The Future of the Music Industry???

BY TeV '95


Lets face it, most people are not buying music anymore. Why? It's simple. Why would you buy something that you can get for free. In other words why would a fan buy an artists record when they can simply download it from the thousands of bloggers that are sharing music via file sharing sites. This an issue that the Music Industry needs to face, point blank.

While artists and record companies complain about the their fans disloyalty to the artist, they are failing to adapt to a new era of music consumption. Is not to an artist or record labels benefit to have as much exposure as possible? Some fail to see the value of having their music pirated or given away for free.

It may even be true that there is a positive correlation between illegal downloads/free give-aways and higher records sales.

Let's take the example of Lil Wayne. Over the past few years, Wayne has been releasing an unprecedented amount of material which has either been given away for free, or illegally pirated via the internet and mix-tapes. His latest album release the Carter III, was leaked all over the internet, yet sold over a million copies in its first week release. The question is why? It is possible that the pirating of his music served as a marketing tool?

Another issue that can be examined is whether people are not buying records because todays music isn't really that valuable. In other words, most albums being released nowadays are really not worth the $12 or so. In todays single/ringtone driven market, the quality of music set forth towards entire albums is at best, mediocre.

For new artists that are up and coming, the advent of the internet age has hindered their ability to sell their music. Better said, it is actually easier for and up and comers to sell their music because of the internet, yet the consumer has a convenient means by which to receive their product without paying. Therefore, the old idea of hustling CD's out of the truck of your car has become more difficult and arguably ineffective.

In this age, it is possibly more beneficial for the artist to have their music given away for free and pirated. The are several advantages to this. First, the product can be tested. That is, the the artist and/or record company can get an immediate response from their potential consumers. Second, the artist can receive free exposure. This gives them the opportunity to create a buzz and build a fan base with little or no cost.

With the decline of record sales the music industry is in need of, and is, finding new methods of generating revenue.

Lets take for example Wale. One can check iTunes and see that Wale only has one song for sale, yet he has generated a serious buzz by releasing his mix-tape 100 Miles and Running for free download. His latest mix-tape, About Nothing was sponsored by clothing brand 10 Deep and was available via their website absolutely free. This is an example of the music industry seeking a new means of revenue. Instead of selling his music to the fans, Wale (or his record label) earned their revenue from 10 Deep.

This seems to be a growing trend.

Just a few weeks ago Converse released a record for free download on their website titled "My Drive Thru" ft. N.E.R.D., Santogold, and Julian Casablancas. Just as Wale, this again is another example of artists selling their music to companies rather than to their fans.

Other companies are also offering free music listening to their users. Most notably, pandora.com and jango.com. On these websites, one can simply type in the name of the artist they would like like to hear an instantly begin streaming their music. Each time music is streamed, the artists receive their respective royalties.

This is yet another example of the evolution of music consumption.

None of these outlets being discussed are charging the consumer. It may be the very fact that that music is being made available for free that is driving the fans to listen more. This in turn raises the probability of the fans later buying an artist's product or attending their concert.

Take for example Jay Electronica. At the moment, he has no music for sale. The result of his strong fan based generated by his free music give-aways such as "Style Wars" and "Eternal Sunshine", has landed him a spot in this summers Rock the Bells tour. Some might be baffled at the fact that an artist is making money yet has sold no records, but Jay Electronica proves to be doing just that.

It is not only the up and comers that find that giving away their music may be beneficial. Both Radiohead and Nine Inch Nails have released albums for free via the internet. Radiohead was the first major act to do such a thing and actually asked their fans to pay whatever they wanted for their record. It seems that they too have found the value of pirating their own music.

Case in point, record labels and artists need not complain over the state of the music industry and the rise of pirated music. Both need to realize the benefit of receiving immediate feedback with little or no cost as well as the value of free press and buzz generated by the downloading and pirating of their music.

Artists and record labels should no longer look to their fans for record sales. They need to seek new ways of generating revenue. Perhaps the most effective way is through the licensing of their music. As we have seen with artists such as Wale, N.E.R.D., and Santogold this proves to be an effective strategy.

I invite you to leave a comment with respect to this topic. I am interested to hear what people out there in cyber space feel about pirating music and free downloading.