Gigi Johnson joined guests with the San Francisco Entertainment Commission on a warm SF day to discuss how technology influences music consumption and live concert choices. These slides kicked off the conversation, which continued for about 3 hours in total. The conversation included discussions of the impact of streaming music and digital subscriptions, as well as playlists, on how we decide if and where to go for live content.

1. Smart Phones,
Smarter Audiences?
How Technology Influences
Concert Choices and Music
Consumption
Gigi Johnson, EdD
Executive Director
@MusicInnovUCLA
Innovation.schoolofmusic.ucla.edu
San Francisco Entertainment Commission
In partnership with:
Golden Gate Restaurant Association
The Grammys
San Francisco Music Alliance
Office of Economic and Workforce Development
Bar Fluxus

2. How are fans making
decision on how and
where to enjoy music?
How does this impact
venues and local music
communities?
What can be done to
improve this?
Music
Consumption
Concert
Choice

3. UCLA is Asking This in Los Angeles
How is Streaming affecting live venues,
performances, and communities?
Song
CommunityExperience
40+ interviews into a study across the region

4. CMI’s Question: How to Live on .2-.8 cents
per stream before splitting up the results
“We will make it up in Volume.”
“We will make it up in Live Performance.”
Will we?
Who will?
How can we positively help impact this for
all/most parties concerned?

5. Explosion in Smartphones

6. Source: Nielsen Total Audience 3Q 2016
Smartphone: Expanding Media
an Hour a Day since 2014

7. Who are We Becoming?

9. 9
New Expectations of “Experience“
“FOMO”: Fear of Missing Out

10. Streaming and Playlisting
Song
CommunityExperience
Connecting = The New Curation

11. 1999 – Peak of the CD Block of
Songs – and Revenue
Source:
RIAA

12. 1999 – Peak of the CD Block of
Songs – and Revenue
Source:
RIAA
Units is another story…

13. Making It Up in Volume?
-
100
200
300
400
500
600
700
800
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
Cume Album Equivalents
CD Unit Sales Digital Album Sales DDL/10
Audio Streams/1500 Video Streams/1500
SOURCE: Nielsen/Soundscan

14. New – up to 8 weeks old (2 mos)
Recent: 8-78 weeks old (2 mos to 18 mos)
Catalog: 78-156 weeks old (18 mos to 3 years)
Deep Catalog: more than 156 weeks old (3 years)
Discovery? Reminding You of What You Love?

15. Volume for Whom?
Challenge of Recall and Attention:
42% of Streams for 5,000 Tracks

16. Three Accelerating Connected
Environments
Song
CommunityExperience
Connecting = The New Curation
Immersive,
Everywhere Music
Music + Data +
Location =
Immediate, In-
Context Data
Lifestyle, Pervasive,
In-Context
Advertising
Playlist as the New
Radio –
Reaggregating
Audiences
Knowing
YESTERDAY – but
WHO knows? (Not
Artists…Yet)
WE are the Product
vs. the Song

17. TSL All Music Listening
Source: MusicWatch Inc.

18. TSL 2016 Share Source: MusicWatch Inc.

19. Strong Audio & Subscriber Stream Growth

20. Volume for
Whom?
Global
“Value Gap”
per IFPI

21. And Who Says?
Spotify vs. Non-Spotify Curators
Source: Chartmetric.io

22. The Weeknd
KREAM (Deep house, Norway)
Source: Chartmetric.io via
Medium (link)

23. Selling our Behaviors to Brands

24. Selling our Behaviors to Brands

25. Playlists: The New Radio? Album?

26. So What is the New
Customer Journey?
How does the fan do
more than just stream
and share?

27. Eventbrite/MusicWatch Study:
Streaming and Social Impact Discovery

28. Eventbrite/MusicWatch Study:
Discovery Leading to Tickets

29. The New Curation: Experience
Song
CommunityExperience

30. The New Curation: Experience
Song
CommunityExperience
Changing
Concentration of
“Alone Media”
Growth of Festivals
and FOMO
Changing role of
Driving: Uber, Lyft,
and the Walkable
City
Gentrification and
Small Venue
Pressures – Music
Cities Politics
New Curators as
Floating Events,
Curating
Experiences
VR/AR: New Out-Of-
Home Experiences
and Concert
Alternatives

31. Yet the
Recorded Song
is a Slice of the
Pie

32. Making It Up in Live?

33. “…the top 1% of live artists
(many of whom are aging
heritage acts) account for 68%
of all live revenue.”
MEDiA, Mark
Mulligan
https://musicindustryblog.wordpress.com/2017/06/15/do-
not-assume-we-have-arrived-at-our-destination/

34. Who is Coming?
How? Why?
• 22%? of adults attending
concerts(?) (2014 study)
• “Average fan: 1-2/year”
• How is streaming and social
impacting frequency?
Spread across festivals,
venues, cities?
• How do we Know?

35. What is
Experience: Alone
in a Room?
• Increased Streaming at work
• Closed audio environment
• Studies: Silence in homes
with separate audio
environments

36. Experience Shares Much of the Wallet
Live: DJ, Small Sessions, Festivals, Live Concerts: 55%
Recorded: 45%

37. 37
Smartphone Affecting Experience

38. Checkins and
FOMO
Check ins vs. fandom --
FOMO -- documentation
of participation

39. Social Media & Venue Experience
• How do they decide on a venue? Artist first?
• Who owns the social media experience at the venue?
• What does the fan count on?
• TSA -- askTSA -- now at AA

40. Our 40+ Interviews:
What is Your Live Music?
• No documentation of real footprint of live music and its changes over
time
• Conversations with 8 cities so far (not just LA)
• How does SF document? What is the “unit of measure”? Clubs? Nights?
Licenses?
• Differs by genre
• KPop totally different than Latin, and both are different than EDM or Hip Hop
• Differs by areas of the city
• Shifts to DTLA (Downtown), Chinatown, and West
• How to track? What to measure?
• What is a venue? How to track Popups and Renegades?
• Differs by demographics

41. How can we bring together data from the
Stream to Engage the Experience?
Community, Engagement, Decisions
Recorded Music
Performance, Synchronization,
Merchandise

42. Tools to Track Fan Behavior
• Chartmetric.io (plus others) -- tracking playlist impact and progressive
migration
• Pandora AMP -- for artist themselves
• SImilarWeb -- tracking flow and sourcing from and with social media
• Facebook Insights -- track overlaps between artist fan groups (or just
go "buy a FB ad")
• Soundcloud Pro -- for artists, track down to individual listener
• Next Big Sound (now in Pandora) -- track groups of artists and find
similar fans/listener bases
• BuzzAngle -- track what happened even yesterday (except live)

43. How Can We Change the Experience for
a Smartphone-First Culture?
• How are we changing the live performance experience in the face of
smartphone-forward fans?
• Disney -- several years ago -- more uploaded content than downloaded -- had
to change wifi to match
• LISNR and iBeacons -- location-specific tracking and experiences
• Modes for discovery vs. recall/reminder of fandom experiences
• Means to connect with your own followers/fans
• Reachback to Fans
• FB: <3%
• Email: 15-16%?
• It’s ENGAGEMENT, not fandom

44. The New Curation: Community
Song
CommunityExperience

45. The New Curation: Community
Song
CommunityExperience
Changing Roles of
Clubs
Changing Role of Cities
Changing Roles of
Curators
New Roles and
Combinations of Artist
Cooperatives and New
Label Structures

46. Music Cities Research and Projects
http://www.austintexas.gov/department/austin-music-census-report

47. Music City? Music Cities in a City?
Questions:
• How does this differ by demographic? Venue size? Our own study --
at about 40 interviews and finding differences by venue type, genres,
fan ages, etc. Kpop and Latin -- very different than EDM.
• Tracking and data for interventions -- what are we tracking as a
starting point? How to measure a venue/venues? Seats? Capacity
utilization? How do we track shifts across a city? LA: Shifts to
downtown, Chinatown, further west -- if/how measured?

48. Rethinking music as creative and fan communities
• Floating Clubs between venues and in
alternate spaces
• Curation communities
• New collaboration communities – artist
collaboratives

49. What is the Community for Music’s
Future?
What is the lifecycle for artists? YouTube and Soundcloud to Festivals?
Local Community support for launch?

50. New Dances:
• Predictive Analytics
• Personal Assistants
• Bots Marketing to Bots
• Pre-Decisions – thinning
alternatives for fans

51. Business Intelligence: Next
Dance
• Business Intelligence departments
at Ticketmaster, AEG
• Predictive analytics

52. Data + Natural Language Processing =

53. Alexa Questions

54. “Alexa, play Ed Sheeran.”
Results revolve around “popularity and
relevance to the consumer.”
Steve Boom, Amazon Music VP in interview
with Billboard

56. http://www.musicwatchinc.com/blog/thanks-alexa-friends-with-benefits/

58. Echo/Alexa: Expanding the Footprint

59. How We Ask . . . Even Now . . . NLP

60. Not Just Live Music:
Meanwhile, Dramatic Shifts in Retail

61. Retail is Rethinking:
What is a Great Live Experience?

62. Location-Based VR

63. VR Pathways – New
Experiences
Eric Church at Stagecoach – VR Concert --
https://www.youtube.com/watch?v=7l69y9MEE4I

64. And Mobile Reading Live Experience:
Adding to Where You Are: Computer Vision
and AR in RL

65. To Where are We Accelerating?
Song
CommunityExperience

66. -
50
100
150
200
250
2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Album Equivalent Units, US
CDs Digital Albums DDL/10 Audio Str/1500 Video Str/1500
Where Does the Song Go?

67. Where Does Engagement and
Community Go?

68. SOMEONE
Knows
Exactly What
You Did
Yesterday
Business
Intelligence
Predictive
Analytics
New
Tastemakers
Aggregators as
New Power
Brokers
Playlists as the New
Radio
How do we make Good
Decisions for Better Music
Ecosystems?

69. UCLA Center for Music Innovation
Gigi Johnson, EdD
gigi.johnson@ucla.edu
@MusicInnovUCLA
http://innovation.schoolofmusic.ucla.edu