2. PLATFORMS
A S E R V I C E O N W H I C H P E O P L E C A N
A C C E S S M E D I A F O R M AT S
3. PLATFORMS
Streaming services (Paid)
• Examples of these include
– Spotify
– Tidal
– Apple Music
• Work on a subscription basis
• Customers are encouraged to explore new
content on the services and can create
playlists of their own to be public or private
• Some are available free (i.e. Spotify and
Deezer), but require subscriptions to access
premium features (such as lack of ads and
offline streaming)
4. PLATFORMS
Streaming services (Free)
• Examples of these include
– YouTube
– Soundcloud
– Shazam
• Customers can access it for free, often without
making an account
• These encourage customers to explore new
content also, but they also allow them to upload
content of their own
– This allows them to branch off into the industry
themselves, this is also known as democratisation
of the music industry; it is now more accessible
for everyone.
5. LABELSA R E C O R D L A B E L O R R E C O R D C O M P A N Y I S A
B R A N D O R T R A D E M A R K A S S O C I A T E D W I T H
T H E M A R K E T I N G O F M U S I C R E C O R D I N G S A N D
M U S I C V I D E O S
6. INDEPENDENTS
• Record companies and music publishers that are not under the control of the big three are generally
considered to be independent (indie), even if they are large corporations with complex structures
• Independent labels are often considered more artist-friendly. Though they may have less financial
clout, indie labels typically offer larger artist royalty with 50% profit-share agreement, aka 50-50 deal,
not uncommon
• Many commercial bands and musical acts begin their careers on independent labels.
• Not only can they not afford large payouts, bonuses or large recording contracts, they also cannot
afford large marketing campaigns or promotional tours to help build awareness of your work
• Additionally, because indie labels are so small and often short-staffed, they can be disorganized and
even confusing. Much of their agreements are done with just a handshake rather than a formal
contract, so details can be missed and issues can arise due to misunderstandings.
• Artists will have more creative control with an indie label than with one of the Big Three. Most indie
labels also sign smaller, shorter contracts, so if it doesn't work out, you're not stuck with the same
company for very long.
7. INDEPENDENT LABELS
Examples of independent record labels include
– Transgressive
– Loose
– Fence
– Trojan
– Domino
– DFA
– Captured Tracks
– XL Recordings
– 4AD
8. THE BIG THREE
• As of 2012, there are only three labels that can be referred to as "major labels"
– Universal Music Group
– Sony Music Entertainment
– Warner Music Group
• Artists who are signed to one of these major record label are either signed to the central
label or signed to a subsidiary of that label. A band might be signed to Sony, or it might be
signed to Columbia Records, which is a Sony subsidiary.
– in the end they must answer to their parent company. The "main" company sets their overall
budget and makes decisions regarding things like reducing staff.
• These labels can make up almost 80 percent of the music market or even more depending
on the year, although it was estimated to be about two-thirds in 2016.
9. THE BIG THREE: SUBSIDARIES
UNIVERSAL MUSIC GROUP
• Abbey Road Studios
• Island Records
• Def Jam Recordings
• EMI
• Republic Records
SONY MUSIC ENTERTAINMENT
• Columbia Records
• RCA Records
• Epic Records
• Roc Nation
• RED Distribution
10. THE BIG THREE: SUBSIDARIES
WARNER MUSIC GROUP
• OVO Sound
• Asylum Records
• BME Recordings
• A&E Records
• RuffNation Records
