A Few More Thoughts on Internet Music Promotion

Below is the text of an email conversation I had with Glyn about the internet and music (30th January 2007):

Hi C.
Thanks for the links.
What I'm curious about is how Groups work on Myspace? Like what are they for? Are they a kind of forum? Why do people join them? (rather than just adding you as a friend?)
The thing I've found with Myspace is that since I've set up a profile page I get less hits on my website and the people who do buy stuff from me don't seem to be finding me via Myspace. Likewise most people who want to be your friend on Myspace are generally not interested in buying music when they can just put it on their profile page (or just listen to it from yours) for free. As I said I've recently started making all my back catalogue available at 79 pence a song, but I'm getting zero interest in that so far.

I still wonder whether music consumers are falling into two specific camps -
T hose that download and aren't used to or prepared to pay for it (the new generation if you like) and;
Traditional buyers who like cds (and even albums), might check something out online but then would prefer to buy a physical product. In other words do the Myspace generation ever want to part with any hard cash when there is all that music out there for free? And so many sites where you can just stream music to have on while your working so you don't even need to download it?

I'd be interested in your thoughts on these conundrums....
All the best - Glyn

Great PhilosopherHi Glyn,
Thanks for your question.
Groups aren't really essential, but they are a way of posting extra bulletins and stuff. Yes, they are forums by another name and if you can
get some kind of conversation going it all helps to draw people to you. I suppose they are a bit more exclusive than just 'friends' so I put
stuff on there that supplements the main page which is a bit full up. Mind you a blog would probably serve the same function - the great thing
is once people subscribe they get a flag everytime you post a new journal. Definitely consider doing your own blog !

I don't think that you can blame Myspace for lack of hits on your website, maybe there's a lot of competition out there. You need to make sure there is exclusive material on your own website to draw people in, Myspace should just act as bait. You should have 'buy' buttons on the front of your Myspace so there is no need to go to your site. Looking at your pages I did not see any obvious advert for downloads.
Yeah, there are a lot of blaggers on there who want freebies, but you should make the clips on the player only 1 minute long ( and maybe mono or low bitrate) so they go and buy it. We have not made individual songs available to buy on our site as we think we get more revenue from whole albums, but this is debatable. But, the more catalogue you have online the better.

I take your point about consumers, there are still cd & vinyl buyers out there but they are getting less, and it costs a lot more to master and press hard copies. So you may need to cater for both groups, with different strategies for each The success of i-tunes (cursed be their name) proves that there is money
to be made and people will buy downloads. The hard part, I think, is making them aware of your music with previews and tasters and if they like it they may buy the finished product. There are of course still the traditional ways of press & promos leading to vinyl and cd releases, but there is still the extra start up costs of this.
The great thing about the internet is that the promotion in mostly free, except for your time and effort.

I don't really know much more than you about all this, as I have only in the past 2 months began pushing Myspace & co. We have had reasonable web sales over the past 9 months, nothing amazing, but the cost has been VERY low, and only about 10% commission from Paypal. The thing is the music biz is now changing and musicians have to follow where things are going or get left behind.

Read my page and see if this explains things, I will update it as time goes by.
Seeya - C..

Hi C.
Thanks a lot for the tips etc. I'm curious as to how you set up your site so that people can buy downloads; can they download a track as soon as they've paid for it? Or do you have to upload it via yousendit or similar first? Also how do you set up PayPal so people can buy your stuff? At the moment my orders all come via my webspace provider, which is ok if a bit clunky, and there's no facility for people to directly download so they can't get an instant "hit".
Cheers - Glyn

Hi Glyn,
The first thing you need is
1: A Paypal Merchant account with Website Payments Standard. For this you need a UK bank current account & credit card for ID purposes. This is also ID verified by them 'phoning you.
2: A PayLoadz Merchant Account( this costs £10 a month + transaction fees)Burning banknotes
3: You then have to link the two accounts together with a special IPN code, so that the money from sales goes to your Paypal account.
4: You upload the files (zip or mp3) to the *secure* Payloadz server which gives you HTML buy button code for your website. You also get a mini-store on their website.
5: Paste the code into your website or myspace pages and test delivery with a spare credit card / paypal account
That's it, no interaction needed, you just sit back and let the ca$h roll in.(There is the small matter of promotion, though.)

The customer does the following:
1: Goes to your website & clicks on 'buy' or 'add to cart', just like any web-store.
2: Once they have chosen the products they then enter their paypal or credit card and pay.
3: They quickly get an email with a web-link to a secure server and download the files. (This link expires after 24 hours & helps prevent piracy.)
4: Unpack & listen.
5: You, the seller, get a confirmation e-mail for your accounts and transfer the cash to your bank account when ever you like.

* Payloadz have now added an express service, but I haven't reviewed this. It looks ok for a small business, but not for volume sales.

Their charges are reasonable but not low, so you need a fair bit of turnover for it to pay well. The advantage is that you are in control of everything, not some iffy 'i-tunes' clone with their contracts and exclusive clauses. It just takes a little while to get it set up, what with a few teething problems, but it has worked well for us.
You can also use the Paypal Merchant account to sell hard copies and merchandise in a similar way.

Best - C.
P.s. I don't work for these people, just in case you're wondering.

More info here: Paypal Website Payments Standard / Payloadz Sign up / Payloadz Express / Payloadz manual (pdf)

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