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Indie Labels Are Now Heavily Dependent on Major Label Distribution
You don’t need a fancy report to tell you this. Just look at what’s happened to the so-called ‘indie digital distribution’ space for ample evidence of major label domination. The Orchard now features a massive ownership share by Sony Music, INgrooves Fontana is substantially owned by Universal Music Group, and once-indies like IODA and Iris Distribution have been swallowed alive by the machine.
Indie groups like A2IM will scream that they’re still in control, they’ll blast Soundscan and the majors for shady marketshare counting. But according to a report just issued by the Consumer Federation of America and Public Knowledge, the fact that majors can get away with this creative counting proves they’re in a position of power. ”We interpret the recent brouhaha over the calculation of market shares as a demonstration that the independent labels have failed to diminish the market power of the dominant firms,” the report grates. ”We believe this dispute proves the continued importance of the majors, not their imminent demise. While independent labels have grown, they have been unable to escape from the domination of the major labels.”
But just how dominant are the majors in this picture?
“The independent labels are dependent on the majors for distribution of over 60 percent of their content, hardly a demonstration of their ability to challenge the majors with regard to fostering new distribution.”
Methodology please? The groups calculated that indie marketshare is roughly 30 percent regardless of the ultimate distributor. But when indie-only distribution channels are isolated, that marketshare shrivels to just 12 percent.
But who really cares about that? Universal Music Group, that’s who, especially as it tries to convince lawmakers to approve its pending acquisition of EMI. Which would explain why the label is suddenly trying to undo its marketshare-grabbing calculations with an “eleventh hour flip-flop,” according to the report. Because smaller marketshare means a smaller anti-competitive threat, which means the game suddenly changes. And both Consumer Federation and Public Knowledge, both ardent opponents of this merger, are more than happy to expose that game.
But wait: majors still control a massive amount of music the mainstream wants – across physical and digital. Which means the broader picture looks like this:
Perhaps this is just a prelude to the real problem. After all, massively-funded companies like Spotify aren’t paying royalty ransoms and doling out ownership stakes because it’s fun. ”Alternative distribution models must gain access to the content of the majors to succeed because, as we have already seen, the majors control such a large share of the music that sells across all media and genres.”
And more importantly, they can crush the small-but-growing level of independent marketshare by using these tactics. ”Major labels can stifle this competition by limiting the number of successful digital distribution platforms, which are the very places where independent labels’ offerings can compete with those of the major labels on a level playing field. The major record labels may accomplish this by withholding licenses entirely or by demanding high advances, royalties disproportionate to their market share, or an equity stake in the digital service as a condition of a license.
“Any of these tactics threaten the long‐ term sustainability of independent labels.”
The Indie Artist Launch Plan
Indie Artist/Band Career Got your atte
ntion? Good. Now obviously there is no ONE path to launching a career as a musical artist, whether you are going the Indie Route or aim to get picked up by a Major Label…
But I fear that the overwhelming DIY concepts saturating the already overloaded artist/musician is causing analysis paralysis and/or an unneeded amount of complication surrounding what one really needs to do to build your foundation as an Independent Artist or Band.
Throughout this two part article series I am going to do my best to break the component parts down to understandable and slightly over-simplified concepts to leave you with what I believe you’ll find very valuable insight and a message that you can apply to your life/career in some helpful way.
Or, screw it… If you read this article, 4 million dollars will fall out of the sky and land on your doorstep, and the girl/guy of your dreams will instantly show up in your life… Ok. NOW you’ll read!
But today, in retrospect of what I know now, and from working with artists and bands to progress and develop their career, launch albums, and get more clear on what they need to do and as a DIY Indie Artist, there are a few things I would do differently to build the foundation of my musical career…
This is what I would like to share, and exactly what I would have liked to have had someone tell me eight years ago, so hopefully you will be able to benefit from this.
What’s the Problem?
Read the rest after the jump! –Music Think Tank
There seems to be two root problems with growing an Indie Artist Music career amidst the DIY revolution:
1. Artist Career/Development – Developing your talent, the knowledge, skill-sets, and experience, to create the foundation for a long-term, sustainable career doing what you love
and
2. Clear Focus – Singularly focused-passionate and committed effort, with clear strategy and confident execution, done consistently, until goals and/milestones are achieved
Although, grossly oversimplified, the practical solution is-then, KNOWING, confidently, what few key things you should be doing, and then consistently doing them.
At the end of the day, that is all we can do. That is all anyone can do. We musicians are generally NOT great multi-taskers, and that is actually a good thing. If we nail our focus on the right things, for long enough, consistently enough, anything is possible.
Everything really boils down to that, right?
Because the “Tribe Building,” D2Fan model is undoubtably real, isn’t it?
It’s been proven, time and time again. It is the future for both independent artists and signed acts.
Plus the flexibility and room for creativity for those who truly believe, and are ready, is enormously wide open for you to fill in with your imagination and work ethic.
Undeniably… Anyone with certain – learn-able attributes and well developed talents with music that people enjoy listening to can generally build a fan-base as big and as creatively as one can imagine.
With that fan-base, you can seek funding, produce records, sell music, sell merch, make connections, and make money. It’s been done. There is no mystery about this possibility.
“…But Jamie,
it’s so easy to say these things, it’s not all that simple.” You are absolutely right. I do not disagree with that at all. It’s VERY tough. It’s just like ANY business or business venture because there is a ton of risk and a ton of things that have to go right, and NOT go wrong. You have to stay consistent, and work EVEN when you don’t FEEL like it.
You have moving pieces and people get on each others’ nerves… Unnecessary amounts of energy get spent on the wrong things.. People start to doubt themselves, misinterpret the “Signs” the “Universal Wizards” are sending out, and they give up, or slowly fizzle out, etc.
Look, for the most part, we all get that you have to do several things really well. You have to make great music. You have to market yourself and your music just as well, you have to manage your business, bla bla bla… These are all theoretically AND very practically, the truth. And you may understand that…
But if you don’t have a structure in place, one that is built on a solid strategy, and of which you enjoy doing almost all of the things, you are going to have a hard time staying consistent to the level that is required to make massive amounts of momentum, which is required to grow into a professional.
By that, I mean either make enough waves to get enough attention to get signed, or create a unique DIY career with your music or Band, or really anything else you can dream up for yourself.
Bottom Line…
Right Knowledge, Right Strategy, + Consistency = Get to Your Next Level.
Whatever that may be.
I think the reason that most bands/acts/artists/musicians who sort of flounder and make slow progress, who want to build a career today, don’t have the knowledge and the strategy when it comes to the business and marketing end of things…
This creates a blindness, and that lack of clarity = confusion, luck, chance type thinking, and this keeps people from growing their careers. In other words, they aren’t doing all of the things they know they can, and aren’t active in creating and shaping their career..
-Turning each show into an EVENT and capitalizing on the opportunities that present themselves
-Creatively hounding the local media folk to get some attention that you could build on
-Building and keeping in touch with your email list, and treating that as your biggest asset
Here’s how I know this is true… BECAUSE ARTISTS/MUSICIANS are the SMARTEST and MOST CREATIVE people I have ever me
t. Period. End of story, and I have been around just about every type of person.
This is different than a lot of other industries because unlike the get rich quick “opportunity seekers,” our industry has its heart in the right place. Maybe one of the only things we got right, but it counts for a lot!
The other VERY REAL challenge that we all face is… FOCUS. Website, SEO, Social Media, Booking, Marketing, Performing, Production, Picking kids up from daycare, dealing with family problems, staying healthy, IT IS INFINITE. There is too much information. You know this, you have heard this… But what do you do to overcome it? Do you focus and prioritize?
In other words, there is just too much information and ideas and things to try to manage that the basics sort of get lost, and some very basic things like creating a strategy for what you are going to do becomes ANTI-Music, or just “not rock and roll man…” Sure. It may not be the way Hendrix did it, but those days are long gone man.
Although, it’s no longer really part of the built in model by labels, let’s not forget that artist development is real.
I think for anyone just starting out in their career, the main thing to remember is that there is an INCUBATION period. Just as with anything. In any job, or any career, you put in the consistent work and you do certain things in a certain way for a couple of years… Then there is almost NO way, UNLESS you for some reason STOP, that you won’t conclude with one of two findings…
- This IS the foundation for the rest of my life, this is the right path, I have found my area, my audience, honed my chops, and know that I can grow a solid career doing this…
- OR, this is NOT the path for me. Maybe I don’t really want to do THIS, and by now you understand that. But you should know that fairly early, and you don’t need to spend two years performing in front of people if you hate doing it and do not love it.
Read the Feedback and Adjust
Be cognizant of the feedback you are getting… Of course, don’t just go and keep playing the same music at the same places if everyone keeps booing you off stage. Adjust, try new things.
This is not hard for artists and musicians, as most of us are intuitive, and can quickly tell whether something works, or something doesn’t. We just have to go out and try it. 
So What Are Those Key Things I Started To Mention Earlier?
Since Artist Development is OUR job, what ARE the things – that if you did and were consistent in doing would set you up for the best chance for success over a period of say two years time?
I had to break this article into a two part series because it got too long. So STAY TUNED for Part Two.
8 Simple Steps to Formatting a Proper Press Release
Here in the Cyber PR® offices, we quite frequently have musicians about to release albums this fall for press release writing services. We no longer write press releases for bands, but wanted to at least give you the basis for how to do so properly, should you still feel the need to release one yourself:
A press release should be one page only and on letterhead (if you do not have letterhead put your logo or your record company’s logo at the top). Your press release should be formatted like this:
1. FOR IMMEDIATE RELEASE
All Press Releases start with ‘FOR IMMEDIATE RELEASE’ written in the top left hand corner, and always in CAPS.
2. The Contact Information
Contact Info should include your first and last name (or the first and last name of a specific person) a phone number and an email address. The web address is optional here or you can include it at the bottom in the additional contact information section.
It should look like this:
FOR IMMEDIATE RELEASE
Contact: Ariel Hyatt (212) 239-8384
contact@arielpublicity.com
3. Headline
Next comes the Headline of the Press Release which should be simple and centered and bold
An example:
Jen Chapin to Celebrate Release of New Album With East Coast Tour
4. Subhead
This is an expanded part of the headline which brings the reader in and accentuate the headline by adding detail
An example:
10 city tour supports Ready, her new album on Metropolitan Hybrid.
Cities will Include Philadelphia, Boston, Portland, and Hartford.
5. Opening Paragraph: Location, Date & 5 W’s
The Opening Paragraph should start with (City, State) Date — This is so the reader knows where the information is coming from and how timely the information is.
Example: (New York, NY) June 20, 2012
And it should answer the 5 W’s:
Who, What, When Where and Why
This initial paragraph should always grab the reader and answer all of the basic questions the reader might have that are factual. If the release is to promote a show or a specific event include the full date, venue name , venue address, showtime, ticket price and ages as well as a link to the venue for further directions & information.
6. Second Paragraph: USP / Unique Selling Point & Quotes
This is the “meat” of your press release so make it juicy!
This will include further information, more details, an engaging story, a quote about your music, or about the topic of the release from reviewers, fans, a producer, a venue owner or an industry tastemaker (because what other people say is always taken more seriously and is more believable than your own hype) and the USP – Unique Selling Point – a short description that captures the sound of the music (pretend that the reader may never actually hear the CD and include what makes you stand out.
7. Final Details & Additional Contact Information
Here is where you would include all tour dates, a mailing address a link to your websites, and a place where a photo can be downloaded a link where the CD or tracks can be purchased or label contact add them here.
8. The 3 # # #’s – The End!
Now type this:
# # #
This indicates that the press release is finished and there is not another page.
Rich Band, Poor Band – Why You Should “Invest” in Pull Marketing
There is a very famous (and powerful) book called “Rich Dad, Poor Dad”, by Robert Kiyosaki. In the book, Kiyosaki explains that “poor parents” will recommend buying your home and “investing” $2,000 a month in your equity, instead of throwing it away on rent. “Rich parents”, on the other hand, would encourage you to find a property that you can buy for $2,000 per month, and rent to someone for $2,500.More