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Music Presentation

Music Presentation






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  • History of Music Industry: Vinyl Era to CD’s

Music Presentation Music Presentation Presentation Transcript

  • Once upon a time When the wind blows…
  • The Oncoming Storm 20% decline in 2007 CD sales Industry to half in size 1 billion illegal songs traded per month Big artists leaving labels
  • The Industry Reaction Too big to comprehend
  • "What's the worst that could happen??!"
  • "The high risk part of the music business is the marketing of a record" Jeremy Lascelles CEO Chrysalis
    • In a state of continual flux and rapid change
    • Market to stabilise to $20 billion by 2011
    • From peak of $45 billion in 2001
    • No real singles market beyond the UK
    • Music generally viewed as a free commodity
    The music ind ustry today
  • Music still resonates
    • 92% claim to like or love music
    • 62% of adults attend at least one live event a year
    • 25% of 16-24 year olds attend one a month
    • 57% will buy an artists album after seeing them live
    • 61% will buy an album before seeing a band live
    • 76% listen to music at least once a day
  • Its what they do with it that’s changed
    • 89% of music consumers agree it’s easy to transfer music to a digital player
    • 88% agree it’s a great way to find out about less familiar artists
    • 82% agree it’s easy to transfer music to a mobile
    • 74% agree that it’s easy to share and swap tracks with friends
    • 48% download to mobiles to listen immediately
    • 40% have music embedded in social network profiles
    • 33% download to mobiles to listen ‘anywhere’
    Source: brandamp/millward brown ‘bands & brands’ study 2007
  • Consumers listen to music on an average of 5 to 6 devices
  • Mantra: “Direct to consumer” How to make it pay??
    • “ Football teams have very distinct corporate sponsorship. Why shouldn’t some of the leading bands have the same sort of relationships?” Guy Hands, Terra Firma
    • "There is academic research that shows file sharing is a good thing for artists and not necessarily bad,"
    • Doug Merrill, President, Digital Business
    • "There is evidence that people we think are not buying music are buying music. They're just not buying it in formats we can measure."
    • Doug Merrill, President, Digital Business
    • "It's a poor business model to sue your customers. I don't think that's a sustainable strategy."
    • Doug Merrill, President, Digital Business
  • Magazines ‘releasing’ singles…
  • Newspapers ‘releasing’ albums…
  • And next up…
  • And now the bands are getting creative…
    • 38% of downloaders paid for the album*
    • 17% stumped up $4 or less*
    • On official the album still hit number 1
    • But with UK sales of 1/3 of previous albums
    • Italy: 75% of downloaders paid**
    • UK: 60% of downloaders paid**
    Figures from Commscores* Figures from BBC band interview**
    • 600,000 downloads on day 1
  • How Business Is Transforming… 2. Driving Content: 3. Shaping Brands: 1. Shifting Comms: 70% Going Online 69% Reading Newspapers 56% Listening to Radio 68% Watching TV % Who Use Other media When utilizing: Simultaneous media usage Source: BIGresearch, 2007 ‘ The largest producer of cameras is now…Nokia’
  • It couldn’t happen here? KANGAROO