, compared to those with lesser, more passive consumptive habits.  For an industry so hooked on unit-shifting, these facts should serve as a timely reminder that music is about much more than little plastic discs.

Many commentators agree that music’s complex appeal lies not just in the listening experience but also the associated lifestyle that the band or artist is seen to represent.  From punks to hippies, ravers to goths, music has provided successive generations with the perfect tool with which to define their identity.

Social networks like MySpace and Facebook have enjoyed a meteoric rise to prominence because they harness the Internet’s potential to propagate just this sort of information with unprecedented speed.  At their very root, such services invite people to define themselves and strike up communicative relationships with other users.  Now the truly old-school concept of ‘word of mouth’ has been expanded, accelerated and rebranded as ‘viral’ propagation for the online sphere, artists and labels alike are understandably keen to capitalise on the huge potential of social networking.

The opening up of the Facebook platform to third-party developers represented a watershed moment, affording skilled developers the opportunity to expand on Facebook’s base functionality and mould the site into a music portal / destination in its own right.  For example, iLike (which ranks as Facebook’s number one music app with 15mn registered users and a daily active user total of 7% FB population) recently took another important step in allowing artists to host their own artist pages.  Users can now be added as artist ‘friends’ merely by featuring one relevant track on their profile, allowing the artist to quickly and easily build a viral fan community while providing the fan with a tangible, friendship-based link direct to the artist.  Members of these communities are then constantly and instantaneously updated with artist news and content, including but not limited to ‘personal’ messages direct from the artist themselves.

While this may not recoup any lost revenue in itself, there is still much to be gained from bringing fans closer to the artists they love. People often talk about ‘adding value’ and ‘improving fan service’ when speculating on how we can possibly realign the music industry for the digital age.  This is exactly what online innovators like Facebook and iLike are doing - forcing a paradigm shift from an older, more passive artist-fan relationship to something much more active and involving.  Participating artists can actively assemble, nurture and communicate with an ever-expanding online fanbase, the composition, activity and promotional work of which the artist can continually monitor.  Whatever the dominant future revenue streams may be, it’s difficult to overstate the potential contributory value of such relationships.

While initially slow to react, traditional media companies are increasingly keen to ally with the prominent social networking sites.  Bebo, which bills itself as the UK’s largest social networking destination, has recently announced a slew of partnerships with content owners (including the BBC, Channel 4, MTV, BSkyB), whereby new programming will be premiered in snippet form on the Bebo portal.  Corresponding moves to bring major label content to social networks will no doubt be facilitated by Google’s new OpenSocial initiative, which raises the possibility of a third party sales / promotions app with true cross-platform compatibility.  It can only be a matter of time before the major labels embark on serious talks with social networking giants regarding widespread use of their precious repertoire. Such moves can only be a good thing, the kind of evolutionary change that fosters business success, while positioning their artists closer to their raison d’etre – the fans themselves.


Editorial by Jon Ramsay & Sam Shemtob

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OUT & ABOUT: MusicTank Events

JOE POX: Guy Hands

MUSICTANK LOUNGE: Right to reply & new event summary

MERRY-GO-ROUND: Announcements

WISE MONKEY: Portable mp3 & mp4 players


OUT & ABOUT: MusicTank Events

Please remember all MusicTank events MUST be booked and paid for in advance!  Become a member of MusicTank and enjoy priviledged discounts on all MusicTank events...

http://www.musictank.co.uk/about/membership-benefits


20 Nov - Distribution: Tools To Turn Creativity Into Income

Push-button publishing and easy web tools that simply take a couple of clicks for even the least technical user to install onto their online place of business are opening up new models for distribution and sales.  Anyone can become an e-bay entrepreneur, and the online auction house and the dozens of alternatives springing up every day have the potential to make it easier for artists to make money. They might also make things more complicated by giving too many choices, with conflicting terms of service and staying up to date with what's on offer adding to your difficulties.

With this in mind we have created a showcase of some of the best choices currently available.  Representatives from the world of music, publishing, images and advertising will demonstrate their wares and advise on alternatives. 

If you come away inspired, it could well be the best £0 you never spent...Yes, this is event is FREE - read on!

SPEAKERS - Les Csonge (Yudu.com); Sam Kleinman (Craze Productions); Kyle MacRae (Scoopt); Stephen Kerin (Miva.com). 

Moderator: Jemima Gibbons (iKnowHow)

DIARY -  Date: Tues, 20 Nov '07;  Venue: The CC Club, Piccadilly, London, W1;  Time: 18.00 - 21.00hrs; 

Price: FREE! - BUT registration is essential!

FULL DETAILS

http://www.musictank.co.uk/events/distribution-tools-to-turn-creativity-into-income


05 Dec - Cheques, Hugs & Rock ‘n’ Roll: The Changing Face of Artist Management

360 deals and self-release strategies open up a world of possibility to artists and managers willing go against the industry norm. MusicTank’s latest think tank will dissect the emerging trends of fragmentation and diversification of label services, to ascertain the best future configurations of management and label teams.

Stick with an established label? Find an investor then pick and choose services? Is there a best release model for the 21st Century and if so, what is it?

SPEAKERS - Keynote:  Tim Clark (IE Music); panel tbc.  Moderator:  Keith Harris (Keith Harris Music Ltd/MusicTank Chairman/PPL Director).

DIARY - Date: Wed 05 Dec '07; Venue: MCPS-PRS Alliance, Berners Street, London; Time: 18.30 - 21.00hrs.

Price: £20 MusicTank Members | £25 Trade Body Discount | £30 Full Price.  Tickets include drinks.

FULL DETAILS

http://www.musictank.co.uk/events/cheques-hugs-rock-2018n2019-roll-the-changing-face-of-artist-management


JOE POX: Guy Hands

Well, well, well - Guy Hands (promoting a thousand lazy 'Hands On' headlines) is really cracking the whip as he takes over the rudder at HMS EMI.  First he called Radiohead's defection to release 'In Rainbows' themselves as a "wake-up call" for the record industry and now he's turning his attention to artists, suggesting they need to sweat a bit more or, like Eric Nicoli, they'll be forced to walk the plank.

Good on him. Anyone who has ever met a musician will know they are, for the most part, lazy sods.  They lie in bed until 4pm and then get up and watch telly and then maybe "work on the middle-eight of that song" before going down the pub.  For a week.  Labels have genuflected for too long in front of the Altar Of Artists and let them get away with murder, confusing their indolence with "idiosyncratic creativity". Maybe they should set them performance-related targets such as write an album in three months with five hit singles on it.  This was, after all, the norm in the Sixties when acts had a serious work ethic as they didn't know how long their career would last.  Today, cushioned by big advances and a flint-eyed career-mindedness, acts are getting fat without breaking their backs too often.  The Victorians would have sent them up the chimneys; now all they have to do is sleepwalk through a £250,000 video and check into rehab if they have to play more than three gigs in a row. 

But, as labels now look to take on the 360 degree model, there's a worrying subtext to Hands' call to action. He wants them sweating round the clock and have them mine every revenue stream going until it runs dry.  The sweatshop approach will certainly up productivity, but it will also see an exponential decline in quality (where the bland replaces the genius).  It might boost the bottom line and justify Guy Hands' salary, but it is something that no real fan wants.  So, Guy, crack the whip by all means - just don't draw any blood.


MUSICTANK LOUNGE: Right to reply & new event summary

Right To Reply

With our newsletter editorials regularly stimulating further comment, we thought we should share this with all readers on a regular basis.  Last month’s P2P Busters edition (Oct 11th) was no exception – see below for responses received and links to 3rd party postings.

ANTHONY HALL (Pure Mint Recordings) on Radiohead's free digital download album, 'In Rainbows' ...

“I, like you, am intrigued by the possibilities if more and more artists release records following the Radiohead model, though I am very surprised that not one journalist (at the BBC, at MusicTank, or at any of the music press) has commented on the fact that Radiohead have bypassed the minimum royalties set out in the MCPS JOL (by filing a form 7F with MCPS)...(yet) still collecting mechanicals on the box set - which seems a little hypocritical.”

“If the 'brilliant model is followed' and all 'big' artists were to do the same - and if the world moves to a predominantly 'digital marketplace' - then could this potentially signal the end of the MCPS?  and, if so,  then how does the little guy get protected or paid? In fact, under such a model would there be any more need for any collective licensing? The MCPS relies on collecting on the 'big acts' to pay its overhead to collect on 'all acts' - big or small...” More...

http://www.musictank.co.uk/comments


And while he agreed with many points in the editorial, we received this from Matt Phillips, BPI...

"I don't understand the "suing customers" line. A one-time shopper turned shoplifter does not a customer make.  People are not sued for being customers.  When you start giving music away to millions of other people, whether you bought it or not in the first place is irrelevant.  More...

http://www.musictank.co.uk/comments

We were pleased to see the editorial being Dugg by the blogging community, too...

“A concise and coherent article on the impression given by the RIAA's fine to Jammie Thomas…A 5-minute read that shows larger news gatherers (take note BBC) how to write something that gives sufficient depth while avoiding getting too technical.”  More...

http://digg.com/tech_news/Balanced_discussion_of_music_p2p_the_RIAA_Jammie_Thomas_and_more


...even if in less than favourable terms...

ANDREW DUBBER (New Music strategies) : 'Music Tank (sic) So Standup Comedy'

“It’s often scary when an industry education-focused organisation starts to simply spout the corporate PR. But it can be funny too.” More..

http://newmusicstrategies.com/2007/10/12/music-tank-do-standup-comedy/

Meanwhile, Andrew has had the good grace to since apologise for his somewhat over-zealous reaction, in his blog coverage of the recent CIDA/MusicTank event, Building A Business On Free, and add some interesting insight into the concept of ‘free’.  More...

http://newmusicstrategies.com/2007/11/06/building-a-business-on-free/


And finally, whilst in blog-mode, those not able to attend Building A Business On Free have a chance to read keynote speaker Guy Parsons’ blog on this panel discussion – (his illustrated presentation is also archived here): More...

http://www.vexappeal.com/2007/11/building-business-on-free-presentation.html




As ever we are always pleased to receive your e-mails and invite contributions for future publication.  Please send them to editor(A)musictank.co.uk and be clear to mark ‘Not For Publication’ if you do not wish it to be published.




New Member Content - Event Summary

The summary for our last think Tank, Music's New Conundrum:  Too Much Choice? is now online and available to all MusicTank members and the event audio will follow shortly.  Members must login to the MusicTank website in order to access this.

TOM ROBINSON..."Too much choice?  For who?  I assume we’re talking about ‘the majority of the record buying public’ – but who are they?  Industry has a history of patronising consumers – pigeon-holing into demographics like ‘sun readers’, ‘mums & dads’ etc.  The implication here is that people are too stupid to know what they actually LIKE... the level of choice we have across the board as consumers is incredible – and no-one seems to have a problem with the level of choice we have in groceries at Tesco.  Why should music be any different?"


RICHARD FERO..."We spend a lot of our time listening to the consumer – no-one has ever claimed there’s too much choice, just that they might need a bit of help.  They embrace choice and are just looking for a bit of direction - trusted places, word of mouth – passionate muso mates who make recommendations.  Consumers broadly see the current situation as positive."


CHARLIE RAPINO..."There's too much stuff out there – choice is hard because so much stuff is mediocre these days. Consumerism breeds homogeneity – it makes everyone equal.  There seems to be too much focus on delivery methods etc these days, not the product itself.  We’re focused on working to deadlines rather than quality."



MERRY-GO-ROUND: Announcements

New Business Showcase At Midem

Our friends at MusicAlly have hit on something hot for Midem '08 - it's good to see a positive and enlightened addition to the events agenda.

Partnering with MidemNet Forum, (a two-day conference exploring how digital is driving the music business forward), they will be showcasing forward-thinking new businesses, Cannes, 26-27 January '08.

With entries actively encouraged from new businesses, the showcase will highlight the most enterprising, innovative and inspiring business ideas to help to create value and move the music industry forwards in the 21st century. The six most inspiring business ideas will be invited to present at the MidemNet Forum where they will be voted on by attending delegates.

Entry forms can be found at http://www.musically.com/newbusiness


Merlin Launch Website

Merlin (the world’s first global rights body for independents) have formally launched their brand new website.  Already available in English, French and Spanish with German and Portuguese versions in the pipeline, the website will provide a new focus for the global independent community, and underlines Merlin’s commitment to ensuring more equitable treatment for indies the world over.

http://www.merlinnetwork.org


WISE MONKEY: Portable mp3 & mp4 players

Portable Music Players

The Consumers' Association Which? magazine recently published results of their latest tests of 23 of the newest portable players. With the price of technology falling, many players are now mp4 as standard i.e can be used for video and photos as well as music.  As a result, for the first time, there were more new mp4 players to test than there were mp3 ones.  It should be pointed out that the review was deiberately looking at products to rival Apple's dominance in this market, hence their absence from this list.

Test scores are based on the following criteria and ignore price -
Covenience 30%; Sound Quality 30%; Battery 15%; Features 10%; Use on the move 10%; Durability 5%

Their website reviews more than 100 models, meanwhile here's a list of the ones they rate as best buys. 

BEST mp3 PLAYER

1  69% - Samsung YP-U3

BEST mp4 PLAYERS

1  72% - Samsung YP-T9
2  69% - Cowoon D2
3  67% - Cowoon iAudio7
4  67% - Sony NW-A805/806/808
5  65% - iRiver Clix 2
6  64% - Phillips SA5115/SA5125

http://www.which.co.uk/mp3players


Source: Which?, Nov '07


That's all for this issue - Till next time...

If you have any queries regarding any of our events or activities, please call Jonathan on 020 7915 5412, or e-mail: info@musictank.co.uk

The views and opinions expressed are those of the author and are not necessarily condoned or shared by MusicTank. MusicTank is a non-profit organisation owned and operated by University of Westminster. University of Westminster is a charity and a company limited by guarantee. Reg Number: 977818, England. Registered Office: 309 Regent Street, London, W1. MusicTank is based at University of Westminster, Fifth Floor, Copland Building, 115 New Cavendish Street, London, W1W 6UW.