I’ve had this question in a number of forms. The most common one is the artist who doesn’t really sell many CDs through retail, but every time they perform live, they go through 20, 50 or even 100 CDs over the merchandise table. The question is – if I make the leap to mp3, who’s going to buy that to take home as a souvenir?
A similar question is the one about music as a gift. The simple fact is that it’s quite difficult to gift wrap an mp3. CDs have long been a great present to buy. Simple, personal, and always well received. Buying someone downloaded music doesn’t have the same give-ability.
I’ve even heard this question as ‘I’m essentially a busker. But I make decent money selling my CD wherever I play. Should I change what I do?’. These are all essentially the same questions: when the physical characteristic of the recorded medium is the main point of the purchase (ie: tangible souvenir, presentable item), how can digital files replace physical products?
Solutions in search of a problem
I struggle a little with this one, because I suspect this is solvable and yet the answer doesn’t leap out. I suspect there are two reasons for this:
1) There’s a huge array of possible answers to the question ranging from USB drives to plastic cards with codes on them, mobile phone SIM cards to more book-like printed material with website links;
2) It doesn’t really matter. This isn’t broke – why are we trying to fix it?
The technologist in me likes to wrestle with the first question. I’m particularly intrigued by this experiment in ‘augmented reality’ that the BBC team did with their Band In Your Hand cards for the Radio 1 Big Weekend. I think there’s interesting stuff to be done with that idea.
I’m also reasonably convinced that there’s something worth exploring around mobile phones. I’m not target audience for that particular one, but it’s fair to say that’s probably true of a lot of things.
But I think I’m more convinced by the point of my question number 2.
If people want to buy CDs, there’s no earthly reason I can think of to stop them doing so. There’s nothing inherently wrong with music media in physical form. As we’ve already discussed, CDs may be on the decline in a number of areas of the market, but they’re also experiencing what appears to be exponential growth in others. And they’re cheap as chips to produce.
By comparison, the margin on USB drives is miniscule compared to the markup you can put on a CD of recorded music. And people just know what to do with CDs (ie: put them in their computer, rip them to mp3, and stick them on a shelf never to be looked at again).
The opportunity
But I think the smarter question is not ‘what shall I sell instead of CDs?’ but ‘what shall I sell as well as CDs?’. Or maybe even ‘what else can I put on my CDs?’.
Because of course CDs are not music formats. They are digital file storage media. It just so happens that most of the CDs you own contain digital files that can be played as audio in a CD player. Most computers I’ve encountered will accept a CD and let you navigate the digital files.
Why not put video, interactive content, web-enhanced material and – yes – mp3s on the disc that people want to buy from you as a souvenir or give as a gift? That way they get the thing they want to hold in their hands, but they also get the rich experience made possible by digital media that goes far beyond merely the tracks on the disc.
Other approaches
And finally, it’s worth mentioning two more things, just anecdotally: First, I’ve come across more than one band that sells blank CDs at their gigs. The sleeve has the artwork and the codes for the download, but people can burn their own discs. And second, I’ve been to gigs where the music’s been for sale on vinyl. And it does very well indeed.
Related post: You can’t gift wrap an mp3.
I’d be interested to hear your thoughts. What solutions to this problem can you think of? And is it, in fact, even a problem in the first place?
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28 Comments
My band has experimented with MP3 sales at shows. It’s tricky because our audience is a little older, so we don’t have quite the tech savvy crowd others do. One thing we have considered is bringing a computer loaded with MP3′s that can be downloaded right there providing the person has a USB-compatible player, iPod, etc. I saw a band this weekend we played with that had the plastic cards good for downloads and I like the idea of the blank discs pre-printed.
I think they are all valid ideas and all worth trying, but I’ll admit that the process is daunting. Ultimately, we are musicians who make music. It’s hard enough to write, rehearse, record and perform – the stuff we actually WANT to do – let alone set aside time to do all the things to market ourselves online and off, find the money to purchase things for sale (or giveaway) at shows and do the hundred other things necessary to maintain any business.
It’s the reason why record labels and management companies, albeit not of the same size as before, will always be important to some degree. They afford artists the opportunity to be artists and not have to deal with the daily minutia that can bog you down.
I sell one gigabyte flash usb drives with the entire back catalogue of my music for $50us. They cost me around $7 and take about 20 seconds to fill, so I buy them in bulk and carry them everywhere. I sell very many of these, which is interesting because I still work on a very staunch free music policy, offering everything I do for free via download on my website and making it very publicly known, but have an alternative for people who are lazy and just want to pay for all the mp3s, rather than hunt them down from my website.
I find that the gadget element bumps the novelty up as well, and people are pretty happy to pay double what they would pay for a CD.
-Tom
One thing I find interesting (even though I haven’t tried) is to sell download cards with a promo code inside:
- it looks good
- it’s tangible
- it forces your fans to go to your website which allows you to do more things like signing for your newsletter, sell more stuf, etc.
Cons: I find it a bit expensive
Example: http://www.dropcards.com/index.php
@Vinc
You can do it for free. I liked the dropcards idea too, but didn’t want to pay for it, wanted to print up different cards for different occasions, so I found a solution. If you have your own website you can do it this way.
http://gwonder.com/frontend/?p=9
I still sell lots of CD’s at shows. It might just be the fact that the acoustic/folk/songwriter audience is, like Jeff’s audience, less tech savvy – but on my next CD, I’m still going to manufacture the actual product. I just sent out a question about this to my mailing list (and put up a poll on my Squidoo page) – and I’d say my audience is 50/50 on the CD/mp3 issue.
I do like your idea of adding some digital product onto the CD itself. Gonna ponder that.
It’s not that hard to set up a members only section of your website with simple software like aMember. You could then sell coupon codes at gigs to allow access to the download section.
I set this up recently to sell some software I wrote and it works a treat. There is no reason that it wouldn’t work for any type of digital download including music.
I think most people are still perfectly happy to buy CDs at a gig, so I wouldn’t advocate removing them from the stall. However, creative alternatives can generate additional interest. I think the intrinsic value of a USB stick can help – people know that they are getting something they can use, as well as the music itself. Suck UK brought out a USB mixtape, which is a gimmick that might inspire some musicians to create their own versions (see the end of this post http://www.podcomplex.com/blog/index.php/2008/02/11/focus-on-music-more-mashup-fun/ for more on that).
Fizzkicks.com is another provider for the digital download cards. Artists like Willie Nelson have started selling USB bracelets at shows.
I think it depends mostly on your audience. House concert goers are more likely to buy CDs I think, but DJs and Electronica / Dance groups and metal bands with younger audiences would probably benefit from the general tech-awareness of their listeners, with not having to carry bulky CDs around the dance floor or in the mosh pit as a selling point.
I’ve just recently started what I’m calling a “try before you buy” download card approach whereby fans get between 3 and 5 songs for free (haven’t figured out what # of songs works best yet) and when they download them we get their email address because they have to provide one to get the download code. We email them a week later (it’s a piece of back-end software that I’m writing, so I don’t have to do it by hand, but right now I have to do it sort of by hand) and ask them how they like the first half of the record (if it’s 5 songs) and if they’d like to donate any amount of money to receive the second half. It’s been working pretty well as a supplement to CDs at shows.
This week I’m getting a big mention on a popular blog and in this way putting my program into trial-by-fire method. So far it’s been about 50 downloads and I’ve received not that many donations, like 10 from the live shows. So..maybe my record sucks? haha. I don’t know. But this blog should give us an idea of whether the program works or not.
Anyway, you can see the site here: http://syd-music.com/download
If you want to send feedback please do syd [at] syd-music [dot] com
I’d love to find a way to afford pressing vinyl of my and my artists records because I think that really is the price/product structure:
Top end = vinyl w download code and access to b-sides and rarities
middle = CD with nice packaging that used to be called “Deluxe” now is standard
low end = “try before you buy” download card
That’s what I’m aiming for with my own records and the records of artists I’m putting out.
So great to see everyone thinking about this stuff. Thanks for the great blog! I read daily.
Ya know-
I’ve been thinking about this one for a while-my first idea was get cell phone emails and a download link-that way you can send the the file to the phone and then a link for updates and info. The most important thing would be to establish a continuing relationships with the buyers…
My 2 cents…
J
@J: Here in the states, I feel like for some reason the cell email thing isn’t as popular/accepted, but I could be wrong. That’s why I settled on the email list.
But hear, hear, the continuing relationship is key.
Great article as usual. I considered the USB stick with my logo on it and it seems like it could work but I decided to go with Cds first initially. I think the USB idea is good if you have a few albums and I might give it a go in the future.
I like Syd’s Top Middle and Bottom end model. Here’s another thought I had the other day for the Top end. I know it’s failed time and again but perhaps there is a market for a Surround sound album or single due to the fact that many people have these systems for their home DVD systems. Has anyone tried this recently?
i think it’s a market-type decision.
Essentially the older market generally don’t want to have to “do” anything once they’ve parted with their cash. The CD is an easy put-it-in-and-play medium, perfect for anyone over 30, who is time-poor, and wants something tangible immediately.
Young fans may be more into the adventure of seeking a website and downloading something, getting something for nothing, feeling like they “discovered” something cool. As long as you make the journey or the purchase fit your customer/fan the medium will work. You wouldn’t send grandma on a 3 hour hike, but little jimmy can’t wait to get out there and explore!
Good point Syd-
I don’t know what the reason is for the lack of using the phone to its full potential.
I think a top/bottom method is good, but a huge amount of resources can be expended try to cover all bases. The other thing I had talked to a few people about was a coupon/hard drive idea. Simply a drive/laptop/Kiosk type of set up where you can ask-’how do you want it’ without having to incur the expense of having every media available.
Saying to some one that you can email a song, put it on media or upload it.
J
That’s a good point about resources–although at the bottom end, the digital download is very resource-light.
Frankly though, I can’t afford to press vinyl for me or any of my artists yet, but that’s sort of the paragon to which I aspire. For now, I’m focusing on making the low-end really easy and customizable digital downloads. And for the high end I’m focusing on deluxe packaged CDs.
The cool thing is, once you start sharing your record with press and contacts as a digital album instead of sending out a promo CD, you don’t have that built in loss that you used to with promo CDs, so things start to even out a little more than they used to I think.
So, in a way, I think it’s not as many resources as you might think. On the *other hand* I also have thought a lot about the idea of having a laptop at shows that just does it all, like you’re saying for ipods, flash drives and other media. I’m just not sold that people would pay anything for a burned CD. Somehow that seems like the lowest “quality” of any of them, even though I recognize that that’s an unfounded bias in some ways.
Cake and ice cream is the case here. You need to be able to satisfy ALL of your fans. If they want MP3′s you need an option for them. You also need the physical products for their car drive home. You need to make everything as seemless as possible and as easy as possible to to get the music into their ears. It goes beyond CD vs. MP3, its streaming, being on EVERY social network and being active and engaging. Be everything to every fan and you will start to see success.
I am in the”…ain’t broke, don’t fix it” camp.
I also agree with the idea of “What more can I put on my CD/DVD” ideas.
Even though I am not moving any of these things myself I think that once I do I will surely add additional digital content besides just the original songs.
Things like:
- Stems of the original tracks for re-mixing
- Different types of art from Cover art to liner notes and maybe even different “stems” of art/graphics for people to re-mix / collage themselves and then post on their blogs, Myspace pages, etc. etc.
- Bits of audio book-like opinion pieces or blogs(?)
…you know, just think of ways to provide value since there is usually a lot of data storage spce available on these shiny little plastic discs!
Have you looked into:
http://www.discrevolt.com
??
I look at it more as an issue of mp3′s vs. wav files, which to me is the incentive for buying cd’s. Cd’s might not be the “in” thing anymore, but they still beat mp3′s by a long shot in quality. I say market both.
I grew up in a time where i could pick between cassettes, vinyl AND cd’s. Now mp3′s are the new kids on the block. But if you’re going to hand somebody a physical object in exchange for money, why not have it be a cd? The data will most likely end up being an mp3 anyway, if the person has an ipod.
If a person insists on not buying a cd, tell them they can get it on itunes and move on. As a matter of fact, people like that usually ask if they can get it on itunes anyway.
I had a look at that “Discrevolt” site and I must admit I was impressed with the concept, look and feel of the product and the site…
…But I noticed something else that startled me slightly; I did NOT recognize any of the artists on the left side menu. That is not to say that they are not known by others obviously but my point here is one I have mentioned before:
“Obscurity is the artists biggest nemesis”
Whether you are pushing mp3′s, .WAV’s, CD’s, etc. etc…It is growing increasingly difficult to distinguish yourself in such a saturated environment.
“(insert deity here)” help us all!
hey very good responses here(esp. syd). i think i can dig this place!
i like the top-middle-bottom concept and agree that vinyl is too expensive to press, for almost anyone these days.
DVD-Audio should get a bit of a boost since some cars are going to start to support it(new acuras i think?).
selling a printed blank cd that people go home and burn is completely insane to me, maybe i was missing the point, but that’s taking a step back on convenience.
that mixtape USB stick was $20 for one if i read correctly – not very economical. but they look awesome.
great responses though, thanks everyone.
My band uses FanBand (www.fanbandsoftware.com), which is software that allows bands to sell their mp3 files at shows directly to you live audience. Fans at the show enter there email address, they receive an email that contains download links (or file attachments as well) with mapquest links to our next show.
If an internet connection is not available at the show, once there is a connection, the software automatically sends the fans purchases without the software even having to be open.
It only cost my band 19.99. It isthe most economical solution without paying money in mp3 cards that don’t give me a direct email address or myspace address of my new fan.
How do you sell mp3s at a gig ?
Put it on a cd or dvd.
Remember mp3 is still data and you can copy that data to a cd or dvd. Just like you can copy pictures to a cd, you can copy mp3′s to a cd.
Also keep in mind:
a lot of the latest cd players can play mp3s.
most homemade cds are created with data cd.
why would you sell a cd of mp3s? you are giving them lower quality music with less accessibility. i can only see this being useful if you want to sell them a large amount of music that’s above 70 minutes. :confused:
You would sell a cd of mp3s to give the consumer the format they want.
This does mean the elimination of music cd. If the fans want mp3s at your gig the least expensive way to sell them is put them on a cd or dvd. If they want mp3s but not on a cd or dvd, then a usb drive is also an option. If there isn’t a demand for this format at your gigs then don’t bother.
ok i just feel like if someone is tech savvy enough to listen to an mp3 player they should be familiar with how to rip it into iTunes. i guess you can offer your cd in a dual tray jewel case though which has mp3 and wave versions if you are so inclined.
It says something about the state of things that we are *still* on this conversation a year later. That’s an epoch in internet/neo-music business time.
For my part, the try 3 downloads thing worked alright, but not as well as I had hoped. Last month I released my new EP “Upswing” for free online and plan to do the same a few more times this year and then sell a freemium package at the end of 09 with acoustic performances of the tunes, etc, I think the upsell is going to be a big part of our business model from now on.
Giving away cards or usb sticks (or, harder, selling them) has proved spotty–some audiences go home an download immediately, others just don’t. I am started to really think that @J had a point — getting them to text a number while you have their attention–that might be the next thing I try. If you know any companies that are offering that service, comment back, I’d love to know.
In the year though there has been some progress in selling downloads online (bandcamp, noisetrade)– I still went with my own model at http://co-opsounds.com/downloads — I wanted something more customizable. But that says to me we’ll see some progress in the coming year on selling digital at gigs.
These are the various outlets I know of incorporting the sale of mp3s at shows:
http://www.discrevolt.com – I like this idea, since the cards are small & easy to carry around, but the price is a bit high especially if you are giving away some of the Cards. It also requires the buyer to go to a website, and if you give away some for free, who knows if they even went to the site to get your song, so you may be wasting money. This idea goes both ways with me.
usb drives – Not a great solution, very expensive & in my opinion, wasteful.
http://www.fanbandsoftware.com – I tried the software, and it is actually pretty good, and fairly easy to use. To sum it up, you use your laptop to sell mp3 files to your fans at the gig, in a checkout-ish interface. Fans enter their email address at the show, and regardless if there is internet or not, they will get a download link or file attachment of the song, with mapquest links to your next show to their email address. Fans can also directly add themselves to your band myspace page from the checkout.
All great ideas. There is a free version & a reg version.
The thing is, you need a laptop & right now FB is only Windows Compatible, no MAC version yet, but I guess you can still use it on a mac if you use windows too. My band is considering using this, our guitar player has a laptop, and it is the cheapest way to sell songs live.($20 to buy).
CDs with mp3 files on them – Lousy quality on a high-fidelity CD. I think if a fan sees a CD they get immedietely turned off.
Anyone with any other ideas, spill your guts out, I like to know.