Nov
25
EMI CEO Elio Leoni-Sceti had strong words recently about the current state of the music business, saying that paying for music is seen by consumers as “voluntary”. As for why music sales have fallen over 20% over the last three years, this is how Leoni-Sceti responded:
“Partly because we didn’t adapt fast enough,” he answered. “And partly because we were one of the first content businesses to have to grapple with a business model that suddenly wasn’t a business model at all. Suddenly it became common for consumers - and businesses - to use our music without paying for it.
Source: Music Week
Nov
21
Online retailer Insound is achieving record profits by combining physical products with mp3 downloads, according to Billboard. It took a bit of convincing from independent record labels, but the offer, led by Sub Pop and Matador records, now includes over 500 titles.
Lenient royalty deals with forward thinking publishers and artists are what allow for this type offer. Giving consumers more value for their money, rather than placing extra restricitons on products they buy, seems a better model for selling proeuct.
