Tag Archive for 'digital distribution'

Hypebot: Microsoft Sends Indie Labels Bonus Checks

Zune logoAs reported by Hypebot and in what is a very cool move in my opinion, Microsoft Zune recently sent substantial one time bonus checks to some digital distributors and independent labels. The checks appear to be the company’s answer to criticism of payments as high as $1 per player extracted by Universal Music Group and other major labels granting permission for Zune’s music sharing functionality.

The move is being categorized as “a corporate decision to demonstrate their commitment to the independent sector in a manner we all appreciate: rather than simple lip service, they wrote a check,” by The Orchard and “a smart move by Zune at a time when concerns are being expressed over treatment of the indie community,” by IODA CEO Kevin Arnold.

Listening Post points out the move could increase pressure on MySpace Music, which was built by the indie sector, to start treating indies with the same degree of respect (read: money) that it gives to the major labels. The recent equity position offered to major labels by MySpace Music and cash advances by some new music services have led to concerns that the indie sector was not receiving its fair share.

Check out the Hypebot post for Microsoft Comments as well as full text of The Orchard letter.

Hypebot: Microsoft Sends Indie Labels Bonus Checks

Microsoft Zune Pays Bonus To Indie Labels | Listening Post from Wired.com

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Now playing: Santogold - L.E.S. Artistes
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TuneCore — Helping Artists Digitally Will Now Help Sell CDs On The Cheap

TuneCore LogoTuneCore, pretty much the best thing going for Artists to digitally distribute their music through iTunes (globally) and other major digital stores (Rhapsody, Amazon, eMusic, MediaNet Digital, etc.), will now branch out into physical CD distribution on April 1, giving artists another way to sell their music.

Artists will pay an undisclosed “low” fee for the first year of distribution, and some other amount after that (a company representative says the fee will be on par with what it charges for digital distribution — in other words, next to nothing). In return, TuneCore will create a flash store that can be embedded on the Artist’s websites in order to sell the physical discs.

Artists will still manufacture their own CDs, set their own prices, and design their own cover art and liner notes. Going forward, there will also be an option to pay for CD manufacture with revenue from digital sales. TuneCore will process the orders and ship the CDs, giving 100 percent of sales revenue to the Artist.

I have used TuneCore and it is the real deal. Super easy, great accounting reports and a non-exclusive agreement of which you can opt-out at any time. Last year when I began looking for a digital aggregator to distribute an album for a band I represent, I first contacted IODA and The Orchard. They both wouldn’t deal with an Artist / Label with only one catalog release. So I found TuneCore and I am glad I did. It is truly a ‘no-brainer’. Their model is based on that of FedEx, whereas all delivery fees are paid upfront. Here is an example of how the math breaks down to distribute digital music via TuneCore:

iTunes US Store $0.99
iTunes Canada Store $0.99
iTunes UK/Europe (many stores) $0.99
iTunes Australia/New Zealand $0.99
iTunes Japan Store $0.99
Rhapsody Service $0.99
Amazon MP3 $0.99
GroupieTunes/Music.com $0.99
eMusic Store $0.99
Napster Store $0.99
Ten Songs @ $0.99 each $9.90
First Year's Maintenance (increased from $9.98) $19.98
Grand Total (for first year) $39.78

So, for an album of 10 songs it’s a grand total of $29.78 $39.78 to get the music in all the major digital stores. Then there is a $9.98 $19.98 yearly maintenance fee going forward to keep the music in the stores. The Artist gets to take home 100% of all revenues. It doesn’t get any better than that!!

UPDATE/CORRECTION from Peter Wells of TuneCore in the comments: MediaNet Digital doesn’t accept content from anyone anymore, so they had to pull it. Same with Sony Connect. They have added GroupieTunes, which goes to Music.com and does ringtones! Songs are still $0.99 each, but the yearly maintenance fee has increased and is now $19.98.

Dirt-Cheap Digital Distribution | Listening Post from Wired.com

TuneCore Will Help Bands Sell CDs on the Cheap | Listening Post from Wired.com

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Now playing: Coconut Records - Nighttiming
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