July Industry Wrap-Up

Facebook Moves Closer Towards Copyright Protection


Folks in the entertainment industry (among other sectors of business) have been following Facebook’s growth and expansion into the music space, whether it’s sharing videos, partnering with streaming platforms to encourage social engagement and discovery, or supporting user-generated content and live feeds. With that, of course, comes pressure to protect songwriters, artists and other creators in the realm of copyrights and licensing and ensure that they are able to collect their owed share of revenue. Like YouTube before it, critics have been waiting to see what the social media giant does next in this realm.

This month, Facebook acquired Source3, a content rights management startup, whose goal is “to recognize, organize and analyze branded intellectual property in user-generated content”. Source3’s technology serves brands or users uploading content to “measure their presence or take action against infringers of their copyrights and trademarks.”

While this move for Facebook looks to serve users and brands outside of music, the company did begin hiring its first music licensing staff recently, likely satisfying labels and publishers seeking to further cement social media streaming royalties as a revenue source. And for independent artists outside of the label system, this acquisition can be seen as a step in the right direction as it hints at future revenue opportunities and a tightened up system to combat copyright infringement.

Amazon Music’s 3rd Place Status – Bigger Than It Sounds?


According to MIDiA Research, Amazon Music is now the 3rd largest music subscription service. MIDiA has been tracking usage of streaming apps on a quarterly basis since 2016 and claims Amazon has grown strongly quarter upon quarter: it ranks 2nd behind Spotify as ‘most widely used’; boasts the ‘largest installed base’ of active users (weekly); and as mentioned above, it ranks 3rd in subscribers with around 16 million, greatly surpassing the 4th and 5th placed QQ Music and Deezer (respectively).

Mark Mulligan of MIDiA’s Music Industry Blog argues that while those figures are impressive in an ever evolving streaming market, the real beauty in Amazon’s growth lies in its ability to convert Prime Subscribers (Amazon’s premium shopping service with annual fees) to Amazon Prime Music or Amazon Prime Music Unlimited users. With no additional costs, new payment schedule or commitments, users of the Amazon Prime app can seamlessly shift their music consumption habits – or adopt streaming for the first time entirely – to a trusted source that they are already actively using on a weekly basis.

In addition to subscriber growth, Mulligan also acknowledges not only the advent of the Amazon Echo (Amazon’s proprietary home speaker, of which they’ve sold upwards of 13 million) but also what he calls “The CD Factor”. As TuneCore Artists who have distributed to Amazon Music On Demand know, CDs can easily be made available for music fans who still prefer the physical medium.

While that might not strike some as a huge advantage, consider that physical sales still dominate in Japan and Germany, the world’s 2nd and 4th largest music markets – two out of the four markets in which Amazon Prime adoption is concentrated. Between this and a growing subscription rate, artists have good reason to look to Amazon Music as a propeller of revenue and discovery when they’re ready to release new music.

Pandora Hits Milestone and Introduces New Features


If you’ve visited our site, read our blog, scanned the industry trade sites, or signed into your TuneCore dashboard recently, you’ll know we’re very excited to be approaching a $1 billion  cumulative payout to independent artists this year. Leave it to our friends at Pandora to hit their very own BILLION milestone: one billion impressions on its “Artist Marketing Platform”. Congrats, Pandora! The AMP was revolutionary for its time as it allowed artists to use listener data to learn about their audience – similar to how TuneCore allows you to view data that makes it easier to decide where to spend ad dollars or concentrate touring destinations.

With the ability to pass direct audio messages to fans, Pandora says the platform has been used by over 11,000 artists, who have collectively driven said one billion impressions, which is a major benchmark for the relatively young direct-to-fan marketing approach.

On top of this news, Pandora announced two new direct-to-fan features for the AMP: the ability to promote a single (via pre-recorded audio message), and the ability to promote concert dates (via customized flight dates, ticket purchase links, and geo-targeted messaging). While Pandora remains a curated service, TuneCore announced last year that we’ve partnered with the internet radio heavy-hitter, allowing TuneCore Artists to submit their releases for consideration. With these added features, it makes more sense than ever to be taking advantage of this submission!

How Musicians Can Take Advantage of Key Digital Trends Towards 2020

[Editors Note: This blog article was written by Michelle Aguilar.]

 

It is probably no surprise that businesses are being transformed by digital platforms such as Facebook. The platform has recently released a report that looks at the different ways in which businesses are being reshaped. Out of the many insights from the report, there are three findings that can be of great use, especially if you are an independent musician.

Consumer Expectations are Increasing

Facebook notes that people are expecting higher quality in mobile experiences and customer service. Reflective of their data, Facebook conversation around ‘user experience’ has been observed to grow considerably. Because of this increase, people are more accepting of surging prices. There is a willingness to pay for more convenience. This highlights the need for business to gain better understanding of the modern customer experience.

As a musician, this data can be applied to the digitalized aspects of your endeavors. Your website, press kit, and social media are all channels you can clean up and modify to make information accessible, easy to navigate, and responsive. You can also compare this to your experience as a user when attempting to connect to a business; you’re more likely to engage more when the experience is without stress or confusion.

Consumer Participation in Ecommerce is Increasing

An increase in globalization has significantly influenced the ecommerce reach. According to Facebook, more than one billion users are connected to another business in another country. Two in three online shoppers have already shopped cross-border. To give you a statistical run-down on people per region around the world are connected to a business in another country:

  • In the US, over 60%
  • In Canada, over 60%
  • In the UK, over 75%
  • In Germany, over 75%
  • In India, over 40%
  • In Japan, over 30%
  • In Indonesia over 45%
  • In Brazil, over 60%
  • In Mexico, over 60%

If people are becoming more willing to make business abroad, it is important that you make your music and music events available internationally available on the web, this includes making your music available on Spotify or other streaming services. You can also include a ‘tip jar’ to your website by creating an account on www.paypal.me—there, people can make donations by sending payments to your PayPal account.

Millennials Are The Most Populous Generation in the U.S 

According to Facebook, it is estimated that by 2020, Millennials will make up half of the global workforce. The Brookings Institution, a non-profit public policy organization, has defined key Millennial values that will shape the future of the American economy—these include:

  • An interest in daily work that reflects and is a part of larger societal concerns.
  • An emphasis on corporate social responsibility, stronger brand loyalty, ethical causes, and ability to offer specific solutions to specific social problems.
  • Respect for the environment.
  • Ability to build communities based on shared interests rather than geographical proximity, which in turn bridges dissimilar groups.

It’s important to become acquainted with the demographics that will make up most of the future workforce. After all, you are ultimately trying to find financial sustainability through your work (work which doesn’t come close to those that have a promising check every other week).And since Millennials listen to 75% more music on a daily basis (ERA) compared to other generations, these insights can serve as a guide to help you better understand your target audience.

Are there any social, economic or environmental issues that you’re interested or passionate about? If not, try to think about your personal interests; there is always someone out there that can relate and you never know, something that makes you tick may do the same for 100 (or more) others.

As an independent musician, staying on track with digital trends can be laborious since most of the time you’re busy producing, searching for gigs and doing a hundred other things to keep the ball rolling. So I hope that this brief recap on Facebook’s digital report can help fine-tune business for you and keep you prepared for your current endeavors!

Do you know of any other social media/digital trends that may be of use for other musicians? How have you managed to stay active on social media platforms? Feel free to share with us below in the comments.

May Industry Wrap-Up

Spotify Launches “Spotify Codes”


Remember the QR Code Craze? Sure you do! It took place a couple of years back when we began seeing these funny little squares with unique black and white patterns in them all over promotional materials, from the subway to magazines. People could use their mobile device to scan the QR code and it’d offer them some sort of exclusive content. Marketers saw this as a fun new way to connect with consumers, but ultimately the process involved proved to be just over the line of effort that most consumers were willing to put into connecting with a campaign.

Flash forward to present day, and we see Spotify has announced a new in-app feature called “Spotify Codes”, allowing music fans to scan said codes to share music with friends. It’s being rolled out globally and is about more than just sharing your favorite playlist with a like-minded pal. Music Ally points to the strong potential for artists to market their music using Spotify Codes: “Flyers, posters, billboards… perhaps even TV advertising – something that would take Spotify Codes into the territory traditionally occupied by Shazam.”

A strong and thoughtful point, indeed. Indie artists of all genres can direct potential fans directly to their latest releases using traditional DIY promotional tactics simply by including their unique Spotify Codes within their visual assets. It’ll be very interesting to see how artists get creative with sharing these codes, and of course, how fans react and engage. Get started using them today with instructions via Spotify here.

Amazon Prime Offers Live Streaming Concerts


Is there anything Amazon Prime can’t deliver us? Well, up until this month, you could technically put “concert experiences” in that category (which seems reasonable enough), but alas, the online retail giant continues to out-do itself. In May, Amazon announced that it has begun offering tickets to concerts to its members. Not just any concerts, but a series of live events, with tickets being offered exclusively via the platform to Prime customers, featuring internationally recognized artists playing in small, intimate settings.

While concerts are being booked for Prime members in the UK right now, it has hopes to add U.S. concerts by the end of 2017. Additionally, Prime members out of the market for these experiences can catch recorded and streaming versions of these concerts so fans can get in on the fun from home. (Kind of a different version of those home concerts we’ve written about in the past.)

Amazon’s attempt to attract older, mainstream music fans who consume music – and live music for that matter – differently than the typical 20- or 30-something music obsessives is a great thing for independent artists who are hoping to reach similar crowds. Additionally, this move shows Amazon taking a step to connect artists with fans further, “combining customer data, billing relationships, content and services, infrastructure and consumer hardware.”

It will be interesting to see how this plays out in the near future – not just what new ways Amazon offers experiences exclusively to Prime members, but also how they bring independent musicians and bands into the fold.

Facebook Rights Manager Helps Artists Collect Ad Revenue


Good news for music creators looking to benefit monetarily from Facebook videos: the social media giant has updated its “Rights Manager” feature, allowing artists to generate revenue from pirated videos that had mid-roll ads placed within them. If an artist’s song is being used in a video across Facebook (with or without permission), they can now get a cut of that sweet, sweet ad money previously reserved for the video creator.

Facebook pays 55% of ad revenue to rights holders (much like YouTube), and until now, its Rights Manager could only successfully notify a rights holder when their music was being used in a video somewhere on the platform – giving them the option to take the video down or leave it up as a means of promotion. Similar to YouTube’s Content ID (which you can take advantage of using TuneCore’s YouTube Sound Recording revenue collection service), artists can “claim ad earnings” and even choose where the 15 to 20-second ad is inserted in the video.

Any new revenue stream for artists is viewed as a win for TuneCore and the greater independent music community. It will be exciting to see how this adds up for those who get their songs featured in videos across Facebook, and it’s definitely a step in the right direction in honoring copyrights. Artists can sign up for Rights Manager via Facebook here.

April Industry Wrap-Up

Facebook Launches ‘Chat Extensions’ That Encourage Music Sharing

As both streaming music and social media use has evolved over the years, it became pretty obvious pretty quickly that people love to share whatever new music they’re digging with their networks. Spotify was an early player in this arena by connecting social profiles to their platform so that users can see in a feed what the folks they follow are listening to at any given time of day. On top of this feature, users have always been able to send music directly to one another via a built-in messaging app.

As the social media giant Facebook looks to appeal to more and more businesses that use the platform for leads and engagement with customers, they’ve announced the introduction of ‘Chat Extensions’ within their messenger platform. The primary function of this launch is to offer the ability to perform actions within Facebook Messenger without switching apps.

For Spotify, this means the launching a new ‘bot’ that includes search, recommendations, and the ability to share 30-second song clips as well as launch Spotify from the app to hear full songs. Friends now have more options for sharing and discovering music within their chat windows. Facebook has revealed that a similar launch to support Apple Music integration is on the way, too.

As Facebook continues to beef up its music department in general and looks to innovative streaming platforms for partnerships, indie artists of all genres can feel good about new ways for fans to be sharing their tunes with friends.

A Month of Updates From Spotify

It’s hard to get through one of our ‘Monthly Industry Wrap-Ups’ without breaking recent news related to streaming giant and our friendly partner Spotify! This month, Spotify re-structured its multi-year license agreement with global music rights agency Merlin – which represents independent music companies like Beggars Group, Secretly Group, Domino, Sub Pop, and others.

The big story from this signing is that the updated agreement allows these labels to ‘window’ releases for Spotify Premium users only – a tactic used by major label groups to limit access to a release for usually up to two weeks. The significance of windowing is that it allows releases to only be made available to users that contribute higher streaming rates, (when you’re a ‘freemium’ Spotify user, you are using an account that gets served ads and each time you play a song, it pays out less than that of Premium subscribers’ streams who pay a monthly fee).

Spotify and other streaming platforms are required to sign licensing agreements with both independent and major label groups. But what’s new here is the apparent bargaining scraps indie labels have when it comes to keeping up with the majors. As a distributor that sees its artists getting signed to indie labels on a regular basis, it’s encouraging to see that they’re able to take advantage of opportunities offered by streaming platforms like Spotify.

Additionally this month, Spotify rebranded their “Fan Insights” – data about who is listening to artists, from numbers of monthly listeners to cities they’re being streamed in most – as “Spotify For Artists”. It’s available to all artists and managers, and is designed to be a ‘one-stop shop’ that allows you to track growth, update creative profile assets, and feature particular songs and playlists. Here at TuneCore, we’re always excited to see more data and insights being offered to artists to help them make business and branding decisions. If you haven’t already, head over to Spotify’s site to take advantage of these updates.

Google Play Music Gets Cozy With Newest Samsung Galaxy Model

As competition for subscribers and listeners continues to heat up among music streaming platforms, so too does competition among mobile device manufacturers. Nowhere is that more obvious than between Apple’s iPhone and Samsung’s Galaxy. As each company strives to attract brand loyalty to their respective operating systems, Samsung announced that its latest model, the Galaxy S8, has made Google Play Music its preferred music player.

That means those who pick up the newest Galaxy S8 will get the opportunity to use Google Play Music with enhancements just for them. One of these is an increase in cloud locker storage, with Samsung users being able to upload up to 100,000 tracks that can be streamed from anywhere (up from 50,000 for other users). Also, Samsung promises that it’s choice music player will support Samsung’s smartphone assistant, Bixby, “once support for voice commands is actually ready to roll out.”

It remains to be seen how many Galaxy S8 users will adopt Google Play Music over a preferred service, but it’s no doubt that Samsung will do what they can in collaboration to make it more attractive. For independent artists, it’s just another push for a platform that is carrying your releases already (unless, of course, you still need to add your music to Google Play!), and it may in turn end up being a great excuse for you to be promoting your Google Play links, as well.

Facebook’s New Reach Objective: A Game Changer for Touring Musicians

[Editors Note: This is a guest blog post written by Don Bartlett, owner of No Door Agency, an Austin, TX-based boutique management and marketing agency. Don also hosts a seminar titled “Facebook Marketing For Musicians. Be sure to read his TuneCore Blog article on maximizing your Facebook ads on an indie budget.]

From it’s earliest days Facebook has used its powerful data algorithms to deliver incredibly well-targeted ads. It was a dream for most advertisers. They wouldn’t just put your ad in front of your target audience, they’d put it in front of the specific members of that audience who were most likely to engage with the ad. The success of this approach changed the entire landscape of advertising, and advertisers reaped the benefits. For musicians trying to promote tour dates, though, this presented a problem.

Bands are in a relatively unique position, from an advertising perspective. In each tour city we have small but very valuable target group of people we want to reach. It’s critical that we reach ALL of that group, not just the ones who might be prone to engaging with Facebook posts. If we’ve got 500 fans in New York City, we want all 500 to see the ad for our show.

Until now, the best objectives were “Page Post Engagement” or “Website Clicks” which deliver to those people who historically took those actions when viewing ads. In many cases that left a decent chunk of your fans out.

In late 2016 Facebook rolled out a new objective that solves this problem. When you choose the “Reach” objective you are now functionally telling Facebook that you want to reach as many people in your target audience as possible. After a few months of testing we’ve found that ads with the Reach objective perform significantly better for these small but valuable targets.

Note that that when you’re advertising to larger, non-fan target audiences….fans of similar bands, for example…you’re still better off using the “Page Post Engagement” or “Website Clicks” objective.

Another significant advantage to the Reach objective is that for the first time Facebook is allowing you to put a limit on how often people see your ads. Even an ad for your favorite band’s show can get annoying if it’s popping up in your newsfeed 4 times a day. This new feature lets you define an amount of time that a user will not see your ad again after viewing it.

It’s a very helpful tool that provides an extra degree of control to what your fans are seeing from your page. A good rule of thumb is to build in a frequency cap of at least two days for most campaigns.

Taken together these two new features provide a huge improvement to the tour marketing arsenal. Facebook ads have always been a one of the most effective ways to reach fans in a given city, but the effectiveness was often limited by their optimization algorithms. With the “Reach” objective we now have a concrete way to reach all of them.

February Industry Wrap-Up

The cold weather is slowly on its way out and SXSW is on the horizon – must be the end of February! That’s why we’re here to wind down the month in music industry happenings. Just because it was a short month doesn’t mean there was no action – read on to catch the latest on Facebook’s upcoming video ventures, collaboration among the YouTube and Google Play Music teams, and Spotify’s ‘sunny’ new parter.

 

Facebook to Introduce Longer-Form ‘Premium’ Music Video Content


As online videos become an even more integral part of marketing and promotion for artists – from major label mainstays to indie up-and-comers – competition to serve hungry fans continues to heat up among all the big name platforms. If you’ve been reading around, you know that Facebook is a key contender in its attempts to offer users exciting ways to consume video content, including it’s rolling out of Facebook Live which paid some big name creators to help promote the service in its early stages.

Recently, Facebook’s VP of Partnerships Dan Rose expressed their desire to begin offering ‘premium videos’, with content shifting into the 5-10 minute length. According to reports, Facebook will offer indie artists and labels the opportunity to test and create episodic content while being paid directly by Facebook in the early stages; Rose says the model will shift to a rev-share after that. With almost two billion users, Facebook remains a major platform for promoting and marketing musical content.

Like anything else surrounding the world of copyright and video content, Facebook is facing concerns from members of the music industry surrounding licensing. When you’re hoping to take a slice of YouTube’s market share, at the very least, a platform should have systems in place that protect copyright holders and ensure that they can be paid properly for the use of their works. Like YouTube’s Content ID system that allows TuneCore to help artists collect their sound recording revenue when their music is used in videos across the platform, sources say that Facebook is in the process of building a parallel copyright ID program. This will be crucial in the potential success of Facebook’s upcoming premium video plans, and it goes to show the importance being placed on protecting copyrighted work – good news for artists of all stripes!

 

Google Merges Play Music & YouTube Music Teams


This past month it was revealed to media outlets that the product teams in charge of directing YouTube Music and Google Play Music will be combined into a single unit. Confirmed by Google, a spokesperson said: “Music is very important to Google and we’re evaluating how to bring together our music offerings to deliver the best possible product for our users, music partners and artists. Nothing will change for users today and we’ll provide plenty of notice before any changes are made.”

What does this mean for artists? Well, we already know that independent music makers can make their music available on YouTube and Google Play via TuneCore, but with the platforms technically being under the same umbrella, this appears to be a play towards creating a better overall user experience for music consumers. As streaming services acquire new subscribers every day, access to independent music grows and artists are able to make themselves available to fans who use all different ‘preferred platforms’ for discovering new tunes.

There’s an array of possible reasons for this internal shift at one of the biggest media companies in the world – perhaps as a move to simplify in-app listening, and more interestingly, a way for Google to negotiate deals with artists and labels. Either way, users of both apps will be able to continue using them as normal for now, and it’s highly possible that artists can look forward to a simpler way to reach YouTube- and Google Play-loyal fans in the near future.

 

Spotify’s Latest Partner is … a Weather Company?


We all know that weather impacts our moods. We all also know that music can play a similar role. But how do listeners build playlists that capture any given climate?

Ever the forward-thinking streaming platform, Spotify announced in February that is partnering with weather reporting website AccuWeather to develop and launch a site called Climatune, offering playlists for various cities based on varying weather conditions. This comes after partnerships with modern apps and companies like Uber, Tinder and Headspace, and shows that Spotify has no intention of slowing down its pace of clever collaboration with those looking to bring music into the fold.

So instead of just throwing on Banarama on those sunny days or curling up to some Morrisey during a morning rainstorm, Climatune offers playlists to music fans based on the hours and hours of research in major cities pointing to habits of listeners based on the skies. For example, did you know that residents of Chicago get excited when it rains, causing a huge lift in happier music? Houston Spotify subscribers, on the other hand, boost their acoustic listening by 121% on rainy days.

While it remains to be seen just how many subscribers will utilize this cool new service, we here at TuneCore see it as just another interesting avenue for music discovery via the popularity of playlists.