TODAY'S MARKET HAS DIGITAL MUSIC & MORE

During the era of vinyl records, cassette tapes and eventually compact discs, who would have imagined that the computers being used for academic and video game usage would someday revolutionize the music industry?  Moreover, who would have imagined that one day record labels like Warner Music Group or Sony/BMG would incorporate technology updates alongside the latest music album release?  Probably not many of the consumers and maybe only a few trades people (especially record company executives).   However, since CBS records is planning to re-launch a former music recording nemesis by the name of MP3.com, the remote future is now the present reality.  According to a report in Billboard magazine back in June 2011, the CBS Interactive Music Group (even the name denotes change has arrived!) announced that alongside new music recordings, the web site of the new MP3.com will feature a tech blog.  The blog will feature updates about new gadgets and music related technology as well from the CBS sister company CNET.  Citing the early days of the digital music revolution when MP3.com was a “cornerstone” in the music business, CBS is positioned to build on that tradition. Although the new technology is exciting for fans and music trade opportunities in publishing and content development, many in the trade wonder if these changes are too furious for the music industry?  Whatever the final results of this latest endeavor by CBS and MP3.com, one thing for certain is that today’s music market is relying on more than just music in order to survive.  

REFERNCES

1) CBS Relaunches MP3.COM: http://www.billboard.biz/bbbiz/industry/digital-and-mobile/cbs-interactive-relaunches-mp3-com-1005243372.story ; Antony Bruno; June 21, 2011

TOO FAST, TOO FURIOUS FOR THE MUSIC INDUSTRY

Since 1999, the music industry has been rapidly moving to define, keep up, and maintain the drastic changes in the trade.  A change driven by such factors as an inevitable consumer revolution for digital media, technological advancement in media formats, and preserving traditional revenue streams in the midst of momentous shift. The rate of speed in which the restructuring of the music industry has been lightning fast – maybe too fast for consumers and trade professionals. In the case of consumer demands, the desire for MP3 format music in the form of peer—to-peer use on the inter-net was tsunami like (literally prompting many in the music biz to declare a state of emergency). During the consumer demands, the digital companies of 1999 decided to launch MP3 players into the marketplace (remember the first MP3 player – the Diamond Rio); however, according to music analyst at the major music conferences like Midem in France, the present day music listener between the ages of 21 and 35 were ‘a lost cause’ and efforts should focus on the emerging market audience (i.e. tweens and teens). True to the cause of preserving traditional revenue streams were those music companies who supported the RIAA’s campaigns of legal prosecution of high school, colleges and adults for downloading music illegally. Changes in the music business still seem to be moving a bit too fast and furious; although the consumer attitudes towards purchasing music has shifted since the advent of Apple iTunes store, real music ringtones, and other new technologies like social media or music cloud services. A recent case in point was the marketing collaboration between Target stores and Beyonce for her latest album entitled “4”. The physical release of CD albums began with a promise of providing digital content for purchasers of the deluxe album, however, the digital video and features were not ready by the release date, therefore, a sort of IOU had to be given to customers in order to redeem the content at a later date.  Yes, there has been a lot of progress in the last decade of the music industry, even so, there are constant reminders that customers, technology and new revenue streams are moving a bit too fast and furious for the music industry to keep up.

REFERENCES:

1) Beyonce, Target’s ‘4’ Plan: Exec. Explains Exclusive Deluxe Album, Store Shortage; BILLBOARD Magazine; Shirley Halperin – Hollywood reporter; July 1, 2011; http://www.billboard.biz/bbbiz/industry/record-labels/beyonce-target-s-4-plan-exec-explains-exclusive-1005260962.story