Sony BMG sells its products through various retailers including supermarkets, online stores, and music stores. They sign artists to long-term contracts to produce multiple albums, DVDs, movies, and merchandise. Sony earns the majority of profits from album sales while providing funding, production, and distribution. They ensure their target audiences can access products by distributing to appropriate markets and venues.

1. Exchange
How Sony BMG reach their audience.
Sony BMG have different methods of selling their products to audiences. A
selection of places in which they are sold is –
Sainsburys
Zavvi online
Play.com
Itunes
Asda
Morrisons
Hmv
Ebay
We did a case study on Justin Timberlake to explain Exchange.
2 Albums 3 DVD’s 3 concert
tours
3 TV Products by Justin Merchandise
programs Timberlake
12 movies
Calendar
Magazine deals
A major label like Sony, often sign artists for 6-8 records rather than for so
many years.
10-15% of the bought CD’s, suggested listed price, goes to the artist.
Everything else goes to the company, Sony. Although this seems a lot of
money going to Sony, they pay for the distribution and the creating of music.

2. A collaboration between the two artists, for example Ciara and Justin
Timberlake, each artist gets a different cut due to there individual contracts.
Sony takes a cut from both artists.
Sony ensure that they reach their target audience through exchange, by
ensuring that they distribute their products to the right markets. To attract the
correct and appropriate age groups.
Gigs
They sell tickets for gigs online at sites like ticket master. When they do this, the
site you buy it from will get cut from what you pay for it.
When at the gigs they give you a chance to buy merchandise.