Saturday, January 2, 2010
Weight Loss and The Mind 2.0 | Diet | Fitness | Health | Exercise | Yoga | Healthy Thoughts
Each week Scott Paton discusses how you can effectively use your mind to control your mouth.
Sunday, August 9, 2009
Cracking the Apple App Store
Some would-be iPhone developers, rejected by Apple, are turning to an unauthorized app store called Cydia.
But some developers aren't taking the rejection lying down: They're turning instead to an unauthorized app store called Cydia, where forbidden wares continue to exist -- and even earn developers some money.
That store is operated by Jay Freeman, more fondly known in the iPhone "Jailbreak" community as Saurik. Only five months old, his app store Cydia specializes in selling apps that Apple would reject or ban (or already has).
To use Cydia or the apps available through it, customers need to jailbreak their phones -- hack them to work around Apple-imposed restrictions -- a process that Apple claims is illegal.
Indeed, you can even get a Google Voice app, GV Mobile, through Cydia. After Apple pulled the app from its App Store, developer Sean Kovacs (who is not affiliated with Google) made it available for free through Cydia.
It's difficult to get accurate data on how many customers have jailbroken their iPhones. But based on the number of unique device identifiers tracked on his server, Freeman claims that about 4 million, or 10 percent of the 40 million iPhone and iPod Touch owners to date, have installed Cydia.
Don't Miss
On a recent day, he said 470,000 people were connecting to the Cydia store, up from 350,000 per day just a few months ago. Among many free apps, there are also 15 paid apps in Cydia, and the store has earned $220,000 in overall sales in just five months.
"People are so annoyed by Apple and their s---, and if you give them opportunity to go around it, then they'll even pay for it," said Kim Streich, a developer whose app 3G Unrestrictor earned $19,000 in sales in just two weeks through Cydia.
Though Cydia is relatively young, the underground "Jailbreak" community has existed since the first iPhone launched in 2007. That year, Apple didn't yet have an app store for its iPhone, stifling the true potential of the device. This limitation inspired digital rebels to hack away at the iPhone's closed platform in an effort to free its mind.
The result? An app called Installer, opening a door for early iPhone owners to add games, utilities and other third-party software coded by developers.
It wasn't until 2008 that Apple offered a software development kit for third-party coders to make programs for its iPhone. That led to the opening of the official App Store in July 2008. Apple's store grew rapidly, accumulating 65,000 apps and serving over 1.5 billion downloads to date.
Many developers abandoned Installer for the more popular App Store, leaving behind an underground space where unauthorized wares could continue to exist. Installer died and became reborn as Cydia, which evolved from an app library into a store in March 2009.
To gain access to Cydia, iPhone owners must jailbreak their smartphones using some freely available tools courtesy of the hacker group iPhone Dev-Team. Given the nature of this procedure, it's clear Cydia's primary audience consists of nerdy rebels wishing to utilize the full power of their iPhones, restriction-free.
Cydia's numbers appear small compared to the rare stories we hear about developers turning into millionaires with hot sales of their iPhone apps in the App Store. But the idea behind a store like Cydia is that you don't have to be huge to make money.
With a smaller market, fewer competitors and a reasonably large customer base, each developer has a higher chance for making a quick buck, Freeman said. Plus, you get more personal attention: Developers submitting their app through Cydia need only contact Freeman, and their app can be made available almost immediately.
That's an enticing alternative to Apple's approval process, which can take months and is notoriously opaque: Some App Store developers have faced difficulty getting answers to simple questions from Apple about their apps.
It's obvious what's driving iPhone customers toward Cydia: Apple's rejections and restrictions of major iPhone apps. Most notably, Apple recently banned apps supporting Google Voice, the search giant's internet-based phone enhancement service that can provide cellphone users with free text messaging and transcribed voicemail.
Angry consumers and developers theorize that Apple banned the Google Voice apps so as not to detract business from its partner AT&T's phone services. The incident has brewed so much controversy that even the Federal Communications Commission has gotten involved, sending letters to AT&T, Apple and Google inquiring about the reasons for the rejections.
"Looks like Apple and AT&T pissed off a lot of people," Kovacs wrote in a July 28 blog post. "I'll be releasing GV Mobile v1.2 on Cydia for free today or tomorrow."
Another high-profile App Store regulation involves SlingPlayer, an app that enables iPhone users to stream video from a Slingbox device hooked up to a TV. When Sling originally submitted the app, it was capable of streaming over both Wi-Fi and the cellular 3G connection. However, Apple requested Sling to modify the app to work on Wi-Fi only. AT&T said this was a necessary move to prevent congestion on its 3G network.
That restriction spawned the most successful Cydia app to date, 3G Unrestrictor, developed by Streich. 3G Unrestrictor, a $2 app that has sold 9,500 copies, allows the iPhone to circumvent any network limitations imposed by Apple. For example, the app enables SlingPlayer users to stream TV over 3G as well as Wi-Fi; and when using the VOIP app Skype to place phone calls, customers can also use the cellular connection, whereas normally the app only enables users to dial over Wi-Fi.
"It's just amazing what you can do on such a little cellphone, and Apple just forbids customers from doing these things, and it's just a shame," Streich said. "That's why I'm so happy there's a Cydia store."
Another developer who reports positive experiences with Cydia is Jonathan Zdziarski, who said he has made more money through the unauthorized store than Apple's App Store. In February, his app iWipe sold 694 copies in Cydia, compared to 91 copies of iErase in the App Store.
"I guess you could say the App Store is kind of like Wal-Mart, with more crap than you'd ever want to buy," Zdziarski said. "And Cydia is like the general store that has everything you want and need, from fresh cuts of meat to those homemade cookies you can't get anywhere else."
Though some developers say they're having better experiences selling apps through Cydia, it's unlikely they will succeed on a longer term, said Rana Sobhany, vice president of Medialets, an iPhone app analytics company. She said the average consumer would prefer to purchase apps through a well trusted source such as Apple.
"There have been all these apps downloaded in the App Store because it's easy for consumers to find, download and pay for apps," Sobhany said. "This model is new because Apple has been training people how to download music to their iPods for years."
However, even in the case of the App Store, developers who strike it rich still face challenges recreating their success, said Phillip Ryu, co-creator of the e-book reader Classics, which has sold over 400,000 copies to date.
"If you're hoping to reach the mainstream, the best you can hope for is your app catches on fire and charts high enough for you to make a windfall," Ryu said. "Essentially you aim for the jackpot, and if you don't hit that, it's not going to make you a living."
Freeman said it was too soon to tell whether Cydia would provide developers stable incomes, but he recommends they give it a try, considering the successes some are experiencing. He admits, however, he isn't making much money as the creator of Cydia: Like Apple, he takes 30 percent of each app sale to cover taxes.
"I don't make much money off this project, but I value the community, and I look forward to how this changes the device landscape," Freeman said.Thursday, March 26, 2009
How To Effectively Promote and Sell Your Music on iTunes
From the blog: The Working Musician
By Cameron MizellIf there’s one small piece of advice I can give other musicians in regards to promoting their music, this is it. This is the one thing I’ve done that has generated more money, reached more fans, and helped me target other types of promotions, all with no cost other than a little thought and time. And that one thing is create iMixes in the iTunes Music Store. I’ll discuss this in three sections: How to make effective playlists, why this works beyond the iTunes store, and how to balance your time between creating and promoting your music.
iMixes are user generated playlists that are published to the store for others to find. It’s a great way to discover new music. To see an example of an iMix, click here to open one I recently published, called Breakbeat Jazz.
To learn how to make an iMix of your own, see the directions on iTunes.
For a little background on some related thoughts, read my earlier posts on playlists andrecommendations.
My philosphy is that if you take a very narrow aim at a specific group of people, you’re going to find dedicated fans. This is the complete opposite of trying to get as much radio play as possible, or taking out an ad in the Sunday edition of the New York Times. Instead of trying to convert 0.5% of thousands or millions of people by throwing spaghetti on the wall, I’m trying to get a 50% conversion of 50 people, many times over by catering to their tastes. Those people are excited to discover my music and word spreads organically. One of the best ways to do this is with playlists, or in this case, iMixes.
Before I go further, I must say that since I started doing this and paying attention to the iMixes being created every week, I’ve seen this tool get abused by artists essentially spamming for attention. When iMixes are created with the blatant intent of tricking people into buying music they probably don’t like, I question the ethics of the creator. There are a number of other tactics I frown upon, but in an attempt to avoid dwelling on negativity we won’t discuss the bad apples. Instead, let’s talk about how to do this the right way and the positive effects I’ve seen with my own music. I can only vouch for the results I’ve seen from doing things the way detailed below.
Using the Breakbeat Jazz mix as an example, let’s talk about what goes into a good iMix.
Theme or target audience. Just like you’d make a mix tape or other playlist for a reason, a good iMix is more than just a collection of songs. If all else fails, think of an activity that is more enjoyable with music. Driving, cleaning, cooking, blogging, etc. make great themes. My example targets a specific audience–DJs that love searching for the perfect breakbeat. That’s a pretty narrow audience, but you’ll learn this is a good thing.
The tracks. The most important part of your iMix is usually the part people looking for a quick buck blow through. The tracks you choose must be tracks that are relevent to your music. This is because the iMix has the potential to show up on
the Top Rated iMixes section of the album pages you pulled each of those tracks from. In this way, people shopping for those albums are more likely to find your music. Currently, Breakbeat Jazz is listed on the album pages for Roy Ayers’ Vibrations, John Scofield’s A Go Go, and Jimmy McGriff’s Electric Funk just to name a few. People that enjoy those albums are more likely to be interested in my music than fans of Maroon 5 or Coldplay, so just because some bands are more popular doesn’t mean their fans are going to care about your music. I recommend starting with 15 - 25 tracks, and only including one of your own. You simply want people to discover your music, and one track will give them a taste. If they buy it and like it, they can use the Complete My Album option to get more of your music less the cost of what they’ve already purchased. No reason to cram it down their throats all at once.
A good description. You’ll notice I didn’t use this as a place to talk about myself or direct people to my website. I just want them to come across my music on their own and decide what they think for themselves. Instead, I simply shared my thoughts on this music. The only key here is to be honest and interesting. Once I made a playlist of the music I like to listen to on Saturday mornings when I make pancakes. In the notes section, I simply wrote down my recipe! The mix is aptly titledSaturday Morning Pancakes.
Once the iMix is in the store, send it to some friends and ask them to vote on it. Having a higher rating will help get the mix noticed on the connected album pages. Just a few votes will do the trick, and then it’s up to the masses to decide. Again, this is where targeting a specific audience will pay off.
Now dig a little deeper into why this works in a broader sense.
Once you’ve made a number of good iMixes, over the course of several months you should start to see your album turn up in the Listeners Also Bought section. Ultimately, this is the place to be. These recommendations are based on what other customers bought. I don’t know about you, but when I’m shopping online, I’m always taking these sort of links until I find exactly what I want. This is what sets you apart from the next guy, as discussed by Seth Godin in this little antidote.
You should also be seeing some income from your efforts by now. My first CD was placed on iTunes in early 2005. For the first few months, I made $7 - $15 per month from iTunes. Then I made a couple of iMixes on a whim and forgot about them. When my next payment came, it had doubled, and the tracks that I’d put in the iMixes were clearly selling the best. After about a year that album started making an average of $100 a month from iTunes. That’s not a ton of money, but it was enough save up to record my next album.
Around the time I started seeing the effects of creating iMixes, I read Chris Andersen’s 2004Wired article on the Long Tail. Many people have written further on the topic and how it can apply, including the previous link to Seth Godin above. While the concept is geared towards companies that own or sell enormous amounts of content (iTunes, Amazon, Netflix, etc.) it can still be embraced by those of us that are part of the content. For starters, we’ve overcome the battle for distribution. Our content is now available through retailers capable of wharehousing longtail content, whether physically or digitally. If we can use our heads and come up with some creative strategies to make people aware of our music, availability is really all we need.
On the surface (sans marketing, publicity, and budget), the only difference in retail between content of an unknown independent artist and an unknown major label developing artist is placement. iMixes are a great way to make up for lost placement. In fact, it can be more valuable in some respects. Imagine walking into a store and seeing a display for some artist you’ve never heard about. Sure, you might stop and look at the CD, but you’ve got no idea what they’re about and are not likely to buy it. Now imagine the same scenario except this time some people you met at one of your favorite band’s show the other night are all hovering around that display. In the presence of other customer’s with similar tastes to yourself, this new artist’s CD is more attractive. That’s the “Listeners Also Bought” section. New music is also more attractive when put in some context with artists you already know, and that’s exactly the purpose of playlists and iMixes.
Furthermore, you don’t have to control a huge catalog to benefit from the long tail. While I don’t own an enourmous amount of content, I DO own all of my own content. And I’m not trying to run a huge company, I just need to make enough money to cover my own costs and help carve out a living. When somebody buys my music on iTunes, I’m paid 2/3 of the retail price. That’s better than any artist with a record contract. As I continue to record and expand my little catalog, my income will continue to increase. To make $1,000 a month from downloads, I only need to sell about 1,570 tracks (or the album equivalent, which is roughly 157 albums). That’s actually not very difficult once you have several albums available and things start rolling.
It’s the “things start rolling” part I find most interesting. These are things that tell me people are buying, listening to, and sharing my music. I’ve seen more plays being counted (or “scrobbled”) on Last.fm. Other people include my music in their own iMixes (if people use iMixes to find music, it makes sense they would make their own). What excites me most are the occasional emails from people that realize I’ve made several iMixes they’ve found. These people loved my mixes, felt they had similar tastes, bought my albums, joined my email list, and have come to shows. They’ve become one of what Kevin Kelly calls the 1,000 True Fans.
The point is, once you get some momentum going, the rest will start taking care of itself.
Being an independent artist is a lot like competing in a decathlon. To be successful you need to be more than competent at many different skills, from the creative process to the business side. But most of us spend more time perfecting the artistic side of our craft, so much that we can’t even comprehend the rest. I’ve heard people say most musicians spend more time practicing their craft than brain surgeons do theirs. Think about that next time you have a headache.
The key to making this work is to NOT think like a business person or marketer. Instead, think like a fan. When you’re writing songs or practicing, you’re trying to reach the level of the artists you love. You’re looking at the target from the perspective of a fan. If you want somebody to buy your music, why not use the same approach?
When an easy, effective resource for promoting your music comes along, a lot of artists sort of flip out. When MySpace allowed band profiles, everyone started making profiles and adding as many friends as possible. It went so far as to create a market for automated friend adders. To me, this misses the point completely. I hate getting impersonal requests from bands on MySpace. It’s immediately obvious when somebody hasn’t looked at my profile or listened to my music.
iMixes are similar. It’s so easy to do many people run the risk of getting a little obsessive. It’s easy to start thinking that, if you just connect your album to more popular artists, or perhaps the MOST popular artist, then you’ll reach all their fans! But in reality, you’re missing your true fans by not using the music that is most like yours. Stop worrying about how many people you reach, just try to have an impact on everyone that you do reach.
Furthermore, iTunes did not create the iMix feature to help me promote independent artists. I’ve had a few people tell me not to tell anyone else about this strategy. They are paranoid that iTunes will pull the plug. Why? What are you going to do that’s harmful? If you find yourself questioning your own ethics, then stop what you’re doing. This isn’t a competition, it’s not about having the top rated mixes on the top selling albums. This is about connecting with people like you. People who like the same music as you, who have yet to discover your music.
Finally, the business end of things can be a big distraction from the creative process. When an artist with a record deal isn’t selling records, they usually point their finger at the label. They think the label is doing something wrong. But most of the time the label drops the artist, not the other way around. The problem is usually the product, not the marketing plan. In contrast, if you have a really great product you don’t need much of a marketing plan. So focus on what goes into your product before you worry about selling it.
Make the best music you can, nudge it towards a very specific audience that’s probably not too unlike the fan within you, and let the momentum start building. This is a great way to kick off a career as an independent musician.
How To Sell 1,000 Singles a Week On iTunes
I recently was having lunch with my dear friend, music attorney extraordinaire Dan Friedman, who was in town to showcase a band that he represents who he mentioned was selling 1,000 singles a week on iTunes
My jaw almost hit the table.
1,000 singles a week on iTunes?
Who is this band? And how are they doing this? And he coughed up the answer (and luckily for me their phone number).
A few days later, I cold called Greg from Making April, who it turns out are an emo / piano rock band (kind of like Ben Folds Five) and we spent an hour and a half on the phone. Greg generously spilled the beans as to how Making April got to where they are today; selling 1,000 CD singles a week on iTunes and signed to a record deal.
How They Did It…
Greg explained that they decided to make a full time business out of their band. Everyday, three out of the four members met in what they called “The War Room,” which was a room reserved in one of their homes, everyday at 9:00am — and they took it seriously, just like a job — and everyday they would set simple goals. “In the beginning we really did not know what we were doing…the daily goal was to make the maximum amount of friends on MySpace, which is 400 a day, between 3 of them that’s 133 each.” Greg recalls. Here is the system that followed.
The Making April System to Making Friends on MySpace
Step 1: Find Sound Alikes / Similar Famous Bands To You
They started by looking at similar bands in their genre that had large friends lists at MySpace. For example: Dashboard Confessional. They would go and they would ping each and every friend in Dashboard Confessional’s friends list
Step 2: Ping Each Person
And then they would go to the comments and post:
“Hey if you like Dashboard Confessional, you’re probably going to like Making April. Would you please come check us out and leave a comment?” Then, people would check them out and leave comments.
Step 3: Get Personal
The band would then personally respond to everyone that left a comment, and thanks personally. And they always signed their name using a sig file, which included their IM address.
Step 4: Instant Messenger Bonanza
Then they would get their new fans information through Instant Messenger, and they would sit all day long on Instant Messenger chatting back and forth with their new friends, and according to Greg it was crazy. They actually can’t turn on their AIM because the minute they open it up, they get thousands and thousands of people trying to ping them. So they have to leave the “away” on their IM because their buddy list is insane.
TIP: Give Your Music AWAY
The whole time, they were giving away their music for free to build their audience.
Step 5: Run Contests
After several months and thousands of personal contacts a new marketing, Making April decided to create a run a contest for their fans. They asked fans to add them in their “Top 8.” friends and had success with the contest getting even more MySpace traction.
And, the 20 people that were in the contest, each got points for convincing users to add their video, and/ or their song, and they got points and according to Greg it got completely out of control.
After this successful contest, a company called Brickfish took notice and offered to help them launch a second contest. This conteste was a T-Shirt design contest where entrants had to design a T-shirt and in return the band would write a song for the winner.
So, out of a well planned T-shirt contest they got an additional 100,000 hits to their page in two weeks, and the winner got a shirt, a personal call from the band and an original song written about them. “It was unbelievable.”
Step 6: Engage Your Audience Consistently
Create Relationship & Participation
Another one of their strategies was they sent out a bulletin every single day, not a hypey bulletin pushing themselves, But a simple one that would engage their fans by asking a question to their fan base like: “Should we get chunky peanut butter or smooth”
They felt that there was no reason to blog because they weren’t really on the road, they didn’t have a lot of news to report, and so they just kept asking questions on their bulletins, day in and day out.
And, they had a call to action: They would ask everyone on the bulletins to comment back on their pages and what they noticed were hundreds of responses from people saying, get smooth peanut butter, no get chunky peanut butter and then they would get a track play and a front page hit off the daily question and they would get 500 messages instantly every time they would send the stupid question and 600+ comments.
Step 7: MTV Action
After their wildly successful Brickfish contest they got a song placed on Laguna Beach on MTV. They don’t really know how they ended up on that show (they think a fan probably e-mailed the track to MTV). But the episode aired three times and all of a sudden they noticed that people started to buy the download.
Step 8: Get Ready To Charge For Tracks (after a solid fan base is built)
It was only after all of this traction and attention that Making April started pushing their iTunes page. This was after a full year of solid online promotions. They took the free MP3s off of their MySpace page and they started seeing their sales were picking up.
Step 9: Repeat and Repeat and Repeat… and Repeat
They put a big wall mounted dry erase board on the wall of the war room and every day they each had a goal to make 150 friends and comment back personally.
Step 10: Measure Your Goals and Write Them Down
Nothing Gets Manifested Faster Than Goals Written Out
Then they laid out a weekly plan to hit their goals and numbers and at iTunes, which were 200 plays a day and 400 friends a day. They also went after the friends of another a band called Secondhand Serenade (who blew up after becoming the number one unsigned artist at MySpace).
Step 10: Be Masterful At One Thing
I asked Greg if they did blogging and podcasting and Twitter and other social networking sites and he (to my surprise) said no…. They did this all on MySpace alone. The goal for MySpace was tp consistently add 200 friend requests and 400 plays to the traffic they were already generating.
Step 11: A Record Deal
Because of all of their solid dedicated focus a Universal Republic Records took notice and offered them a deal.…. The moral of the story: Making April got a deal.
Was this process easy?
No
It took solid dedication, trail and error and a hell of a lot of work, but Making April managed to be one of the top selling bands at iTunes in 2007 and they beat a vast majority of artists signed to major labels.
I think this is a phenomenal and an inspirational story and one that teaches us lots of lessons, from my experience musicians tend to give up too easily and to lose focus and then become defeated and give up. Making April proves that with a plan and some dedication you can get very far.
Check them out here:
http://www.makingapril.com
Or Better Yet:
http://www.myspace.com/makingapril
And I bet you will get a personal response!
sell on iTunes
CUPERTINO, CA—Apple Computer, producer of the successful iPod MP3 player, is now offering consumers limited rights to buy their own home movies from the media store iTunes for $1.99 each.
Jobs shows off the new software with a clip from the Patterson-Jones wedding that he downloaded live.
"Ladies and gentlemen, the future of home-video viewing is now," Apple CEO Steve Jobs said at a media event Tuesday morning. "As soon as you record that precious footage of your daughter's first steps, you'll be able to buy it right back from iTunes and download it directly to your computer and video iPod."
Jobs emphasized that the videos will be presented unedited and in their original form, save for a small Apple logo in the lower right-hand corner of the image to protect the company's copyrighted materials from Internet piracy.
Added Jobs: "No more searching through your movies folder for that footage of your 50th wedding anniversary. Now all you need is a 768Kbps broadband connection and your credit card, and every timeless personal memory you've ever shot will be right at your fingertips."
"Apple has always been about access," said MacAddict editor Ian Smythe. "Thanks to this revolutionary new software, all your clips—from your son's bris to your father's dying message—are available to you, your loved ones, and the 20 million iTunes users, who will be able to view them on up to five different computers."
Apple currently owns an average of 20 gigabytes of digital footage per American family, and it has also acquired an enormous library of the tens of millions of analog-format home movies dating from the early decades of the 20th century through 2001.
"No more disappointment for Cynthia Hamill of Hartford, CT when she realizes she can't find that tape of herself singing 'Sweet Caroline' in the bath as an 8-year-old," Jobs said. "For only a couple of bucks, that cherished moment can again be hers."
Early reaction to the home-video downloads has been positive. "$1.99 seems reasonable to be able to relive my high-school graduation anytime I want," said Patrick Boyd of Pensacola, FL. "My parents don't understand the technology, but I can help them get it running whenever they want to watch it."
"It's just a matter of convenience," Mansfield, OH resident Samantha Davidoff said. "Why should I sift through the dozens of unlabeled DV tapes in my closet to find that submission tape I made for Extreme Makeover when I can just do a search on iTunes? Repurchasing my own stuff has never been this intuitive."
However, some early users report running into technical glitches with the software.
"I was really looking forward to watching my son's Easter greeting from Iraq," Eugene, OR resident Luka Bartoli said. "But the image froze and an alert came up saying it was temporarily unavailable due to low bandwidth. I miss my boy so much."
Some users say they have had trouble with the automated process by which previews are chosen for their new footage.
"We were all excited to watch [daughter] Tabitha's birth when we got home from the hospital, but we could only view a 30-second clip before we had to buy it," Harvey Gaddis of Tulsa, OK said. "All we could see in the preview were some of the initial contractions."
Others say the pricing can be restrictive and is not always timely.
"I wanted to show my boyfriend a video I made for his birthday of me dancing in my underwear to our favorite song," Jessica Dupree of Manchester, NH said. "But his credit card was declined. I guess he'll just have to get it from someone at work."
Despite these limitations, observers predict consumers will have little choice once they realize how vast and comprehensive the collection is. Many amateur filmmakers are already making a strong showing in the iTunes videos charts.
Eliza Quintana of Montclair, NJ, went online to purchase her daughter's fourth birthday party to find that it had reached No. 5 on the top video downloads.
Said Quintana: "I guess I'm not the only one who thinks she's the most adorable little girl in the world!"
How to sell your music on iTunes !
If you remember walking into music stores as a kid and thinking how cool it would be to one day see your album sitting on the shelf, the digital age may help your childhood daydream come true. With the help of a company called TuneCore, any musician or band can get their music in the most popular online stores.
Click
TuneCore is the brainchild of Spin Art record label owner Jeff Price. When the industry shifted from physical retail stores to the online world, Price saw the ways of the traditional music label model trying to fit into the digital landscape that just weren�t working in this new environment.
�Shelf space is at a premium in a traditional store and you had to fight for it,� Price said. �In the virtual world, you don�t have these problems. The whole infrastructure of the music industry, which is all about distribution, was being made obsolete.�
However, while the music industry was changing, some of its long-held practices were not. With the online stores came aggregators, which would help bands get their music in the bigger outlets like Apple�s iTunes.
�The aggregators would get all the small labels and provide them with a way to get into iTunes�that�s a great service,� said Price. �But they did it the same way the record companies used to�they took song rights for a set period of time, but they don�t provide support for tours, or distribution or anything else the record companies would.
�They really upset me, the way they were gauging artists,� he added. �I thought about it and said �why don�t we just change the rules?��
That�s exactly what Price has done. With the start of TuneCore, any artist or musician can take their Apple lossless songs, setup an account on the site and upload their music. Within a few weeks, those songs are for sale on iTunes (domestic and international), Connect, eMusic, Napster, Rhapsody and Musicnet.
The best part for the artist is that they keep all of the money from the sale�TuneCore does not take any money on the backend. Instead, the company charges one-time fees of 99 cents per song and 99 cents per store for each album and an annual $9.98 charge per album.
So if an artist has a five-song album and he wants to put it on iTunes U.S., iTunes Canada, iTunes Japan, and Rhapsody, the total cost would be $18.89.
�I take none of their rights and none of their profits,� Price said. �It�s also a nonexclusive agreement, so they can cancel anytime they want.�
Price has also set up an elaborate accounting system so artists can track which songs are selling on which stores. Artists can access their account at any time and on any day, which means they can send out a check or pay themselves through PayPal at any time.
Izzy, Marley, Shoes
While theoretically anyone could�for a few dollars�take some of their own songs and sell them on iTunes, they�d have some fairly high-profile company. Artists like Ziggy Marley, Kelly Shoes, and Guns �N Roses guitarist Izzy Stradlin all have music online through TuneCore.
�I�ve done licensing deals in Japan and Europe, but I�ve never been able to get my music out globally so everyone could get it,� Stradlin said. �When I got in touch with Jeff [Price], it was literally two weeks and my stuff was up�that�s 10 years of work.�
After years with Guns �N Roses, Stradlin is all too familiar with the music industry and how things are changing now. Back in the day, a new Guns �N Roses album would be an instant hit, but systems like TuneCore give artists a way to get their own music out there as well.
�With G�n R I would be onstage in front of 20,000 or 30,000 people playing our songs, but at the same time I would have this piece of work that I�m just dying to get out. This is a way for me to get the music out there � there are zero people between me, my music and the fans,� Stradlin said.
Another TuneCore artist, Liam Sullivan, made his comedy routine �Kelly Shoes� a sensation on YouTube before putting an album on iTunes through TuneCore. According to Sullivan, having the music on iTunes has taken things way beyond where he ever thought it would be.
�It could have been this really local underground thing, but that�s about it,� he said. �iTunes is a store to me, it�s like having my CD in target or something.�
There�s no catch !
According to Price, TuneCore is working just the way he envisioned it, and it�s only going to get better.
�I wanted to make a destination Web site that allows artists to succeed,� Price said. �You have within your grasp the ability to be a worldwide superstar with the Internet�you don�t need to give up your rights and revenue to make that happen.
Izzy Stradlin says he will continue to put his music online through TuneCore for future albums.
�It was so simple,� he said. �I kept waiting for the catch, but there was no catch.�
Disney and itunes
Disney CEO Bob Iger told the audience at the Digital Hollywood Media Summit today that that Disney has sold 4 million movies and 40 to 50 million videos through iTunes since signing up in 2006.
Peter Kafka at Silicon Alley Insiderestimates that this equates to $122.8 million for Disney from Apple, then writes:
In other words, a little less than 10% of the $1 billion digital revenue goal Iger has laid out for his company this year — and a rounding error for a company that generated $35 billion in sales last year…The upside for Disney is that this is all incremental revenue, with zero marketing costs. So they’d rather have it than not. But another reminder that digital sales aren’t going to do much for Disney or any other the other large media congolomerates’ top and bottom lines for quite some time.
Fair call in that it’s a drop in the Disney sales ocean, but in talking down the figure it ignores the alternative, which is no revenue and increased piracy in a marketplace that is switching to digital content in large numbers. 40-50 million videos and 4 million movies sold in a marketplace that is conditioned to free/ piracy after 2 years is positive for Disney and the industry going forward, because that’s 50 million times some hasn’t downloaded the video or movie for free. The movie market itself has been stifled by DRM and poor quality video, but Apple’s move into HD and rentals should drive further growth in the legitimate download marketplace, such that these figures could easily double or even triple over the next 12 months. Huge revenue figures no: but growth at a time where DVD sales are now declining and Bluray has yet to fully establish itself in the broader market.
It should also be noted that Disney’s biggest shareholder is Steve Jobs; if they were making $1 in profit from iTunes they’d still likely be using the service.