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Introduction This app is an attempt to link fans to their idols, with the music industry as fast moving as it is and the way music is consumed being so detached from that industry, it is time that weraise awareness and look to the future of how an artist would connect to their listeners. There have been many attempts to stamp out illegal downloads, increase ticket sales at live events etc. but the reality is that there are always ways around these dated methods of consumption. There is however still a market for CDs, DVDs, Merchandise and Live Music and those who still want music in this way, this should be the focus of the solution.
The chart bellow shows the decline of physical sale and the increase of digital sales. The third line shows an overall decrease in purchasing music. The Decline of Physical Sales
Proposal Very few people today will do anything for free, and with the current economic climate it is becoming increasingly difficult for people to part with their money. This is especially damaging to those industries that sell non-essential products. Music being one of these apparent non-essential products, has a duel problem. It is widely available for free through torrent sites and other forms of online downloading. With Youtube we can settle for watching live footage online, stream lyric and music videos and there is little to no concern whether or not we are wearing official merchandise. The audience has become detached, though nearly everyone is aware of the damage they are doing it does not deter them.
Quality Why would anyone spend £20 on a shirt that looks the same as a £8 unofficial shirt that looks the same, with the exception of a little tag? VS.
The Audience have the power, they are the ones with the money, they are the ones who will recommend a product. Industries are founded on their consumers. If a consumer has no investment in the product that product has no future. Music has lost value through saturation of the market. An emotional investment only works if the experience is unique, that has been lost. If this is not the investment of the future, what can an audience get from artists. A sense of achievement? A sense of involvement? http://www.techdirt.com/blog/?tag=connect+with+fans Solution
Loyalty This app is an attempt to bring the audience into the fold and allowing them to see the benefits of their loyalty. It could at least encourage more people to invest money into the music industry. The app will work in a similar way to supermarket loyalty card apps; artists who would subscribe to this would only need to include an AR barcode somewhere within their merchandise. If the app owner is then subscribed to that band or possibly the record label they will be able to scan these barcodes and collect loyalty points. Within the app there will be the option to spend these points on products linked to the artists they have been loyal too.
Why Loyalty? Loyalty is a positive idea, if someone is associated with loyalty that shows that person in a good way. Loyal is a word that anyone would love to have attributed to them. So this gives them that chance.
From which products could the loyalty points be available from? CDs DVDs ITunes T-Shirts/ Clothing/ Accessories Live Tickets Paid Online Services
What could these points be spent on? CDs DVDs ITunes T-Shirts/ Clothing/ Accessories Live Tickets Online Promotions Limited Edition Merchandise linked to this scheme
Is this new and original? This idea is not new and exists outside of the music industry as well as within it, and has had minor success within the industry and much larger success outside of the music industry. So what’s the difference? The scale on which the music industry has launched these schemes have been low and specifically targeted at certain fans of certain groups where as supermarket chains, for example, have loyalty scheme in the public eye that are massively advertised. This is the difference.
What exists already? Some artists do run loyalty schemes, but not nearly enough for this to make difference to the industry as a whole. Or at least it is not in the public eye enough for the general population to be aware of it. A lot of these bands have been discouraged from even being part of loyalty schemes because they are not making enough money to offer free products. Many band on labels such as roadrunner records have had this problem, with bands having an active interest in being connected to their audience being forced to stop rewarding their fans by the record company. But a few people at this level, which is not broadcast to the majority of the public, can only make a small difference. What is needed is a large-scale scheme with high visibility and a show of unity.
A list of existing loyalty schemes within and outside of the music industry. http://www.stampme.com/ https://itunes.apple.com/gb/app/stocard-loyalty-card-uk/id444578884?mt=8 http://en.onegratis.com/ https://subcard.subway.co.uk/cardholder/home_uk.html https://itunes.apple.com/gb/app/tesco-clubcard/id351841850?mt=8 http://www.hypebot.com/hypebot/2012/08/jamplify-helps-musicians-identify-and-reward-influential-fans.html
What could this app do? There could be other features within the app that allows the consumer to gain loyalty rewards by advertising products. There are already programs online that value Twitter and Facebook accounts (http://www.twalue.com/), there could be a feature in this app that would link to these accounts and depending on the value of the account, loyalty points could be given in exchange for adverts being embedded within the account of the app owner.
Is it spam? Yes it can be but it is still a successful way of advertising.
Being Social Using QR readers built in, app owners could directly link friends to the online shops. If the person they share to were to spend money as a direct result of this, they could be given a small percentage of the loyalty points rewarded from that product. This will mean that app owners will be openly advertising not only the app and the online store, but also showing the benefits that there are when they invest their money into the music industry.
Social media is a huge part of everyone's life in the 21st century. • Smart phones are as big a part of everyone's life. • Word of mouth is still an effective form of advertisement. • Whether behind a computer or in the streets the power is with the people. Being social.
Leaderboards Leader boards are very popular within smart phone games. Although they generally do nothing except show personal progress there is a benefit to showing ones place this way, it will hopefully encourage these people to work towards a higher rank. Initially it was thought that this leaderboard is only successful in a gaming context however there are very popular features, in Facebook in particular, that simply rank account owners on amount of photos, posts, friends, etc. with no apparent benefit except for the knowledge of how they compare to their friends. This could be a very popular feature within the app as it gives a sense of achievement.
Is this a move towards a solution? This is definitely a step in the direction the industry needs to move. It costs very little and will have a big effect. This is what any industry needs to grow.
Who is this app for? This app could be for anyone however… the majority of music buyers are school children who either have no knowledge of or access to illegal downloading, or whom still have parents willing to buy music for them. Nowadays most of these children have smartphones and are very proud of the apps they have on them, especially when it has a social connection. The age range would be 10 – 18.
Why ages 18? The reason it is 18 and not younger is because, even though by the time most people reach 14 they know how to download music for free, until 18 band’s merchandise is a big part of personal identity.
Why aged 10? The reason 10 is the starting age is because, according to the daily mail, ¾ of children aged 10 owns a mobile phone. http://www.dailymail.co.uk/news/article-2198450/Three-quarters-British-children-aged-10-mobile-phone--twice-overseas.html
How does the app make money? The app need to make money too, of course. The app itself will have an initial cost. It is through this that the majority of money will be made, however if this scheme were to become popular enough there may be investments from companies that would feel the benefits of such a scheme.
What are the potential Problems? Firstly if no artists get involved this app will be useless, hopefully this would not be the case as it is for their benefit as much as anyone else’s. With the social side of the app there is a problem with spamming, this already happens within social media to the point that most people ignore it. However this is also the case with TV advertising and yet it still has its place. Enough loyalty points would need to be awarded per product so that neither the consumer nor the seller would loose money or interest.
What are the end benefits? This app will raise awareness to the benefits of paying for official products. It will restore a sense of community between the music industry and its consumers. It will hopefully conquer the growing detachment between the artists and their fans. And of course the whole point of the app is to sell more products!
A brighter future? If the app is successful it would hopefully be the first step to a brighter future for everyone involved.
