April 3, 2012

Major record labels versus Independent

Record Label Share
Old Man, take a look at my life.

Let's digress for a moment.  Looking back at 2004, the global value of the record industry was 16.5 billion dollars.  Today it is 6.4 billion.   Were the labels on airplane mode, was their thinking on mute?  How did this happen?  I bet they know now what they wish they had seen then.  It's got to hurt.  The amazing thing is they still believe their own junk; or do they?  It's hard to tell.  They seem to continue to ride their dinosaurs. Oh well!

We at AMP believe their loss is our gain.  Who is "our"?  All of us independents! We are going to Rally together and become a major label, the likes of which no one has ever seen.  As we pool our network of information together, and unite to bring our music to the world, the dinosaur will become nothing more than a fossil and a distant memory.  Come join us at AMP, as we create this new business model.
Click on join to become a part of the AMP TEAM 

Comparison of Record Label Share within the Market between 2006 and 2008

2006
2008
Universal
31.5
37.1
Sony
21.2
20.1
EMI
17.9
13.7
Warner
11.9
11.4
Ministry of Sound
2.2
3.6
Demon
1.2
1.7
Domino
1
0.4
Posted January 9, 2010
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Record Labels | * Leave a Comment
Worldwide there are two different types of record labels majors and independents. There are only four majors: Universal, Sony, EMI and Warner Music, the majors operate worldwide in all/most territories. Independents operate in all different ways depending on their size, money (investible) and repertoire. Below is a detailed S.W.O.T analysis to show the difference between the to types of labels.


Strength
Weakness
Opportunities
Threats
Major
Own distribution and publishing companies. Access to international distribution. Can influence radio play lists and provide a diverse range of genres. Unaccountable amount of money to back and offer artists. Access high level contacts business and musical. Able to add value to products
Unable to adapt as quickly as an interdependent.
Declining sales result in low confidence and belief in business models. Communication issues throughout company sections. Stuck in old business models not looking to develop new ones.
Have the ability to take control of the online distribution industry. Can develop partnerships with big companies. If they can perfect the 360 deals offered in a very good position to create previous and lucrative revenue streams.
Changes in the way music is delivered and consumed. Business models not currently working to full satisfaction. Only happy to use tried and test formulas.
Independent
Can adapt to changes in the industry quickly developing new business models to work well in the present industry.
Flexible in decision making.
Limited power to sign acts. Lack of resources. Need added value to make radio play lists. Less money to invest in acts and marketing. Distributed by the majors. Most indies cater for a certain genre or market.
Bands more inclined to sign to Indies as they allow artists to develop. Increase demand for music on behalf of the consumer.
A major often buys independents that dominate a market. The economic down turn and the state of the music industry is having an effect upon the birth of new and existing labels.

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