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  1. 1. Universal Music Group
  2. 2. <ul><li>OWNERSHIP, </li></ul><ul><li>PRODUCTION, </li></ul><ul><li>MARKETING, </li></ul><ul><li>DISTRIBUTION </li></ul><ul><li>EXCHANGE </li></ul>
  3. 3. <ul><li>CEO Doug Morris is planning on stepping down from his position in the summer of 2010. UMG Is expected to promote its Chairman/CEO of Universal Music International Lucian Grainge to CEO of the company next year. </li></ul>
  4. 4. <ul><li>Lady Gaga </li></ul><ul><li>Timbaland </li></ul><ul><li>All American Rejects </li></ul><ul><li>Bon Jovi </li></ul><ul><li>Onerepublic </li></ul><ul><li>Owl City </li></ul><ul><li>Through Arrangement With Big Machine – Taylor Swift </li></ul>
  5. 5. <ul><li>LADY GAGA: </li></ul><ul><li> 825 MP3 files available </li></ul><ul><li> 104 Tracks Available on Rhapsody </li></ul><ul><li> Last FM 497 tracks </li></ul><ul><li>TIMBALAND: </li></ul><ul><li> 369 MP3 Files available on </li></ul><ul><li> 119 Tracks Available on Rhapsody </li></ul><ul><li> Last FM 454 (approximately) tracks available </li></ul>Lady Gaga & Timbaland Long Tail
  6. 6. <ul><li>Glastonbury 2009 (those signed to UMG): </li></ul><ul><li>Black Eyed Peas </li></ul><ul><li>Lady Gaga </li></ul><ul><li>T4 On The Beach & Radio 1 Big Weekend: Akon </li></ul><ul><li>Leeds & Reading, Fuji Rock, Carling Weekend: Fall Out Boy </li></ul>
  7. 9. <ul><li>Vinyl & CDs plus MP3 formats distributed to companies such as, Itunes are now available. (31 Dec. 2006) Last year, HMV chief executive Alan Giles brought forward his retirement to coincide with annual results that showed a 6.1 per cent drop in sales at its UK stores. Giles blamed an economic slowdown, supermarkets, piracy and internet sales for the slump, all of which he said contributed to a 10 per cent drop in the market. </li></ul><ul><li>“ Now, UMG is radically changing the price of the dying format, to between $6 and $10 for single-disc releases.” (article on – Thur March 18 th 2010) </li></ul>
  8. 10. <ul><li>Internet is one of the most influential resources, providing UMG with outlets such as: </li></ul><ul><li> </li></ul><ul><li> </li></ul><ul><li> </li></ul><ul><li>All of which publicise existing artists with the added bonus of creating links for which new artists are capable of contacting UMG through. In other words Web 2.0 has created various gateways for UMG to promote artists such as Black Eyed Peas, Lady Gaga & Timbaland. </li></ul>
  9. 11. Production Cont… <ul><li>Between 2004-09 digital sails up 940% </li></ul><ul><li>Now that over 400 digital services are available, UMG distributes through channels such as: </li></ul><ul><li>Itunes </li></ul><ul><li>Spotify (though with a small profit) </li></ul><ul><li> & many more all of which are a variety of MP3 formats & CDs/Vinyls </li></ul><ul><li>E.g : 629 tracks (MP3) available of Lady Gaga </li></ul>
  10. 12. <ul><li>Web 2.0 : Myspace, Facebook, etc… </li></ul><ul><li>MYSPACE.COM: http:// </li></ul><ul><li>Promotes upcoming Artists, placing their latest singles on the site along with information about Nashville UMG. Used to provide a more in depth information of Nashville UMG on myspace to gather subscribers/’friends’ in order to boost the publicity of their artists and company. </li></ul>
  11. 13. <ul><li>Youtube.Com  UMG </li></ul><ul><li>UMG account: http:// </li></ul><ul><li>Nashville UMG account: http:// </li></ul><ul><li>Along with an encompassing channel named: Universal Music World Group: http:// </li></ul><ul><li>Each sight features videos of artists signed to the labels along with (for UMG) videos of upcoming films to promote for the Universal Studios company. </li></ul>Marketing…
  12. 14. <ul><li>Black Eyed Peas had recently done a 3D telecast of one of their concerts, the 3D equipment (most of it) was then used to air a 3D coverage of the NHL contest between the New York Rangers and the New York Islanders. (26 March 2010) </li></ul><ul><li>&quot;Feeling,&quot; which spent 14 weeks at No. 1 on the Billboard Hot 100 chart last year, has now sold 5,561,000 million digital downloads, ahead of &quot;Low's&quot; 5,536,000. The latter had been the biggest selling song since March 2008, when it trumped Soulja Boy Tell'em's 2007 hit &quot;Crank That.&quot; Presently, the Peas own two out of the top five best-selling digital songs in history. Its other ubiquitous 2009 hit, &quot;Boom Boom Pow,&quot; is in fourth place with 5,298,000. Behind Flo Rida is Lady Gaga's &quot;Just Dance&quot; (No. 3 with 5,364,000) and rounding out the top five is Gaga again with &quot;Poker Face&quot; (5,131,000). </li></ul><ul><li>Lady Gaga: </li></ul><ul><li>Spotify has responded with unusual detail to claims that Lady Gaga made just £108 from a million plays on its service. The streaming music company doesn’t usually get specific when talking about what it pays to artists but it’s clear that they’re becoming frustrated with regular criticism coming from certain parts of the industry. ( – April 14 th 2010) </li></ul>Press Coverage: Black Eyed Peas & Lady Gaga
  13. 15. <ul><li>On the UK Universal Music Group website, the downloads are for singles £1.19 & £7.99 for the entire album. ( </li></ul><ul><li>Along with: Itunes, Spotify & Sky Songs, each sell music from UMG such as: Lady Gaga, Timbaland, All American Rejects & Bon Jovi. </li></ul><ul><li>Prices: </li></ul><ul><li>Itunes: £0.79 (single) & £ (album) </li></ul><ul><li>Sky Songs: Prices vary between £6.99 (albums) - £.099 (singles) depending on the artists & how soon the release of the single/album is. </li></ul><ul><li>TIMBALAND: </li></ul><ul><li> 369 MP3 Files available on </li></ul><ul><li> 119 Tracks Available on Rhapsody </li></ul><ul><li> Last FM 454 (approximately) tracks available </li></ul><ul><li>LADY GAGA: </li></ul><ul><li> 825 MP3 files available </li></ul><ul><li> 104 Tracks Available on Rhapsody </li></ul><ul><li> Last FM 497 tracks </li></ul>
  14. 16. <ul><li>By providing a quicker, wider channel for distribution of products, the music world has accessed the downloading world via the internet & various websites. Although there are sites where music can be downloaded illegally, the majority of sites (such as Itunes, Spotify, Sky Songs etc) provide monthly subscriptions to ‘stream’ music through the internet or purchase the songs/albums of various artists. </li></ul><ul><li>It has also however, hindered the distribution of music for the sales of CDs have dropped dramatically since the downloading scene has taken over and people now rarely buy ‘hard-copies’ of music when they can download it onto the computer, quicker and cheaper. Once £10 for 1 album. Now £1 for 1 track online. £0 for streaming (youtube) & £10 gets a monthly subscription of virtually unlimited music. </li></ul>
  15. 17. <ul><li>IFPI: </li></ul><ul><li>30 legal digital services – 2003 & in 2010 over 400 digital services. Every year 1,000,000 songs added to digital services. </li></ul><ul><li>Online stores sell 5x more than high street shops. </li></ul><ul><li>But none of the digital services were around 10 years previously. Providing the public with whole new routes to take in order to purchase their music. </li></ul><ul><li>Piracy: Globally 9mill downloaded illegally </li></ul><ul><li>6,365 every minute </li></ul><ul><li>106 every second </li></ul>