The Reversal of the Music Industry Business Model

people-concert-music

The Reversal of the Music Industry

people-concert-music

The implosion of the music industry several years ago meant a lot of changes to the way we buy music and support the bands and artists we like. 

The cause of the implosion was, of course, the internet. The usual way to acquire music back in the old days was we’d hear a song we liked on the radio, and we’d go to a record store to buy the artist’s album. Radio play served to popularize the music. Both the artist and the record label made more of their money from record sales. 

Touring and concerts for music acts were an added bonus. It added to their record sales and was an ego and popularity boost for the artists. 

Reverse Music Business Model

But today’s music industry model has been almost reversed. The capabilities of the internet and home recording mean that once a song has been played over any type of media, everyone can get their hands on a copy of it for free. 

Artists have found that with the ticket prices charged today, they make most of their money by touring. They use the internet and social media to increase their popularity and the public’s interest in their music. 

Radio stations still have to pay whenever they play a song, so the record industry is not completely dead. But it’s not as powerful as it used to be. It doesn’t control artists to the extent that it used to. Many artists are finding that they don’t even need a record label because they’ve become popular off their touring and concerts. 

The most popular artists are finding themselves in control of their own careers. This development should help their creative freedom and is a refreshing alternative to the music industry of old.