I studied this in an assignment for my University course last year...so I might actully have something productive to say...
Most of the music industry is still operating on a business plan dating back to around 1970. Man hears music on radio -> man goes into store -> man buys CD/Tape/LP -> man listens to it at home.
The argument against the whole music downloading was the same that they used against CD burners (late 90's) and Tape Recorders (late 70's). It does not help the fact that their costs are far too high, more money per CD goes to the manufacturer of the jewel case than the artist, mass advertising and 'comping' music jurnos makes the prices soar and transportation costs are hideious ('specally in places like Europe) Stores like Wal-Mart, Tesco and their ilk are killing the sales end - they only stock massive-sellers, and they use their bulk-buying power to squeeze every penny discount from the label. As in the past they used their massive 'hits' to subidise their other operations. If they can't do this anymore, they are ultimatly doomed, unless they change their business plan...
One of the things that piss the labels off (and me suspects one of the true reasons for this pathetic 'ban') is that there is not going to be a true sucessor to the CD in a hard copy - this is what capitalism requires in 'mature' markets (such like N. America & W. Europe) In the past, damage, wear & tear and obselecence of media (Cassete Tapes, LP's etc) meant that the older hits (albums from people like Elvis, The Beatles, Pink Floyd, etc) would constantly sell at a fair clip. This is the ultimate 'cash cow' (no costs to record or promote - just make and ship!) and this has been killed by the era of Media Players and iPods. People can buy one digital copy of an album, and it can last forever! (When I buy a new CD, I instantly copy it to my PC, make a CD-R hard copy and put the original away in storage) Barring acts of God or stupidity (fire, etc) I will never need to buy a copy again. Ever. In the 90's, I bought at least two dozen replacement copies of broken CD's.
This rule will piss off the minority of young consumers who actully still somewhat respect their business (like myself) but are of the 'Napster' or 'YouTube' generations. They are behaving exactly like King Canute & the Sea on this one....and they will perish.
Music is too expensive for most people to buy. Yes, the labels will say to me - there are many albums for sale in your nation (UK) for as little as £8.00! Yes, there are. They are of identikit pop pap or of runner's up of this year's Crap Idol - spewing from the shelves of Tesco, Asda and Woolworths. If you love real music (In this I mean anything from Rock to Classical) and you are after a CD which is not of the biggest three in the genre and their new release, you will be looking at £12, or £15 or even £18! I don't want to have to pay £20 for say, for a CD from 1995 AND have to wait 3 weeks for the bleeding store to get it from their warehouse (True Story) I've long given up looking in real music stores because what I want they don't have and what they have that I like I allready own.
When they gave up fighting against music downloading, they priced their downloads at the exact same price as their hard copy. That is stupid.
Here is my solution. We take all the record industry managers, put them in burlap bags, fill said bags with stones, and chuck them in the sea. It's the industry's only hope.
Most of the music industry is still operating on a business plan dating back to around 1970. Man hears music on radio -> man goes into store -> man buys CD/Tape/LP -> man listens to it at home.
The argument against the whole music downloading was the same that they used against CD burners (late 90's) and Tape Recorders (late 70's). It does not help the fact that their costs are far too high, more money per CD goes to the manufacturer of the jewel case than the artist, mass advertising and 'comping' music jurnos makes the prices soar and transportation costs are hideious ('specally in places like Europe) Stores like Wal-Mart, Tesco and their ilk are killing the sales end - they only stock massive-sellers, and they use their bulk-buying power to squeeze every penny discount from the label. As in the past they used their massive 'hits' to subidise their other operations. If they can't do this anymore, they are ultimatly doomed, unless they change their business plan...
One of the things that piss the labels off (and me suspects one of the true reasons for this pathetic 'ban') is that there is not going to be a true sucessor to the CD in a hard copy - this is what capitalism requires in 'mature' markets (such like N. America & W. Europe) In the past, damage, wear & tear and obselecence of media (Cassete Tapes, LP's etc) meant that the older hits (albums from people like Elvis, The Beatles, Pink Floyd, etc) would constantly sell at a fair clip. This is the ultimate 'cash cow' (no costs to record or promote - just make and ship!) and this has been killed by the era of Media Players and iPods. People can buy one digital copy of an album, and it can last forever! (When I buy a new CD, I instantly copy it to my PC, make a CD-R hard copy and put the original away in storage) Barring acts of God or stupidity (fire, etc) I will never need to buy a copy again. Ever. In the 90's, I bought at least two dozen replacement copies of broken CD's.
This rule will piss off the minority of young consumers who actully still somewhat respect their business (like myself) but are of the 'Napster' or 'YouTube' generations. They are behaving exactly like King Canute & the Sea on this one....and they will perish.
Music is too expensive for most people to buy. Yes, the labels will say to me - there are many albums for sale in your nation (UK) for as little as £8.00! Yes, there are. They are of identikit pop pap or of runner's up of this year's Crap Idol - spewing from the shelves of Tesco, Asda and Woolworths. If you love real music (In this I mean anything from Rock to Classical) and you are after a CD which is not of the biggest three in the genre and their new release, you will be looking at £12, or £15 or even £18! I don't want to have to pay £20 for say, for a CD from 1995 AND have to wait 3 weeks for the bleeding store to get it from their warehouse (True Story) I've long given up looking in real music stores because what I want they don't have and what they have that I like I allready own.
When they gave up fighting against music downloading, they priced their downloads at the exact same price as their hard copy. That is stupid.
Here is my solution. We take all the record industry managers, put them in burlap bags, fill said bags with stones, and chuck them in the sea. It's the industry's only hope.
