Summary Flashcards
(8 cards)
Trends
- Streaming is most popular - dominated by Amazon, Apple and Spotify
Growing number of streaming subscriptions = becoming a significant revenue source for artists
- Physical sales are becoming more popular again - especially CDs and Vinyl records
- listeners appreciate physicality of records
- provides a more authentic sounds
- vintage attracts both older and younger generations reminiscing and retro trends
- direct way to support artists
- Record store day - 2007
- Downloads are the least popular
To increase user engagement
- platforms like Spotify use advanced algorithms to curate personalised playlists such as ‘Discover Weekly’
- shifted listeners from active searching to passive discovery, impacting how new music is consumed and popularised
- AI used to analyse user preferences, refining recommendations and influencing listening patterns
- reliance on algorithms creates a challenge for visibility
Social media influence:
- Led to revival of older songs
- Many popular music choices made popular on TikTok
- Musicians using TikTok as a promotion service
UK Markets
Music market:
- independent shops = Rough Trade, Banquet records
- national chains = HMV
- online platforms = Amazon
- supermarkets = Tesco and Asda
Growth strategies and objectives
Growth:
- Retailers moving online to increase market reach
- Mergers and Takeovers
- Vertical integration and diversification
- Growth in niche markets such as Vinyl
Challenges:
- market saturation
- changes in music consumption
- artists not payed fairly
- illegal downloading
- harder for small shops to survive
Objectives:
- increase market share = Spotify
- profitability and sustainable revenue = subscriptions and bundling
- Customer retention and brand loyalty = subscription models, personalised playlists
- Artist development and catalogue expansion = signing emerging artists
Global music recording and distribution
Major companies:
- Universal music group = biggest in world
- Sony music group
- Warner music group
Standardisation or localisation of music
- ethnocentric vs polycentric marketing
Streaming royalties = money paid to artists when music is streamed
Music Entrepreneurs
Responsible for turning an idea into an event
- dates, locations, audiences, schedules
Financial management
- budget for all costs and find ways to earn money = apply for funding or investment
- many rely on early bird offers to raise money for upfront costs
Artist and supplier management
- negotiate contracts
- have to keep artists happy
Logistics and operations
- manage access
- set up equipment
- health and safety checks
- get license/permission from local council
Qualities needed:
- Innovation
- Risk taking
- Leadership
- Adaptability
- Network building
Challenges:
- Securing funding
- Booking artists
- Effective marketing
- Contingency planning
Live music events in the UK
Well Known events:
- Glastonbury - started 1970, organised by Michael and Emily Eavis, attracts 200k people
- Reading and Leeds - Rock, Punk, Metal and indie line-ups
- Download festival - Heavy metal and Rock
- Isle of Wight festival - revived in 2002, originally famous for its 1970s events
- Wireless Festival - Centres on hip-hop, grime and R&B
More than 300 planned events in 2025
Requires many different businesses to coordinate and work together:
- Promoters
- Venues and infrastructure providers
- Security and crowd control
- Food and drink vendors
- Ticketing platforms
- Sponsors and partners
Live event revenues:
- Ticket sales
- On site sales
- Sponsorship and brand deals
- Streaming or broadcasting rights
Trends and innovation at live music events:
- RFID wristbands and mobile apps
- Focus on sustainability = banning of plastic bottles and encouraging reusable cups and bottles
- Growth in digital platforms and online festivals
Managing resources at live music events
Human resrouces:
- hire temporary staff
- train staff in safety and customer service
Physical resources:
- staging, lighting and sound
- toilets and accommodation
Financial resources:
- budget planning
- income from tickets, sponsors and extras
Information resources:
- ticketing and artist schedules
- communication and coordination
Risk and contingency management:
- common risks
- insurance and back-up suppliers
Sustainability and compliance:
- legal compliance
- eco-frinedly actions
Case Studies - When things go wrong
Boardmasters = cancelled in 2019 12 hours before gates due to open as a result of safety concerns over extreme weather
Caused temp workers to have nowhere to stay and had travelled long distances
Much of the infrastructures was damaged
Many of the costs had already been paid so they lost millions in revenue and over £5000 in wasted supplies
Information was poorly distributed with many finding out only online
Poor contingency planning as the timing was too late
Large amounts of waste were left behind
