Record Label Marketing and Distribution
Record Label Marketing and Distribution
“Stay open, always listen.”
SWOT: “Strengths, Weakness, Opportunities and Threats” (chapter 14)
-A diverse and effective plan of attack for marketing
–Strengths: Does Artist have a successful history of radio airplay / loyal fan base through touring?
–Weaknesses: If Artist can’t tour due to health reasons, what are alternatives to personal appearances?
–Opportunities: Good relations w/ media for TV appearances/journalist interviews?
–Threats: Crowded month of high-profile releases / release of big video game that will drain teens’ pockets?
Execution
Identify the Target Market (who will buy this record? // what will be our HOOK to bait this audience?)
The Marketing Team
- Marketing Executives: Conception/execution of sales campaigns & providing sales aids to distributors/retailers
- Radio Promoters: Gaining exposure on the radio (interviews, special appearances, performances)
- Publicists: Getting stories, reviews, & news releases to online, print, & broadcast media
- Advertising Mgrs.: Conception, production, & placement of ads
- Product Managers: Receive budget from company & are expected to oversee a promo strategy, coordinate various departments, & execute the marketing plan. Assign certain personnel to certain geographic areas. Keep track of which radio/TV outlets are adding/dropping new release… If they see good airplay in a particular area, they may double efforts there in an attempt to develop a regional hit. Collect point-of-sale reports for CDs/downloads (info on the entry, rise, & fall of a recording), for guidance on how to spend (or withdraw) the money available for a campaign.
–Elements of Marketing Plan
–Strategy
- Promotions: usually w/ 3rd party (in-store displays, soft drink company, cell phone provider, street team)
- Publicity: journalists in radio/TV/mags/newspapers/websites create editorial content
- Art Dept.: renders sketches for cover art/one-sheet promo pieces//photographer is engaged
- Once copy is written, mechanical is rendered (the physical promo material of assembled graphic elements)
- Radio Promo: Station Formats: either singles-based (ie Top 40), or album-based (give full album, radio chooses which to play) (radio promo tours)
- Mailings, Phone Follow-Ups to a station’s Program Director can be used by promoters to seek airplay
- Payola: the practice of “pay for play”-essentially corruption, creating a conflict of interest for PD’s
- Beyond Terrestrial Radio: satellite radio, digital cable music channels, Internet radio, cable video music channels
- Dance Clubs: remix a single into a longer version favored by dancers
- Billboard Dance Club Play Chart and reporting DJ’s
- Advertising: advertising/promotion that induces Consumers to buy = pull-through (marketers use these expressions)
- Advertising/promotion that induces retailers/distribs. to order merch to put on sale = push-through
- Marketing Integration: deliberate interlocking of elements that feed off each other in a grand marketing plan (ie a paid ad placement in a print magazine that directs readers to a website)
- International Promo: strongest markets for breaking a new US recording: Netherlands, UK, Germany, Japan, Australia, & France
- Digital Marketing Opps: Email lists, label/artist websites, 3rd party websites, blogs, online music stores (The Orchard, Ioda, TuneCore, SirGroovy), social media, search engine marketing (keyword optimization)
- Types of Distributors: Majors: collectively account for the lion’s share of records sold in the US // have large staffs located in branch offices w/ 2 divisions (regional promotion & distrib./sales)
- Independents: have staff that calls/visits retailers, delivers merch, sets up store displays, makes deals w/ websites for downloads, & operates online music sales operations
- Rack Jobbers: a service business that places shelves in retail outlets // responsible for selecting product/restocking displays // today, they’re common in specialized niches (ie offering Latin product to retailers catering to Hispanic clientele)
- Since the 1990s, mass merchants such as Wal-Mart have sold the most physical product
- Record industry generally offers retailers generous returns policies, allowing return if the goods don’t sell
- Many retailers offer “price & positioning” opps. for labels to purchase (ie listening stations, racks at end of aisles or in prominent locations w/in store)
- Labels will also try to have point-of-purchase displays (ie one-sheet posters, banners, cardboard stand-ups, window displays)
- The co-sign or “feature” using label mate
Marketplace Research (Chapter 15)
- Research Topics: The Charts: Billboard (most popular music), iTunes (top-selling music), other online platforms (most sold & most played music)
- Demographics: all about the consumer (age, gender, ethnicity, income, geographical location, etc.)
- Record Categorization: record-buying public has repeatedly demonstrated that it is attracted by the SOUND of the music, not its type…this makes the ability to obtain research based on genre more difficult
- Data Sources: Nielsen’s Broadcast Data Systems: “listens” to terrestrial/satellite/Internet radio & stations/TV channels 24 hours/day in US, Canada, & Mexico // monitors broadcasts & recognizes songs/commercials by the “fingerprint” of its audio
- Nielsen’s SoundScan: tabulates unit sales of recorded music in US & Canada, both physical & digital product
- SHAZAM Vs. Spotify
-Zoning in on areas where artist fans are
– https://techcrunch.com/2017/12/11/apple-shazam-deal/
***ITunes has almost become more relevant than Billboard***
