New Music Economy

New Music Economy is a term describing the emergent social, technical, political and economic context of the creative industries. This shift in context has been fueled by concurrent evolution within an ecosystem of interdependent technologies, institutions, and individuals; the result of which impacts the nature of creative property, identity, production, distribution and imagination.

The term New Music Economy is evolving out of new consumer behavior, methods of promotion and sales.

Notable changes in the economic stability of the music industry started in the late 1990s with the advent of P2P file sharing. The Long Tail theory is a benchmark in the music industry for new economic concepts. The nuance of infinite shelf space opened up economic opportunity for independent record labels around the world. The term New Music Economy first emerged in 2007.

Music Licensing
Bands, artists & labels are able to utilize music licensing for opportunity. Businesses are legally required to pay for the music they use to promote their product. Music has a positive effect on consumer behavior

Co-Marketing
Brands and bands joining together to market their product in sync

Branding
Bands, artists & record labels using digital tools such as widgets, social networks, avatars, and icons

Non Traditional Retail Space
Selling music in businesses that don't normally sell music

Digital Distribution
(For sale and marketing purposes), including music, merchandise, video, concert tickets

Internet Specific Content
Creating and using content online to drive fans toward exclusive content of economic value to the band/ artist/ label

Fan Artist Relationship Management
Creation, moderation and maintenance of fan groups, fan sites and fan activities which includes exchanges of data ranging from email addresses to shared taste in music. Increased interaction between fans and artists/ bands/ labels with the use of blogs, fan clubs, forums, SMS, geo tagging

Quality Control
Boutique licensing agencies, promotional companies, licensees, record labels and broadcasters focusing on curation & quality

Content Management Systems
Content Management Systems (CMS) for bands, labels & artists, building development platforms for artist content and aggregating data for artist usability

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