Building a Business on Free

I was part of a Music Tank panel about new strategies for music in London last night. Apparently people are just giving the stuff away!

Music Tank

I was invited to come and speak at an event in London, organised by CIDA with assistance from Music Tank. I’d taken issue with some promotion in the past that Music Tank had put out, and was expecting a fairly frosty reception, but everyone was very nice.

While I’m on that, I should say that I maintain that the promotional piece itself was preposterous (”epic industry war against the global menace of illegal filesharing”?), but happily concede that this is not Music Tank’s stock-in-trade. Which I offer here as apology for over-reaction. Sorry, guys.

The seminar was about the problem (opportunity?) of free music, and was keynoted in brief by Guy Parsons. He pretty much ticked all the boxes: Free as in ‘beer’ vs Free as in ’speech’; Creative Commons licensing; confusing ‘music’ with ‘recordings’… and he had lots of parallel insight from the software startup and gaming world, which I think illustrated some good points.

Nice powerpoint style too. Broadly minimalist (though not nearly as sparse as mine) with some good visual puns in the pictures. I appreciate a good presentation-as-performance. So many people make interesting topics fantastically boring through bad powerpoint. I recommend a visit to Presentation Zen before you go anywhere.

The panel consisted of me, Kieron Concannon from FDM Records (and the Dad in the Nizlopi JCB Song) and Davey McManus from The Crimea, who have been giving their album away for free online, rather successfully. Ghizela Rowe from The Copyright Group moderated.

It was a fairly wide-ranging discussion, and left the bounds of ‘giving it away for free’, veering towards ’so how can I be famous?’, ‘the retail problem’ and ‘economics in an environment without scarcity’ (I think that last one was probably me). For some reason, I was bracing myself for an argument, but it turns out that far from being provocative, the things I say these days are pretty much the same old thing everyone else is saying (might have to do something about that…).

It was nice to meet Davey whose band I’ve been a bit of a fan of since I heard ‘Lottery Winners on Acid’ on John Peel’s show four or five years back, and his fellow band member Joe, who did their website and managed the download thing. And I’d spoken to Kieron on a number of occasions in the past, but it was good to finally have a decent chat. We’re more in alignment than I would have expected on a lot of things.

But best of all, I met some interesting people from the audience (about some of whom, more soon) and had some very interesting conversations. But I think most interesting was what seemed to be the consensus that the question of whether recorded music SHOULD be free is now pretty much redundant. The more interesting question is now that it pretty much IS free, what then do we do?

And I think there are some creative and interesting conversations now going on amongst people who were in that room (and I’ll certainly be continuing the conversation with some of them) to discuss what that could mean.



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3 Comments, Comment or Ping

  1. Ed

    Hi Andrew,

    What a great and timely post. I enjoy your writing and find it to be inspiring and motivating.

    From VC’s to serious audiences, everyone I know who’s important is asking that question.

    I just saw the picture “American Gangster” and learned how heroin kingpin Frank Lucas cut out the middleman and imported the heroin himself to distribute in NYC metro area during the 70s. It got me thinking…

    The technology is cutting out the middleman in connecting the Creators with the Audiences. Back in the day, bluesman Robert Johnson needed John Hammond to cut his record and connect to the masses.
    In todays world, if Robert Johnson is serious about his music and connecting with his audience, he would have to learn recording and setting up in the internet - it’s a different kind of “instrument” he’d learn in addition to his guitar.
    There’d be no need for Hammond (who might have been the “devil” Johnson references in the songs…).

    People like stuff for free. More than 60% of audiences freeloaded Radioheand’s “In Rainbows.” As much as technology is changing the recorded medium in its role as a revenue stream, nothing will replace live performance. In fact, with music so accessible in the solitary confines of our digital devices, normal people would crave and look forward to live events - increasing the value of such a thing.

    Long story short, the ones that will succeed will be musicians who have always seen live performance as the only benchmark of their revenues and success, and have gotten over their Luddite tendencies by learning technology to bring their audiences to the masses.
    … the ones who have always seen the record as a “promo” for their live performances, and not the other way around.

    But… what do I know? I’m just a musician… in the same steps as everyone… trying to get the respect what’s due to me…

    Please keep up the writing on the cutting edge. I look forward to reading more.

    ~E

  2. Great writeup, Andrew! And a pleasure being on a panel with someone of your expertise… the whole thing was a bit of an eye-opener, really :-)
    (And yes, Presentation Zen has saved my ass on more than one occasion.)

  3. Agree with Ed, I massively enjoy this blog although we have very different viewpoints and perspectives of the music world.

    “The more interesting question is now that it pretty much IS free, what then do we do?”

    You’re only prescribing value to the music track itself here. In a saturated market, isn’t there value in making sure that the right music gets to the people who would enjoy it most?

    Easy for Radiohead to do 7 albums in, as Radiohead fans will go and download the album.

    It’s more difficult for new musicians to get their songs to people who would enjoy them - especially as the process of becoming signed to a label with money to spend on advertising to build up a national fanbase is now more or less an arbitrary process.

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