Vinyl which is 10% of physical sales generates more revenue than streaming which is to be saving the world

Last week I saw this go up on a digital news site.  L O L*...  and it caught not only my attention, many of my friends have been emailing, texting and face booking me about the fact that vinyl makes more for the creators than streaming, which any reader of this blog already knows

( LINK to the original article about this on Digital Music News)

So, let's really break down this situation. (Industry technical term I got a situation) By taking the numbers via Nielsen SoundScan (BTW this week there was a surge in digital going up 33 percent WTW for a total of 49% of sales - to round it up-  out of it's 2015 range of 43-46 % of sales.

Now as I pointed out in the title, Streaming is supposes to be the format saving the world and the Vinyl Records was supposed to be dead back in the 2000's.   Think about this streaming is supposed to be the fasting and best hope of the offerings from even the best Digital Distribution Deal

Considering I say all the time Vinyl wholesales for what CD's retail and now it's clear steaming within digital don't pay that well.   Sadly the all digital all the time manta still wins and  is the prevailing mindset way to often in artists and the press ~  just not the fans they want it physical always have and always will.

Vinyl as a format that was just .08 precent of total sales back in 2008 go to earning more than all of streaming the savior of music (or maker of tech dork billionaires) today in 2015 doesn't get near enough press coverage I have to ask?. 

We know elected officials are blind to the existence of what a vinyl pressing plant (story about DistrictVinyl.com coming next blog) or these independent merchants (mom & pops like CrookedBeat Records  to regionals like Dimple Records) are doing for their communities while dealing with local government that doesn't get or even want them sometimes, Not to leave out  Congress which keeps failing to fund creators on the front end via the MusicAct* when we already know that investing in Music raised our GDP and will continue to do so if we only start to support US Made Music.  Now  what do we have to do to get the ourselves out of this induced stupor for all things only one way.

Let's remember each (artists, band or ground - creators) is a means in and of themselves for commerce, culture and jobs in our local economy an when connected together {Network Effect} with labels, managers, promoters, studios, socials/pr and wholesalers we're now talking about trillions of dollars. Furthermore!  None of the Majors are offering to help any local community. And, in fact drain the best talent out of them as they Haliburtonize music by failing to export their artists bands and groups as Made in the USA products.

Since none of Majors export their music from US shores it would seem getting the non Majors or the the local music makers as our product to support would be on the top of every US officials agenda -- from Commerce, EXIM Bank, to State that keeps taking about "Cultural Diplomacy" via music which is impossible since we don't export it.  Not sure how we got so lost, yet lost we are and until we start rethinking some of what folks assume is working reality (Digital Rule) our Nation's and our future is being robed from us one song at a time.

Let me just say it here,  If we took one place DC and the Mayor, who is a smart capable leader, put the same amount of money into #DCMusic as #DCTech I would wager that at the end of one year that the payouts, earning and accolades for DC and the businesses involved would strongly favor the Music.

"I look forward to an America which will reward achievement in the arts as we reward achievement in business or statecraft."  --"Remarks at Amherst College upon receiving an Honorary Degree (439)," October 26, 1963, Public Papers of the Presidents: John F. Kennedy, 1963.

W/ Jess at the NEA 50th Anniversary in DC

*This will be one of the most visited post's for them and its not the stories that they thought they'd be publishing when naming it Digital Music News....

There are 4 Majors in distribution again.

I don't normally do multiple posts;  However this is really too big to let slip into our existence since there are economic ramifications and there's a very good reason why -- Money... While a lot is written about our industry there is as pointed out already almost no coverage about this aspect of it and since Distribution is Everything it makes no sense to me. Yet here we are...

"BERLIN, 14 SEPTEMBER 2015 – BMG recording artists Iron Maiden and Scarface have burst into the Top 10 of the US SoundScan albums chart, marking a new milestone for the new model music company less than 18 months since the company announced its entry into the frontline of the US record business."

The re-arrival of BMG into the "frontline of the US record business" is happening because no in the US could give two cows about it and another multi-national company (mmc) is stepping into the US market place and handing our economic assess to as with another US based distributor because there is a market for them to come into already.   So sure they're coming with some bad ass music and some is even made in the USA - it's just sold to us via a MNC and to add insult to trade imbalance -- then not exported out of the USA.  This is a missed opportunity for a US based company and from what I understand this is not the last of the old oversea's players plotting a path back into US distribution.  And why not it's wide open. 

As for what does this mean here in the states, Certainly there will also be a number of impacts.  The first is that another major entertainment company means more money for the whole sector and hopefully more awarenes in general as they fight it out for stars, time and attention of the public.  Another part of this will be in the way BMG itself operates having not been active in US distribution for almost a decade there's few in the industry others than those left know about the serious ball that BMG plays. Lastly,  this could also mean some more consolidation in the indie ranks as they considering getting market share and assets that help them compete in the US though acquisitions.    

Here's the link to the release

PS they're preparing to release  Alabama (18 September) and Janet Jackson (2 October).


A Major is a record label that has guaranteed distribution from the likes of Sony, Universal, and WEA and now of course BMG. 

Mic check looking for the Press you're needed in aisle 1-100

With the start of the ramp-up for fall and holiday sales the story still unfolding is the inability of digital to take away market share from physical sales.   There's a number of reason why this is happening; However the issue at hand today is the continued obsession by the press to cover only the digital side of music.

The lack of focused journalize and technical analysis keeps one of the US's best industries in check. 

The shear amount of press that Digital music get's vs physical on the market share alone shows something is amiss.  If 56 precent of the sales are physical why is digital covered at twice the rate of it's market share.   Or! perhaps worse is the complete lack of coverage in the US Press about our top culture export (Entertainment)  should be another sign.  Sadly the only story I've found about physical is from overseas.

"While HMV saw declines across both video and gaming, it held its value for physical music, helped by new releases including English Graffiti by The Vaccines and How Big, How Blue, How Beautiful, the third album from Florence and the Machine. With the re-launch of its online store in June 2015, HMV now has access to the 3.8 million shoppers who purchased physical music and video in this way in the last quarter, which should improve its performance. "  Author Fiona Keenan

How does the USA compete if we're not even in the game or the chosen market to be in pays in cents. It makes no sense.  Yet, that is the state of the art for today knowing the wrong data and acting in the wrong markets. 

DCMadeMusic.com

Physical music sales where almost 57% of sales last week; Yet still reported as bygone product.

Yet! here we are in the dog days of August and looking at the National Sales report from Nielsen Soundscan that shows of the 3,753,000 units sold 2,150,000 where in physical format for the weekending 08/06.   Now this has happened without and huge releases coming out or a major event like a Jackson Family Tour meanwhile the major of the press in music, was about anything, but physical music.

For anyone thinking that last week was just a blip in the total of digital albums (or equivalent - whatever that really means) sold for the year being 63,205,0000 of the 137,165.000 or 44 percent of your marketplace. Here's the funny part . There's  really one business that can convince all of the new entrants and most of the existing ones to concentrate all of their efforts into the purple part of the pie, aka the smallest part and that's the New Record Business.

Now for those that like profits, it seems the Majors, Sony UNI WEA still concentrate on BOTH and that's why they make billions of dollars and the rest are fighting over pennies almost like being the crustless bread that no one really buys.  Speaking of BuyingThis it was this time last year when the bottom fell out on digital sales and I wonder if this is another signal that same trend will repeat.  Lastly, will this holiday's music catalogs be filled with physical music goodies? I hope so...

  Stupid quotes for the past...

“Keep up the artist awareness and don’t get caught in the common trap of signing both physical and digital distribution deals with the same company.” written by Selenna Nieva, Valleyarm

Why is this Stupid in the Next blog......

PS Come Sept Walmart will be sporting a lot of vinyl.  Read it here first.....

Your Cities Music is the next big thing and now has a Convention

Sound Diplomacy are proud to present a new day-long conference series focused on exploring new ideas and strategies between music industry development and issues surrounding city planning, diversity, employment, education, regulation and urban quality of life.  The MusicCitiesConvention mission statement. 

The conference from the looks of it is going to be a good one and  having a convention titled Music Cities is an obvious indicator that a Cities music needs to be taken seriously and now it might get some needed attention -- thanks to the organizers of this conference.  Personally I'm looking forward to attending and more importably showing what we've been doing with our USAMusicCitites.com

Which BTW,  This attention to music is just something the US has not done. Let lone been on anyones agenda, calendar or mind on the national level Save the few Mayors and local planners that have braved the tides of untrue music lies or just ignorance of some techonoblogger that didn't work a day in a legit music business and therefore has ZERO understanding of it.

Now to counter this and make sure that something as important as your cities music is being cared for and treated with dignity and economy fairness the artists, bands, groups, labels, clubs, studios that make this city music to begin which need to be part of this discussion; So please register  (It's the day before Future of Music Conference) and if you can't use the #musiccities hagtag to let the world know.


SINCE THIS WHOLE cities music theme is something that I've been working after it hit me that most music from an artists, band or group won't be more important or overshadow the music culture aka Local Music, that is/was all around them especially here where the notion of music cities in the US is such an important cultural and economy by-product of music.

Music is simply unlike any other item sold, merchandize or manufactured by man or machine.  << ME 

Lastly,  Just for fun, the CITYMUSICDEAL (TM) has a great social media promotion going on and I'd suggest taking up the challenge to follow them on Instagram & Twitter

ProfessorVC: Please Don't Celebrate Failure!

"ProfessorVC: Please Don't Celebrate Failure!: Silicon Valley and the venture capital industry were built on taking risks and making big bets on technology, teams, and markets."

It's not working is still a failure....is what this blog is saying and I happen to know Paul, somewhat from trying to get him to pay attention to entertainment in the mix of companies that he was investing in,  and he and every other VC in the DMV has said no to content plays. And, funded apps and concepts that aren't even grounded in existing marketplaces and most are failing or moved out of the DMV area.

On an corresponding note a local dad I hang out with that happens to invents for a very large LP said "after the top 10 VC nothing matters"   So this might account for the fodder that is happening downstream from the big winners and lifestyles being promoted like 80's rock & rap stars. There's just not that many companies can can make hits and it's really around asymmetric information more than lack of trying.

Irony is that AltavozEntmt's  products and services BuyingThis(TM) and FanHeatMap(TM) serve to help the whole Entertainment Supply chain figure out the 5w's and again since physical sales are still over 56 percent of sales it's a pretty good strategy to include Bricks and Clicks when considering distribution solutions.

Happy Summer Everyone.

Buy Veteran this Veterans Day

Over the years at Altavoz Entertainment I made a concerted effort to make sure that we worked with US Military Veterans. From spending hours on the phone with new label owners helping them understand the ins-n-outs of entertainment today to pushing out releases from veterans because their story's matter and I've always felt they needed to be heard.

In 2015 - Altavoz launched a VetMusicDeal and it was working with some of the releases that are coming from this that Altavoz decided to bring as many Veteran made releases out for Veterans Day this year.  And! readers here will of course be hearing more about this effort shortly.


Moreover; I hope others see the light and help to ensure that come Nov that we're all able to offer something made from Veterans to be purchased; So, they too can enjoy the Holiday of Sales err Veterans

This Veterans Day  lets all push #BuyVeteran not deals.  Oh yeah, from the looks of sales make sure it's in a physical format since it's still the majority of the sales.