Making money from music online: NARIP and Hype Council help record industry face facts and expose fiction – a report by The G-Man.The numbers are supposed to be big in online marketing, but are they? Clearly, we need someone with 'Net experience to set a few things straight. Scott Meldrum is a businessperson and musician with a dry wit and a background in bulk mail. Oops, excuse me, direct response advertising. He's also man called on by major labels when they want to brand an artist and reach millions of fans via Internet.
Beginning with Papa Roach in 1998 and continuing with such platinum-selling artists as Avril Lavigne, Dido and Jennifer Lopez, Meldrum's Long Beach-based firm, Hype Council, is one of prime marketing weapons utilized by world's largest entertainment companies.
Taking center stage for a Monday evening presentation by NARIP (National Association of Record Industry Professionals) at Beverly Garland Hotel in Los Angeles, Meldrum began with some facts about Internet. Does that sound a bit dull? It wasn't. His presentation quickly revealed things about 'Net that should be known by every marketer (that's you, if you or your artists are selling music online).
THE GLOBAL AUDIENCE FOR MUSIC.
Most Internet users (nearly a majority of them) are between ages of 30 and 49, far older than many in audience thought. And for those of us who thought that USA had highest percentage of Internet users, it was a surprise to learn that we're only sixth. (Of course, in raw numbers of users, USA has by far most people.)
Fully 40% of USA's 177 million 'Net users go online for music. Look at it another way: if you put your music on Internet, you have a potential audience of some 70 million. And with total Internet users currently at 404 million, that translates into a worldwide potential audience of 161 million people.
The problem is: how to reach them. They are wildly segmented in terms of music genre; they only want to be contacted under certain sets of circumstances; and they need to have a safe, secure, and easy way to make purchases.
Fortunately, "The Internet is still a new medium," Meldrum asserts, "and there are tremendous opportunities for people in business of selling music."
Some of those opportunities are being wasted, however, through poor Web site design. Meldrum revealed biggest errors made in creating or maintaining a Web site. . .
TOP 5 MISTAKES OF WEBSITES:
1. Mistaking creativity for functionality. "Don't try to put everything on your front page. Organization is key. Lead your fans to most important things." That's what menus are for, so don't hide them. "How many times have you gone to a site that looks interesting, but you have no clue how to navigate it? People don't have time to waste figuring it out. Make it easy for them."