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Experimenting with
Business Models in the
 Music Industry (part II)
            Alexander Osterwalder
              AlexOs...
the following slides are a very brief
excerpt of a 60 minute keynote I gave at
 Eurosonic Noorderslag, Europeʼs most
impor...
todayʼs music industry is ...
a business model playground ..
a business model playground ..
limitations of the old record company ...
The Old Record Label Model
      KEY                 KEY                        OFFER                 CUSTOMER            ...
The Old Record Label Model
      KEY                   KEY                        OFFER                 CUSTOMER          ...
two
new

models
example
Business Model
   KEY             KEY             OFFER              CUSTOMER              CUSTOMER
PARTNERS         ACTIV...
Business Model
   KEY             KEY             OFFER              CUSTOMER              CUSTOMER
PARTNERS         ACTIV...
Business Model
   KEY                KEY             OFFER              CUSTOMER              CUSTOMER
PARTNERS           ...
Business Model
   KEY                      KEY                    OFFER              CUSTOMER              CUSTOMER
PARTNE...
Business Model
   KEY                      KEY                     OFFER             CUSTOMER              CUSTOMER
PARTNE...
Business Model
   KEY                      KEY                      OFFER             CUSTOMER                CUSTOMER
PAR...
Business Model
   KEY                      KEY                     OFFER               CUSTOMER                CUSTOMER
PA...
Business Model
   KEY                      KEY                     OFFER               CUSTOMER               CUSTOMER
PAR...
Business Model
   KEY                      KEY                      OFFER               CUSTOMER                CUSTOMER
P...
we need to constantly rethink our
models - systematically ...
BusinessModelGeneration.com
THANK YOU!
   www.businessmodelgeneration.com
           www.alexosterwalder.com
    www.businessmodelalchemist.com
      ...
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
The Music Industry - new models (excerpt of a keynote)
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The Music Industry - new models (excerpt of a keynote)

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The following slides are a second brief excerpt of a 60 minute keynote I’m giving at Eurosonic Noorderslag, Europe’s most important live music industry conference. This set outlines two innovative models: Spotify and Sellaband

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  • دانلود آهنگ جدید علی لهراسبی به نام این روزا
    http://smusic.ir/1392/06/%d8%b9%d9%84%db%8c-%d9%84%d9%87%d8%b1%d8%a7%d8%b3%d8%a8%db%8c-%d8%a8%d9%87-%d9%86%d8%a7%d9%85-%d8%a7%db%8c%d9%86-%d8%b1%d9%88%d8%b2%d8%a7/#more

    دانلود آهنگ جدید رضا نامی به نام خبر نداری از دلم
    http://smusic.ir/1392/06/%d8%b1%d8%b6%d8%a7-%d9%86%d8%a7%d9%85%db%8c-%d8%a8%d9%87-%d9%86%d8%a7%d9%85-%d8%ae%d8%a8%d8%b1-%d9%86%d8%af%d8%a7%d8%b1%db%8c-%d8%a7%d8%b2-%d8%af%d9%84%d9%85/#more

    دانلود آهنگ جدید باراد به نام اون مثل تو نیست
    http://smusic.ir/1392/06/%d8%a8%d8%a7%d8%b1%d8%a7%d8%af-%d8%a8%d9%87-%d9%86%d8%a7%d9%85-%d8%a7%d9%88%d9%86-%d9%85%d8%ab%d9%84-%d8%aa%d9%88-%d9%86%db%8c%d8%b3%d8%aa/#more

    دانلود آهنگ جدید فرهاد جواهر کلام به نام خداحافظ
    http://smusic.ir/1392/06/%d9%81%d8%b1%d9%87%d8%a7%d8%af-%d8%ac%d9%88%d8%a7%d9%87%d8%b1-%da%a9%d9%84%d8%a7%d9%85-%d8%a8%d9%87-%d9%86%d8%a7%d9%85-%d8%ae%d8%af%d8%a7%d8%ad%d8%a7%d9%81%d8%b8/#more
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  • free download:http://bit.ly/12IZwmq
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  • Great slides and thought provoking! Thanks for helping us sort up the things in the business world.

    Marta.
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  • Great stuff! Really like your way of systematicelly approaching and dissecting business models across a number of different industries.

    Keep up the good work
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  • this is probably the most amazing slideshow i have seen ever.
    content highly informative and relevant to record labels .Also, awesome sketches.
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Transcript of "The Music Industry - new models (excerpt of a keynote)"

  1. 1. Experimenting with Business Models in the Music Industry (part II) Alexander Osterwalder AlexOsterwalder.com Twitter: business_design
  2. 2. the following slides are a very brief excerpt of a 60 minute keynote I gave at Eurosonic Noorderslag, Europeʼs most important live music industry conference
  3. 3. todayʼs music industry is ...
  4. 4. a business model playground ..
  5. 5. a business model playground ..
  6. 6. limitations of the old record company ...
  7. 7. The Old Record Label Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS marketing & promotion detecting & distribution nnabe mass building tale hits & wa nt market channels hits KEY CHANNELS RESOURCES manufacturers portfolio of Retailers TV star artists copyrighted “new” digital content Radio channels COST STRUCTURE REVENUE STREAMS royalt y huge sales ing & payme tours & market subsidizing nts from few merch andisin ion g promot unsuccessful concerts artists’ albums artists
  8. 8. The Old Record Label Model KEY KEY OFFER CUSTOMER CUSTOMER social PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS networks are what talent will be customer drive music sales marketing & discovered by needs are not promo on other mechanismsti being satisfied detecting & distribution nnabe mass building tale hits & wa nt market channels shift of the hits balance of power towards artists KEY CHANNELS distribution is a RESOURCES itʼs all about commodity, attention is manufacturers hits AND the Long the new scarcity portfolio of Retailers Tail of music TV star artists copyrighted “new” digital bloated cost content Radio channels structure (talent piracy unbundling of discovery/marketing) price of songs REVENUE STREAMS into single albums COST STRUCTURE songs (iTunes) royalt tending towards y huge sales ing & payme ZERO tours & market subsidizing nts from few merch andisin ion g promot unsuccessful concerts artists’ albums artists
  9. 9. two
new
 models
  10. 10. example
  11. 11. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS ming free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com software application COST STRUCTURE REVENUE STREAMS free
  12. 12. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS ming free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com software application COST STRUCTURE REVENUE STREAMS free
  13. 13. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS record ming labels free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com licensing agreements software application COST STRUCTURE REVENUE STREAMS licensing fees free (for each song played) $$$$$$
  14. 14. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS platform development & maintenance record ming labels free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com licensing plus even agreements more work software m, platfor softwar application re & e & softwa network brand engineer s COST STRUCTURE REVENUE STREAMS licensing fees free (for each song played)
  15. 15. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS platform development & maintenance record ming labels free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com licensing plus even agreements more platfor m, softwar costs software application re & e & softwa network brand engineer s COST STRUCTURE REVENUE STREAMS licensing fees bandwidth free (for each song salaries costs played) engineers
  16. 16. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS mood-based automated platform advertising online development & advertisers relationship maintenance record ming labels free strea music young connected KEY CHANNELS music fans RESOURCES Spotify.com licensing revenues agreements for free m, services software platfor softwar application re & e & softwa network brand engineer s COST STRUCTURE REVENUE STREAMS licensing fees bandwidth free (for each song salaries costs ad fees played) engineers
  17. 17. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS automated platform online development & maintenance revenues from relationship record premium labels subscriptions young connected KEY premium CHANNELS music fans RESOURCES subscription Spotify.com licensing agreements software m, platfor softwar mobile application re & e & softwa network application brand engineer s COST STRUCTURE REVENUE STREAMS subscription licensing fees bandwidth fee (for each song salaries costs played) engineers
  18. 18. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS automated platform online development & maintenance revenues from relationship record occasional labels uses young connected KEY premium CHANNELS music fans RESOURCES subscription Spotify.com licensing agreements day pass software m, platfor softwar mobile application re & e & softwa network application brand engineer s COST STRUCTURE REVENUE STREAMS subscription licensing fees bandwidth fee (for each song salaries pay-per-use costs played) engineers fee
  19. 19. Business Model KEY KEY OFFER CUSTOMER CUSTOMER PARTNERS ACTIVITIES RELATIONSHIPS SEGMENTS mood-based automated platform advertising online development & advertisers relationship maintenance record ming labels free strea music young connected KEY premium CHANNELS music fans RESOURCES subscription Spotify.com licensing agreements day pass software m, platfor softwar mobile application re & e & softwa network application brand engineer s COST STRUCTURE REVENUE STREAMS subscription licensing fees bandwidth free fee (for each song salaries pay-per-use costs ad fees played) engineers fee
  20. 20. we need to constantly rethink our models - systematically ...
  21. 21. BusinessModelGeneration.com
  22. 22. THANK YOU! www.businessmodelgeneration.com www.alexosterwalder.com www.businessmodelalchemist.com Twitter: business_design
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