MySpace CEO Says They Can Help Save Music
April 7, 2008 at 5:26 AM (PT)
In the wake of the announcement THURSDAY, APRIL 3rd of the formation of MYSPACE MUSIC, comes the bold prediction by CEO CHRIS DEWOLFE that the sprawling social network provides the ideal platform to help the struggling music industry to find its footing in the digital world.
"Music has always been one of the cornerstones of MYSPACE," he said in an interview with ADWEEK. "It's always been something that drives pop culture, and MYSPACE is a reflection of pop culture." MYSPACE is uniquely positioned to help the music industry for several reasons, DEWOLFE said. First, it has enormous scale with nearly 70 million monthly visitors in the U.S. alone. And its music section already attracts 30 million visitors per month and 5 million artists have profiles on the site.
MYSPACE research showed that its users were consuming music, DEWOLFE said. The trends it found are similar to those throughout digital media: Users discover music via friends and want content on their own terms -- portable if possible.
Advertising is just one piece of a larger plan to generate new revenue for artists through MYSPACE. MYSPACE MUSIC will also help performers sell downloads, ringtones, concert tickets and merchandise. But advertising will be a "significant" part of the music industry's future business model, DEWOLFE predicted.
He declined to specify the ad placement options MYSPACE would offer, but said it would not change the overall user experience by introducing more intrusive forms.