Behind the music…

Sonata Music by jrossol on flickr (CC licence)

Sonata Music by jrossol on flickr (CC licence)

Apologies as I’m a bit tired, and this may descend into rambling, but I wanted to keep the music debate going, especially after some interesting comments on my first post, on why ‘Recording companies are really screwed‘.

I appreciated the comment from Michael, who rightfully pointed out that the most common examples of bands using social media and giving their music away for free are those who have already built a following – while I agree this is the most common case, these are still new tools and new revenue models, and there are some examples of bands coming through the internet – e.g. Soulja Boy. And the precedent comes from the underground hits of pirate radio and dance music, or the spread of 1960′s Stax Atlantic and Motown in the UK, which was mainly provided by soldiers and sailors from the U.S.

What forced me to respond was Eaon‘s valid questions about challenges and options beyond ‘big labels vs internet’. He’s right in saying that major labels are an easy target (not that this means we shouldn’t continue to targte them), but I don’t think he’s right in putting Murdoch’s Myspace against traditional record labels. This isn’t about a social network replacing a record company – it’s about social networks as a distribution mechanism, along with email, forums, blogs, podcasts, video streaming, and every other method of delivering music and entertainment in an electronic format vs the attempts of the traditional industry to retain models and methods that served the physical format.

Busking: Pic by joeszilagyi on Flickr (CC Licence)

Busking: Pic by joeszilagyi on Flickr (CC Licence)

Eaon also said that the broad strokes of my previous post didn’t work for him, and I can understand that, but I’m a big fan of reducing things to their most basic, and starting with the essentials. And that tends to result in the broadest picture, but also the clearest view of what’s really necessary.  So to take that to it’s ultimate conclusion:

  1. Music is created. Either recorded or transferred into a digital format.
  2. Music is published on the internet. Possibly with a video to accompany it, or a blog, website, Myspace page, Facebook fan page etc.
  3. People who like the music download it, and if they like it enough, share it with friends and contacts via email, social networks, blogs. More mainstream media will gravitate towards that which gets a significant following.
  4. The creator is rewarded with an audience of some size. Monetisation could follow with a physical release, gig tickets, merchandise.

That’s about as simple as it gets! Speaking as someone whose music career was limited to messing around with a 4-track home studio and a couple of sessions in a ‘proper’ studio to record a couple of EPs which never saw the light of day to my knowledge (perhaps fortunately), I’m hoping the more musically experienced will take a look and point out anything I’ve missed, but this seems the simplest, most direct, and most robust music creation, distribution and consumption model.

And I know it’s easier to say in a blog post than to achieve, and that the music labels still retain enough pull and advertising budget to be able to theoretically make every stage easier, more polished, and potentially more far reaching through their ability to book advertising in mainstream media and invest in the physical media and distribution with ready cash – but increasingly those days will fade. There’s no need for me to track down a rare vinyl album to establish my musical credentials with my peers as we pore over the cover and inner sleeve – unless I’m DJ’ing, it’s quicker, easier and just as good for my reputation to email an mp3 or a link to someone obscure or new. And whether you believe in influence, or emulation, if the conditions are right, that content will continue to spread, with or without support.

For instance, Youtube phenomenon OK Go had already achieved success via a major label and broadcast appearances – but did that do more than the $10 video released without record company knowledge that got seen 9 million times? Or the follow-up, which has now been seen 40 million times on the official profile on Youtube alone? (In case you missed it, here it is!)

For a more recent, homegrown example, check out Ben Walker’s Twitter Song and the story behind it.A fun ditty aimed at Twitter users as a bit of a social media experiment gets viewed 272523 times at the time of writing, and leads to interviews on national radio!

And from a financial point of view, I’ve tried to find the quote that stuck in my mind as an aspiring musician, from guitar legend Joe Satriani. He revealed that although his major label albums had brought him more fame and publicity, it was his independently recorded and released records that brought him the income he needed.

I don’t think the record companies will cease to exist this week or this month. But I think the angle of decline will increase to terminal velocity pretty soon, and I can’t see any label making the moves needed to avoid it or even flatten it out. Instead I see sites like SlicethepieAmie Street, Sellaband etc. And there’s the romantic notion that it revisits the idealised days of Stax Records allowing people to come together for the music first and financial rewards second. After all, the people with access to recording booths and vinyl pressing plants have had the power for long enough. If they don’t offer consumers and artists anything of significant value, they become redundant.

So who’s going to help me keep shaping this into a more in depth vision of the music industry? Where is the future taking us, and are there more examples of internet delivery and fame creating new success?

Useful study on Social Network Marketing on Facebook and Myspace

I’ve finally had a chance to sit down and read Tom Chapman’s study of Social Network Marketing, Engagement Marketing and Brands, which specifically looks at marketing on Facebook and Myspace from the perspectives of both social network users, and brand executives from the likes of innocent drinks and BBC Radio 1.

It’s quite unusual to see a report from someone who isn’t linked to either the network in question, or an agency which may be looking to attract business (Tom is Head of Marketing for an ISP).

It’s effectively split into two parts. The first section is a look at the quantitative findings of surveying Myspace and Facebook users, whilst the second part compiles the in-depth interviews with brand executives.

I won’t quote too much of the study, but it covers topics like the percentage of Myspace and Facebook users who would feel more affinity to a brand that listened to them and communicated with them (65% and 67% respectively). And it goes into detail for both social advertising and brand promotions, as well as finding out how many Myspace and Facebook fans are aware their profile information is used to target them – (56% and 45%). It’s quite surprising, particularly after the uproar within certain circles over Facebook’s Beacon advert system, for example.

And it’s certainly interesting to hear the responses of some executives who use both networks to great effect – for instance, the Chris Moyles fan page with 536774 fans.

As someone who is fairly deeply involved in the subject (It’s my day job, after all), I saw lots that will be useful in supporting my own work and theories, and some correlation between what other brands have found, and what I’ve discovered from Bauer Media’s brands on Facebook and Myspace.

I’ve had the chance to exchange a couple of emails with Tom, and voiced my thoughts that the next stage will be to look at exactly how brand executives are measuring loyalty, engagement and participation, especially with respect to Return on Investment and justifying the time and effort involved. It really is the multi-million dollar question of social media, and it’s getting closer every day – and I think this study goes a long way to reaching that destination.

Anyway, if you’re interested in reading more, the study is at socialnetworkmarketinguk.com. And if that inspires you, there’s still time to save 10% off the price of attending Social Media in Business on October 23rd.

Twitter etiquette – are Tweeple a better class of people?

Every popular social network contains people and accounts which, for one reason or another, are undesirable. Spammers, con artists, egomaniacs (Isn’t that all of us?), the plain offensive etc all inhabit the social world – as they do in the real world.

Recently I unfollowed 3 such accounts on Twitter. None were malicious in the same vein as people setting up phishing scams. But two constantly used it as a platform for personal attacks – either against one individual, or against a group of individuals, without providing anything of value.

A third autofed his latest blog entries but refused to engage in conversation, or even reply to direct messages. That’s just about excusable if you’re constantly breaking lots of news e.g. @BBC for BBC News, or you’ve reached the scale of someone like Robert Scoble, who follows and is followed by over 20,000 people. It’s not ideal, but excusable…but if you’re batting at under 100 for example, then there really is no reason for ignoring anyone who wants to interact with you.

That all might seem a bit negative – but then I flipped it around in my head. I’ve unfollowed 3 people – not had to block them, or complain about them, but just unfollowed them with a simple click of a button. But due to a policy of reading through a few details before adding people, those are 3 of 714 I’m following. So that’s 0.42% of all the people I have chosen to follow, and an even smaller percentage of people that I’ve had any contact with.

It’d be interesting to find out how this compared with other networks, but from a subjective viewpoint, it’s a lot less. And the number one connection tool for irritation still seems to be Myspace.… The perentage on there is probably closer to 20%!

It’s why we persevere with Twitter despite the downtime, and it’s why Plurk is gaining traction. The days of average users amassing 1000s of random contacts for the sake of it is waning by people who actually want to use these tools for a tangible benefit. The days of using them for what my colleague, David Cushman describes as ‘self-forming communities of (global) niche shared interest’ is here for more and more people. And Twitter is all the better for it…

Is Twitter vs Plurk a repeat of Myspace vs Facebook?

It’s easy to compare the current and growing rivalry between Twitter and Plurk to the rivalry experienced by Myspace and Facebook. And with Facebook recently becoming the biggest social network in the world, could Plurk pull the same trick with microblogging?

Well, for starters there are some slight differences in the two rivalries. Although Myspace became the biggest player in social networking, it didn’t have the first player status Twitter has – that honour belonged to the infamous and yet still running Friendster.

Twitter and Myspace do both fall foul of the fact that user customisation sometimes leads to profiles looking like a car crash, but as Twitter tweaking is more limited, it’s escaped the worst excesses. And while Plurk takes a more stylish route, perhaps in the spirit of Facebook, it’s far more overwhelming, with the horizontal timeline, Karma and cartoon icons.

But the biggest difference between Facebook, Myspace , and even Plurk at this stage from Twitter, is that Twitter is powered by mainly third party applications and integrations. It may be the reason the database is unreliable at the moment, but around 90% of queries come from external applications – not direct via the website. There’s just some of the many, many Twitter tools listed here. It isn’t like Facebook or Myspace, which uses applications as a way to add interaction and entertainment to the network. In this case, the applications can be the only entry to the network for many people.

And yet it’s this that makes me think Twitter will remain the leader in microblogging for a while yet, and is a way from peaking. There’s a limit to how many networks people will join, but Twitter apps can increasingly use the technology for their own devices, and can start to utilise Twitter within other websites. For instance, Chirrup uses Twitter to power blog and website comments.

Imagine more companies using Twitter to converse internally, now that more and more people have grown used to Instant Messaging and Facebook. And more public users of Twitter applications, and aggregators like FriendFeed.

I don’t want to overhype Twitter, despite my addiction (@badgergravling). There’s still a need for social networks, forums, Instant Messaging, email, telephones and even snail mail for different functions. I wouldn’t have started a blog about microblogging otherwise! But just as it’s now a rare event for me to use the postal service, and my email influx has waned, microblogging means IM and social networks are replaced by semi-instantaneous Twittering…

There really is nothing new in Web 2.0

It’s been said before, but having chatted with some of my readers, and having been unable to quickly find a previous online example, I though it’s worth restating: There’s nothing new in Web 2.0.

And by that, I mean there’s nothing new about the facilities Web 2.0 offers. And now for some examples:

Tagging: Every time you’ve labeled anything in your life, you’ve tagged it. Putting your bills in a folder, putting a sticker on your homemade chutney, or creating a mixtape of songs. If only we’d called it labeling, rather than tagging, I’d have saved myself a few hours of explaining. And a Folksonomy is just what happens when information is structured by people labeling it.

Social networking: Every time you’ve been introduced to someone via a friend, or found yourself chatting to someone you’ve stood next to at a concert, or at the football, you’ve networked socially. Facebook and Myspace are the internet equivalents of your local pub, or the reading group at the local library.

Blogging: Diaries. Fanzines. The family newsletter tucked inside Christmas cards. Newspaper columns.

Crowdsourcing: Happened hundreds of years ago. Sticking up a ‘Wanted’ poster and offering a bounty was crowdsourcing people to catch a criminal.

Social news aggregators (e.g. Digg): Just recording online the same opinions you’d get chatting around the office coffee machine/smoking area.

Word of Mouth, Buzz, Social Media Marketing: When your pipe sprung a leak last night, and you came into work and asked your friend if they knew a good plumber – that’s Word of Mouth. Buzz is just getting lots of people talking and recommending. And social media marketing is just using the new online gathering places.

I did lie earlier.

There is one new thing about all Web 2.0 technology which radically changes everything we know. It’s made it so much easier to do all these things, that the amount of people involved, and the effects, have been amplified 100s, 1000s or even millions of times. It’s always happened. But now it’s happening on a global scale, and in a way that can change the fortunes of businesses.

I’m not an early or late adopter. I’m a cheap adopter…

That’s why my latest purchase isn’t a top of the range iPod Touch or an Alienware PC, as much as I’d love to have the cash to spend.

Nope, my latest gadget purchases were a £10 1Gb discontinued Technika MP3 player (closest one I could find online is this), and a £9.97 Technika MP3 cassette adapter, due to the fact both of the cars in my possession come from a time when cassette players were the standard equipment.

The joy of being able to drive around in an open top car, and not being forced to listen to the radio! Now comes the dilemma of which online MP3 store to register with to keep things nice and legal. I suspect the only real viable option involves an ‘i’, at least until Myspace gets into gear.

Internet usability demands centralisation

Normally internet usability refers to the design and placement on a website to allow users to easily interact, but I firmly believe there’s an important new item which is hugely important in making any website, widget or service usable.

And that’s allowing centralisation.

Now I’ve moved to my own domain, I’m trying to update two years of links – on social networks, blog directories, wikis, forums, websites, other people’s blogrolls etc, etc, etc. And I’ve realised exactly how much work is involved in changing my url on all those sites. And that’s the same for all the major events in my life (such as the birth of my son recently), or even keeping minor details up-to-date and relevant (Do I still like the same music and films as I did when I filled out my Facebook profile, or the last time I updated Myspace?).

More and more people are online, and although the numbers of promiscuous profile creators are small compared to those who are happy with one site and profile, that’s changing. And it will change more and more as niche networks and groups form and grow – and advertisers etc see more value in targetting those niches.

It’s where ideas like Google Open Social work, with an API that works across numerous websites/networks. And although I don’t think it’s always suitable to limit every internet user to one ‘real’ linked ID, I do think it’s now essential that anyone collating information from internet users looks at the best way to allow that information to be updated from one central place. You might lose one or two clicks from someone being forced to update, if they see enough value – but the flipside is it’s too much hassle to update so people don’t bother coming back at all – ever.

And for something like a domain change, it can mean a website stops sending me any referrals, and drops even further off my radar.

That’s why something like Last.fm works, and why so many more users utilise its’ ‘scrobbling’ technology to track the music they listen to, rather than using it to find new music etc. If you’ve got a site which has a field to list music, don’t make me fill it out. Let me link to Last.fm, or Pandora. Or create somewhere that I can update once and feed out to all my various outlets. That’s one reason why Twitter works (I’m @badgergravling btw). A Twitter update can be done via a variety of desktop clients or other sources, and then end up on my blog, on FriendFeed etc, etc. Sites like FriendFeed are tackling the problem from the aggregation perspective, and allowing a huge range of inputs to be put into one place – but where’s a system for allowing me to make a huge range of outputs to all the relevant destinations without traipsing for hours around the net?

Myspace MP3 store is a huge threat – but not to Apple

There’s been a lot of discussion about whether the new Myspace Music store will pose a threat to the Itunes and Ipod Applopoly. But I’m a little surprised by Last.fm co-founder Martin Stiksel being so ready to dismiss the threat to streaming music services.

The growth and success of Itunes, added to the image of Apple products and services, gives it a fairly secure position at the moment, and it would take something pretty revolutionary to overturn that. Certainly I’ve encountered enough people who have lost music collections from Ipods yet won’t switch to an alternative to realise Apple devotion works across all their products and services. And enough alternatives exist, even including supermarkets.

However, plenty of people already use Myspace to listen to individual tracks by their favourite artists, and offering a streaming radio service without limitations would make this option extremely attractive. And would seriously threaten several services.

I recently heard a stat regarding Last.fm which is pretty believable. Apparently just 25% of Last.fm users actually visit the website, with most using the ‘scrobbling’ tracking software, and possibly the downloadable radio player. It makes sense as the Last.fm site is hobbled by 30 second clips, and limits on the amount of times you can listen to individual tracks by specific artists. And although it does a reasonable job of finding similar artists, it won’t let you play the specific inspiration before sending you round the houses, which leaves the similar artists without any context. The arrival of Myspace could push Last.fm to concentrate on scrobbling and displaying widgets, which will either lead to new and interesting revenue streams, or could put a real chokehold on the traditional display advertising on the website.

Meanwhile Pandora.com is still on a U.S only lock down. And when you’ve taken something away from users, it puts you in a far worse position than when you’re launching for the first time. There’s no news on any re-opening to non-American markets, and in the meantime, along comes a site already extremely popular, and proposing free music streaming. Suddenly the non-U.S. world forgets Pandora exists. That’s going to limit expansion!

And then you have a myriad of small rival streaming services, like Meemix, which has a plethora of great add-ons and ideas around their music service – but has a corresponding amount of niggles and flaws, as if the ideas exceeded the ability to deliver in a simple and user friendly way.

Myspace can be far from user friendly – but enough people are already familiar with it and accept the problems to mean they’ll jumping all over new music options. And various research shows that the early adopters who jumped ship to Facebook etc are likely to still have a Myspace profile and pop in occasionally, so a fair few profiles could be fired up again to explore a new music option.

At the end of the day, it could be really good news for consumers, as Myspace plans to offer DRM free downloads (possibly pressuring others to follow suit), and it could prompt some serious thoughts about giving more value to users in the streaming market, and some serious attempts to differentiate and move ahead. It’s not often I praise and support Myspace, but for once their plans have my vote.

Myspace MP3 store is a huge threat – but not to Apple

There’s been a lot of discussion about whether the new Myspace Music store will pose a threat to the Itunes and Ipod Applopoly. But I’m a little surprised by Last.fm co-founder Martin Stiksel being so ready to dismiss the threat to streaming music services.

The growth and success of Itunes, added to the image of Apple products and services, gives it a fairly secure position at the moment, and it would take something pretty revolutionary to overturn that. Certainly I’ve encountered enough people who have lost music collections from Ipods yet won’t switch to an alternative to realise Apple devotion works across all their products and services. And enough alternatives exist, even including supermarkets.

However, plenty of people already use Myspace to listen to individual tracks by their favourite artists, and offering a streaming radio service without limitations would make this option extremely attractive. And would seriously threaten several services.

I recently heard a stat regarding Last.fm which is pretty believable. Apparently just 25% of Last.fm users actually visit the website, with most using the ‘scrobbling’ tracking software, and possibly the downloadable radio player. It makes sense as the Last.fm site is hobbled by 30 second clips, and limits on the amount of times you can listen to individual tracks by specific artists. And although it does a reasonable job of finding similar artists, it won’t let you play the specific inspiration before sending you round the houses, which leaves the similar artists without any context. The arrival of Myspace could push Last.fm to concentrate on scrobbling and displaying widgets, which will either lead to new and interesting revenue streams, or could put a real chokehold on the traditional display advertising on the website.

Meanwhile Pandora.com is still on a U.S only lock down. And when you’ve taken something away from users, it puts you in a far worse position than when you’re launching for the first time. There’s no news on any re-opening to non-American markets, and in the meantime, along comes a site already extremely popular, and proposing free music streaming. Suddenly the non-U.S. world forgets Pandora exists. That’s going to limit expansion!

And then you have a myriad of small rival streaming services, like Meemix, which has a plethora of great add-ons and ideas around their music service – but has a corresponding amount of niggles and flaws, as if the ideas exceeded the ability to deliver in a simple and user friendly way.

Myspace can be far from user friendly – but enough people are already familiar with it and accept the problems to mean they’ll jumping all over new music options. And various research shows that the early adopters who jumped ship to Facebook etc are likely to still have a Myspace profile and pop in occasionally, so a fair few profiles could be fired up again to explore a new music option.

At the end of the day, it could be really good news for consumers, as Myspace plans to offer DRM free downloads (possibly pressuring others to follow suit), and it could prompt some serious thoughts about giving more value to users in the streaming market, and some serious attempts to differentiate and move ahead. It’s not often I praise and support Myspace, but for once their plans have my vote.

AOL buys Bebo for $850 million

I don’t have time to start hypothesizing, but thought this was worth sharing asap. AOL has announced today it has entered into an agreement to buy Bebo for $850 million.

Bebo’s one of the biggest social networking sites in the UK, number 1 in Ireland and New Zealand, and is number 3 in the US. It’s also more focused on the early and pre-teen market, and has also been developing video channels/promotions, including Kate Modern (currently the most successful web TV show).

There’s more info on the purchase as BusinessWire.

My quick response is that I have an element of fear about a Myspace type stagnation due to a purchase, but coming a week after opening up AOL Instant Messenger, hopefully AOL has thought carefully about how to oversee Bebo without destroying what has made it successful. And it’ll be interesting to see what efforts they might make to change the monetisation of the site – something social networks have traditionally struggled with despite huge predictions of ever-increasing advertisement spending.

As long as I don’t get bombarded with cd’s to set me up on Bebo, I’ll be happy.