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May 16, 2002
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#43
I've spoken to SMMWest on the phone before and dude is legit. He knows what he's talking about when it comes to music business. Okay, so some of the things in here weren't said in full detail and Siccness members have tore it apart, understood. I have no quarrel to that.

My question is, is it really a smart move to even seek a distributor through a major now a days? What is it that your really getting? More stores to which people don't even leave their home to purchase the latest album. Hard copy or not, you can order it online. It doesn't make any sense in today's world. It sits on a shelf, unheard of and the only bragging rights that artist has, is the logo from the distributor printed on the tray card of the hard copy. It doesn't make sense to me at all.

Independent artist today have taken it back to the basics and are trying to create the huge buzz on their own in search of a major to seek them... much like the Master P deal. Back then, people bought Cd's from the artist in the street. Physical Cd's sold big. If you didn't get it straight from the artist hand back then, you missed out, so people were more prone to purchase. Now, you try & sell a Cd and the other person doesn't purchase your album, but will swap numbers with you looking to collab because he raps too. Or his bitch sings etc. Everybody raps, sings, produce etc. now a days. It's saturated.

A distribution deal through a major is only worth it, if you are selling outrageous numbers on your own. Meaning, your buzz is as big online as it is everywhere in real life. That includes sold out shows, over a million hit's on every website / social network your on etc. And your picking up fans like the Pied Piper along the way. Until then, I see no point in having a major distribution deal when you can do all that on your own and dominate the internet yourself. Hoping that people will bite and build your demand.

Just my 2.
 
May 1, 2010
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#44
Theoretically, if you can get a distro deal that pays you close to what you would make pushing that shit yourself, why not take it? It delegates certain responsibilities to someone else and frees up more of your time to dedicate to other more lucrative business interests, whether it be promotion, scouting, etc. or even making more music.

Sure, we could all say "well no one is buying CDs, etc..." but if that's the case it makes even more sense to get rid of those duties if you can do it and still see a decent return.
 
Jun 1, 2007
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www.cdbaby.com
#45
Having Major Label "Distribution" equals venues. Venues of any size equals money. Merchandise, Physical Sale (hand to hand at the show) and the actual show money. Promoters pay signed artists.

It's all business. Gemini knows all about those things. Gemini himself is a very smart man when it comes to the industry.
 
Jun 1, 2007
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www.cdbaby.com
#46
Theoretically, if you can get a distro deal that pays you close to what you would make pushing that shit yourself, why not take it? It delegates certain responsibilities to someone else and frees up more of your time to dedicate to other more lucrative business interests, whether it be promotion, scouting, etc. or even making more music.

Sure, we could all say "well no one is buying CDs, etc..." but if that's the case it makes even more sense to get rid of those duties if you can do it and still see a decent return.
Very intelligent post. Valuable knowledge. Hope people take note.
 
Jan 19, 2006
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#47
I know very little of the music industry. Am I correct in assuming that backend means revenue?

If that's so I'd find it hard to believe that the record company would pay out before recouping. Especially in this day and age.

Maybe you are paying all your distribution and pressing costs, if that's the case then revenue and profit are essentially the same things in the eye of UMGD since they have no expenditures right?
 
Jun 1, 2007
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#48
I know very little of the music industry. Am I correct in assuming that backend means revenue?

If that's so I'd find it hard to believe that the record company would pay out before recouping. Especially in this day and age.

Maybe you are paying all your distribution and pressing costs, if that's the case then revenue and profit are essentially the same things in the eye of UMGD since they have no expenditures right?
Back end is everything after the Label Recoups. I put together a Marketing Plan and landed a Outside Sponsorship (was actually looking for sponsors so that I could get back into riding and racing Motocross), so I don't really need any money from Universal Music Group. I literally only need their Distribution and Cataloging Services, but I am being printed and pressed via my deal. Pretty much they will recoup Pressing and Distributing costs.