Tag Archive for 'selling music'

Rock Acts Ringing Up Sales Via Video Games — Reuters / Billboard

Guitar Hero & Rock BandEveryone keeps trying to figure out “how to save the music industry”. Doesn’t anyone realize video games like Guitar Hero and Rock Band are it? I would argue that playing these games is more engaging than attending an Artist’s live show, and engagement is the answer. This is a full-fledged phenomenon and eventually we will see a well known / brand name Artist release an entire album of new music in Song Pack format before the music is in retail stores. Check out this recent article from Antony Bruno of Billboard…

DENVER (Billboard) - Games like “Rock Band” and “Guitar Hero III” have proved their ability to breathe new life into classic rock sales. But can they do the same for new music?

Last month, Mötley Crüe decided to find out. The band placed its new single, the title track from “Saints of Los Angeles,” for sale as a downloadable track on “Rock Band” well in advance of the album’s release date, which has been pushed back to June 24. The only other place to obtain the track was iTunes.

According to data provided by the band’s management, Tenth Street Entertainment, the track was downloaded more than 47,000 times via the Xbox 360 version of the game alone in the first week after it became available. (”Rock Band” publisher MTV Networks was unable to independently verify these figures, and total downloads that include the PlayStation 3 version of the game were not available.)

By comparison, the same track received slightly more than 10,000 downloads via digital services like iTunes and Amazon, according to Nielsen SoundScan.

That’s a pretty big discrepancy considering that music bought via “Rock Band” can’t be transferred to a portable music player or even a computer for later enjoyment. It can be played only via the game.

FINDING THE AUDIENCE

Tenth Street CEO Allen Kovac shrugs off the gap in sales between formats, pointing out that a sale is a sale. In an age of rampant piracy, reaching fans where they are willing to spend money is the primary goal.

“We do research on every artist we have, and the research said that the people who bought Mötley Crüe music and tickets play ‘Rock Band” and video games … (so) it was our inclination to go there,” he says. “As marketers, it’s our job to find the audience. If our audience tells us they’re sitting at Xbox and PlayStation, that’s our job to do that.”

In slightly more than six months, the number of songs downloaded to the “Rock Band” game has surpassed 10 million tracks, according to MTV Networks, while song downloads from “Guitar Hero” passed 15 million, according to Activision. With more than 100 songs available for download via the “Rock Band” platform, that’s an average of 100,000 downloads per song sold through the game.

That average, though, is somewhat skewed: Since new songs are added to the “Rock Band” store weekly, tracks available for sale since November have sold more than tracks added just last week. Still, it’s an impressive figure.

By all accounts, catalog tracks sell best. Seven of the top 10 best-selling songs available on “Rock Band” are catalog titles; the other three are more recent, but still a few years old. Of all the songs available for download on “Rock Band,” more than 75 percent are catalog tracks. The rest is primarily music released within the past year. Only a handful of songs are previously unreleased new music or music from unknown acts using the game to get noticed.

TURNING THE TIDE

One such example is new metal act Black Tide. When its “Light From Above” album was released November 11, 2007, the single “Shockwave” sold only a few hundred copies per week, barely registering on Nielsen SoundScan. The week before being featured as a downloadable song on “Rock Band” on March 11, the single sold 1,000 downloads. Two weeks later, download sales doubled.

Yet sales on “Rock Band” were 10 times that of those on iTunes and other stores. In the six weeks following the “Rock Band” debut, “Shockwave” sold 6,000 digital downloads via online retailers, compared with an estimated 60,000 downloads via the game.

And “Rock Band” isn’t the only game hawking new music. Def Leppard chose to release its new single “Nine Lives” as part of a three-song bundle on “Guitar Hero III” on April 24, along with past hits “Photograph” and “Rock of Ages.”

The “Guitar Hero III” download totals are unavailable, but first-week figures from SoundScan show that it sold about 7,000 downloads. The album it was meant to promote, “Songs From the Sparkle Lounge,” sold only 55,000 physical and digital units combined in its first week.

But Tenth Street’s Kovac says “Rock Band” and “Guitar Hero” sales don’t necessarily need to convert to album or digital download sales on a one-to-one basis to count as successful. Today’s generation of music fans, he says, may be interested only in buying the game version of new music, enabling an interactive experience that has been sorely lacking lately.

“The resurgence of rock has happened because of ‘Rock Band’ and ‘Guitar Hero,’” he says. “And the reason is because of the interaction with the audience. The more music marketing people look at interaction with the audience as opposed to only radio or a video, the more lasting the experience will be and the longer the artists’ career will be.”

Guitar HerosIncidentally, Guitar Hero III Mobile has become one of the fastest selling games in mobile gaming history. It has shattered mobile game records with nearly 1 million downloads, including monthly subscriptions, across all wireless service providers. More than 250,000 songs are played every day by mobile subscribers across the U.S. The set list currently consists of 18 songs and 3 new songs are added every month.

And in case you haven’t heard, an Aerosmith version of Guitar Hero is due out at the end of this month. Metallica will be the next band to receive the full-on Guitar Hero treatment as a Metallica version of the game is due in early 2009, ending months of speculation about which band would be featured next.

Due in late October 2008, Guitar Hero IV (World Tour) will introduce massive changes to the traditionally guitar-focused series, starting with a drum set addition meant to knock Rock Band’s kit offstage and a Battle of the Bands mode which allows eight players to join online and challenge each other band-to-band to determine who is the best of the best.

Game developers Activision and Neversoft have said they will release more downloadable songs for Guitar Hero IV than they have for Guitar Hero III and plan to introduce a new music-creation tool. The new Studio Mode will let users not only freely jam over songs in the game but also create and upload their own original tracks. Using a vertically-scrolling grid, you’ll be able to record rhythm, lead, melody, bass and drums (sorry, no vocals) and create loops and effects.

Music just doesn’t get any more engaging than these incredible games - the live experience or otherwise.

Rock Acts Ringing Up Sales Via Video Games — Reuters / Billboard

Guitar Hero IV Details Revealed — IGN

Guitar Hero® III Mobile Rocks Its Way To Bestseller Status — Hands-On Mobile

—————-
Now playing: My Morning Jacket - I’m Amazed
via FoxyTunes

Newbury Comics: Vinyl Selling $100,000 Monthly — Digital Music News

Indie Record Store VinylDigital Music News reports on a great article in the Boston Globe on the resurgence of vinyl records. The format continues to attract interest from both nostalgic buyers as well as curious teens and twenty-somethings.

At present, the format remains a growing niche, and an interesting trend. According to shipment figures supplied by the RIAA, sales of vinyl LPs and EPs moved to 1.3 million units in 2007, up 36.6 percent from 2006 figures. That represents a dip from 1997, which featured a total of 2.7 million units.

“Right now, we’re selling about $100,000 a month worth of vinyl,” Boston indie music store Newbury Comics cofounder and chief executive Mike Dreese recently told the Boston Globe. Dreese pointed to annual gains of 20 percent over the past five years, and an 80 percent surge this year. It’s a throwback to something that’s tangible,” he says. “The CD was a tremendous sonic package, but from a graphic standpoint, it was a disaster. People still want a connection to an Artist, and vinyl connects them in a way that an erasable file doesn’t.”

Josh Bizar, sales director for musicdirect, a company that specializes in analog products ranging from new and reissued vinyl to turntables adds,

“It’s unbelievable how much vinyl’s coming out. We’re seeing this explosion of young people under 25 who never even saw an LP as a child running toward a format that was pronounced dead before they were even born. If a title has any kind of mass appeal, it’s coming out on vinyl today.”

“Owning a record album is certainly a lot cooler than owning a digital subset of zeroes and ones on a computer. And the simple act of playing an LP takes a certain single-mindedness that seems to go beyond today’s culture of multitasking. It’s not as easy as just pushing a button.”

Sales of albums and accessories like needle cartridges and record cleaners have jumped 300 percent in each of the past four years. Sales of turntables have spiked 500 percent annually during the same time span.

Indie label Merge Records founder Mac McCaughan estimates that for every 10 albums his label puts out as a digital download or CD, eight get a vinyl release. “It’s not going to come back and replace CDs or MP3s,” he says. “If you do it right and make the vinyl heavy and make the packaging nice, it’s everything that people liked about music in the first place.”

Newbury Comics: Vinyl Selling $100,000 Monthly — Digital Music News

Vinyl Goes From Throwback To Comeback — The Boston Globe

—————-
Now playing: Elbow - One Day Like This
via FoxyTunes

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

—————-
Now playing: Coconut Records - Nighttiming
via FoxyTunes

Study: Blog Chatter Can Triple Album Sales | Digital Media Wire

A study on blogs’ impact on music sales conducted by an NYU/Stern professor and a former student has found that the volume of blog posts featured on the Internet before an albums release can significantly affect future album sales, and in turn can predict sales for record labels. This is the first study to quantify the economic impact of user-generated content for the music industry. When legitimate blog posts exceeded a threshold of 40 before an album’s release, sales were three times the average, and increased five-fold if the album was associated with a major record label.

When blog activity reached more than 250 posts, sales were six times the average, regardless of label affiliation.

Additionally, an indie album with 240 blog posts in the observation period could overcome the disadvantage of being on an indie label.

According to Coolfer, the survey looked at 108 albums and tracked blog chatter using Technorati. The researchers only looked at CD sales by using the Amazon.com sales rank as a proxy. Had they been able to obtain Soundscan data to analyze digital sales, it’s likely the sales numbers for indie releases would have been greater as they have a higher digital share than major label releases.

Does Chatter Matter? — Archive @ NYU

NYU Researchers Study Music Blog Buzz — Coolfer

Study: Blog Chatter Can Triple Album Sales | Digital Media Wire

—————-
Now playing: Sonic Youth - Superstar
via FoxyTunes

Black Mountain / Yeasayer / MGMT

I went to the Black Mountain / Yeasayer / MGMT gig last Thursday night at Neumo’s. Earlier in the day I was at Easy Street Records to pick up some music. I was going to buy the Yeasayer album as well as the Black Mountain album for $11.99 each, but then I thought I should just wait and get them at the show for the anticipated price of $10.00. This was an interesting show in that most everyone came there to see MGMT, but they were playing right after the opener and before both Yeasayer and Black Mountain. I made a visit to the merch table to see the offerings and pick up a couple CDs. Both Yeasayer and MGMT were selling their CDs for $10.00 while Black Mountain was selling their CD for $12.00. I already had the new MGMT album. While I was planning to buy both the Yeasayer CD and Black Mountain CD, I only ended up buying the Yeasayer CD. I just couldn’t believe Black Mountain was selling their CD for $12.00?? Come on? Seriously, I could have bought it at the record store for that price! AND how can you justify selling your CD at a higher price than the other two (probably more-recognized) bands on the bill?

Well, as I stood around the merch table for a while I noticed no one was really buying the Black Mountain items. Their “manager” or whomever the older gentleman was representing them at the table, looked very unhappy that everyone was buying the merch from the other two bands. And Black Mountain was technically the headliner. All I could fathom was, what a fucking idiot! Why did you ever think you could get away with that? Why wouldn’t you just sell the CD at the same price as the others? For that extra two dollars you believe you deserve, you are totally fucking over the band by building a barrier between them and a growing audience. That extra $2.00 was stopping everyone from taking home their music. Granted, maybe it was the band’s decision to sell it for a higher price. But I really doubt it.

My first instinct was to think, “Wow, that manager really made an incredibly stupid decision.” It stopped me from buying the Black Mountain CD (along with everyone else) and for the most part it I became disinterested in the band. I actually left before they even went on stage. Maybe they eventually sold some CDs after their set? However, I am sure it was no where near the fervor in which people bought the CDs and other items offered by MGMT and Yeasayer before they even played.

LESSON: Music is largely a spontaneous purchase, an impulse buy – born out of curiosity. Why not make it a “no-brainer”?

—————-
Now playing: She and Him - Why Do You Let Me Stay Here?
via FoxyTunes

Best Sales-Person In The Store?

Are You Sure You Can Sell This?Let’s work this one out: the world as one giant music store…

Who are the best sales-people (or, the best person to sell a piece of music to you) in the store / world?

  1. the Artist (seeing an Artist perform live)
  2. trusted and knowledgeable staff (music taste experts / media)
  3. friends with similar music tastes / interests (non-media)

Is there anything more to this? Does it ever go beyond this?

Mark Cuban: The Album Is Dead… — Blog Maverick

Blog MaverickMark Cuban (aka blog maverick), weighs in on music industry problems and proposes the idea of releasing songs in an elongated series the same way a television show season unfolds. He calls it serializing…

Reading last weeks billboard, something interesting popped out at me. The song Low Rider by Flo Rida sold 467,000 units in a single week. There were 27 digital singles that sold more than 100k units in that week. The obvious trend continues that people are ready, willing and able to buy singles of songs they like.

So the question arises, why don’t artists serialize the release of songs ? Why not create a “season” of release of songs, much like the fall TV season and promise fans that Flo Rida is going to release a new single every week or 2 weeks for the next 10 weeks?

Serializing the release of music also allows for the marketing arms to be in constant touch with sales and radio outlets. Rather than having to initiate marketing plans and hope to reinvigorate the interest in an artist, it becomes a digital tour that never ends.

Definitely an interesting solution. I would like to see someone try this.

The Album is Dead… - Blog Maverick