What have a Wunderman planner, creative and suit got in common? They've all been intensely following and exploring the debate of free versus paid content. Constantly in flux, intellectually disputed and haunted by the spectre of big business, they're also finding that the current landscape is changing day by day. Part of our series on ‘free’.
Wunderman planner, Tom Gibby, explores the sea change taking place in the music industry, while it appears to have its head in the sand.
The music industry is still in denial and has been ever since one of the original file-sharing platforms, Napster, set sail through the digital ocean in 1999. Napster was swiftly scuppered by a cannonball-sized lawsuit from Metallica in 2001 and the music industry exhaled a (premature) sigh of relief. However, technology continued to evolve sharing platforms at an ever-increasing rate and everyone flocked to the next peer-to-peer service. So, is it the case that once you've tasted free, there's no going back?
Turn the clock forward and the music industry still seems shell-shocked. Besieged by legal music-sharing battleships, such as YouTube and Spotify, yet still attempting to police the increasing numbers of illegal file-sharing pirates.
For some, it's all too much. In late September, Lily Allen finally admitted defeat and walked the plank. She had chosen not to renegotiate her contract, nor did she have any plans to make another record in the future. While for some, this may have come as a relief, its effect rippled around the wider music industry signalling that something needed to change.
Embracing change
Some musicians, seeing the breakdown of traditional sales methods, have responded more positively.
Robbie Williams has just pre-released his latest album on Spotify. He’s certainly the biggest UK artist to do so to date and probably one of the only artists with enough clout to get their record company to agree to it.
In 2007, Prince gave away his album ‘Planet Earth’ to anyone who'd bought his recent tour tickets. He also gave it away with the Mail on Sunday and although the rag paid a large cash sum for the cover mount, they also sold an extra 600,000 copies, with a total distribution of 2.8 million.
The audience decides and decodes
In the same year as Prince gave away ‘Planet Earth’ Radiohead took a similar stance to distribution by making their album available to download for a voluntary and variable charge. While the PR value outshone the sale revenue, the timing was perfect. And now, as the social web goes mainstream, more musicians have started to tap into more engaging digital campaigns to create buzz and added value.
Turning fans’ propensity to share into a positive is how Muse decided to create buzz around their new album. They involved them in an interactive online treasure hunt called Project Eurasia during the pre-release campaign. Five-second clips of their latest single United States of Eurasia were hidden (physically, on 30 USB sticks) from Berlin to Tokyo. It was then up to their network of fans to find all the different clips, upload them to the web and piece the track together.
Tweet or die! Or both
Twitter is a music distribution mecca at present. Travis Barker and DJAM used Twitter hashtags to create ‘freevertising’ for their second TRVSDJAM album. Users visited http://twitter.trvsdjam.com and downloaded the new album for free in return for one tweet. This was a great strategy to cut the distribution chain while creating a huge buzz to help spread their music to a much larger audience. The plan was to boost interest in their live performances, a future thinking route for musicians to generate revenue. Tragically, however, DJAM’s untimely death would mean that this newly generated audience would have no such chance.
Going with the flow
All the examples above still relate to free giveaways, even if value is recouped through word-of-mouth and promotion. So, how is music industry monetising increasingly shared and artist-uploaded content? Sony Music is showing they're not far behind the curve; 'harvesting' the interest in Chris Brown's ‘Forever’ track being used in the viral hit "The Wedding Dance". Rather than having the video or audio track removed, Sony Music decided to capitalise on its popularity by running Click-to-Buy links over the video, giving viewers the opportunity to purchase the song on iTunes or Amazon. The result was that over a year after the song’s release, it reached number 5 in the iTunes chart. ‘The Wedding Dance’ video now has over 32 million hits on YouTube, which means a continued revenue stream for Chris Brown and Sony Music.
With YouTube increasingly becoming an online music video jukebox, tapping into ways of monetising both official music videos, as well as user-generated content, will surely become big business.
The point of no return
This generation of digital natives expect free content. In fact, they're not even put off by illegally downloading or infringing copyright. Yet, if a legal and easy-to-use alternative is available, it’s been shown they'll jump on it.
Tapping into buzz generation using Twitter's hashtags and the mindset of instant gratification only adds to the power of the download. And it's shifting again, from acquisition to access; a model which is now possible with streaming services including Pandora, Spotify and Last.fm.
So, are we seeing the music industry's last gasp before more artists follow Lily Allen and jump ship? As Dan Bull, the aspiring songwriter and creator of an open letter to Lily Allen, writes, "When you’re between the devil and the deep blue sea, you need to stop worrying about pirates, and adjust your sails."