1.
The Indian Music Industry & SaReGaMa<br />MG 785: Group Project<br />Aditya Banerjee - 08927850 <br />Phani Raj- 08927896<br />Pramit Joshi- 08927815<br />Shishir Pol- 08927808<br />SushantWaghmare- 08927827<br />Vasant M V- 08927807<br />

2.
Agenda<br />Music Stakeholders – Labels, publisher, online, <br />KE concepts – Commons, New Business Model, Technology<br />Current Online trends – Global<br />Current Indian music scenario<br />New Biz Models<br />Sustainability <br />Reference<br />

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Music Stakeholders<br />Artist<br />Professional Musician<br />Labels<br />Recording Studios<br />Event Managers<br />Consumer<br />Regulators<br />

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Utilization of KE Concepts<br />Creative Commons<br />Copyrights<br />Technology as Enabler <br />New Business Models<br />Long Tail<br />Social Networks<br />

5.
SaReGaMa<br />The Company<br />

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Ratio Analysis - SaReGaMa<br />

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Financials – SaReGaMa/Tips<br />

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Reactions down the memory lane<br />Disruptive technologies & copyright<br />

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Technology Innovations<br />And parodies…<br />

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Copyright for the masses<br />1906<br />2004<br />

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The Enforcers<br />MPAA<br />USA<br />Canada<br />Australia<br />UK<br />International<br />India<br />Entertainment Industry associations around the world<br />

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Creative Commons<br />“The commons” — the body of work that is available to the public for free and legal sharing, use, repurposing, and remixing.<br />Standardized way to grant copyright permissions to their creative work. <br />“All rights reserved” to “Some rights reserved.” <br />

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What Creative Commons Offers to Music business? <br />Promotion to the artist and his records<br />Allows artists to reach larger audience<br />Build upon reputation<br />Foster interaction between music members<br />Encourage artistic and future exchange<br />Freedom from economic pressure of big companies in releasing any kind of work<br />Bypassing traditional distributors and publishers<br />

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Will it change the face of music business?<br />Relationship between the parties involved in the music business <br />Artists are dependent on the work of others<br />The internet not creative commons makes disintermediation or cutting the middle man<br />Creative commons is all about skipping the intermediary<br />Only small record labels have agreed to license their work under the creative commons model<br />Big record labels already have a established system with lots of artists and work of art with them with market reach<br />Big record labels make a lot of money out of the current copyright system<br />Creative commons model will jeopardize their present business model , revenues and even their existence. <br />Stakeholders not yet clear how creative commons model will fit within those agreement signed previously.<br />Creative commons model is helpful in limited situation and not in all<br />

18.
The International Scene<br />Technology as the enabler<br />

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Online Music Stores<br />Major license revenue for labels<br />

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Music Streaming<br />

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Portability<br />New Media<br />The Good Enough Revolution<br />New Devices<br />

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Online Radio<br />Major opportunity to recommend & guide users to purchase channels<br />

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E-merging trends<br />Music recommendation engine acquisitions<br />Game changers<br />Search & recommendation the key<br />

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The Indian Scenario<br />Technology followers?<br />

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Music Streaming<br />Revenue from licensing<br />

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Music Downloads?<br />Where are the legal sources?<br />

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Amateur Publishing<br /><ul><li>Crowdsourcing

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Commons

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Social Networking

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Prosumer friendly</li></li></ul><li>Personalization Services<br />Multiple revenue sources: License, service charges, partnership<br />

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Mobile Downloads<br />

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Mobile Music Exchange<br />Growing demand for music content on mobiles<br />Indian Music Industry (IMI) launched Music Mobile Exchange (MMX)<br />MMX a 7-member body comprising SaReGaMa, Aditya Music, Tips, Venus, EMI, Sony and Universal<br />MMX license - mobile stores/shopkeepers can legally sell music without violating the Copyright Act<br />MX licence - for a period of one to three years, at a minimal cost of Rs 1500- 5,000 per month per computer<br />

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The Value Chain<br />Evolution over the years<br />

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Past<br />

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Present/Future<br />

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Where’s SaReGaMa?<br />Technology leader/follower/laggard?<br />

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SaReGaMa.com over the years<br />2004<br />2009<br />2006<br />2001<br />1997<br />Focus seems to be on Hamaracd.com rather than SaReGaMa.com<br />Source: http://web.archive.org/web/*/SaReGaMa.com<br />

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SaReGaMa on iTunes Store<br />License revenue<br />

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Hamaracd<br />Personalised Audio CD<br />Video Catalogue<br />

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rajshri.com<br />Some Partners<br />

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Business Models<br />Putting it in action<br />

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Key Observations<br />Copyright infringements still a major worry<br />Key revenue streams online<br />Advertisements<br />Licensing<br />Value added services<br />Freemium models quite popular<br />A large user base is the best asset online<br />Long Tail can be manipulated<br />Fattening<br />Recommendations<br />

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Business Model Ideas<br />Policy to give away old tracks/single track from new albums under a CC license<br />Generates publicity<br />Draws people to channel<br />Charge for remastered/modified tracks (Classics’ Revival etc)<br />Subscription based streaming service<br />Purchased tracks remain in the cloud<br />Multi device applications to play purchased tracks<br />Allow DRM free downloads of purchased tracks<br />TV channel<br />Store with studio<br />CSR: Sponsored music labs in schools<br />Bands & Artists under the SaReGaMa umbrella<br />

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Music from the Clouds<br />Business Model 1<br />

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Do P2P users buy more music?<br />Studies conducted by CRIA & in UK indicate that people who download music illegally from the internet spend more on music purchases than or equivalent to those who do not<br />UK Study<br />Caveat: Survey relies on consumer recall & accuracy of information<br />CRIA Study<br />Can it be extended to India?<br />

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Some numbers – iTunes Store Sales<br />

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Music from the clouds<br />Alternate pricing strategies:<br /><ul><li> Pay what you like

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Demand based ~ airline tickets</li></ul>SaReGaMa Online Service<br />Special terminals at outlets to customise service as per customer’s needs<br />Medium of customer’s choice: USB, CD, DVD etc<br />Price:<br />Rs 10-15 per track (PPP$)<br />Subscription services<br />Promos:<br /><ul><li> Reward points

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Discounts</li></ul>Individual Consumer<br />Corporate Partners<br />

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SaReGaMa Bands<br />Business Model 2<br />

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Music Band Touch points<br />

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SaReGaMa Band<br />

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What’s in it for a Music Band?<br />

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Consumers of Band Music<br />Assurance of quality<br />Search time reduction<br />SaReGaMa Experience<br />Professional Service<br />Value for Money<br />

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How does it benefit SaReGaMa? <br />Can promote songs under its label<br />Expands its networks of music<br />Platform to distribute merchandise<br />Brand recall increase<br />Commission on performances<br />Content Creation<br />Could get consumers to collaborate<br />

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Image sources<br />Wikimedia.org<br />http://techperspective.com/?p=7<br />www.hamaracd.com<br />Flickr.com<br />http://www.loc.gov/exhibits/bobhope/images/vc36.jpg<br />

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Reference/Links<br />http://www.indianmi.org/newsletter/Dec1/GurmeetInterview.html<br />http://www.indianmi.org/newsletter/November1/Subroto%20Interview.html<br />http://contentsutra.com/article/419-SaReGaMa-plans-online-music-store-whos-going-to-change-the-game/<br />http://www.rajshri.com<br />IpsosMediaCT survey in UK: http://www.independent.co.uk/news/uk/crime/illegal-downloaders-spend-the-most-on-music-says-poll-1812776.html<br />CRIA study in 2006: http://support.crtc.gc.ca/applicant/docs.aspx?pn_ph_no=2006-1&call_id=29786&lang=E&defaultName=Canadian%20Recording%20Industry%20Association%20%28CRIA%29<br />http://www.wired.com/gadgets/miscellaneous/magazine/17-09/ff_goodenough?currentPage=all<br />http://arstechnica.com/tech-policy/news/2009/10/100-years-of-big-content-fearing-technologyin-its-own-words.ars<br />Indian Music Publisher’s Annual Reports<br />http://www.india-server.com/news/indian-music-industry-launches-music-7227.html<br />