When You Need A Label

Today's artists are very averse to record labels, having grown up around the idea of DIY in all aspects of their careers. That said, sometimes teaming up with a record label can actually be a good idea. Here are some scenarios from The Music 3.0 Internet Music Guidebook that point out when a label can be helpful.

Record labels are not intrinsically bad, it’s just that you have to weigh the advantages versus the disadvantages to determine whether the time is right for you to be associated with one or not. 

You might want to consider a label if:

• It's offering you a staggering amount of money. If this happens, either you must be hot enough for a bidding war to have broken out, or they really, really believe in your future. Just remember that this might be the last money you’ll ever see from the label, and it may have a significantly negative impact on any credibility that you have with your fan base. Best to test the notion of signing with a label with your tribe just to see their reaction first, since they won’t buy anything from you if they feel you sold them out.

• You need money for recording, touring, or any other needs. One of the things that labels do really well is to act like a bank by using your music as collateral. Major labels still do this as skillfully as ever before, but you have to ask yourself if it's worth the price you’re going to pay in terms of the freedom that DIY offers.

• You’re spending too much time on certain aspects of a career. A label can take some of the burden of marketing and distribution off your shoulders. You still have to be involved on some level, though, or you run the risk of things getting way off course before it’s brought to your attention. If you don’t have a manager already, that might be a better association to make at this point than to start working with a label.

• You need expanded distribution. If distribution into brick-and-mortar stores is beyond what a small indie label can provide, a major label can be your friend. They have the relationships, the sales force, and the means to collect the money. If you’re distributing by yourself, you’ll get paid if and when the stores feel like it because you have no clout. In some cases, you won’t even be able to get into the remaining chains and retail stores because you don’t sell enough to get on their radar. A major label or large indie sells the stores a lot of product and they’re trusted, so it’s a lot easier for them to get the retailer to take a chance. Further, the label has some leverage in that they can always threaten to withhold in-demand product if they don’t get paid.

• You want to expand into foreign territories. Let’s say that you have a huge following in Germany via your online efforts, but you can’t service them properly because you live in Kansas City. A major label can use their overseas resources to promote you and get product in the stores there. It saves you the hassle of reinventing the distribution and marketing wheels.

• You need economies of scale. Sometimes the power of a big label can be used to your advantage since they can cut a better deal with a service (YouTube and MTV come to mind) than you ever could as an indie.

• You need major marketing. Another thing that a major label does well is to market you traditionally. If you want airplay on radio and appearances on television, a label may be your only hope. If you want reviews and articles in mainstream media, they still have the clout to get it done. 

• If you feel that you’ve gone as far as you can go as an indie artist. If you need help to push your career over the edge to stardom, then a major label or major label imprint may be the way to go. This is what they do—sometimes well, sometimes not. 

There are times when a label makes a lot of sense for an artist, especially when he or she doesn't want the burden of running the business of DIY. Unfortunately, being an artist requires more hands-on participation in marketing than ever before, so there's only so much that you can escape. Still, if you want to go to the next level as an artist, an association with an artist can still be the best way to go.

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Follow me on Forbes for some insights on the new music business.

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The BitTorrent Bundle Gets Closer

It looks like the general release of BitTorrent Bundle is right around the corner. The new format is being spoken of in hushed terms within the industry because, on one hand, no one wants to admit to supporting BitTorrent, but on the other, everyone is intrigued by what its Bundle offers.

As I've posted in the past, the Bundle allows a creator to package a number of digital elements together in one file that can then be unlocked with a digital key that you provide to your users. That means that one file can supply audio, video, graphics and a store, and any or all of them can be unlocked using the proper key.

It's intriguing enough that even an artist like Madonna has been rumored to have signed on for an Alpha test for the release of her latest project, which is a film she's directed.

There's not much buzz about the Bundle at the moment, but it could turn out to be a game-changer when it comes to digital delivery. Watch the video below for a little more info, then check out some currently available bundles.

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Help support this blog. Any purchases made through our Amazon links help support this website with no cost to you.

Follow me on Forbes for some insights on the new music business.

You should follow me on Twitter and Facebook for daily news and updates on production and the music business.

Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.

The Scalper Bots Get Banned

If you ever had the experience of being one of the first in line or online for concert tickets only to find that all the best tickets where already sold, then you've experienced what happens when ticket scalpers unleash their bots. These auto-ticket buyers electronically scoop up the best seats in the blink of an eye the second they go on sale, preventing real live people from ever having a chance at a great ticket.

The beginning of the end to that practice may be here, however, as Governor Jerry Brown signed into law a bill that bans the bots in California, beginning January 1st, 2014. This is a welcome development for consumer rights, since currently they're forced to pay far higher prices for those same tickets from that scalper who skirted traditional buying electronically.

For better or worse, California is in the forefront of so many things; let's hope that this catches on in the rest of the country as well.

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Help support this blog. Any purchases made through our Amazon links help support this website with no cost to you.

Follow me on Forbes for some insights on the new music business.

You should follow me on Twitter and Facebook for daily news and updates on production and the music business.

Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.

Why Apple Hasn't Lost It's Mojo

Tell me if you’ve heard this one before. Apple releases a new product, gets rave reviews and has lines around the block at their stores, yet the press predicts doom and gloom for the company. Well, we’ve seen this very scenario play out again with the latest introduction of the iPhone 5S and 5C.

Wall Street consistently shows that it has its head in the clouds and is about as far away from Main Street as could be. The example that I love the most is when a company issues an earnings report where things went well and it actually turns a profit, yet their stock gets pounded because the analysts proclaim, “Yes, but they didn’t reached our estimates, so we should worried about their health” (this has happened to Apple many times). Here’s the bottom line that doesn’t require a Wharton School MBA - you make money, you stay in business. You lose money, you go out of business. Apple has made a lot of money as it’s estimated $145 billion (yes, that’s with a “B”) cash on hand shows. I’d say that’s pretty healthy.

Back to the iPhone launch - One headline of the weekend read, “Long lines But How About Sales?”. Hold on here a second. Do you actually think that people are going to stand in line for hours just to look around? How about the speculators that are paying dozens of homeless people to stand in line to purchase multiple phones, or the fights that happen because of line position? Read more on Forbes.

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Help support this blog. Any purchases made through our Amazon links help support this website with no cost to you.

You should follow me on Twitter and Facebook for daily news and updates on production and the music business.

Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.

iTunes Radio Looking For Heat Seekers

As you know, iTunes Radio has launched and it's gotten pretty good reviews so far. It's very easy to use and easily accessible to any iTunes user, of which there are 545 million (although it's only available in the US for now). Users are able to create and personalize their own stations based on their particular tastes, although it comes with pre-set and featured stations as well.

If you've ever watched iPod or iPhone ads, you've noticed that the music is always cutting edge and ahead of the curve. I don't know who chooses it, but it's always great. Now comes reports that Apple wants to continue this trend by contacting all the major labels and asking for their "heat seekers" list, which is the list of artists or bands on the verge of breaking. Of course, this is designed to keep the service out in front of whatever trend that is currently happening in music.

Curation is the buzzword when it comes to music services these days, and Apple is also playing that game, as it's also in the process of hiring a number of music celebs from various musical genres to program genre specific channels. The service already employs a number of curators to keep the splash page new and relevant as well, but once again, this move is designed to keep them ahead of the curve.

One things for sure, if iTunes Radio didn't meet your expectations upon launch, it's going to get better, as Apple seems to be striving to improve the service in multiple ways.

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Help support this blog. Any purchases made through our Amazon links help support this website with no cost to you.

Follow me on Forbes for some insights on the new music business.

You should follow me on Twitter and Facebook for daily news and updates on production and the music business.

Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.

The Implications Of iTunes Radio That Everyone's Missed

At long last Apple has launched iTunes Radio and so far the reviews are pretty positive. It’s extremely easy to use and provides enough features that many potential users will not even think about venturing outside the iTunes ecosystem for another service. in fact, a study in June by the GroupM Next determined that 34% of Internet radio users would switch from their current service on Apple’s brand name alone.

Do you think services like Pandora, Spotify, iHeart Radio and Slacker are worried? They should be, as a closer look at the study found that 46.4% of Pandora users, 47% of Spotify users, 46.1% of iHeart Radio users and 53.8% of Slacker users would leave their services for iTunes Radio when it became available.

But lets say that this study is seriously flawed and the attrition numbers aren’t anywhere near what was stated. The other services are still in for a world of hurt for the following reasons that seem to have been overlooked. Read more on Forbes.

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Help support this blog. Any purchases made through our Amazon links help support this website with no cost to you.

You should follow me on Twitter and Facebook for daily news and updates on production and the music business.

Check out my Big Picture blog for discussion on common music, engineering and production tips and tricks.