Digital Music News put together a visual showing the mix of revenue streams for music over the past 30 years. CDs, which represented only 0.5% in 1983 grew to the dominant medium in 2003 when it was 95.5% of revenue.
In 2004 downloads appear on the scene (or begin to be counted) at 1.5% and are, in 2013 more than the CD with both downloads and streaming/subscription revenues eating away at CD market share.
This interview with Jimmy Iovine on the eve of the announcement of Beats Music goes a long way towards explaining how Beats and Apple might work together. Appreciation of sound and the ability to call bullshit on existing music recommendation engines (at 23:00),
I put in the Rolling Stones and Bob Dylan as my two favorite groups and asked for 10 songs.
What I got back were 3 John Entwistle solos, 1 Keith Moon solo record, 1 Mick Jagger, 1 Moby Grape, and 1 John Lee Hooker record.
What am I going to do with that? That’s the math solution.
“iTunes is great but it needs a step forward. . . most technology companies are culturally inept. . . we’re trying to marry math with emotions.”
It used be one of the lowest forms of selling out when a musician signed over their work to a brand campaign. Such was the stigma, Nike was sued for using The Beatles’ Revolution in one of their commercials. With declining revenues for recorded music, touring and merch remain the main sources of income for a working band. For older musicians that have family and want to stay close to home, Commercial Sync, or composing music for a brand campaign, can be a lucrative alternative.
A long way from the earworm jingles of the 60’s and 70’s, television advertising has become a way to not only earn the equivalent of months of work for 30 seconds of art but also a way for relatively unknown artists to break into the charts. Apple introduced America to Feist with the launch of their iPod Nano. It’s good money for the bands and if the product is right, playing back up to a brand can actually augment the band’s image and their association with a cool brand.
For the launch of Windows95, Microsoft licensed Start Me Up from the Rolling Stones as a way to kick off the biggest software upgrade in the company’s history and forever brand Mick Jagger’s crooning with a key feature of Win95.
Yo La Tengo previewed a track off their upcoming album, Fade, on YouTube. The track in the video above is Ohm and features a tree from Overlook Park in Portland, Oregon that is also on the album’s cover. Fade will be released in January.
I’ve written about the innovative use of the premium upsell as something instructive for anyone selling premium content. I just learned about the Flaming Lips Gummy Bear skull which they released earlier this year which has turned the whole premium upsell thing into an art form. I love it!
Embedded inside a 7-pound gummy bear skull is a USB stick with an unique set of songs from the Lips. The catch is you need to eat your way into the skull to “extract the music. As front man Wayne Coyne says, “You’re gonna eat it, you’re going get a stomach ache…but you’re gonna love it!”
And here is a clip showing Wayne dropping off the first five to buy the Gummy Bear Skull at a record store in Oklahoma near Wayne’s house.