In 6ixth Position...

The ART of Independent Artist Revenue

noreply@blogger.com (Lorien Rochelle) — Sun, 03 Feb 2013 21:30:00 +0000

The music industry has changed so much in the past decade, with the evolving role of major music labels and the ever-present social mediums available, independent artists have so many tools within their reach to get their music out to the masses and build relationships and community with their fan base. For music artists, with networks like SoundCloud and ReverbNation at their disposal, artists can make their music available to the public for review, build a fan base and then handle their own distribution and promotion. Sounds like a perfect road to success and revenue generation doesn’t it? These are opportunities for independent artists to get great exposure and promote their art, but the question is, is it profitable?

Source: www.outsourcing-center.com

Fortunately, some of these methods are outlined in an article at Hypebot.com, The 3 Most Profitable DIY Revenue Streams And Why Many Artists Succeed At Only One Of Them. While these mediums have opened up opportunities for independent artists, the earnings remain fairly modest in comparison to the signed artists we often see in music videos and on television living a life that appears to be fueled by millions of dollars with lavish trips and cars. In fact, the article states the average DIY artist is grossing no more than $50,000, through the distribution of their music, but the article points out that these sources are not the only methods. So what are the other avenues that DIY artists are generating income?

The article talks about one of the more obvious that I’ve covered previously on this blog, live touring. While it can be a difficult life, live touring is the lifeblood of many artists, even those that are signed to major labels. For the independent artist, the increase in “house concerts” have created a similar environment and can yield a several thousand dollars per show depending on the city and how popular the artist is in that location. These appearances along with selling merchandise can be pretty profitable.

Another method that has not only been profitable for virtually unknown artists, but has been the source of discovery is YouTube. There are a number of ways to make a living here. First, artists can upload their own music directly, with little to no cost involved. There are companies that can assist the artist in monetization of their content allowing them to yield up to the high five figures. Also, according to the article, Make Money on YouTube, Film, TV and more with CD Baby Sync Licensing, services like CD Baby and Rumblefish are collaborating with YouTube to create additional income streams that would allow the artist to get paid every time an individual anywhere in the world uploads the video.

With so many avenues available to DIY artists, the trick really is to determine how to make them successful and which one to focus on first. Also, as the article points out, it is important to have a multi-focused approach in order to help build and maintain career momentum. If you have a management or consultative team, these are options you can discuss and start creating a plan to help you move forward. Do you have some experience with any of these mediums? Have you experienced any degree of success? If so, I would love to hear from you. So these are my thoughts and I’d love to hear yours. Until then do you and creatively mind your business.

The ART of the Mega Comeback

noreply@blogger.com (Lorien Rochelle) — Mon, 21 Jan 2013 05:18:00 +0000

You might recall about one year ago that MegaUpload was shut down, creating what might be our very first digital superhero. Ironically, this underdog is back and possibly larger than ever with its update as MEGA as reported at Digital Music News who recently did a follow-up story on this historical event. The site announced that MegaUpload Successor MEGA Is Now Officially Live and ready to takeover.

This re-launch will likely be very embarrassing for the FBI and the US Department of Justice and also groups like RIAA that rallied to shut the site down. It is reported that the new site has the potential to outshine its predecessor and with the support of the public, it is very like to occur. If that is not interesting enough, there was another component of Mega that was not publicly announced previously that could impact the music industry in a major way.

Source: www.torrentfreak.com

Along with the development of MegaUpload, was a tool called Megabox, which is described as a music service that could create a dynamic shift the balance of the industry back into the favor of the artists. According to TorrentFreak, in it’s article, Dotcom’s Megabox to Launch “A Few Months” After Mega, Megabox is scheduled to launch shortly after Mega and will operate using a “free music” model, that gives the public access, while compensating the artists through advertising. The business logic here is that this approach will help prevent or at minimum reduce the incidences of piracy, while ensure that artists receive payment for their work. Can you imagine what that will do to other streaming providers who do not currently utilize this model? For those that are currently operating using an all-you-can use for a flat fee model, but very minimally to the artists, this could create quite a shakeup!

The technology to support this is called Megakey and requires installation by the user who will receive the music at no cost. If users opt to uninstall the app, they will be required to pay for the music. While Megabox will receive a small portion of the revenue generated, it is claimed that the majority will go to the artist. This potentially creates an environment where the artists will receive up to 90% of earnings and finally tap into the download market that has not previously operated in their favor. The big question here is will the major labels that benefit richly from the current models allow something like this to happen.

Given the backlash from the last action against Mega, is it likely that anyone will strike against the brand now? Not only might this previous underdog come back, if what we hear about this new tool is true, this might represent a major comeback for this tool and the organization. We will just have to wait and see how this plays out, but this could be an incredible opportunity for independent artists particularly who primarily distribute their music digitally. Not sure about you, but I’m excited to see how this develop.

These are my thoughts and I would really love to hear yours. Until then, creatively mind your business.

The ART of the Business Plan: A Creative Perspective

noreply@blogger.com (Lorien Rochelle) — Sun, 16 Dec 2012 20:37:00 +0000

First let me say that for an artist, the process of writing a business plan is torture. It is a fairly structured process that does not leave much room for creativity, cool graphics or an allowance for flair in its prose. It is essentially the roadmap for building the entrepreneur’s business and while the process can be useful because it can help you identify flaws in planning or other areas of opportunity, the guidance provided by Carl Schramm helps keep things in perspective. In an article Carl Schramm – Straight Talk on Entrepreneurship, which was featured in Steinvox.com, his perspective on business plans is that business plan creation itself is somewhat useless because the formalized plan is rarely the actual path the business will take and that by the time the plan is written, it is likely already outdated. His advice is to not expend energy on writing the plan, get out and start building the business. He says that the overall major points can be captured on one page and for a creative business that is constantly changing; his advice helps me remember to be fluid and not rigidly focus on the plan as the only measure of success. This echoes the advice given by Chuck Blakeman, in his article How: the worst, most asked planning question, that while its great to plan, things happen in life outside of our control and can throw a wrench in even the best plan. This advice really drives the point to plan for now, not spend too much time on the future, but how the plan can help strategically build the business in the now. Carl also stated during his investing activity and experiences, he has never actually reviewed a business plan, but is usually interested in the person behind the business.

This begged the question for me is if Carl Schramm is right and investors and clients are more interested in the people behind the business than the plan, what attributes should be focused on developing? According to an article in TheNextWomen.com, which featured an interview with Dale Murray, the Angel Investor of the Year 2011. In the article The Difference a Dale Makes: Charlotte Hogg Meets Angel Investor Ms. Murray, we learn first that in addition to being an extremely successful investor, public speaker, mentor and advisor in the universe of entrepreneurial activities, she is also “charismatic, charming” and is said to have secured her first significant contract due to her personal attributes, being a great person to work with. She does not wander away from or betray her intuition when making business decisions and finds a way to operate from a place of authenticity, which helps others do the same when working with her. These qualities must continue to draw business partners to her as she continues to be successful, so rather than focusing primarily on the plan, this is a reminder to constantly develop oneself from a professional perspective, while building the business. This is a reminder for me specifically that as the owner, I am the business.

This brings me to the last point of consideration in this development process is now to think about the business itself. Not the picture in the plan, but what will the business really do, what do I want it to accomplish, how do I want to operate? The advice from Carlos Slim, one of the world’s richest individuals and Mexico’s famous business, is to keep it clear and simple. In an interview in Second & Park, the article Business Advice from Carlos Slim he advises to be creative, work hard and focus continuously on improvements and building the business. He also sites flexibility as a strong capability for success, which resonates with me based on the advice discussed earlier. Based on this advice I will further simplify my business model and focus more on developing services that will enhance the client experience, bringing more value to the market. This is the area that from my perspective should be of most interest to a potential investor so that the understand why the market needs this business model and how it can be successful.

These are just my thoughts, but I'd love to hear yours. How are you coming along with your business plan, do you think you will use it? Let me know. In the meantime, here's to creatively mind your business.

Managing the ART of Free Music

noreply@blogger.com (Lorien Rochelle) — Mon, 29 Oct 2012 00:40:00 +0000

Recently, T-Pain released his free mix-tape Stoic, with 22 tracks of new music for his fans with features from artists such as Pitbull, Travie McCoy and others, which represents a strong return to the music scene for him. What makes this return most notable, is that it comes by the way of a free mix-tape, which can be listened to in full on sites like HipHopDX or downloaded, for free from sites such as Livemixtapes.com.

Back in August, the topic of how digital media is impacting the music industry was covered in my post Music and the Digital Movement, and the discussion around how artists revenue is affected by utilizing digital distribution in favor of cd or album sales. In follow up to this, the release of free music by well-known artists such as T-Pain brings the new movement into greater focus and causes us to examine how the artist can be benefit from this activity. Obviously, there is no front-end revenue to be made, so why do it?

This topic was also covered one of my favorite sites, Music Think Tank, where the article Why You Should Give Your Music Away for Free, describes how the advent of digital music is devastating legacy and traditional record labels. It explores services such as Spotify, my personal favorite, which provide an “all you can consume” for one subscription price model. Not only does it allow users to access all of their favorite music and create playlists, which can actually consist of entire albums, they can also share their activity on Facebook with friends and share music. Obviously, users are not going to continue to purchase individual CDs when they can gain unlimited access to music via this type of service. For consumers this creates a winning solution, especially for proclaimed music lovers and for independent artists, it’s much easier to get music placed on these services. The downside would be the payout is much less than the artist would make through pay-per services such as iTunes or Amazon, but this again confirms why artists must seek to be diverse in their revenue streams and not rely solely on music sales. As we’ve also discussed, live performances and the merchandising that corresponds should not be underestimated in terms of relevant income.

As the digital music landscape continues to progress and evolve, it will be increasingly more important for artists to re-think the traditional way of doing business and operate a bit outside of the box. In a time when most consumers get their music either through subscription service or through pirated sources, why not just let the fans have the music they love for free. Also, it can provide the artist an opportunity to test the market and see how their music is performing from a consumer perspective and utilize this knowledge to guide their future projects.

Giving away music for free, while not profitable up front, can certainly provide artists greater insight into the tastes of their fans and overall consumers and help them make more strategic decisions for music products they plan to charge for.

These are just my thoughts and I’m anxious to hear yours. Until then, do you and creatively mind your business.

The ART of Protecting Your Brand

noreply@blogger.com (Lorien Rochelle) — Mon, 15 Oct 2012 02:54:00 +0000

Several days ago, Nelly’s tour bus was delayed in Texas by a search for drugs by local officials. While this report alone is disturbing because we really don’t believe the hype, but also because we have to question if everything is as the media reports it. Once the story is told, whether it is right or wrong, how does the story impact the artists’ reputation?

Source: www.growmap.com

According to an article at LATimes.com, there have been a number of well-known artists like Fiona Apple, Snoop Dogg and Willie Nelson, who have experienced similar issues in Sierra Blanca, Texas. Ironically, according to The Hollywood Reporter, this specific area is so heavily monitored because the goal is to prevent illegal aliens from crossing the boarder near El Paso. While Nelly was not arrested, the investigation revealed that someone close to him confessed to bringing the drugs onto the tour bus and sadly it was someone who Nelly later reported as someone who had been working on his team for a long time. He indicated on Twitter that while he was sad about the outcome and the impact on this person’s life, that he was also extremely upset that someone close to him would cause him harm and jeopardize their safety. It is understandable that this incident and the resulting negative press would be a cause for concern by the artist who up to this point, has not had a career troubled with legal issues.

Reading the reports of this reminded me of the important lessons we keep learning about building and protecting our brand. First, by making sure we have the best product we can offer fans and supporters of our artistic endeavors, then securing good management and consulting so that we make good business decisions as it relates to our creative offerings. Also important is our social media and marketing and making sure that we have control over the images and marketing that make it out into the universe. Last, we have to examine a place that hits closer to home, as in Nelly’s situation. As artists, it can be difficult as we make the transition from seedling artist, to developing even a local buzz, to analyze those closest to us. Especially, if we elect to hire friends or family members to provide support to us in any professional capacity, we have to be certain that they can be a public extension of us without negative impact.

As artists sometimes we might find it hard to make sure that the team we surround ourselves with is comprised of individuals we can trust and have our best interests at heart and are not trying to further their own careers with no concern for how we will be impacted. It is imperative that we make sure to protect our brand, at all costs because it really is the outward representation of our most beautiful, creative, artistic selves. And that is worth guarding with our lives.

Those are my thoughts and I’d love to hear yours. Until then, do you and creatively mind your business.

The ART of Merch – Merchandising in the Digital Age

noreply@blogger.com (Lorien Rochelle) — Sun, 14 Oct 2012 22:47:00 +0000

Last week I was one of the fortunate who had an opportunity to be present for one of the eight highly anticipated and well publicized Jay-Z concerts at the new Barclays Center. First, let me say the moment was truly historic and magical for everyone in attendance to know that we were in the middle of a once-in-a lifetime experience. Of course, Jay Z has performed before and will perform again, but not like this. So how would concertgoers commemorate the occasion and freeze this wonderful moment in time? By purchasing as much merchandise as possible from the Barclay center merchandise store. It was highly recommended that we make our purchases prior to the beginning of the show because waiting until after would result in extremely long lines and ultimately the worst fate of all, going home empty-handed. It was interesting to me that for such a wonderfully architected, state of the art building, concertgoers were still expected to stand in line to secure the much-desired commemorative items marking this significant event.

Source: www.merchdoneright.com

In this advanced digital age, why hasn’t the merchandise industry kept up? If fans are able to obtain music and video content of their favorite artists from digital sources, we have to wonder why the merchandising segment has not advanced offerings and availability. An article that I read recently regarding Modernizing the Merchandise Madness on Hybebot, suggests that artists expand merchandise distribution to include digital elements, which could not only improve fan experience, but also increase earning potential. In the case of the Jay Z concert, imagine the possibility of being able to place an order using an iPhone or Android or other device available at the seats. Additionally the article suggests that rather than taking the merchandise home from the venue, it could be delivered later to the concertgoers’ home. In my case, that would have been ideal, because I don’t live in NY, so I had to travel home to Atlanta with my newly obtained swag. There is also the possibility of packaging something tangible with a digital item as an option, which would help revolutionize the way the business currently views and handles merchandise.

The article directs readers’ attention to a new company called Merluv.com that proposes that it can revolutionize the way artists distribute merchandise to their fans through the use of music streaming services, sites and applications. With so much revenue to be gained in the merchandising market, it is one that cannot be neglected by artists, since it can make a significant difference in what an artist makes financially and how they reach out and make that connection with their fans. When we have those special moments of connection with our favorite artists, we want a way to hold that moment in time. It’s important to make sure its done in a way that makes the best of that moment.

These are just my thoughts, but I would really love to hear yours. Until then do you and creatively mind your business.

Entertainment Law Podcast Review

noreply@blogger.com (Lorien Rochelle) — Tue, 25 Sep 2012 01:14:00 +0000

A common issue for artists of all disciplines and their management is to understand the laws around protection of their work. Often, within the industry, in order to make money early in their career, artists may sign away the rights to their work. From an awareness perspective, this is eye-opening both for the artist and managers to make sure that we do not forget to read through all contracts and agreements and really understand these laws before signing or agreeing to anything. Above all, it is a reminder that in these matters, securing a legal resource can serve as a great protection.

Amazingly, prior to 1972 there had not been copyright protection for sound recordings or related work. Then in 1976 a copyright act revision was made to include a termination right allowing original content owners, songwriters or authors to reclaim the copyright on their work, even though they previously granted exclusive rights to publishers and major music labels. Under this revision, these individuals can file a reversion on ownership 35 years after the original copyright as long as the notice is filed within 2 years before the end of the 35-year deadline. This enlightening information was covered extremely well on the Lawyer2Lawyer podcast under the topic of The New Legal Battle over Song Rights and hosted by J. Craig Williams and Robert Ambrogi.

The reason why this topic is so important now is that based on the 35-year window would apply to any records coming out in 1978 and every year after that, meaning that fairly significant recordings are soon coming up for consideration.

From the perspective of major labels, catalog sales are a major revenue source and accounts for a large number of their sales. There is a lot of music out there that provides the labels pure profit, specifically if the sales occur posthumously. In situations where the label advanced the artist a great deal of money during their career, there is no recoup for the artist or their estate on this music. Whenever a purchase is made, the label is able to collect all the profits on that sale. So the impact of the artist or their estate being able to reclaim ownership on their music, this could cut revenues to the labels considerably. This legislation was after all, not put in place to protect the labels, but to protect the authors. It demonstrated advanced thinking on the behalf of congress that understood the plight of a new artist who will likely be held to a fairly strenuous contract by the labels and created a way out down the road.

There are so many considerations for artists who desire to reclaim their work in this digital age because distribution can now be done online with little or no overhead costs. While some labels can still provide marketing and distribution on their catalogs with an improved payoff to the artist or author, in many cases digital distribution will create a perfect storm form for artists who decide to reclaim their catalog or work.

Another area of consideration around copyright law also brings the subject of blogs into analysis. From the same podcast, Lawyer 2 Lawyer, the topic of The Legal Issues of Blogs, Fair Use and Attribution, which is a very sensitive subject because often we consider blogs to be a safe place to express our opinions, thoughts and business positioning within the digital business place. However, there are now some legal and ethical obligations that bloggers and authors may not be aware of. Unfortunately because of the lack of clear definitions provided through the Fair Use laws, often bloggers don’t actually properly reference the sources of their information. While it’s often not done intentionally, there is an ethical obligation to give credit to the originator of the information and it is difficult to police on the Internet, but this activity contributes to the lack of credibility amongst bloggers and dilutes the quality of the content. While there are no laws in place that govern this activity on the Internet, it is up to each blogger to be more responsible in how they handle information. This is an important element for my business because part of my overall business plan is to feature content that will provide guidance to unsigned and independent artists to help guide their career, so I will need to make sure that always reference my sources properly and give credit where it’s due.

Lastly, in the podcast review the Lawyer2 Lawyer hosts take on the subject of Entertainment Law & the Challenges of Celebrity. This is of particular importance for me to make sure that I educate the artists that I manage in terms of the development of their brand and image. In recent years, we have seen a number of cases where artists and celebrities appear in the news for the issues they are experiencing in their personal lives. In some cases, we have witnessed them battle addictions, broken marriages and the resulting decline in their popularity. It is incredibly important for artists to understand that in this new, very visible position, they must be well aware of the legal ramifications of their actions because it can cost them, literally.

Listening to these blogs have provided a great deal of insight for me in areas that I was not well educated it, but has definitely enlightened me into things I need to be aware of for myself and the artists I manage.

It serves as a great reminder that we should all be creatively minding our business…

The ART of the Law

noreply@blogger.com (Lorien Rochelle) — Sun, 02 Sep 2012 19:50:00 +0000

In the last several weeks, there has been a flurry of activity in the area of artists or their designees creatively protecting their works. In one case, the lawsuit settles outstanding debt and creative ownership debates posthumously, in another, an artist battles with a former manager regarding commission payments and finally, true artistic expression lands a band in jail because of political content.

These incidences should serve as reminders to us as artists that we must become educated on how to legally protect the art we create and ourselves. Also, we should not assume that we can manage everything ourselves and know when to hire appropriate management and legal counsel.

First let’s look at the case between the estate of Michael Jackson and ‘Thriller’ director John Landis, which was finally settled this past week and covered in The Hollywood Reporter. This case is interesting because first, an outstanding debt for an alleged $2.3 million required settlement and then there was the issue of ownership of a portion of the dramatic rights to the “Thriller” video. In 2009 John Landis had brought suit against Jackson for monies he claimed were still outstanding for work he completed on the video made in 1983. Unfortunately, Jackson died that same year and therefore the case would have to be settled by the executors of the estate. While paying the outstanding debt was made easier by the influx of income into the estate, what I found more compelling about this case was the fight for artistic rights that would allow Landis and others to benefit from the production of “Thriller” in another form, for example like a Broadway production.

Source: www.awakeninglight.org

First, the fact that there was an outstanding debt spanning more than twenty years, it makes me wonder what type of contract was in place that would allow that much time to expire before a legal course was taken. Additionally, if there was room to argue ownership of artistic or dramatic rights, then I also wonder if that was not covered contractually. It is not unlikely or uncharacteristic for artistic types to brainstorm an amazing idea and while caught up in the moment, not consider the legal implications of their creative union, but this case really drives home the point for us all that even in the romance of the creative moment, we should really take the time to consider all the legalities of joint production and really know who we are doing business with.

Second, we look at the case between Lisa Kudrow and her former manager, who is arguing that commission payments should have continued even after being fired. In this case, The Hollywood Reporter, indicates that the court sided with her former manager, Scott Howard, who entered into an agreement with Kudrow in 1991 and claims he is owed 5 percent of her earnings from the show Friends, even though their professional relationship ended in 2007. According to an expert witness, stated that it was customary practice for all managers to continue to receive commission on all jobs their clients obtain during their representation, even once the agreement sunsets. While in this case, the court found in the favor of the manager, it demonstrates again the importance of artists understanding the law. While the original agreement was an oral one, it is clear that Kudrow did not understand what she was agreeing to and perhaps did not have her management contract reviewed by legal counsel. Often, we think that because it is not on paper, we have not agreed to anything, but in this case, we can see how costly it is when we do not familiarize ourselves with the law and make sure to protect ourselves.

Last, the case of the Pussy Riot punk band has garnered a great deal of attention both because of its political statement but also the punishment issued against these women for their use of free speech. According to Billboard, members of the group issued what was called a “punk prayer” with content speaking against actions of Russian leader Vladimir Putin that resulted in them being put on trial and punished by jail sentence. Three of the members have appealed the decision that would jail them for two years and other members are said to have fled Russia to avoid being jailed. This case is particularly interesting because it does not deal with creative rights or property, but the actual rights of the artist to express themselves freely. Many artists use their platform as a way to spread a message or support a cause of a political nature, but this case is a reminder that we are not infallible and there can be legal ramifications involved. Again, while there are no contracts being broken here, artists must understand the implications of all of their actions.

In some ways, these cases can make it seem like artists are a bit of a target for legal activity. Perhaps because it is believed that we don’t know the law or fully understand how it impacts our work. These cases and others like it should serve as cautionary tales of how important it is that we continue to creatively mind our business.

The ART of Giving Back

noreply@blogger.com (Lorien Rochelle) — Mon, 20 Aug 2012 00:06:00 +0000

Most would agree, I think, that as artists we spend the majority of our time giving of ourselves, our visions, our dreams and that really is the purpose of art, isn’t it? Someone told me yesterday that when I dance, I set people free and it was probably one of the greatest compliments ever paid to me because that really is one of my hearts deepest desires. As I always tell friends that when I dance, I want people to feel it, to feel me, the music and for it to make them believe in the possibilities of life. This is grounded in my firm belief that the whole purpose of art is to give, so it does not surprise me at all when artists further this endeavor through the act of charity.

source: www.pilgramsmap.com

So often, as artists we have not had an easy life nor is the more serious pursuit of our art easy. Through it we may develop quite the support system that helps us maintain our sanity and create some stability, for me I call them my dance family. But I understand that most artists develop a family of sorts that support them through the disappointments and successes alike and this really does breed a feeling of wanting others to feel this love and support. We have been gifted with the ability to share our art with the world and the gift of having those that support our endeavors and it warms my heart when I see artists, especially very successful ones, giving back to the communities and people who support us.

The inspiration for this blog comes from reading an article a few days ago on Music Industry News Network regarding a new foundation being established by Cee-Lo Green and his sister called the Greenhouse Foundation whose mission is to educate students on what it means to live “green” and how they can contribute to the health and sustainability of their environment. The best part, from my perspective, is that the program is geared toward assisting in communities that would otherwise be overlooked. Also, that it is teaching the next generation how their actions impact the future of the environment and what they can do to preserve it. Programs that are geared toward building better environments for youth are of special interest to me. This new program excites me as much as my favorite organization Black Girls Rock, which was established by Beverly Bond and focuses on creating programs that focus on the arts for young women of color and by empowering them and helping them develop a more enriched perspective on life.

These examples are reminders for me that giving is one of the greatest roles an artist can play in the world and inspire me to want to give more. Imagine how much more successful each of us can feel when we are adding so much joy and richness in the life of others. This is really an extension of what it means to be an artist.

What gifts are you giving through your art? These are just my thoughts and I would love to hear yours. In the meantime, do you and creatively mind your business.

Peace

Music and the Digital Movement

noreply@blogger.com (Lorien Rochelle) — Sun, 05 Aug 2012 20:59:00 +0000

Not so long ago, a career in the music industry was considered one of the most lucrative for an artist to pursue. And while profits have been on the decline for major labels, it remains an area within entertainment where an artist can still earn quite a decent living. For many years, there has been an ongoing discussion around how much of an artist’s income is generated through cd or album sales and whether digital sales would be a threat. It’s a fairly known fact that cd sales do not account for a significant amount of income for an artist and it appears that online sales are even worse.

Source: www.musicroom.com

In fact, according to a recent article in The Huffington Post, some of the popular artists in the industry made over $50 million in 2011, which is great. But when we examine how much of that actually comes from online sales, it does not account for a large amount of income for the artist. With so many different mediums for consumers to choose from, it seems that most artists are not feeling much love from online sales, particularly music streaming services like Spotify and Rhapsody where the artist profit is less that $.10 per stream in contrast to iTunes where the artist gets just under $7.00 per album download. Based on these numbers it appears that the digital age can be both a gift and a curse in the artists’ world.

On one hand, social media and the digital connections allow an artist to connect to their fans in a way like never before. It allows them to create a community and build a relationship with their fan base that will ultimately translate into sold out concerts and a large number of digital downloads and streams. Conversely, due to unapproved music track leaks and the lack of profit for artists the digital world can also create challenges for the artist in their pursuit of success and financial profitability. So what’s an artist to do?

First, accept that the days of large advances and monster record sales are likely a thing of the past and recognize what the digital movement has to offer and work within it to create success. As reported in another article in The Huffington Post, if artists can work with their management and promotion teams to develop a solid brand and utilize their music as a foundation for touring and other business ventures, this approach can be very profitable. This is not to say the music takes a back seat, because that is at the core of developing the fan base, selling out concerts and influencing fans to purchase merchandise as well. Whether we like it or not, this is the formula today’s artist may need to follow when building a successful and lucrative career.

These are just my thoughts and I would love to hear yours. Is it fair to ask artists to become a brand and engage in endorsement deals and the like, just to make a living as an artist?

Let me know what you’re thinking. Until then, do you and creatively mind your business.

The Art of Negotiation: The Sweet Spot

noreply@blogger.com (Lorien Rochelle) — Sun, 01 Jul 2012 20:31:00 +0000

My people, I’m super excited and you’re never going to believe it, but I was finally able to catch up to one of the busiest managers in the business for a quick interview. He’s been in the industry for twenty-four years. He is and has worked with some of the hottest artists in the game managing their tours, logistics and overall best interests and is constantly on the move, which is what makes this interview so special. Because of his prominence, he’s asked that I not name him, so we’re going to call him Artist Manager or “AM”.

He actually took a moment to spend with me today talking about the fine art of negotiation or what I like to call, getting to the sweet spot. The entertainment industry can be a rough and tumble place and if your negotiation skills are not on par and well developed, you risk losing some very important elements vital to the success of your client’s career. So if you are currently or are considering artist management in any capacity, this interview is for you. If you’re an artist seeking management, you want to hear how a seasoned and experienced manager in the game negotiates on behalf of his clients so you can identify a good manager of your own.

Source: www.salestrainingconsultants.com

LR: In your experience, what are some of the most important things a manager negotiates on behalf of the artist they represent?

AM: It all depends on what we’re negotiating for. If we’re talking about albums then the negotiation is all about the points or percentages because that equates to your artists income and revenue. If it relates to touring you will negotiate the guarantee or how much the artist will make for a performance. Also if it sells out, you want to negotiate an additional percentage, and also negotiate how much time the artist has to spend on stage. Also, if they are appearing on a show with multiple artists, you will want to negotiate their arrangement in the line-up based on number of albums sold and their current popularity and the songs they have in rotation at the time. If it’s magazines, you want your artists featured in the magazine with a prominent position like a front cover or the best possible positioning.

LR: Given that you’re so connected to your client, how do you work to understand the motivations of everyone involved in a negotiation and use that information to create a winning solution for everyone?

AM: Compromise is the key. You have to be willing to compromise without losing yourself or your position. First of course you’re looking out for the artist because if you do that the artist will be happy and will look out for the team overall and that helps create a win for everybody. It’s a fine line when you’re dealing with people outside of your team, but thinking about the long term benefits helps. Don’t stay focused on the short term because that can create a loss all around.

LR: Do you find that due to your closeness to your client or other business associates, sometimes it might be hard to take the people out of the negotiation and only focus on the topic at hand? How have you been able to do that?

AM: Yes that can be hard. It’s hard to separate business and people but you try your best and learn from previous situations. I have been able to do it, but that’s usually when I focus on trying to do the right thing for everyone involved. Even if my artist doesn’t agree upfront they understand what I’m trying to accomplish on their behalf and will often go along. Ultimately, that’s about trust. You have to work to build their trust and they have to feel you’re the right person in place to handle their affairs. Once you establish that, it’s a win and makes this part much easier.

LR: Can you describe for me what are the most challenging negotiations you have experienced and why it was so challenging? How did you deal with that and were you able to come to a winning solution?

AM: Performance fees are the most challenging because sometimes the artists want more than the promoter is willing to pay. It’s difficult because the promoter may feel like your artist isn’t worth the amount you’re asking. You have to find a happy medium but sometimes you have to really sell the artist to the promoter by convincing them based on prior information, like how much the artist has been paid for other performances or how relevant they are in the industry at the time, how many songs they have that are current and their overall book of music. You have to convince them of the value because when they see how good the show will be, they are more willing to pay the amount we’re asking for.

LR: So what would you say is your negotiation style? Are you more openly forceful or more of an iron fist in a velvet glove approach where they don’t really see you coming?

AM: Depends on the situation and what’s up for negotiation. You don’t want to be overbearing and lose the person, so you want to find the right spot. In situations where I’m more forceful would be where I’m pushing harder for a performance fee because someone doesn’t see the value in my artist. Sometimes I take that more personal, even if I shouldn’t but I do become more forceful when my emotions get involved. I do think though that it’s better to keep my emotions out of it, because if I don’t, then the other person’s emotions get involved and the conversation can get really heated. Fortunately, I’ve never damaged any relationships like that though. In the end, we were able to shake and be ok.

LR: Have you ever experienced a situation where you were not the most powerful seat at the table? In other words, your counterpart really was the one holding the cards? How did you deal with that and what was the outcome of that negotiation?

AM: Yes, but you have to be confident and secure and feel you can handle anything. Even though they might be higher up, you have to hold your own. Respect their position, but know you can still get what you want and ask for it.

LR: Last question because I know how valuable your time is. What do you think makes you a great negotiator?

AM: Years of experience and knowledge of the industry has helped me a lot. Also learning from my own past mistakes and those of others and having a great mentor and teacher really helped me develop the skills. Also, it doesn’t hurt that I’m not afraid to ask for what I want. I am able to find what works in the situation for everyone, even though primarily I am in the game to get to win for my artist but I can see and articulate the benefits to all sides and bring that to the table. Everyone walks away winning and that makes everyone happy.

I really appreciate your time today, I know I’m catching you in the middle of studio time, so thank you again and I wish you success on your upcoming projects.

Ok, so I don’t know about you, but that was really helpful for me. It’s great to hear about how passionate and dedicated a manager can be in negotiating the interests of their artists. Food for thought for my independent artists would be did this help you think about how you negotiate for yourself? How can you implement these same strategies in making sure your interests are covered? I’ll leave you with that and remember these are just my thoughts and I’d love to hear yours.

Until then, do you and creatively mind your business.

Peace…

Creatively Minding Your Business…and Your Taxes

noreply@blogger.com (Lorien Rochelle) — Mon, 18 Jun 2012 04:00:00 +0000

Initially, I planned on following up the last post with more conversation about being creatively stuck and how frustrating it can be when artists feel they cannot produce or express themselves creatively. Obviously, the topic is extremely important to me, and a conversation we will continue, but of equal importance is the topic of creatively minding our business. That is what I’m all about right?

So when I fired up my laptop a few days ago and saw the article in Billboard talking about R. Kelly and his tax problems, I just had to address this. One would think that in 2012, with the numerous highly publicized financial issues that have impacted artists’ lives over the past years, that we would have seen the end of these stories. But alas, we have not.

According to the article, not only did his home fell in to foreclosure last year, but the IRS is now holding him accountable for payment of taxes dating back to 2005. While his representatives are not commenting, The Chicago Tribune indicates that there are liens filed against for approximately $4.8 million.

This made me wonder if any of his managers or financial advisors recommended he make estimated tax payments to the IRS at any point during his career. This simple financial process would have helped him avoid this latest challenge. For an artist with so many years of success in the music business, it would seem like common sense that he would either have personally done a better job or had individuals in place that would help him better manage his economic situation.

Far too often, as we’ve seen while artists are busy with the business of creating, someone else is managing their finances and many times to the detriment of the artist and their families. It is becoming even more important in this time that artists really take charge of their financial present and future.

Just my thoughts. Looking forward to hearing yours. Until then creatively mind your business.

“SHOULD”…and the case of the sneaky, underhanded creativity killer!

noreply@blogger.com (Lorien Rochelle) — Sun, 03 Jun 2012 19:53:00 +0000

Have you ever found yourself creating creative expectations and setting artistic goals for yourself that in hindsight don’t really make sense?

Two weeks ago, I made a decision about something I felt I SHOULD do in my dance life in order to demonstrate real growth. Let me say, I have no idea “who” the audience was for said demonstrative growth, but I decided this step was necessary. Looking back, I see what a huge mistake it was to subject my creative child to this expectation, because it derailed my creativity for almost a week. And let me say, as a creative soul, I depend heavily on my creativity as my true source of energy not only in dance, but also in my writing and at work.

As I wallowed in my creative sorrow, I kept asking myself, how did I end up here?

Source: www.dreamstime.com

Ah, well, it all started with that word SHOULD. I will talk more about this in upcoming blogs, because as artists, we have to be careful not to place expectations on ourselves that only serve to ultimately block or destroy our creative energies. I recently read in a wonderful blog, Zen Copy, that these expectations can be the basis for killing creativity, so we have to defy our own rulebooks and sometimes do the absolute opposite of what we think we SHOULD do to free ourselves and unleash our creativity.

With the help of some wonderful friends, that’s exactly what I did. After my personal pity party was over and my friends talked me in off of the “I’m quitting” ledge, they convinced me that I simply needed to take a different approach to reach my goal. Rather than focusing so much on this SHOULD, which was only going to keep me stuck, I decided to focus on how to get myself unstuck creatively. So how do we get ourselves unstuck? Read on…

First, release yourself from the expectation and ask yourself “what if”. What if I decided to do the complete opposite, how would this impact this project, choreography, music, etc.? Sometimes, in order to unleash our creativity, we have to think outside of the rules, some we may have set for ourselves and really don’t serve us in being successful. So set your creativity free and see what you come up with.

Second, try a new creative outlet or discipline to awaken your creativity. For example, dance for me often gets me unstuck for writing and vice versa. Also, I enjoy beading jewelry from time to time and painting and all of these things serve to keep my creativity flowing. Also, much can be said for taking a step back and reigniting your creativity through the inspiration of other artists i.e., taking a trip to the museum, browsing artwork online, etc. Find sources to feed your passion and then go for it!

Last, as Zen Copy also reminded us, go for yours. In other words, this is your passion, your dream and your craft to pursue as you desire, so make it happen. I love the advice “don’t take action in a small way, make it bold, make it count and don’t stop until you have succeeded”. As a creative soul, you owe it to yourself and the world to go big or go home, so do not live small. Don’t tip toe around your dreams waiting for someone to approve, just get it done!

In writing this, I learned of the passing of one of my favorite actresses, Kathryn Joosten, whom I think embodies this sprit. The once psychiatric nurse from Chicago started her acting career at 42, after several life-changing events decided life was too short not to pursue her passions. With no well-designed plan, she just got to the business of acting and living her dreams and the universe answered. She ultimately became an Emmy-winning actress, last starring on Desperate Housewives as Karen McCluskey. She had a wonderful thirty-year career and I salute her courage in the pursuit of her dream until the very end. RIP

These are just my thoughts, from one artist to another and I look forward to hearing yours. In the meantime, do you and creatively mind your business.

The Beauty of Failure and Imagination

noreply@blogger.com (Lorien Rochelle) — Sun, 13 May 2012 17:32:00 +0000

Recently, I had the opportunity to view J.K. Rowling: The Fringe Benefits of Failure on TED and she talked about two elements that have deeply touched my life at different points; failure and imagination.

As a young girl, my family often talked about my vivid and wild imagination, at times almost making me feel like I was a freak for the places my mind could take me. It provided me a fearless escape into worlds that only my little mind could imagine and it made me feel that almost anything I could dream was possible. Now as an adult, it is failure or the fear of it that stalks my thoughts. As artists, we are certainly not foreigners to rejection and the vulnerability that comes from exposing our deepest selves to the world and as a result, the fear of failure can become daunting and immobilizing.

However, Rowling speaks on this subject alluding to the fact that failure is necessary for our growth and development as people and then of course as artists. It provides us the opportunity to learn who we really are, what we are truly made of. I would agree that once we have experienced failure, this could set us free to really begin to pursue that which is of most importance. Rowling stated that by experiencing our greatest fears, like failure, we have the opportunity to hit rock bottom, regain our focus on what's important and then begin to build a solid foundation for the future.

She also reminds us that during adversity or difficult times we also learn who our real friends and supporters are. Personally and professionally, I went through a very difficult time of discovery of this very fact and decided that I would only continue to be loyal to those who are loyal to me. As artists, it can be difficult to make that determination because people will attach themselves to us for reasons that are less than altruistic. So a time of failure might be jus what we need in order to strip away the people and situations that no longer serve us or mean us well. Rowling reminds us that if we try live so cautiously that we try to avoid failure that we may never allow ourselves to live fully, which is a failure overall. Failure is a natural part of our overall growth process and one that we as people and especially artists must embrace.

She also spoke on imagination, but in such a unique and touching way that I now see the power of imagination in a new way. As I mentioned previously, my imagination was something I used very selfishly, as my escape. Rowling’s helps us see that imagination is also the mechanism we can use to transport our emotions and develop the ability to be empathetic to others and their situations. I believe empathy allows us to tap into a special part of our being and develop art that can evoke feeling and inspire others, which I believe is the true power of art.

Be it through fictional stories that can take our minds to a special world of our making, or through a piece of art that transforms what the naked eyes see into to something super heroic, imagination allows us to bring the unthinkable to life.

Artists are the individuals who have been chosen to impact the world through their expression, which I believe is the burden and gift of the artist. This is not and should not be a selfish journey or mission, but one where the artist seeks to change the hearts and minds of those they touch and by doing so ultimately change the world.

Just my thoughts and I'm looking forward to hearing from you. Until then, do you and creatively mind your business.

Does "The Industry" Care About Independent Artists?

noreply@blogger.com (Lorien Rochelle) — Sun, 06 May 2012 19:19:00 +0000

The beauty of art is the ability of the artist to share it with the world, regardless of the artistic medium. In many cases, for so many artists the journey is made primarily in anonymity and perhaps only reaching limited visibility in their own backyards. Based on how the entertainment industry operates, artists need proper representation, someone to watch their backs and provide guidance in navigating these difficult and tricky waters. As an artist myself, I understand the frustration of trying to identify the best course of action in promoting myself through my artistic endeavors. It is why I am so passionate about development and management of talented independent artists.

An organization that stands out for me is the A2IM: American Association of Independent Music, not only because of their positioning within the artistic community as a non-profit organization, but also because of the stand they take on behalf of music artists. With local chapters in or near major cities, the organization’s mission revolves around protecting the interests of independent artists and ensuring that their projects get the same attention and treatment artists on major labels with traditional deals. Also, without the big label machine behind them, independent artists don’t have access to the same technology and distribution available to them, however A2IM works diligently to ensure that independent’s have the same accessibility.

There are so many benefits to promoting independent artistry, especially their ability to operate with more creative freedom from most artists signed to major labels who are often forced to comply with the labels creative direction. While there are a number of organizations like the Recording Industry Association of America and SAG-AFTRA, who look after the welfare of signed members or major artists, these organizations typically do not take notice of the independent artist or look after their unique needs.

It is important that an organization like A2IM exists to ensure that the interests of independent artists are not only recognized but protected and that this community has a seat at the table to impact legislation domestically and internationally. The industry has to come to respect the positioning of the independent artists and this organization can help us get there.

Just my thoughts and I’m looking forward to hearing from you. Until then, do you and creatively mind your business.

Do Artists Really Have to Starve?

noreply@blogger.com (Lorien Rochelle) — Sat, 21 Apr 2012 19:01:00 +0000

Artists are constantly striving to give the best of their creative selves both to their craft and also to their supporters. Our art is how we expose ourselves to the world and invite them in and take them along for the journey, one that is both emotional and vulnerable, but at the same time very exciting. It can also be a constant struggle to balance both worlds between managing one’s art and the business of the art. While there is no perfect storm for how to create a balance between the two, many often give in to the belief that in order to be a successful artist, one must sacrifice being a good businessperson. In fact, many artists maintain that to be faithful to their craft, they cannot allow money to be an important factor or it somehow tarnishes the passion or love for the art.

Recently, I had a number of conversations with dancers particularly, because that’s my passion and the world I live in and it seems while some behave like they must take a vow of poverty in order to remain faithful to their art, others who are more experienced in the field actually take a decidedly more business minded approach. For example, there are dancers who will dance for no or very low pay for a much longer period than they should, while others set standard prices for their work and adhere to them. By charging what they believe their art is worth, they are able to continue creating, while making a living. This made me wonder do artists really need to be starving in order to be successful.

How many times have we heard reports of major, award winning artists walking away from their record labels either bankrupt or very close to it? After years of sold out tours, hit records and acquiring many awards these artists did not take the time to mind their own business. Most likely one of the most tragic stories to date is that of super girl group TLC. Billboard chronicles their epic rise and fall, ending in bankruptcy after hitting the charts with incredible hits and sold out tours. This is a classic example of great talent that has never been able to experience a successful rebound. These things don’t seem to happen due to lack of creativity or artistic capability, as these ladies remain legendary in this space.

It appears to me that it is because they were never able to step away from the belief that in order to be truly creative, to honor their craft, they couldn’t take the time to become well versed in the matters of their own business. And perhaps like many artists, they were unable to comfortably determine the value of their talent and demand that thing their affairs be handled a certain way and they be compensated in alignment with their talent.

While this is the case for some, there are others who seem to be very clear on what their talent and abilities are worth and have amassed a significant amount of wealth. Each year Forbes magazine publishes the The Forbes Five: Hip Hop’s Wealthiest Artists and the new list for 2012 has been released. With incomes reaching into the millions, these artists have been able to maintain their creative integrity, fuel the fire for other artists and turn their passion into an empire. So what makes these artists different? Why do some find it much easier than others to fire their passion while filling their bank accounts? It seems to come down to the ability to see art as a business and not as a hobby or a sacred calling that prevents the artist from being fully engaged in the both the creative and business aspects. Also, when an artist can unashamedly place a value on their work, this goes along way in helping them command when being hired, booked or commissioned.

While this is not a road paved with gold or an easy path, artists who are able to take matters into their own hands are also often able to find a creative freedom only available when they also take control of their business. Recently, R & B singer, K’Jon discussed with Singersroom his departure from his label in favor of becoming an independent artist for this very reason. Often, when artists are signed to a label or outside management that do not share their creative vision, the artist can find themselves unable to produce the art their way and must follow the requirements the label indicates. This can be detrimental both to the artist’s creativity, but also to their business because the artist can lose their passion and find themselves unable to create under such restrictions.

If artists can begin to look at their art with a safe duality, where they can honor their passion, but also make a living, perhaps they could begin to see their true value in the world and do away with the vow of the starving artist.

Just my thoughts, I look forward to hearing yours. Until then, do you and creatively mind your business.

Interview with Rahmier Dailey - Choreographer

noreply@blogger.com (Lorien Rochelle) — Thu, 29 Mar 2012 03:42:00 +0000

Interview with Rahmier Dailey - Choreographer

** Choreographer as Project Manager

It was such a pleasure to grab a few moments with one of my favorite local choreographers Rahmier Dailey. He’s been performing for many years, even though he’s still very young and has such a long career ahead of him. He was gracious enough to chat with me about his work as a choreographer and how similar that work is to project management. For more information about Rahmier and his work, check out his Facebook page here. Our lovely conversation went something like this:

LT: How long have you been a choreographer and when was your first project?

RD: My first project was in 2008 and it was for a dance program in high school. Seniors are asked to choreograph a piece, but no one really volunteered, so I became an “accidental choreographer” because the faculty needed another piece so I stepped up. I had three different pieces to choose from and they opted for my jazz character piece.

LT: How was that experience for you? What did you learn from it?

RD: At the time I was so nervous because I was shy and didn’t know how to communicate clearly what I needed people to do. Looking back, because I didn’t take control and manage it according to my vision, I’m actually unhappy with the piece. To say the least, I lost control of that project and while the outcome was good I learned a valuable lesson in how to better manage my work.

LT: Since then how many pieces have you choreographed?

RD: In addition to choreographing for schools and cheerleader teams, I also work with a number of artists so the number is somewhere around 20 pieces.

LT: How do you get clients?

RD: All the clients come to me through referral, so I have been blessed not to market myself as yet, but that’s something I will do at some point.

LT: So let’s talk about the process. Who provides the vision?

RD: When working with artists, the artists provide the vision. You have to sit down and communicate with them and go through the music track list, drill down into their vision and then bring that to life. With dance companies and cheer teams, often it’s my vision and so these are distinctly different approaches.

LT: How do you manage the process?

RD: Overall I’m responsible for bring the artists vision to fruition, but you have to manage the dancers, from the point of audition to completion I am managing the blueprint. I am managing the actual choreography; actual talent, staging and wardrobe. I’m also responsible for holding the artist meetings then with staff like lighting techs, venue management, artist management and also dancers.

Artist management first

Over the course of the project I will continually meet with the artist and management throughout the process to ensure their vision is being executed and brought to life. Meeting with the dancers is like tearing off bandages because you’re dealing with a lot of personalities and different levels of talent so it can be difficult but that’s why we must meet on a regular basis.

LT: That sounds intense. So who handles payment and rate negotiation?

RD: In my case, I have a manager who handles my contract negotiations and it’s important for us to get paid for our craft. I have a set rate, but I am flexible based on the budget of the artist or event. With cheer teams, it’s based on a salary so once I’m secured; I am paid based on that. With schools, I also offer a flat rate but that process is six months long. For example, I’m there sixth months before the show to start the process and stay in touch with the teacher and then I don’t return until three months later to finish, clean and work with staging and lighting, etc.

Additionally, sometimes I’m responsible often for making sure that talent is paid, meals are provided.

LT: What’s on the horizon for you?

RD: I’m moving in the direction from behind the scenes and I’m signing to an up and coming Management Company and starting a pop group, so Atlanta should be on the lookout for us releasing something soon.

LT: Sounds like great things are coming for you and I’m super excited about what the future holds. I know it will be bright. Thanks for taking time for me today and I’m looking forward to continuing to work with you.

RD: Ditto and thanks for talking to me.

noreply@blogger.com (Lorien Rochelle) — Mon, 05 Mar 2012 00:13:00 +0000

In 6ixth Position will allow me the opportunity to share my thoughts from the centre on how artists can better mind their business. We often get so engrossed in pursuit of the next gig that we forget the fine art of minding our business as well, which is equally important. We have to remember that part of living the dream is also taking care of ourselves from a business perspective...and I'm here to help.

We have to remember that while most of us pursue our art as passion, we are also in the business of being respected and getting paid for our talents. In some cases, there are some artists that find themselves working for free for a long time either because they don't know how to put a dollar value on their talent or they lack the ability to negotiate an appropriate rate.

Some of this occurs also because non-creative people don't always understand how to communicate with us creative souls and we tend to make them a bit crazy. In an article written by Liz Strauss, titled 10 Reasons Creative Folks Make Us Crazy, she outlines some of the qualities that most of us creatives embody and really puts it into very non-creative terminology. This article demonstrates the clear distinction society makes between how creatives vs. non-creatives operate in the world. My goal is to help coach and guide creatives to develop their businesses and be successful using their creativity, not forsaking it.

Recently, I came across another creative spirit engaged in similar work and I'll need to research deeper, but I am uber intrigued to see how his work develops. It's titled An Artist's Business Guide, and it's goal is to assist artists in developing their businesses. I'll dig a little deeper and get back to you with my thoughts...

Until then do you and creatively mind your business.

Lorien