Photo: digital vincent/flickr.

Mr. Owl, How many clicks does it take to get to the rock n’ roll center of a retail mp3?

Let’s find out. A One… A two-HOO…too many!

Mr. Owl just BitTorrented right into your album because it was easier than buying it on iTunes. It took less clicks.

Jay Frank suggested counting “clicks to content.” iTunes and Amazon send you through more than 10 clicks if you don’t already have an account but P2P takes only four clicks on average, he said. Streaming takes one or two. Think YouTube or Google, who nailed it with OneBox—the player that appears in their search results. “Anything more than two clicks and you’re missing out on the majority”, said Frank, “Impress them fast.”

Ariel Hyatt asked NMS attendees to raise their hands if they’ve ever bought their own songs on iTunes. The crowd was split but most hadn’t. She used the analogy of cooking: you wouldn’t serve food to guests without tasting it first, would you?

“Make it easy to buy” said Tony Van Veen. Have “compelling offers” such as package deals or name-your-price, and “take away the fear of buying” with a money-back guarantee. He told the story about an 80s band (I forget the name of the band but please comment if you know it) who recently sold their entire back catalog + their entire future catalog + free entry to any of their shows forever all for $100. For a superfan that’s a compelling deal.

Ripping and Burning > P2P

Eric Garland and Tom Silverman talked about the so-called problem with illegal downloads. If it’s hosted on an upload site like RapidShare, then “there is a place we can bomb”, said Silverman, “but not with P2P.” Research showed that more music is actually ripped/burned than it is shared via P2P.

Bombing the service provider is no solution when “people and their insatiable appetite for free music are the real problem.” –Eric Garland, CEO, BigChampange.

The desire for free music isn’t going away. Don’t blame the consumer. Musicians need to find ways to work free into their strategy. e.g. Free downloads for email addresses. Use free to convert strangers into fans. Tony Van Veen said, “Free music is the way to do it. Aggressively offer free. Do swaps. Use P2P. …Don’t fear free. …Build your list. …Don’t be afraid to steal a good idea and make it your own.”

If they’re stealing from you, then you’re on the right track.

“You’ve just got to be open and free, because that’s the way people want to get content on the web”, says Dallas Penn. “Don’t be afraid of someone stealing your work so much, just have more work to give, and, if people are stealing it, you know what you’re onto something. You’re moving in the right direction.” continued Penn, who runs the vlog internetscelebrities.com. Frank Talk summarized it in poetic terms, “If they’re stealing from you, [then] you’re on the right track.”

Everything can be adapted into digital content—think YouTube or think Flickr. Take hip hop producer Oddisee, who describes his internet-centralized strategy as being circular, wearing many hats, and promoting himself with content: “Everything I do is circulatory…You can’t just rap, you can’t just make beats, you can’t just do one thing anymore. It’s just impossible.” Oddisee uses free content as a means of promoting paid content. He distributes his music via oddisee.bandcamp.com.

If I Ruled the Blogosphere was a panel discussion hosted last month by the Future of Music Coalition and Words Beats & Life. The talk covers many sides of producing/curating music-related content on the web. It’s a bit long—in two parts below—and includes Q&A in Part 2. But when it came up in my Reader feed (via Digipendent) I put it on play while I was working and listened to it all. Anyone involved in blogging, music, or using the internet—pretty much everyone—should find insight from it.

The price of music on the web is heading towards zero. Artists need to use the web to centralize their fan base and reach out to them. But for that to work, fans need to connect with the individual as much—or more than—the music itself. “If people invest in you as an individual before they invest in you as an artist…you know…I mean’s there’s a lot of talented rappers out there…there’s a lot of talented poets…you know…painters…illustrators, but if nobody can connect with that person’s individual story, then they’re just another person doing it.” says blogger FWMJ of Rappers I Know.

As far as avoiding blog shutdowns, Meka Udoh from 2dopeboyz.com encouraged embedding players from other sites rather than posting mp3′s on your own server. I gave similar advice in February when several blogs were shutdown because of the DMCA. Especially in the case of Bandcamp embeds, the data goes back to the artist. It’s a win-win-win—it helps the blogger, the readers, and the artist.

1. High-Octane Friend-Filtered Content

The voices of consumessegers are magnified by the network. Facebook’s upgraded social plugins (e.g. the epic like button integration) are putting fan-driven music into overdrive by making it easier to share your likes with your friends. Take a look at likebutton.me when you’re logged into Facebook and you’ll find an aggregation of your friends likes. Ask yourself, what is it that people share on the web? The answer is better content. Whether it’s entertainment or information, people tend to share the content that they regard as better a.k.a. worth sharing. A lot of shared content comes from mainstream sources, however—like unknown awesome bands—there is plenty of awesome less-discovered content. With the new like button integration, Facebook is changing the mentality around sharing—it’s as easy as liking now. They’ve made it extremely easy to share. The outcome of this is higher-octane friend-filtered content which should help us discover the best content out there.

2. Different Strokes For Different Folks

For some, music is a career, for others it’s recreation, and many players feel stuck in the middle of the spectrum like a pedestrian on a highway median. The overall music scene is expanding and becoming more diverse genre-wise. There’s enough lanes for a steady flow, and that stuck feeling is mostly mental. Music selection is heading towards infinity. Listeners want what listeners want—each has their own taste—but they have to be exposed to it first (unless they decide to create it instead). Is there maximum amount of creativity in the world? Hell no! The roadblocks of physical world don’t always exist on the web. They are a mirage. But everyone sees from a different perspective. When you stop squinting and open your eyes wide, do you see the open road, of a traffic jam?

3. Fans Behind The Wheel

It all starts with a few people who believe in something to the point that they are motivated to share it with their friends. These fans create ignition sparks by influencing their friends. Who’s controlling the music-industry steering wheel now? It’s the fans who dominate social media and communication.

4. Where’s The Free Petrol?

Chris Anderson in 2008: From the consumer’s perspective, though, there is a huge difference between cheap and free. Give a product away and it can go viral. Charge a single cent for it and you’re in an entirely different business, one of clawing and scratching for every customer. The psychology of “free” is powerful indeed, as any marketer will tell you. (Free! Why $0.00 Is the Future of Business)

7:30 Kevin Breuner: I find myself kind of caught in the middle of that being an artist myself who is making music and putting it out there for sale. but at the same time, someone passes me a band that I’ve never heard of, and technically it might be illegal to download the tracks. But at the same time I’m thinking I wasn’t going to buy it anyway, it didn’t cost them anything to get me this copy, and I might actually show up to a show because of it. (CDBaby Podcast #086)

8:00 Chris Anderson: Every band that puts there music on MySpace, which is to say every band, is on some level volunteering to give their music away for free in one form to drive demand for the others. (CDBaby Podcast #086)

9:10 Chris Anderson: Free music has been part of music for as long as there’s been radio. Radio is free music. No one—I don’t know of anyone—who objects to their music being played on radio, even though they may often get no money from that, because they understand the marketing value. (CDBaby Podcast #086)

Kevin Breuner in 2009: The future of music lies completely within the artist’s hands, period. If they want to focus on selling recorded music and their fan base will continue to buy it, selling music will be a big revenue stream for them. If they are fantastic live and want to give away a track to entice people to come to a show, then live shows may be their big revenue stream, but it’s all up to the artist and what their fan base will allow. The future of the music business is NOT in the hands of companies who dream up business models that artist should follow. The future is NOT free music because some guy with a degree and years working in the industry says so. The business plays by the artist’s rules now, and that scares the pants off the gatekeepers that used to make a living deciding what the artists could do. (Music will be free + Touring is where the money is = BS!)

Digital freebies are essentially a free source of advertising, but only if there’s a method behind it. For example, there’s giving away an mp3 in exchange for an email address. Why’s email important? Ian Rogers, the CEO of Topspin Media (an avant-garde service for midstream–mainstream musicians), reported that close to one-third of their artists’ revenue is driven through email alone and stressed the importance of “being where the fans are.” But here’s a question—does a single fan today account for more, or less, net revenue in the long run? What free tactics do you have packed in your trunk?

Paramore outperforms both on and off the stage.

Why do I like Paramore? They are kick-ass live performers. But I’ve never seen them in person. Hulu delivered them to me last year when I saw them perform Ignorance on Conan O’Brien. I knew of them before via Andrew Kendall’s photos, but seeing them on Conan is what engaged me to find out more. I searched “paramore live” on YouTube. I was impressed with their energetic live show and fan-driven website, which I wrote about highlighting their fan community and presence in the social web. Paramore fans go the distance because Paramore does the same for them.

Live music trumps studio recordings.

The best music is live music. Right now I think live video footage is the next best thing—whether it’s live-as-in-streaming or recorded live events. I don’t have a cable television. But if I’m looking for home entertainment I go straight to Hulu. As far as TV goes, if it’s not on Hulu, then I don’t watch it. In today’s music industry putting out video content is a must, especially live video content. In fact I think that’s where über-commercial Vevo has it wrong—lacking rawness and intimacy. I’d rather watch bands on Hulu. The concert videos already on Paramore’s channel come from their live album The Final Riot! In my opinion, Paramore’s best videos are the live ones, and on top of the stellar performances the videos have stellar production. But even bands without access to top production can still produce video content by being creative, sourcing their fans to record or produce live videos, and distributing them with free tools like YouTube and Ustream.

Paramore tells a story.

In addition to music videos, Paramore’s Hulu channel contains a 30-min documentary on the making of their latest album Brand New Eyes. They attract fans not only because of their music, but also because they have a story to tell that their fans can relate too. Their story is about growing up—as a band, but also as people, and their fans can relate to that. The album’s theme is seeing people through brand new eyes—you have to accept the past to move on. Paramore has an intimate connection with the Internet Generation. The new channel enriches their existing fan community and exposes them to a wider audience—brand new eyes—on Hulu.

Timeline: Bands on Hulu.

In November 2009 Hulu partnered with EMI and launched a Norah Jones channel. The next month Hulu partnered with Warner Music Group launching the Muse channel in December, the Jason Mraz channel in January, and the Paramore channel yesterday. Hulu’s music content is hi-fidelity and free. Now what more can you ask for besides, well, more Hulu artist channels and frequent content, right?

Human Brain Connections by ethanhein on flickr

Censorship is the suppression of speech or deletion of communicative material which may be considered objectionable, harmful, sensitive, or inconvenient to the government or media organizations as determined by a censor. (Wikipedia: Censorship)

Google and China. Google’s motto is “Don’t be evil.” While often times in life a fine line exists—I can’t help but view internet censorship on the dark side. I hope that Google continues to act proactively against internet censorship in China, and the world. Unbiased information is fundamental to social and intellectual progress. People can handle the truth. Blocking sites means blocking progress. Attempting to “control” the Internet defies logic. Privacy and security are huge issues.

Image: flickr/the-g-uk

Let’s not be clueless. In my opinion censoring information—whether by government, institution, workplace—is an ultimate form of disrespect. I take it personally. If the question is “why” then is the answer “fear?” Are censors afraid of people’s reaction to the truth? Here’s the bright side—think about traditional news mediums like television, radio, or newspaper, and realize that the Internet is by far the most democratic and unbiased information medium in history. That’s the whole point—internet media needs to echo reality. We’re moving in the right direction—bloggers and citizen journalists are multiplying. More people worldwide are gaining internet access. Northern Europe and North America currently have the highest per capita internet usage. Global access is accelerating.

Can Vevo compete with YouTube? “Unlike YouTube, it will not also contain user-generated stuff that potentially scares off advertisers, which Vevo hopes will allow it to charge more for ads.” (Wired.com). The videos are meant to be “premium” content such as hi-fi official videos, interviews, and behind-the-scenes footage. In addition to needing killer video content, deciding factors in its adoption may be whether Vevo will embrace open media enough—for example by allowing embedding—and whether they’ll deliver the social, mobile features needed to build a community. Thoughts? Do you say…

Let us know what you think in the comment section below or on our Facebook page.

With the smartphones coming, and all these apps coming, the music business gets one more kick at the can, and I hope they don’t fight this one, because there’s a huge opportune to grow the business faster than what they’ve ever considered. I think there’s a huge sense of optimism for the first time in about five years that this business can actually grow. –Terry McBride in his 2009 interview with tech reporter Matt Hartley [video above].

Music is becoming more of a service than a product and Terry believes that in these digital times, context trumps content, access trumps ownership, and customer service is as important as ever. P2P filesharing should cease to be an issue as listeners increasingly prefer instant-access streams.

The second interview details the history of the Nettwerk Music Group as a DIY all-in-one company that developed by adapting to meet the needs of musicians and their fans. Towards the end he talks about joint ventures between musicians and non-music brands as being likely in the next five years.

I really think that the paradigm is shifting. I think within the next five years you’re going to have other brands inside the market signing artists. Brands will look at this going, well, we already use music within all of our TV, and radio, and, you know, internet media. Um, why don’t we just sign the artist? –Terry McBride, in his 2008 CMU-Tube interview [video below].

On my previous post, Musicians—Money Is Not Motivation, Dave MacDonald had commented that Terry McBride recently spoke positively about the music industry at TEDxVancouver in November 2009. That video isn’t available yet, but I hope they air it soon on TEDxTalks—I’ll keep you posted.

[homepage thumbnail photo: Flickr/stephen_dyrgas]

Carey is pioneering a new business model for music. She’s cutting deals with the kind of partners musicians have traditionally shunned, pushing herself into new areas such as publishing, tourism and food and drink. … “A lot of big powerful music-industry executives made a giant mistake,” she says. “They gave the music business away on the internet. If they had just sat back and said, ‘Maybe let’s figure this internet thing out, it could be something cool,’ we could have found a way to distribute music online on our own terms, not somebody else’s. … Musicians have long promoted non-music products. The Rolling Stones marketed Windows 95 with Start Me Up. Michael Jackson did endless Pepsi promos. And rappers such as P Diddy and Jay-Z have moved on from name-checking other people’s fashion and luxury-goods brands in their songs to create their own brands, usually in partnership with their record labels, and promote them instead. But Carey is breaking new ground in three areas. Mariah Carey: The gloves are off | Times Online

The internet has leveled the playing field. It has proven that content is king, and that those who work hard at delivering content can build a following. Artists have channels with live streaming video content and direct connection with their fans through mobile applications. The same opportunities exist for everyone, and they’re almost all free. You may think that endorsements and partnerships are only for megastars—but I don’t. I believe that indie musicians with smaller niche fan bases can make the same types of product endorsement deals and partnerships with brands or services that the megastars can. The trick is finding the right brands and companies to match up with. But if you have—for example—a Ustream or YouTube channel that’s getting hundreds of views on a daily basis then I don’t think it would be hard to pitch to a company that relates to your audience. Ideally your audience would be a target market for the endorsed product or service. Think big but also think local.

flickr.com/photos/eyesofrc/ / CC BY-NC-ND 2.0

There is no single exact solution for indie artists, but the best solutions revolve around leveraging social media and video streaming to maximize fan engagement. Visual content is a must. Video content is supreme. YouTube serves well over 1 billion views per day. Live videos are easy to stream with ustream.tv, stickam.com, or justin.tv and a decent webcam. For recording non-live videos I recommend HD pocket cameras like the Zi6 or Zi8, or smartphones that enable mobile uploads like the iPhone. Video is becoming more interactive by the second and mobility is always important. Each musician has their own unique style and identifying that will help you see opportunities. Keep an open mind and be willing to adapt.

It seems that we truly are at the dawn of a new era. Opportunities abound at every corner. Music is more alive than ever, consumers listen to more music in more ways than ever thought possible, artists interact and build connections with fans in new and unique ways, music and other entertainment content can be delivered via multiple platforms for a fraction of the cost of traditional methods, and artists can form business relationships with many different partners—including consumer brands. (Music Branding Gets All Grown Up | Talent Zoo)

A lot of businesses still don’t get the internet, but a lot of them do—these are the ones that you can work with. Realize that a band’s physical merchandise is a product line, and there’s nothing stopping bands from partnering with companies to sell their own non-music products. Smart companies would likely jump at the chance to sponsor bands that have built active communities around the internet and are accessible via mobile phones. They see the meaning in social media—for business.

The types of products that will work for indie musician endorsements will vary greatly and be determined by each musician’s personal style or brand. A middle-man service that helps musicians match up with consumer brands and vice-versa might be viable—don’t you think? It would probably be pretty easy for Google, Facebook, or MySpace to implement such a service. However I’m a fan of DIY and I usually like to cut out middle-men. I think the best approach would be to directly contact companies that you’d like to partner with. Don’t be afraid to fail. You can’t get anywhere without trying things. Remember to focus on the dopeness—see Part 1: Music Dopeness and Bands as Brands.