-
Have You Heard The News? ... Things Are Bad
October 3, 2008
Have an opinion? Add your comment below. -
"If you don't know where you are going, you might wind up someplace else."
-- Yogi BerraThe financial news these past few weeks has been like a drone in our ears -- almost like a video that's been looped and played in maximum rotation on the 24/7 cable news channels. We get it: This is a serious crisis and it's affecting us all. (As if we all didn't know what was going on anyway based on all those home foreclosures)
Unfortunately, the news for the music business in September was just as bad. From a report this week: "September was a tough, tough month for the recording industry, according figures now surfacing. During the recent week, sales in the U.S. hit 6.45 million units, a 28.8% decline from the comparable week last year. That is part of a marked decline of 20.4% for the month, based on an already-depressed 2007. According to an analysis published by Glenn Peoples of Coolfer, the September drop easily beats an aggregated decline of 9.3% between January and August. "Not once in the four weeks of September 2008 did album sales exceed seven million units in a week," Peoples noted." (Source: http://tinyurl.com/4ue2y6 )
What the report doesn't take into account is the fact that currently there aren't a whole lot of multi-platinum albums in the Top-20 album sales. (Only three, as of this week, are certified with more than one million in sales)
No serious analysis needed here: Big hits sell big. Mediocre ones sell less. That's the way it's always been. Of course, in an economic environment (okay, downturn) where consumers are being forced to become even more discretionary with their available entertainment dollars, it's more likely they will cut back dramatically on any entertainment options they deem disposable.
It's obvious when hundreds of millions of dollars (literally) are being spent on games like 'Guitar Hero' and 'Rock Band' at retail, that even in bad economic times consumers find the money to buy what they want entertainment-wise. When the DVDs come out for the movies I mention below, expect them to generate hundreds of millions at retail as well.
A look at the Top-20 album charts below doesn't evidence (in my opinion) of a collection of "must have" albums right now, or any that might generate the four or five hit songs necessary to elevate sales into the three to five million sales levels like Daughtry, Nickelback, Carrie Underwood, Rascal Flatts, Green Day, Taylor Swift, et al., over a period of time. Those albums selling at those levels also prove also that consumers find the money to buy what they want entertainment-wise. Again, no serious analysis needed: big hits sell big. Mediocre ones sell less.
A few big album releases could change the picture at retail dramatically the same way "The Dark Knight," "Iron Man" and the fourth Spielberg/Lucas "Indiana Jones" installment did at the box office. Before those films were released everybody was writing stories about how poorly Hollywood was doing this year.
Of course, it isn't all that easy to produce and put out the kind of multi-platinum sellers the industry so sorely needs. Just ask any A&R label person. But chart history over the years evidences that quality music has consistently been responsible for greatest majority of the industry's best selling titles.
It's no accident that Pink Floyd's "Dark Side Of The Moon," The Beatles "Abbey Road," the Eagles "Greatest Hits," Michael Jackson's "Thriller" and dozens of other great classic titles still sell very respectable quantities decades after they were originally released, and others (gee, so many here, let's just use the Spice Girls as one example) that sold millions when they were "hot" at retail are now out of our memory banks.
Yes, it's bad times in the music biz. But, it can't all be blamed because of economic conditions. No siree. There's plenty of blame to go around, and the labels have made damn sure of it. There's that evil-doer Steve Jobs and his hated iTunes and iPods. There's that thing called the Internet that lets people steal music for free. There are computers that let people copy CDs and burn their own. And so on and so on and scooby dooby doo-bee. We all know the song.
In the meantime, for now and for the future, the labels should realize that things are only going to get better when the music gets better.
If it doesn't, the future will end up being a "Now That's What I Call Music' compilation being put out every few months, ad infinitum, ad nauseum.
NEXT WEEK: Rebuilding The Music Industry
AND THIS...
Last week in my commentary "TV Or Not TV, That Is The Question," I wrote the following: "Many television executives are making some major mistakes as more entertainment options become available, and the audiences they seek to capture become more elusive ... The networks needs more than a new slate of shows every Fall to succeed with meaningful numbers in the future. "
As a follow-up, I thought I'd report that last week every Thursday night season premiere drew a lower rating than last fall, and returning favorites such as ABC's "Grey's Anatomy," CBS' "Survivor" and NBC's "The Office" tripped across the board. CBS' "Survivor" fell 10% from last fall to a new premiere low, NBC's "My Name Is Earl" was down 29% and "The Office" was down 4%. (The smallest decrease of all returning shows that night)
These numbers might be an indication of what is likely to happen every year now when the new "Fall Season" of TV favorites returns.
The public simply has too many channels to choice from, and TiVo, DVRs and OnDemand services make it easy to watch whatever one wants whenever one wants to without having to tune in to a show at its regularly scheduled time.
All of this, of course, presents serious dilemmas for network programmers as the audience's viewing habits continue to change with the technology that has changed the way they can spend their time in front of their flat screens.
Independents Lash Out At MySpace Music
Financial TimesThe Financial Times reports that independent music labels are hitting out at MySpace following the launch of MySpace Music. Most of the content on the revamped site is being supplied by the music industry's big four: EMI, Universal Music, Sony BMG and Warner Music. In an interview with the FT, Charles Caldas, CEO of Merlin, which represents independent labels and 9% of the U.S. digital-recorded music market, expressed disappointment at not being included in the joint venture.
For its part, MySpace claims that it "offered a relationship with Merlin that provides equal opportunities to Merlin's labels and artists that we have provided to all labels and artists," although the talks have gone nowhere. Merlin consists of 12,000 labels, including Beggars Group, Rough Trade, Domino, Warp Records and Koch. Simon Wheeler, head of digital at Beggars Group, also called the MySpace Music exclusion a "kick in the teeth."
Read more about it by clicking here.
Source: Universal Music Group Plans 'Hulu-like' Site
Universal Music Group, the largest of the major recording companies, plans to launch a "Hulu-like" video portal, a source close to the company told CNET News. The new venture would offer professionally produced music videos as well as other original programming that features the label's artists. The Killers, Mariah Carey, Kanye West and Amy Winehouse are just a few of the company's acts. A Universal spokesman declined to comment.
Doug Morris, Universal's chairman and CEO, wants to squeeze more revenue out of music videos and offer artists a new and more polished platform to display their talents than what's available online now, the music industry source said.
Read more about it by clicking here.
Digital Rights Groups Urge Court Not to 'Chill' Innovation
The Electronic Frontier Foundation, Center for Democracy & Technology and other groups are urging a federal court to balance the need to protect technological innovation with copyright owners' rights in an infringement lawsuit brought by the record industry against peer-to-peer network Lime Wire. While the organizations do not take a position on who should win the lawsuit, they argue that at least some of the record industry's arguments in the case could "chill legitimate innovation" if accepted by the court.
Read more about it by clicking here.
The Vinyl Countdown
This week, "Some Kind of Salvation," the new album by The Features, will be released on vinyl -- and vinyl only. You won't be able to buy a download or a CD for another few weeks. That's a calculated move by a band who profess that "with the speed at 33-and-one-third I will be the happiest person that I know." This tactic is reminiscent of Pearl Jam's strategy for the release of Vitalogy in 1994 -- just subtract the download angle, which wasn't an option then.
A story told by studio owner and engineer Walter Sear several years ago in Tape Op magazine goes something like this: At a music industry trade show in the 1980s, the powers-that-were at the time introduced the compact disc. To demonstrate this new format's digital powers, they did an A/B test, alternately playing a vinyl LP and a CD. Everyone agreed that the vinyl sounded better. But music sales were slumping, and the industry was eager to introduce a new format as a way to generate interest and resell their back catalogs. The rest is history.
Read more about it by clicking here.
'BusinessWeek' Names The Web's Top 25
Apple CEO Steve Jobs, Craigslist founder Craig Newmark and Facebook COO Sheryl Sandberg are included in the ranks of the magazine's mostly unsurprising list.
Read more about it by clicking here.
Pandora And Webcasting See Victory In The Senate
The Senate passes the Webcaster Settlement Act, and the legislation Web radio stations need to get reduced royalties is almost law.
Read more about it by clicking here.
Walter Lee, 1945-2008 - R.I.P
This week, I was saddened to learn about the passing of ex-Capitol labelmate and co-worker, Water Lee, due to complications from cancer.
Walter was a local promotion manager for Capitol in Boston who made his way to the Capitol Tower in Hollywood as National Sales Manager. He held that position while I was doing national promotion for Capitol, and we fought many good fights together as members of a great Capitol Records team
With promotion in his blood, Walter became Capitol's VP of promotion in the late 1980s, and he stayed in that capacity until he joined Morgan Creek, where he was also GM. For the past eight years, Walter partnered with Frederic Traube in Pro Sports Music, promoting records and artists to sporting arenas and stadiums.
A memorial for the Walter will be held at the Eternal Valley Memorial Park, 23287 North Sierra Highway, Newhall, CA next Tuesday (Oct. 7). In lieu of flowers, Walter's family asks for a donation in his name to his favorite charity, Tony LaRussa's The Animal Rescue Foundation, at www.arf.net.
"THE DUKE" HONORED
One of the best people in radio I ever had the privilege of working with while I was doing promotion for Capitol and MCA Records was Dave "The Duke" Sholin. Dave was the music director at KFRC when I first met him (as well as an on-air talent), and he later became the National Music Director for the RKO Radio Group. This week Dave, who is now back on KFRC, was recognized by his radio peers for his talent and received a great honor. He was inducted into the Bay Area Radio Hall Of Fame. Dave now joins other Bay Area legends such as Bill Gavin, Alex Bennett, Bob Fouts, Russ "The Moose" Syracuse, Mike Hunter (Capt. Mikey) and others.
JAY-Z HONORED
Jay-Z was presented with a United Nations special humanitarian award at a ceremony earlier this week in New York. The ceremony's host, actor Michael Douglas, presented the award, which honored him for his raising funds and awareness for the world's water crisis.
VAN THE MAN GOES 'ASTRAL' AGAIN
Van Morrison will perform the entirety of his 1967 masterpiece Astral Weeks during a run of concerts at the Hollywood Bowl this November. Morrison will perform at the famed Los Angeles venue November 7-9.
AC/DC IMPORTS
Just like the did last year when the Eagles album was only available at Wal-Mart, record stores here in the states are reportedly ordering mass import copies of AC/DC's "Black Ice" to compete with the album's Wal-Mart exclusivity.
ELECTRIC MACCA
Paul McCartney will reassume his electronic identity The Fireman on November 13th with a new album dubbed "Electric Arguments," the third collaboration between Macca and producer/Killing Joke bassist Youth. Electric Arguments is the duo's first album since 1998's "Rushes."
DEATH CAB NEWS
Death Cab for Cutie will reissue their debut album "Something About Airplanes" on November 25th. A bonus disc will feature a recording of the band's first-ever Seattle concert in 1998.
MS. JACKSON SIDELINED
Janet Jackson was released from a Montreal hospital this week after becoming sick while soundchecking her concert. Her scheduled 'Rock Witchu' tour stops in Boston and in Philadelphia have been postponed and will be re-scheduled.
NPR SOCIALIZING
National Public Radio has just become the latest media property to launch a social network (not counting those that surely launched one while you were reading that sentence). It's called NPR Community.
INTERVENTION TIME
Country singer Mindy McCready began serving a sentence of 60 days in prison this week after violating probation for previous drug charges.
SUPER BOWL BOSS HALFTIME
Bruce Springsteen and the E Street Band are set to perform during Super Bowl XLIII's halftime show on February 1st, 2009, in Tampa, Florida. Springsteen will be the fifth veteran act in a row at the Super Bowl. The NFL has previously booked Paul McCartney, the Rolling Stones, Prince and Tom Petty and the Heartbreakers.
NO ZEPPELIN FOR AWHILE
Robert Plant has finally responded to all the rumors circulating about Led Zeppelin finally launching a full-blown reunion next year on his website. "Robert has no intention whatsoever of touring with anyone for at least the next two years," the statement reads.
iPHONE FLASH
Adobe is putting the finishing touches on a version of its ubiquitous Flash application made specifically for iPhones. If it passes muster with the Apple's Ap Store screening process, the revamped software could be available "in a very short time," according to an Adobe official.
WAL-MART FOLDS DRM ON DIGITAL SALES
Wal-Mart digital music store has officially dismantled its out-of-use DRM technology on the Wal-Mart digital music store.
GET WELL WISHES TO
E Street Band guitarist Nils Lofgren, who underwent replacement surgery on both his hips this week. Nils said, "a long, beautiful life on the road that's included leaping off drum risers and trying to break stage floors with pounding legs" made the surgery necessary.
STUDENT FLEA
With the Red Hot Chili Peppers on a hiatus, bassist Flea has enrolled in the University of Southern California's music program. Flea hopes to better understand the "math and academics" of music structure.
Quotes of the week
"Because of my independence I had to build my audience based on live shows, as opposed to the marketing muscle of a major label. Touring is once again my bread and butter, and at least I still have a job. Music sharing is essential to a degree, but there must be a way for artists to own their work and get paid for it. I don't think artists have to have a stranglehold on controlling their work, but I think they need to have a healthy control so they can survive."
-- Ani DiFranco, in Rolling Stone."I hope the Claymates, God bless their souls, don't take this too hard. If it's any consolation, there's no way he could have married all of you."
-- Jimmy Kimmel, offering comfort to Clay Aiken's female fans after the singer announced that he's gay."I toot under the sheets, I spend a lot of money and I can belch the ABC's."
-- Jessica Simpson, on what any man of hers has to put up with, to PEOPLE. Jessica, you are so much more attractive with your mouth shut."We're like old hookers."
-- Richard Gere, on the ease of love scenes with his frequent onscreen flame Diane Lane, at the premiere of their latest film together, "Nights in Rodanthe." And now that we know that Richard, we can skip the flick."I mean, they show guys in boxers in the Sunday paper ads, right?"
-- Country star Jimmy Wayne, explaining why he thought it was okay to take his shorts off after he misunderstood directions from airport security, to PEOPLE. Yeah Jimmy, in the newspapers ... not at the airports.
The B-Side - 'Blips'
THE ONION (www.theonion.com) STORY OF THE WEEK:
Bands Don't Ever All Get The Same Haircut Anymore
There's nothing quite like a rock concert. I remember how exciting it was to sit in a packed stadium, watching four or five young men with indistinguishable haircuts run toward the stage and grab their instruments. And then, then they'd start playing-and boy I'll tell you, that's when those haircuts would really start moving. Swaying to and fro at equal lengths above their shoulders, shimmering in the same tones of brown, black, or blonde. That, my friends, was true rock and roll.
But it just couldn't last. The kind of musical rebellion those uniformly mop-topped or bowl-cut or side-parted young men brought into our lives was a flame that burned too brightly. Gone are the days of the Beatles, the Partridge Family, the Monkees, the Who, and the Beatles during Sgt. Pepper, when they all grew matching mustaches. And, in place of those great, similarly hairstyled songsters we have-well, I don't quite know what to call them. A bunch of strangers with different haircuts.
Read the rest here and laugh: http://tinyurl.com/4totkv.
THE RADIO INTERVIEW on 'THE AMERICAN PERSPECTIVE' - From newsblaze.com
"Steve Meyer is on the front line of global music sales and distribution which he expects will soar to pocket-bursting levels. What's more, he shares his insight and ingenuity with us. Steve gives us both historical perspective and futuristic vision as he chats with Judy about the love of his work, trends of the business and his personal points of view about success, happiness and blending life with the lust for life. Steve joins Judy and helps us discover the thrill of having it all with a sense of balance and purpose. "
You can listen to an interview I did with Judy Piazza of 'The American Perspective' by clicking here: (It runs about 15 minutes)
http://www.thesop.org/index.php?id=10306.
The Blogs
Check out a great blog by Jerry Del Colliano, the Director Executive Programs, Clinical Professor Music Industry & Recording Arts, at the Thornton School of Music,University of Southern California, by clicking here: http://www.insidemusicmedia.blogspot.com.
Box Office
Check The Daily & Weekly Box Office (and more film info) at: www.boxofficemojo.com.
TinyURL
Check out www.tinyurl.com where you can make a smaller URL that will work for any webpage you wish to link to or reference. (As you can see, I'm using it in my news stories above!)
-
-