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Sunday, July 13, 2014

The 360 Deal in Today's Music Industry

Today’s post will cover the 360 deal, which has become very popular over the last five to ten years. This deal is very common and often occurs between an artist and a record label. Unlike traditional record deals, the 360 deal details that the label will benefit from a percentage of all of the artist’s income in addition to the income received from recorded music. This is due to the fact that recorded music no longer brings in the revenue to record labels that it did years ago. However, many newer artists are seeing this as a positive solution to their career because it helps in the area of artist promotion on a mass scale.
“360 is the record company or the company…will share in all aspects of the artist’s career…record sales, concert tours, merchandise, merchandising, and publishing” (ArtistHouseMusic, 2010). Therefore, as an artist, you must understand the reason record labels construct deals in this manner. Due to the rise in Internet social music sites, music piracy, and increasing digital downloads, labels are not profiting from recorded music as they did in the past. Also, many musicians if they are savvy enough, have the ability to take reign over their own careers. Through new music marketing models available online today, an artist can launch their own music careers.
I have had several artists ask me what I suggest in reference to building an independent music career. My first answer is to begin doing live shows no matter how small. This allows you to become comfortable with the stage and to build a great stage presence. My second would be to create your own business plan as an artist. This will allow you to begin visioning yourself as a product that is need of branding. My third answer is to begin building a list of contacts with those who support your career. This includes keeping contact information of your fans via online social media. The fourth answer is to start creating professional visuals for yourself through sources such as music videos and photography. This will allow others to find you and see your musical artistry first hand. Also, artists should keep a contact book of individuals they meet who are in the music industry. This could possibly serve as a product or project collaboration source in the future. Overall, effective networking is key to building a powerful business or product.
Kedrick “Rick” Mahoney
Reference

ArtistHouseMusic. (2010). Explaining the 360 model and why it won't save the music business. Retrieved from https://www.youtube.com/watch?v=Z295yc-T044