1. Future of the Music IndustryFuture of the Music Industry
Exploring the Business Model of our GenerationExploring the Business Model of our Generation
Ben
Stager

2. Past Models
(generic scenario)
• Band/ Artist signs contract with a(major)
record label
• Label fronts money for recording fees/expenses
• Label spends money on promotion, marketing and
distribution in hopes that they will get a big
return
• MAIN source of revenue is via CD Sales

4. We can just move this
model into the digital
world.
Right?

5. Not Quite
• Every aspect of a record company has
and/or will change as we progress into
the future
• The internet and file sharing have
changed the game for good

6. Many Customizable
Models
• Most industry leaders agree that music
sales will not be a source of revenue
• Band/ Artists will be brands and
licensing will be huge
• Time: John Coulton
• There needs to be a new revenue
distribution plan
• Gerd Leonhard

7. Example?
• NIN Trent Reznor(1:58)

9. My Model
• Band/ Artist comes up with a recording
• License music with a creative commons
(0:50)license
• Get it out there! Via file sharing
technology (iTunes, Torrents, BandCamp,
Topspin, Spotify)
• Be creative, make the brand a niche for
people to feel a part of
• Create revenue from those niche
items(deluxe copies of physical media,
Exclusive access to digital content,
merch, personalized items, etc…)

10. Thom Yorke(Radiohead)
• Yorke has now issued a warning to
upcoming artists, urging them not to
sign traditional record deals because
they would be tying themselves to "the
sinking ship
He says, "It will be only a matter
of time - months rather than years -
before the music business establishment
completely folds. (It will be) no great
loss to the world.”
- World Entertainment News Network