Music Business -Should Music Be Free

The music business continues to change and evolve. Younger music fans are downloading music faster than ever before and it's doubtful that they will stop anytime soon. The question is should music be free or sold? What is the opportunity cost by allowing music to be available for free to the consumers or sold in various digital formats? Importantly, what do independent recording artist gain by giving their music away for free versus selling it? Should music being free as a way to sell other products and services sold or endorsed by artist? I'd add this into the mix of such a business model.

1) Businesses should still pay and for all accounts they will pay to use music -music licensing through performance rights organizations (in the U.S. ASCAP, BMI & SESAC).

2) Music may be used in commercial jingles, advertisements, movie soundtracks, video games, ringtones, ring backs, movie scores, etc.

3) In business it is often overstood that 80% of the revenue is generated from 20% of the customers -the 80/20 Rule or upselling.

4) While there are a lot of great artist none of them sound, move, nor look like Sade (I'm a fan and will buy her music and pay to see her perform). I was introduced to trip-hop by first hearing Portishead (I've bought there CD's a few times and will pay to see them perform when they return to the U.S) I'm saying all this to say that part of this issue is artist creating great music and connecting with fans on a level that encourages purchases of merch and music related items.

5) I think the business model exist, but has to be cultivated and that a new approach has to be assigned in order to make it work. Perhaps we are truly in the long tail of niche markets. Perhaps if we look to greater niche marketing will find greater success stories among recording artist and new music labels.