La delicada situación del servicio de música Grooveshark

La plataforma social para escuchar música en la nubeGrooveshark acaba de perder al sello discográfico más importante con el que tenía un acuerdo. EMI ha roto el contrato con el servicio alegando que éste ha incumplido sus obligaciones financieras. Este no es el único lío que tiene con grandes distribuidoras, ya queUniversal, Sony Music y Warner Music lo han demandado por infracción de copyright.

EMI es uno de los grandes sellos discográficos a nivel mundial, entre otros derechos tiene los de grupos populares como The Beatles o Coldplay. La ruptura del contrato supone para Grooveshark la pérdida de la que era la única gran distribuidora -considerada como entre las llamadas ‘mayor’ de la industria – con la que tenía un acuerdo.


La plataforma social para escuchar música en la nubeGrooveshark acaba de perder al sello discográfico más importante con el que tenía un acuerdo. EMI ha roto el contrato con el servicio alegando que éste ha incumplido sus obligaciones financieras. Este no es el único lío que tiene con grandes distribuidoras, ya que Universal, Sony Music y Warner Music lo han demandado por infracción de copyright.

EMI es uno de los grandes sellos discográficos a nivel mundial, entre otros derechos tiene los de grupos populares como The Beatles o Coldplay. La ruptura del contrato supone para Grooveshark la pérdida de la que era la única gran distribuidora – considerada como entre las llamadas ‘mayor’ de la industria – con la que tenía un acuerdo. Continuar leyendo «La delicada situación del servicio de música Grooveshark»

The Value Proposition in Business Models

… Topspin’s CEO, Ian Rogers, penned an open letter to Guy Hands, the head of (struggling) EMI, suggesting that rather than think of itself as a “record label” focused on promotion and distribution (two things that are easier and cheaper than ever before), it could instead focus on being the smart filter for music listeners today, struggling to find the music they love amidst so much musical abundance in the world. The suggestion was to take some of the key, iconic, bands under the EMI roof, and put them under affinity-based “mini-labels” with other less well known bands, that would appeal to people who liked the more well known band. It seemed like a great idea, which, of course, EMI has not done.

Here again, the value is created through filtering. And as with the Ferrari Market Newsletter, this model would then try to aggregate all of the bands that relate to each other in a specific way. This is a model that has worked very effectively for many years for Dischord Records – and like Masnick I think it has great potential.

Creating a novel value proposition is an essential part of generating an effective business model. There are great opportunities to do this in creative ways. If you focus on aggregating, filtering and connecting, you can build a good information-based value proposition.


This post was written by Tim

Anders Sundelin wrote a post earlier this week about the evolution of the business model concept. He does a great job of showing the various ways in which this idea has been operationalized – it’s still surprisingly fuzzy. For the state of the art thinking on business model innovation, a special issue of Long Range Planning has twenty articles on the topic (all free to download through September).

One element that is consistent across nearly all of the different ways of thinking about business models is that of the Value Proposition. A central part of building a successful business model is creating value for your customers. Innovation plays a role here in two ways: first, innovation is the process of executing new ideas to create value, so it is a central part of any new value proposition; second, we can innovate in the way that we create value, not just in the products, services or know-how that we offer.

In order to innovate the way we create value, it makes sense to look at how we create value from information. In general, we do this by aggregating, filtering and connecting. This works for big firms like Amazon, and smaller firms like O’Reilly Publishing.

I ran across two more examples of how this can work for smaller firms this week. The first comes from Seth Godin’s description of Gerald Roush and his Ferrari Market Newsletter. Here is the description of the newsletter:

The newsletter, it appears, was not just lucrative, it was a bargain. It chronicled the pricing, whereabouts and details of just about every Ferrari ever made. If you were a buyer or a seller, you subscribed. If you wanted to run an ad, you were required to include the car’s VIN, which added to Roush’s voluminous database.

The Roush effect involves extraordinary domain knowledge, a market small enough to understand and diligently earning the role of data middleman. The players in the market want there to be one clearinghouse, one authority who can connect the data, see the trends and publish the conventional wisdom. Continuar leyendo «The Value Proposition in Business Models»

Are Brands and Agencies The New A&Rs?


Author Richie Cruz March
Much has been written about the music industry’s historic decline over the greater part of the last decade.

As the primary distribution mechanism has shifted from discs to digital, consumers’ discovery process has followed suit, evolving from the “new release” rack of their local record store to the link collection at their favorite music blog.

What many accounts of the struggling music industry fail to mention, however, is that the music industry’s ultra-fragmented, content-overloaded state has created an opportunity for brands to become involved as never before. The record label’s and record store’s historical position as middlemen between consumers and content is dwindling, leaving a vacuum that is rapidly being filled by blogs, publications and the savviest of brands.

Demand is at an all-time high, but the “means to consumption” have changed, says Roger Faxon, head of EMI Publishing, in his recent interview with The Economist. There are new free-and-subscription-based streaming services setting up shop every day, sustained and fueled by the rabid demands of consumers for more and better content.  The result has been the disintermediation of content – consumers no longer care where good content comes from, as long as it’s both convenient and good.

Do marketers and brands need to become A&Rs? Continuar leyendo «Are Brands and Agencies The New A&Rs?»

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