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Magnatune is...
 Next-generation
 record label
 Combines B2C and
 B2B
  B2C: downloads and
  CDs
  B2B: music licensing
  ...
Main Consumer Benefits
 Selected music
 Full Preview
 Fair price
 High quality product
Selected Music
 Consistent quality
 Hard-to-find genres
 Manageable size
Preview
 Listen to everything for free
 Never-ending genre mixes
 High audio quality
 MP3 streams
Fair Price
  Pay what you want
  50% for the musician
  No registration
Quality Product
 MP3 and CD quality downloads
 Allows later re-download
 No DRM
Leveraging consumer anger at the Music Industry
 Limited musical diversity,
 poor quality
 CD prices too high
 Ripped-off ...
How music demand is typically created
  Traditional command-
  and-control marketing
  Grass-roots uprising
  quot;Custome...
Try-before-you-buy: the old ways
 Radio
 MTV
 Concerts
 Mix tapes from friends
Try-before-you-buy: many new ways
 30-second snippets (iTunes/Amazon)
 quot;Conceptquot; compilations (quot;Buddha Barquot...
Music Biz isn't just CDs
 Most music heard is not at home, but in
 a business/commercial setting
 Consumer shopping experi...
end.
Magnatune Corporate Presentation (for suits)
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Magnatune Corporate Presentation (for suits)

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Magnatune presentation I use when presenting to corporate types (bankers, music industry executives, etc). Puts Magnatune in more traditional marketing and positioning terms.

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Transcript of "Magnatune Corporate Presentation (for suits)"

  1. 1. Magnatune is... Next-generation record label Combines B2C and B2B B2C: downloads and CDs B2B: music licensing for commercial use
  2. 2. Main Consumer Benefits Selected music Full Preview Fair price High quality product
  3. 3. Selected Music Consistent quality Hard-to-find genres Manageable size
  4. 4. Preview Listen to everything for free Never-ending genre mixes High audio quality MP3 streams
  5. 5. Fair Price Pay what you want 50% for the musician No registration
  6. 6. Quality Product MP3 and CD quality downloads Allows later re-download No DRM
  7. 7. Leveraging consumer anger at the Music Industry Limited musical diversity, poor quality CD prices too high Ripped-off musicians speaking out DRM Symptom: using P2P is acting as a just-cause revolutionary
  8. 8. How music demand is typically created Traditional command- and-control marketing Grass-roots uprising quot;Customers also boughtquot; Try-before-you-buy (Magnatune’s focus)
  9. 9. Try-before-you-buy: the old ways Radio MTV Concerts Mix tapes from friends
  10. 10. Try-before-you-buy: many new ways 30-second snippets (iTunes/Amazon) quot;Conceptquot; compilations (quot;Buddha Barquot;) Recommendation web sites P2P used for previewing Mix CDs from friends Social MP3 sharing DJ culture & raves Internet radio
  11. 11. Music Biz isn't just CDs Most music heard is not at home, but in a business/commercial setting Consumer shopping experience is increasingly staged, with music in a key role Music is branding TV commercials make hits Tie-ins are increasing Music biz becoming like book publishing
  12. 12. end.
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