The Emerging Free Music Model
The value of recorded music is open for debate, with peer-to-peer networks and file sharing changing the landscape of music over the past ten years, consumers are setting the value to “free.” Though music is becoming free to the average consumer, the cost of producing the music still needs to be compensated.
Since the cost of recording music in a professional studio is far from being free, artists and those working with them need to find another source of compensation if they are to release their music for free to the consumer. Audio engineers need to make a living, and we’re not about to ask them to forget Rupert Neve or their vintage microphones so the artist can cut costs. Mix engineers have developed their ability to blend layers of sound so we can enjoy it, and mastering engineers deserve the money they’re given so the album sounds great in any stereo. Undercutting this vital area of the recording industry would be a backward step in an already stumbling industry.
Investors paying for the studio time need to be paid back. Some might argue that ticket sales should cover these costs, but doing so would blur two industries: the recording industry and the live entertainment industry. Up to this point the recording industry has centered around the hit song and the sale of physical media, while the live entertainment industry is driven by tickets sales; one is failing miserably while the other has never seen better returns. The two symbiotic industries would need to merge if this is the answer.
One model that is being explored is the free music model. Recording and marketing costs are compensated through selling ads, and by signing contracts with sponsors. The music is then given away as a free download.
The months of September and November saw three examples of the free music model being explored. Myspace, Textango and Epitaph Records partnered to release the new Pennywise album as a free download. Myspace users can get the album by simply adding Textango as a friend.
SpiralFrog teamed up with Universal Music Group and launched an online store that offers over 1,000,000 downloadable songs and videos. They are compensating the costs by selling advertisement space on their website.
Several independent record labels are working together with Rcrd Lbl to release music for free. Rcrd Lbl is sponsored by Puma and Nikon, branding their logos on the Rcrd Lbl widgets. The widgets are viral, meaning that they can be placed on other websites, displaying the latest content on Rcrd Lbl. Theoretically the widgets will spread throughout the internet as people add them to their blogs, further branding the logos of Rcrd Lbl’s sponsors and spreading free music. Rcrd Lbl also posts news stories as a blog, aiming to develop regular visitors in the process.
A challenge to the free music model is the slowing US economy. Over the next twelve months, if the economy continues to stall, it stands to reason that smaller websites will feel the affects first as companies have less cash flow to invest in online advertisements. Websites must draw large amounts of traffic to attract wary advertisers in order for the free music model to succeed in the difficult months ahead.
The beauty of the free music model is that it is versatile. Anyone that is internet savvy with an understanding of the recording industry can implement aspects of a record label and release music. Though up to this point the free music model has involved traditional record labels, this may change in the near future. It won’t be long before artists will begin to sign contracts with websites embracing the free music model.
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Puddlegum began in 1997 as one of the first online music magazines. It is managed by Flick, and has gained respect from many in the recording industry.
Over the years Puddlegum has accomplished quite a few things we are proud of:
Being mentioned by Thom Yorke during a BBC Radio interview (concerning our Tens Theory), and being written about in Rolling Stone. We have also made the front page of TUAW, Digg, and VH1’s Best Week Ever, and have been featured on USA Today, and Reuters.
Contact Flick by phone: (574)386-0851
email: flick@puddlegum.net
AIM: pooroldflick
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[...] Puddlegum over gratis muziek. [...]
Yeap, you have made some very interesting points in your post. I’ve suggested that this New Music Business Model will become more of a trend for some of the same reasons you mentioned. In addition, many consumers are getting music for free anyway, so the question becomes not if, but when and how. How will the music business make money from the New Music Business Model?
[...] unknown wrote an interesting post today onHere’s a quick excerptOne model that is being explored is the free music model. Recording and marketing costs are compensated through selling ads, and by signing contracts with sponsors. The music is then given away as a free download. … [...]
[...] unknown wrote an interesting post today onHere’s a quick excerptOne model that is being explored is the free music model. Recording and marketing costs are compensated through selling ads, and by signing contracts with sponsors. The music is then given away as a free download. … [...]
[...] until you enable your stats, then they remember them forever) and I found this blog about “The Emerging Free Music Model“. So I checked it out and BAM my “Bundle Up” photo of my ipod in a sock was [...]