Friday, 10 September 2010

Background to the music industry

Introduction to the Music Industry



l Musical taste can be a controversial topic- almost to the point of tribalism.



l It is contentious because it defines and often signifies personality and lifestyle. Musical taste is about the way you dress, speak and sometimes act.




l However, all commentators agree that Music and its trends - sit at the epicentre of popular culture.



l Not only to the extent that an individual can derive a sense of identity but to the extent the global community can be changed by Musical Trends


l It is this ‘dynamic tension’ that exists between the artistic and commercial forces of underpins the success of this vast media business.



l A tension between the organic and synthetic



l Another feature to consider is the music industry ‘synergetic connections’ with other media forms – this codependence with other media means that a ‘mutual reliance’ can be productive and but also risky.



l Dominated by 4 trans-national corporations


¡ Universal/AOL-Time Warner


¡ Sony/BMG


¡ Warner Bros


¡ EMI


These are known as ‘The Majors




l Most majors also own, or licence, a string of smaller subsidiary companies in order to reach different kinds of audiences in different kinds of genre


l These companies are known as ‘Major-Independents’ and are operated under the “loose-tight” approach


l The Majors also exclusively distribute their own global product. They also distribute for their ‘Major Independents’ and other ‘True Independents’


l Finally, there are a huge number of small companies with little or no financial connection to the majors



l These companies often concentrate on a small number of artists, within specialised niches in the industry. These are known as ‘true independents’


l Most record companies organise themselves internally into several key areas:



¡ Artists and Repertoire (A&R)


¡ Marketing/Artist Development


¡ Promotions


¡ Legal


¡ Financial


l The industry as a whole has a complex relationship with a number of different media



l To be successful and artist must receive exposure via Radio, TV, Print media, Film, New Media. The co-ordinated simultaneous use of these media is known in the industry as a ‘Cross-Media marketing Campaign’


This relationship is ‘symbiotic’


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