A good plan these days is hard to find…

Apologies for the title, which references Feargal Sharkey’s 80′s pop hit – I couldn’t face linking to it, so I went with the most famous track from his days with The Undertones.

Much better than reading his thoughts on stopping music piracy reported by the BBC, where his thoughts as Chief Executive of umbrella organisation Music UK made me wonder if he’d had a Teenage Kick to the head at some point.

“Who would have ever predicted five years ago that there would have been such a thing as iTunes, which now has an 80% global share of all downloads,”

Well, since MP3s became widely available in the early-to-mid 1990s, I’d have said it was pretty obvious it would become a dominant force in changing music distribution. And having witnessed how record companies responded (e.g. Jammie Thomas), I’d have also put my life savings on a tech company becoming the dominant solution.

“The music industry is often having to wait and see what works,”

No it isn’t. The music industry is choosing to wait and see what works because it’s scared of innovating and changing in the face of losing the reason for existing – physical distribution. Radiohead weren’t waiting to see what works, and neither were Nine Inch Nails.

“At some point, our song writers and musicians have to be treated with enough respect that they can at least carry on with some basic quality of life that will allow them to carry on creating and performing year after year.”

I’d suggest reading Kevin Kelly’s excellent post on how artists can exist with financial success in The Long Tail – 1000 True Fans. I’d also ask when respect started directly relating to being paid a living wage? And why my respect for a musician should be risked by a record company getting my Internet Service Provider to cut me off from what I consider a basic living requirement in the modern age?

Just like a Good Heart is Hard to Find, so is respect, because it is something which is earned – not an entitlement by releasing a record. If an artist earns my respect for their talent, then I’m happy to pay money directly to them – by going to their gigs, buying their T-shirts, buying their cds and constantly mentioning them. Like this chap for example.

And for some further reading, here’s my previous posts on the music industry: Behind the Music, More fuel for the record company bonfire, and Record companies are really screwed.

If the record industry wants to survive in one form or another, there are plenty of people who could lead it forward. Lawrence Lessig, Chris Anderson, or even someone with some professional musical experience as well as the vision needed, Jonathan MacDonald. Christ, offer me enough money, unlimited downloads and some gig tickets and I’ll come and sort it out for you. It’s pretty simple.

  1. The current model will not be saved. Use the remaining profits to find the new model.
  2. The size and power of record companies will never be the same. You screwed up by waiting this long. Get over it. I lost sympathy for you as a child when I read about how Stax was bludgeoned out of existence in the 1970s. Record companies will be much smaller, with fewer employees, and they’ll need to work harder. Like everyone else.
  3. Innovate like crazy. Use the money you still have to throw 1000 quick and easy ideas out there. Give music away. Create better opportunities around live events and merchandise. Use ways to reach the truly passionate fans.
  4. Embrace people that are pirating and sharing your music. They’re doing the same job John Peel did when he played an E.P made by The Undertones just as they were about to split up, and made them famous. If I found someone who was sharing music from artists with 1000s of people worldwide, I’d make him Head of Distribution!
  5. Start hooking up with the people doing cool stuff without you – and hope you can bring something to the party to let you join. SliceThePie, Amie Street, Sellaband, Sonoma Wireworks, Blip FM, TheNextBigSound.

If I can find these sites as a music fan with a tenuous relationship to the music industry, what on earth are the people in your offices doing with their time?

Behind the music…

Sonata Music by jrossol on flickr (CC licence)

Sonata Music by jrossol on flickr (CC licence)

Apologies as I’m a bit tired, and this may descend into rambling, but I wanted to keep the music debate going, especially after some interesting comments on my first post, on why ‘Recording companies are really screwed‘.

I appreciated the comment from Michael, who rightfully pointed out that the most common examples of bands using social media and giving their music away for free are those who have already built a following – while I agree this is the most common case, these are still new tools and new revenue models, and there are some examples of bands coming through the internet – e.g. Soulja Boy. And the precedent comes from the underground hits of pirate radio and dance music, or the spread of 1960′s Stax Atlantic and Motown in the UK, which was mainly provided by soldiers and sailors from the U.S.

What forced me to respond was Eaon‘s valid questions about challenges and options beyond ‘big labels vs internet’. He’s right in saying that major labels are an easy target (not that this means we shouldn’t continue to targte them), but I don’t think he’s right in putting Murdoch’s Myspace against traditional record labels. This isn’t about a social network replacing a record company – it’s about social networks as a distribution mechanism, along with email, forums, blogs, podcasts, video streaming, and every other method of delivering music and entertainment in an electronic format vs the attempts of the traditional industry to retain models and methods that served the physical format.

Busking: Pic by joeszilagyi on Flickr (CC Licence)

Busking: Pic by joeszilagyi on Flickr (CC Licence)

Eaon also said that the broad strokes of my previous post didn’t work for him, and I can understand that, but I’m a big fan of reducing things to their most basic, and starting with the essentials. And that tends to result in the broadest picture, but also the clearest view of what’s really necessary.  So to take that to it’s ultimate conclusion:

  1. Music is created. Either recorded or transferred into a digital format.
  2. Music is published on the internet. Possibly with a video to accompany it, or a blog, website, Myspace page, Facebook fan page etc.
  3. People who like the music download it, and if they like it enough, share it with friends and contacts via email, social networks, blogs. More mainstream media will gravitate towards that which gets a significant following.
  4. The creator is rewarded with an audience of some size. Monetisation could follow with a physical release, gig tickets, merchandise.

That’s about as simple as it gets! Speaking as someone whose music career was limited to messing around with a 4-track home studio and a couple of sessions in a ‘proper’ studio to record a couple of EPs which never saw the light of day to my knowledge (perhaps fortunately), I’m hoping the more musically experienced will take a look and point out anything I’ve missed, but this seems the simplest, most direct, and most robust music creation, distribution and consumption model.

And I know it’s easier to say in a blog post than to achieve, and that the music labels still retain enough pull and advertising budget to be able to theoretically make every stage easier, more polished, and potentially more far reaching through their ability to book advertising in mainstream media and invest in the physical media and distribution with ready cash – but increasingly those days will fade. There’s no need for me to track down a rare vinyl album to establish my musical credentials with my peers as we pore over the cover and inner sleeve – unless I’m DJ’ing, it’s quicker, easier and just as good for my reputation to email an mp3 or a link to someone obscure or new. And whether you believe in influence, or emulation, if the conditions are right, that content will continue to spread, with or without support.

For instance, Youtube phenomenon OK Go had already achieved success via a major label and broadcast appearances – but did that do more than the $10 video released without record company knowledge that got seen 9 million times? Or the follow-up, which has now been seen 40 million times on the official profile on Youtube alone? (In case you missed it, here it is!)

For a more recent, homegrown example, check out Ben Walker’s Twitter Song and the story behind it.A fun ditty aimed at Twitter users as a bit of a social media experiment gets viewed 272523 times at the time of writing, and leads to interviews on national radio!

And from a financial point of view, I’ve tried to find the quote that stuck in my mind as an aspiring musician, from guitar legend Joe Satriani. He revealed that although his major label albums had brought him more fame and publicity, it was his independently recorded and released records that brought him the income he needed.

I don’t think the record companies will cease to exist this week or this month. But I think the angle of decline will increase to terminal velocity pretty soon, and I can’t see any label making the moves needed to avoid it or even flatten it out. Instead I see sites like SlicethepieAmie Street, Sellaband etc. And there’s the romantic notion that it revisits the idealised days of Stax Records allowing people to come together for the music first and financial rewards second. After all, the people with access to recording booths and vinyl pressing plants have had the power for long enough. If they don’t offer consumers and artists anything of significant value, they become redundant.

So who’s going to help me keep shaping this into a more in depth vision of the music industry? Where is the future taking us, and are there more examples of internet delivery and fame creating new success?

Getting paid to play… social networking for cash…

A new social network site is offering to pay users for taking part. Yuwie aims to reward users for activity and referring more friends to the network, taking inspiration from old-style pyramid schemes.

You get paid for changing your profile, posting content, and when users look at your profile and content. And you get a share of everything from anyone you introduce, and anyone they introduce, up to the 10th level. So far, so multi-level marketing.

As for the actual site, it’s OK. It’s no Facebook beater for functionality, but it’s comparable to Myspace etc, with more focus on connecting and gaining views than actually on your profile appearance. Not surpising for something which is about getting an absolute shedload of connections in an attempt to grab some cash.

The scheme itself gets detractors picking up on the pyramid nature of the scheme, the high input versus low reward, and the encouragement to spam everyone you’ve ever met in the quest for a few more cents. And I think they’re all valid points.

If you do still want to try it for yourself, obviously I have to advise you to use my referral url: http://r.yuwie.com/badgergravling

I also have to say that so far, any commentary on the site gives rise to spam posts from Yuwie fans/employees/bots, so I look forward to 20 comments on this post tomorrow. And then deleting them all.

The interesting thing for me is how many people will be enticed to take part in the experiement. Most Long Tail and UGC fans promote the idea that the prosumers in the long tail aren’t doing it for the financial reward.

I’d strongly and heavily debate that someone spending hours creating videos, songs, apps and blogs isn’t looking for some type of reward, and that it’s a lack of opportunities to be reimbursed currently which has meant a focus on reward from social recognition and status etc. Sharing and exchanging ideas and knowledge improves the standing of everyone involved, but that tends to be more readily accepted by those who can afford to do it.

And when something like Yuwie comes along offering the chance to combine financial reward with social status and recognition it’s an interesting case study.

As of tonight, Yuwie is claiming 183,448 users, 78,471 this month, and 2697 today. That’s a fairly good curve to be on for the short term. How the business idea and interest pans out will be more interesting, as more people will be spreading the word about their good and bad experiences, and others could adapt the business model.

Interestingly Alexa shows a huge growth for Yuwie over the likes of Virb (which is a far nicer networking tool for design etc), although obviously it’s far smaller than most of the established names at present.

If not, there’s always the low paid, labour intensive prospect of Amazon’s Mechanical Turk. Or Deviantart for artists. Or for musicians, how about Amie Street to upload and sell your music for a web 2.0 crowd set price.

There’s a lot of options for the talented but financially uninterested. And the one great thing about the internet is that if you invest the time and effort, you can hedge your bets by going for more than one outlet…

Now that’s a Long Tail…