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The Future of Music
Marketing
Strategies

Dave Kusek
Senior Partner
Digital Cowboys
Broken
       Model
      The label model is no longer dominant.
      CD sales have collapsed.
      Financial model based on recording is
      broken.
      Profitable touring can be a challenge.
      New music businesses can be successful.
      An collaborative approach is needed.

© 2013 David Kusek
The
                     Traditional
                     Music Business


                     + Recording
                     + Writing
                     + Performing
                     + Licensing


© 2012 David Kusek
How Musicians
                     make Money

                     Connect with an Audience
                      ✦Perform - touring
                      ✦Write songs - publishing
                      ✦Sell songs - recording
                      ✦Sell Merchandise

© 2012 David Kusek
  2013
The Good News:

                     People love music

                     We just can’t get enough.
                     Music consumption is at an all time high.
                     More music is being produced each day.
                     Illegal music channels are drying up.
                     Legal digital channels are expanding.


© 2013 David Kusek
The Bad News:
                     Recorded music is no
                     longer the driving
                     force

                     New ways of thinking about music and
                     commerce are required.
                     Economic engine of the past 70 years
                     has run out of fuel.
                     This is a big change for the entire music
                     ecosystem.
© 2012 David Kusek
A band this big will never happen again.
© 2013 David Kusek
Obscurity is the
Enemy
   Exposure
   Discovery
  Community
   Revenue
New Artist Ecosystem




© 2013 David Kusek
Alex Day
Go to Market Strategy

 Determination
 Focus
 Big Ideas
 Creative Thinking
 Cultivating Fans
 Fearlessness
Direct to Fan via YouTube
The Power of YouTube
Social Marketing

YouTube
Twitter
Facebook
Appearances
Personal Interaction
Crowd Funding
Digital Patronage
✦ Kickstarter
✦ Indiegogo
✦ Pledgemusic
Amanda Palmer


        Fan Base of 500K+

        $1.2 million raised on
        Kickstarter


© 2013 David Kusek
Active
Engagement
Social Media
Twitter
Facebook
YouTube
Touring
Pragmatic
Crowdfunding
Touring
   Profitably
        Clubs and concerts
        House parties
        Digital events
        Route Mapping
        Discovery



© 2013 David Kusek
Audience Sourcing
Publishing & Licensing

        Licensing Songs
        Syncs / Games
        Name and Likeness
        Endorsements
        Sponsorships
        Entrepreneurial ventures
        Stability
© 2013 David Kusek
The power of media is still with us
Merchandising


       Clothing
       Lifestyle products
       Food
       Collectibles
       Jewelry



© 2013 David Kusek
The
New Merch
New Digital Products

 Mobile apps
 Wearable
 Interactive video
 Collections
 Events
 Episodes

                     © 2012 David Kusek
© 2012 David Kusek
New Artist Ecosystem
Connect directly with your fans.
Create a business around yourself.
Own your masters and publishing.
Secure sponsors to generate cash.
Purchase the services you need.
Use interactive integrated marketing.
Create multiple revenue streams.
Control your career.
New Areas of Opportunity

                     Direct to Fan       Branding
    Interactive Marketing            Artist Management
      Curation/Discovery                 Licensing
                 Analysis/Data        Digital Events
                     Distribution      Merchandise
            Artist Networks           Artist Services
                      Streaming         Education
           Digital Products            Soundtracks
                        Games         Sponsorships
                     Mobile Apps      Collaboration

© 2013 David Kusek
Businesses to watch
                       Apple       Pitchfork
                     Bandcamp         Rdio
                     Bandzoogle   Reverbnation
            Live Nation Labs       Rightsflow
                      CD Baby      Songkick
                      Echonest     Swarm.fm
                     Frontline      Spotify
                      Google         Timbre
                Mobile Roadie      Ticketfly
                       Daisy        Topspin
              Next Big Sound         Viinyl
                      Pandora         We7
© 2013 David Kusek
We must
                     collaborate
                     to create a
                     healthy
                     future.

© 2012 David Kusek
How can
                            we help
                            you?

                            Dave Kusek
                      Digital Cowboys
                     dkusek@digitalcowboys.com
                                    @davekusek
                            digitalcowboys.com

© 2013 David Kusek

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Digital Cowboys Music Marketing Strategies april 2013

  • 1. The Future of Music Marketing Strategies Dave Kusek Senior Partner Digital Cowboys
  • 2. Broken Model The label model is no longer dominant. CD sales have collapsed. Financial model based on recording is broken. Profitable touring can be a challenge. New music businesses can be successful. An collaborative approach is needed. © 2013 David Kusek
  • 3. The Traditional Music Business + Recording + Writing + Performing + Licensing © 2012 David Kusek
  • 4. How Musicians make Money Connect with an Audience ✦Perform - touring ✦Write songs - publishing ✦Sell songs - recording ✦Sell Merchandise © 2012 David Kusek 2013
  • 5. The Good News: People love music We just can’t get enough. Music consumption is at an all time high. More music is being produced each day. Illegal music channels are drying up. Legal digital channels are expanding. © 2013 David Kusek
  • 6. The Bad News: Recorded music is no longer the driving force New ways of thinking about music and commerce are required. Economic engine of the past 70 years has run out of fuel. This is a big change for the entire music ecosystem. © 2012 David Kusek
  • 7. A band this big will never happen again. © 2013 David Kusek
  • 8. Obscurity is the Enemy Exposure Discovery Community Revenue
  • 9. New Artist Ecosystem © 2013 David Kusek
  • 10. Alex Day Go to Market Strategy Determination Focus Big Ideas Creative Thinking Cultivating Fans Fearlessness
  • 11. Direct to Fan via YouTube
  • 12. The Power of YouTube
  • 14. Crowd Funding Digital Patronage ✦ Kickstarter ✦ Indiegogo ✦ Pledgemusic
  • 15. Amanda Palmer Fan Base of 500K+ $1.2 million raised on Kickstarter © 2013 David Kusek
  • 18. Touring Profitably Clubs and concerts House parties Digital events Route Mapping Discovery © 2013 David Kusek
  • 20. Publishing & Licensing Licensing Songs Syncs / Games Name and Likeness Endorsements Sponsorships Entrepreneurial ventures Stability © 2013 David Kusek
  • 21. The power of media is still with us
  • 22. Merchandising Clothing Lifestyle products Food Collectibles Jewelry © 2013 David Kusek
  • 24. New Digital Products Mobile apps Wearable Interactive video Collections Events Episodes © 2012 David Kusek
  • 25. © 2012 David Kusek
  • 26. New Artist Ecosystem Connect directly with your fans. Create a business around yourself. Own your masters and publishing. Secure sponsors to generate cash. Purchase the services you need. Use interactive integrated marketing. Create multiple revenue streams. Control your career.
  • 27. New Areas of Opportunity Direct to Fan Branding Interactive Marketing Artist Management Curation/Discovery Licensing Analysis/Data Digital Events Distribution Merchandise Artist Networks Artist Services Streaming Education Digital Products Soundtracks Games Sponsorships Mobile Apps Collaboration © 2013 David Kusek
  • 28. Businesses to watch Apple Pitchfork Bandcamp Rdio Bandzoogle Reverbnation Live Nation Labs Rightsflow CD Baby Songkick Echonest Swarm.fm Frontline Spotify Google Timbre Mobile Roadie Ticketfly Daisy Topspin Next Big Sound Viinyl Pandora We7 © 2013 David Kusek
  • 29. We must collaborate to create a healthy future. © 2012 David Kusek
  • 30. How can we help you? Dave Kusek Digital Cowboys dkusek@digitalcowboys.com @davekusek digitalcowboys.com © 2013 David Kusek