Revenue Streams vs. Promotional Channels

We will only have a functional digital music economy when artists, labels and web services can all agree on what services are viable as revenue streams and which ones are primarily promotional channels. Too many of the arguments over royalties seem to stem from a blurring of the two.

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2 Responses to Revenue Streams vs. Promotional Channels

  1. PaulE says:

    Will this happen if the major labels fail to see that the pre-digital market was fundamentally undermined by the public only being able to hear a small proportion of releases on mainstream radio? So many people copied onto tape that opposition to internet piracy can seem like blatant hypocracy – even when it is self evident that paying for music enables the artist to work on more. I’m quite happy to pay full price for artists I already know – or are recommended by a trusted source, but some system of free access on demand is the only way to go beyond those limits.

  2. Tim Hall says:

    To the major labels, that was as much a feature as it was a bug. Maximising sales of the smallest possible roster of artists was (briefly) a very profitable business model for them.

    I’m sure they hate the way the internet has fragmented the market. Which, I fear gives them little motivation to encourage digital services intended as discovery channels, and too much motivation to stifle them through overpriced licencing and royalty demands.