What's most insane about this "explanation"? That it's been up since 2003? That it would be posted at all? The number of "facts" or "givens" casually woven into a totally illogical and crazy idea? The threadbare idea that all the money spent on behalf of a CD is NECESSARY?
Try, for starters, the below passage, the ending of which refers to its beginning. Suggested translation: After a record company spends a whole lot of money that will quite possibly have no affect on the sales of an artist's CD, the artist has to hit the road hard and make actual keepable money, because any and all royalties earned by his or her CD from now until about 2010 will go straight to the label, who will be recouping money spent 'promoting' the artist. The label will see this tour not as the artist's chance to earn but as yet more promotion to help sell CDs and pay for the first round of promotion.
"Then come marketing and promotion costs -- perhaps the most expensive part of the music business today. They include increasingly expensive video clips, public relations, tour support, marketing campaigns, and promotion to get the songs played on the radio. For example, when you hear a song played on the radio -- that didn’t just happen! Labels make investments in artists by paying for both the production and the promotion of the album, and promotion is very expensive. New technology such as the Internet offers new ways for artists to reach music fans, but it still requires that some entity, whether it is a traditional label or another kind of company, market and promote that artist so that fans are aware of new releases.
For every album released in a given year, a marketing strategy was developed to make that album stand out among the other releases that hit the market that year. Art must be designed for the CD box, and promotional materials (posters, store displays and music videos) developed and produced. For many artists, a costly concert tour is essential to promote their recordings."Posted by Sasha at October 4, 2005 04:26 PM | TrackBack