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Recording company


A record label or record company is a brand or trademark associated with the marketing of music recordings and music videos. Sometimes, a record label is also a publishing company that manages such brands and trademarks, coordinates the production, manufacture, distribution, marketing, promotion, and enforcement of copyright for sound recordings and music videos; conducts talent scouting and development of new artists ("artists and repertoire" or "A&R"); and maintains contracts with recording artists and their managers. The term "record label" derives from the circular label in the center of a vinyl record which prominently displays the manufacturer's name, along with other information.

Within the mainstream music industry, recording artists have traditionally been reliant upon record labels to broaden their consumer base, market their albums, and be both promoted and heard on music streaming services, radio, and television. Record labels provide publicists, who assist performers in gaining positive media coverage, and arrange for their merchandise to be available via stores and other media outlets.

But an increasing number of artists have sought to avoid costs and gain new audiences via the Internet, often with the help of videos. Combined with the decline in album sales and rapid growth in free content available online, this has changed the way industry works dramatically since the beginning of the 21st century. It has caused record labels to seek new sources of profit, in particular via "360" deals (see below, under "new label strategies").

Record labels may be small, localized, and "independent" ("indie"), or they may be part of a large international media group, or somewhere in between. As of 2012, there are only three labels that can be referred to as "major labels" (Universal Music Group, Sony Music Entertainment, and Warner Music Group). A "sublabel" is a label that is part of a larger record company but trades under a different name.


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