Thread: Provoke Change
View Single Post
Old 04-03-2008, 02:43 PM
Posts: n/a
Default Re: Provoke Change

I'm not saying that; salaried staff do earn their keep - but it stands to reason in the music industry that having too many salaried staff will cause you to start making a loss, it's happening and it's pretty obvious what's happening. Universal, Time Warner and EMI are all starting to work on losses and it's only going to get worse - whereas Independent labels are actually starting to make larger sums of money than the Majors! It's a case of too many salaried staff as much as anything else. Maybe freelance contracts are more expensive, but in the music industry there are so many freelance workers out there (usually staff who actually left creative positions from disillusionment in the Majors!) that the work can be contracted reasonably cheaply and for a small operation it IS cheaper for them to employ freelance temporarily.

I would also suggest that the Independent labels actually feel closer to the music - after all, they're not usually founded on the basis of making a lot of money they are instead founded on the principle that they'd like to offer new and exciting artists a record deal. A Major label would look at an artist from a perspective of monetary potential, whereas typically Independent labels do NOT expect to make much money from the outset. Again, Domino Records is an example of this. They operated for ten years with tiny profit margins - barely enough to keep going; but then got lucky with an act that sold big. However, in order to produce and market that act (Franz Ferdinand as it happens - big in the UK, but I don't know about America) the man in charge of Domino Records had to actually remortgage his house! He had that much belief! In the end, he also managed to sign the Arctic Monkeys, but he took a major risk the first time around. A Major label would never even consider that kind of risk; indeed for every such 'lucky' incident for an Independent label - another fifty would probably go out of business. They just don't work on the same incentives as the Majors.

Last edited by Mediocrefunkybeat; 04-03-2008 at 09:53 PM.
Reply With Quote