E-commerce in brazil

1. E-commerce in brazil Matthew McDonough

2. The emerging market of brazil How I will successfully release an artist’s music in that territory The artist ‘your demise’ http://www.youtube.com/watch?v=QIapvy0AJag Introduction

3. Tap into rising e-commerce market • Website to sell newest album and full catalogue available (10,000 album) (8,000) merchandise sales • Have artist music established within one year, specifically in areas where this music is popular e.c.t ‘saopaulo’ Strategy

4. Bringing British hardcore punk / metal music into brazils popular metal scene • Making this music affordable to all Brazilians • Making all Brazilians using e-commerce for the first time or otherwise feel safer about buying online • Making the extremely popular cell phone downloading in Brazil an available option through the website USP ‘unique selling point’

5. Music industry Markets Current music trends and potential for success

6. Currently the music industry has 51.444 million internet users (2009)/63.0147.162 population 2012 • Digital album sales rose 26.6% to 26.6m 2011 • OCC senior licensing manager Phil Mitchum: “it shows the metal market is in a pretty healthy state. The albums may not sell in vast quantities – in terms of crossover/mainstream – but the labels clearly know who their audience is and that audience is clearly still hungry for new metal music”. UK Metal

7. Internet users, 75.982 million (2009)/ out of 205,716,890 (july 2012) • Many genres of metal such as crossover thrash and hardcore music have been strongly evident in regions of brazil as early as the 1980s with bands such as Sepultura and sooulfly • Specific regions such as Sao Paulo have produced many successful metal bands such as ratos de porao and lobotomia who play a more hardcore style. • Ratos de porao : John Travolta song… http://www.youtube.com/watch?v=BFhHq4Ap8zA&feature=related

8. Anna Helm “27.4 million Brazilians have already bought goods or services online, out of a population of 190 million” • E bit.com “marked growth of e-commerce. The sector generated R$8.4 billion (US$5.2 billion) in the first half of 2011, an increase of 24% compared to the same period in 2010, and more than the total figure for 2008”. • “e-commerce has also gained new users. Four million Brazilians made an online transaction for the first time during the first half of 2011. 61% of these new entrants have a monthly income which is lower than R$3000 (US$1,870)” ‘E-commerce in brazil’

9. In brazil legal downloading tools are less common • “UOL Megastore, iMusica (Yahoo Brazil), Sonora and MusIg” • However many of the major downloading sites are still slow on the uptake, iTunes for instance has still not made any regional based iTunes for places like Brazil, Bermuda and Czech apparently. • https://discussions.apple.com/thread/3668501?start=0&tstart=0 Downloading sites

10. “Universal Music Group, 30% of revenue in the country comes from digital sales. Within this amount, 30% of the sales are online and 70% comes from cell phones” • Cultural difference? Not very popular in the UK Cell phone downloads

11. Many artists will burn their songs/music videos and will take them down to the closest street vendor. As piracy is so common all over brazil musicians starting out will use this ‘problem’ as a ‘tool’ to spread their music and sell out gigs, this is most popular with technobrega (cheesy electronic) music, but applies to all genre • IFPI digital music report “figures show local music collapsing in major markets as piracy bites into releases, sales and investment in France, Spain and Brazil” • Cultural difference? Piracy

12. Development and progression of site Development and progression of site

13. Networking is important in brazil, the country itself is ranked number 4 in the world by the amount of active Facebook users it has, 45.4million • Reviews In magazines and press to try and develop a credible name for the band, STRYKE and Roadie Crew • Tour/support your demise themselves have a very infamous reputation as a touring band being true to their genre putting on a hard hitting performance Promotional strategy

14. Provide band merchandise at affordable prices • Offer packages, purchase album and receive merchandise Merchandising

15. Timsscale

16. Site set-up and specifics Site set-up and specifics

17. The website itself will be split into 5 pages • http://345626406511750887.weebly.com • Home page (band bio, general information) • News (updated on new releases and other band related material) • Download (audio player to sample, then straight forward downloading) • Video content (music video, tour gig content) • Terms and conditions/FAQ section • Possible barrier? (primary language Portuguese, most websites have language converters) Website breakdown

18. FAQ section • Return policy Sales and after sales fulfilment

19. Confirmation of purchase Order fulfilment

20. “many people have security concerns, many people felt it unsafe as most of the middle class are generally new users” (Anna Heim) • FAQ section area covering downloading to reassure new users to the internet Safe downloading

21. Develop into other regions of Brazil and other territories such as Argentina • Introduce other UK bands in the same genre to the established fan base Future development

22. Budget

23. Budget sheet

24. Cash flow