I did some research a little while back about the music business craziness.

Based on the rhetoric thrown about by the RIAA and the lawsuits filed for the “benefit” of small time musicians, it would seem technology has all but crushed the chances for up and coming musicians.

A great deal of negativity is emphasized as resulting from new technology, yet upon careful examination and with an open mind to the thoughts of musicians themselves, the music world may be a changed place, but it may also be that new opportunities have been created.

Emerging musicians cannot afford to focus on lawsuits brought by the RIAA, and suing fans seems counterproductive anyway.  A better model would be to find ways for musicians to use the new technology to take control of their own business and finances.  This model would begin with the realization that the standard model of the record company seems to fail in this new online environment.

People can directly exchange any music files they want.  Sales of CDs will probably never be as high as they once were.   So how can the new musician use technology to take control of his or her own career?

Derek Sivers: A Prototype Solution

When Derek Sivers, founder of CD Baby, first wanted to sell his CD online he found no one would sell it unless he had a distributor. Derek Sivers made his living as a musician and then later focused on the business side of the music world.  However, even as he made a living being a musician a working knowledge of business practicalities was necessary.

He resolved to start his own outlet for independent artists to sell their CDs.  Matt Welch describes the method of Derek Sivers as “hippie-capitalist wisdom” and Sivers committed to his principles early on and stuck with them.  He will pay musicians every week, disclose the full name and address of everyone who buys the CD, and does not require a minimum number of CDs to be sold.  If only one person in a course of five years wants  “electronic tuba music” (Goodman 5) then Sivers wants it to be available.  Through partnerships with iTunes and other digital sales venues, an electronic version will also be available.  This electronic version can even be made more readily available since the cost involved is so much less.

In 1997 he built his website.  Two of the heaver expenses, the first in money and the second in time, in doing business online is having a credit card merchant account and building a shopping cart.  These two steps require capital and coding knowledge or the money to pay someone who does.  Sivers had had a successful career as a musician and made enough money through performance to purchase a house and fund his new venture. Once Sivers built the site, a few of his musician friends asked to use it as well.

In 1999 Derek Sivers said, “Man, can you imagine, we might need to really prepare.  This thing might get huge one day.  I mean, we might have 100 artists here.” (Goodman 3).  At this point CD Baby sells the music of about 93,000 independent artists.  The rebellion against major record labels has found a great and realistic business alternative.  If it had existed earlier maybe Prince would have simply gone to CD Baby instead of changing his name to an unpronounceable symbol.  Since he felt powerless in the hands of his record label, Prince changed his name in an act of protest.  Musicians on CD Baby keep the rights to their own music and have much greater control over what they play and how they can make it available to the public.  CD Baby is nonexclusive–Sivers knows that it is difficult to sell music and therefore allows musicians to sell it wherever they please; he simply would like them to also sell with him.  He made his living as a professional musician for years and, knowing the artistic and business issues of the new musician from both sides, wished to create a real service for musicians with CD Baby.  Sivers thought about creating something along the line of iTunes, but before he could act, iTunes exploded in popularity and actually approached him with an offer.  With the rapid success of iTunes, Sivers did not wish to compete with Apple in this market.  He also believes that the partnership between CD Baby and iTunes gives another great opportunity for the people who sell physical CDs on CD Baby.

CD Baby thus serves as a way for all musicians to sell CDs, and as such has given an opportunity to 150,000 independent musicians.  However, technology has changed the business and financial rules of the music world.  Formerly, “It used to be that, as a musician, only 10% of your career was up to you.” (Sivers).  That ratio has shifted completely and now the musician controls 90% of the process. “You have to make a great recording, a great show, a great image.  You have to come up with a plan and make it happen, too.  You have to make thousands of people want your music so much they pay good money for it.  You have to make things happen on your own.  Even if a record label puts it in the stores for you, it’s still up to your own hard work to go make people buy it.”  (Sivers) This feat does not come easily by any means, but the tools and resources exist to make it happen.

In addition to making music, designing a website, and recording an album, doing all the artwork, promotion, and booking would be impossible for a single person to do effectively on a large scale.  However, understanding the elements involved can help tremendously.  As Sivers says, “Business is as creative as music.” (Sivers).  The goals of business can be reached using as much freedom and independent thought as that in creating a musical composition.  Similarly, with an open approach, learning piano in addition to one’s main instrument will improve one’s overall musicality and success is not an unbelievable statement.  “Many great horn players, bassists, guitarists, and drummers have been excellent pianists as well, including Charles Mingus, Joe Chambers, Jack DeJohnette (all three of whom have recorded piano albums), and Joe Henderson.”  (Levine vi)  Likewise, understanding business ideas will help the overall success of a musician.

At first it may be awkward to think about business.  But anything new will take time to become comfortable.  And once someone is more accustomed to thinking about things in a business sense they will feel more confident and able.  Then creativity will flow in your business, marketing, and promotion as well as your music.  “Do with your business what you would tell a new, stiff, scared musician to do with their instrument.”  (Sivers).  You need to relax and eliminate fear of trying in order to succeed.  On that note, I turn to a discipline that may seem quite unrelated to musicians/music.