 Generals and MajorsBy Fran Ashcroft EMI lost their court case, and now the company will be broken up, leaving just 3 major labels. If you think that’s worrying, just imagine what would happen if the remaining big three adopted a new business model, operating in a similar way to film distributors. There are whispers that at least one of them is thinking along these lines:- instead of providing development, funding and support for new artists, they will charge fee-for-service for distribution and promo, leaving all origination costs for recording, video, and everything else at the door of production companies. Just like your typical old vanity label operates. No more artist deals, goodbye A&R, let’s just provide a pay to play platform for X Factor style celebrity poop, movie soundtrack tie ins, mega management and production companies, and exploit our massive back catalogues at Christmas time. Wouldn’t that be great? Then perhaps the persistent notion that new acts need to chase a “major deal” would be over. As it is, other than the afformentioned, the deals on offer are useless anyway – and as a new artist (or producer if it comes down to it), you might be better booking a place on the coalition’s new Work Programme, sweeping up leaves for £1 an hour. But the New Major concept would leave the field clear for enterprising start up labels or astute artists to address the huge audience out there which is ignored or underserved. That, I think, is our future two tier music industry. |
One Response to “Fran Ashcroft – Generals and Majors”
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Hi Fran,
unfortunately for EMI this last case was one of many high profile ones which they have fought unsuccessfully and yes probably ‘the straw that broke the camels back’. The Music part of the company has struggled for a long while, failing to re-adjust to the challenge and opportunity that the Internet offered. Very sad to see an established British company hitting hard times – (I used to wave at the Record Factory in Hayes as a kid on the bus and people would say “that’s where they make The Beatles records”.)
The business models have had to change, because the potential paying customer has been exposed to either free or low cost downloads. Instead of seeing this as a potential Gold Mine in terms of hardware (mp3 reproduction equipment), lowering distribution costs (on-line downloads) and opening up the back catalog and re-telling the story of Music in the 21st Century, they (The Majors) in general chose to Lobby for Digital Bills and seek costly Litigation. Of course the “crunch” has also been a part of the story.
The effects of new technology always produce challenges, but one should never forget the earliest days of recording when the Music Stars and Publishers were afraid that “this new phonogram” will finish our business. Of course once Enrico Carusso had shown them another side to the story, it was a different story.
The skills that a talented producer have are highly sought by younger students – a massive potential there, and a plethora of ways for musicians to connect directly with audiences. Freed from the costs of Vinyl or CD production, the distribution of music is potentially in the hands of the music makers. Yes there will be dross but also the most amazing stuff yet heard. So yes a very inspiring time ahead I am sure. And like you say – do we really need the old style “deals” anyway – which often ended up with artists earning less than that $1 an hour for road sweeping ?
All the best