Music 2.0 - The Time is NOW (Gerd Leonhard at AMBC 2009 in Sydney
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The Future of the Music and the Public Digital Music License
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Music 2.0 - The Time is NOW (Gerd Leonhard at AMBC 2009 in Sydney
- 1. Music 2.0 - the time is Now. ‣Futurist by Gerd Leonhard ‣ Strategist www.mediafuturist.com ‣ Author & Blogger twitter.com/gleonhard
- 2. Only an average of 20% a newspaper’s income is spend on CONTENT CREATION. Thanks to Flickr.com/alextorrenegra
- 3. Will we keep paying for this...?
- 4. Are we willing to pay for... Buildings Machines Trucks / Distribution Bonuses Corporate Perks Good Content Curation Selection
- 5. How will Creators make a living...?
- 6. Our new reality: Listen / Use = Copy
- 7. We need to let go of the value that Unit Sales & Distribution had in the traditional music business.
- 8. “A new Social Contract”
- 9. What is this ‘new contract’? • • All use ‘freely’ all pay ‘freely’ Collectively, and for everyone • • Open and transparent system There are many ways to ‘pay’ • • Access is granted to everyone More value means more payments • • Meter the usage not the copy Stop banking on Friction!
- 10. Stop banking on Control - bank on Trust
- 11. Flat-rated & Bundled Content
- 12. It used to be... Premium “Option” “Extra” Default
- 13. The immediate Future: The New Premium The new ‘Normal
- 14. Music (Content) is first a Service and an Experience, and only then (maybe) a Product.
- 15. If Access replaces Ownership as Default...
- 17. How will access to content be paid for? Paid by 3rd Parties Flat-Rates Bundles Access
- 18. Structural Income Individual Income Streams Streams (i.e. built-in, systematic) (i.e. personal, private) Income Attention
- 19. The Key is Getting Attention. And then, the $$! Love Trust Appreciation
- 21. The first question is not: shall I pay money for your music. The first question is WHY shall I pay attention to you.
- 22. So there are 3 tasks... 1.Getting more Attention, maintain & expand the TRUST 2.Convert the Attention into $$ 3.Fix the structural problem - ASAP
- 23. Because getting paid for Attention is also a Structural and Political issue
- 24. Getting the ‘Pool of Money’ is crucial What would you rather have? • 50 Million x $1 via blanket music access fees (shared) • 100 x $10 from the few people that buy a-la-carte?
- 25. What are we paying for, here...? Not to eat all the food... but to get Access!
- 26. Structural Income Streams • Record & download sales • Composer’s royalties • Public performance, Airplay and other royalties Pro-rata with popularity No individual permission needed Regulated by law Collective!
- 27. How ...? • Create a new collective, compulsory digital music license • Adopt open and transparent business platforms and processes • Abolish Rights Monopolies • Standardize licenses
- 28. The Many 2.0 Logic Music more... Permission Community Premium Offerings i.e. License High Definition Formats Mobile Device Applications & Software Live-Concerts, Web-Casts, Virtual Shows... Flat Rates, Bundles, Revenue Shares... Bundled Access to content will create the Foundation
- 29. Free gets you to a place where you can get paid. Fred Wilson, Union Square Ventures
- 31. • Provide free and easy access to your music, for anyone that is interested * • Subsidize the free music with next- generation advertising, affiliate sales, data- mining and other ‘New Generatives’ • Addict fans to your offering by providing more and more values all the time * • Offer a myriad of ways of getting more engaged and buy into Premium offerings • Convert between 5%-40% of free users to paying users
- 32. Personal Income Streams • TV, films, ads: synchronization • Contract work (writing) • Concerts & appearances • Producing • Sponsors, branding, advertising... Your brand value is crucial A large business network is crucial Visibility is crucial The Internet provides many tools now!
- 33. How to fix the Attention Problem 1.Start with being Great - because you can’t fake it anymore 2.Be very very very unique and daringly different (and still real!) 3.Make yourself and your content available: self-publish everything 4.Build a vast network of friends, followers, business contacts 5.Go there! RL / Meatspace & Online: showing up is half the job!
- 34. Now, your followers are your Marketing
- 35. Bottom Line: Great Music + Lots of Attention + Many followers (tribe members) = your marketing = Income.
- 36. Was...
- 37. Will be
- 38. Great User Interface & User Experience changes everything
- 39. Imagine... Radio TV Phone Library Message-Center NewsReader Game-Pad Image Viewer Wallet
- 40. The Mobile Use *fka ‘Consumption’ of Digital Goods is the #1 Growth Story of the next 5 years
- 41. Don’t be too little too late!
- 44. Work the system! Link Economy Attention Economy Reputation Economy
- 45. Starting selling more things that can’t be copied
- 46. How is this going to happen?
- 47. Summary
- 48. Thanks for listening! ★ email me at gerd@mediafuturist.com ★ twitter.com/gleonhard ★ facebook: gleonhard ★ more presentations at www.mediafuturist.com