Haley Mailloux and Skip Spoerke

COM 310-06528

Due: March 22, 2016

Social Engagement and Changing Fan Expectations for Musicians

The purpose of this report is to describe how social media is used by independent musicians

(musicians without record label contracts) to meet the changing social expectations of music

fans. This report analyzes the top three social media platforms published by Pew Research

Center in 2015, three independent bands currently using the top social media platforms, and the

music industry business model. The assumption of this report is that social media helps develop

and sustain the careers of independent musicians while the changing fan expectations continue

to cripple record labels.

Key Findings

Social media benefits musicians by allowing them to develop and nurture “true fan” relationships

through personal engagement. According to Kevin Kelly of Wired magazine, a career in music

requires 1,000 true fans. The idea is that each true fan will spend $100 per year on the

musician’s merchandise and music, providing an annual revenue of $100,000 for that musician.

Twenty years ago, personally connecting with famous musicians was impossible for most fans.

Social media changed the industry to benefit the fan by encouraging personal communication

between musician and fan. Bobby Owsinski—author of Music 4.0—suggests using social media

to provide behind-the-scenes stories, personal interviews, specific details about each project,

and anything else that might make fans feel connected to the music and musician.

A few popular social media platforms currently used by musicians include Facebook, Instagram,

Twitter, YouTube, and SoundCloud. Musicians use these platforms to develop and nurture

relationships with fans and industry professionals, promote live and recorded music and target

new audiences.

The top three social media platforms identified in 2015 by Pew Research Center include

Facebook, Instagram, and Twitter. Facebook is the social media leader for engagement with

70% of its adult users logging in daily. Adult users on Instagram with daily logins is at 59%, and

Twitter is at 38%.

Facebook

Statista reports that Facebook had 1.59 billion active users around the world in January 2015,

approximately 90% of whom were mobile users. It is expected that Facebook's user base will

continue to grow over the next few years.

Independent musicians have been using Facebook to promote their music and connect with

fans since the platform opened to the public in 2006. The folk band Fleet Foxes from Seattle,

Washington—although on hiatus since 2012—has been on Facebook since 2008 and has more

than 1 million fans on the social media platform.

Between 2008 and 2011, Fleet Foxes successfully used Facebook to promote tours, albums,

and engage fans. Members of the band have continued to use the Facebook page to connect

with fans since 2012.

Instagram

Globally, Instagram had more than 400 million active users by September 2015, according to

Statista. Currently holding a 28% penetration rate, it is expected that the United States will

exceed 106 million Instagram users in 2018.

Instagram launched in 2010. Its popularity among musicians and music fans, however, was not

instant. Perpetual Groove—a popular independent band from Athens, Georgia—had thousands

of true fans before 2010, yet waited until the middle of 2012 before joining Instagram.

Perpetual Groove has 3,525 followers on Instagram today, which pales in comparison to the

band’s Facebook page that has nearly 50,000 followers. Custom hashtags, like #pgroove and

#perpnation unite fans across Instagram, while common hashtags increase engagement and

attract new audiences, like #tickets and #repost.

Twitter

Statista indicated that Twitter, with a global user base of 305 million at the end of 2015, has

recently lost some of its younger demographic market share to Instagram. Twitter has recently

proven to be most used by Millennials during live events, like TV shows, athletic games, and

music concerts.

Musicians first started using Twitter immediately after it was founded in 2006 as an advertising

platform for music and upcoming shows. In January 2016, pop icon Katy Perry was

acknowledged by Statista as the most popular celebrity on Twitter with more than 80 million

followers.

As December Falls is a young pop punk band from Nottingham, United Kingdom, which has

been using Twitter to connect with fans since forming in 2014. The band has nearly 80,000

followers and engages fans every day on Twitter.

Music Industry Impact

According to Peter Spellman—author of the Self-Promoting Musician—consumer music

discovery has shifted from radio and TV to social media, and each year there are fewer

consumers purchasing music. Simply stated, brick and mortar retail distribution, radio, and TV

services are no longer necessary for musicians.

There are numerous career fields in the music industry that have prospered in recent years. For

example, study.com reports that music publicists should expect a 12% job growth from 2012 to

2022. Music managers should expect a 10% job growth from 2012 to 2022. Musicians should

also expect to experience job growth from 2012 to 2022, but only of 5%.

Related career fields have also undergone some changes over the past few years and will

continue experiencing changes due, in part, to meeting the needs of the modern music industry.

The U.S. Bureau of Labor Statistics reports, for example, that web developers will experience a

26.6% job growth between 2014 and 2024. Marketing specialists are expected to see job growth

of 18.6% between 2014 and 2024. Even audiologists are expected to see job growth of 28.6%

between 2014 and 2024.

Music Industry Changes

Fleet Foxes, Perpetual Groove, and As December Falls represent independent artists from

around the world. These bands leverage consistency and personalization to drive engagement

successfully and connect with fans.

Musicians who are signed to one of the remaining three major record labels—Sony Music

Entertainment, Universal Music Group, and Warner Music Group—typically have teams of

publicists and managers who control social media accounts for the artists. Independent

musicians manage social media accounts for themselves.

In his book titled Tribes, marketing leader Seth Godin describes the development and

importance of tribes—supporters who protect brands, people, and services. Tribes find

satisfaction by engaging people, not brands. For that reason, tribes often work for unbranded

independent musicians and against branded musicians of major record labels.

Social media may not be solely responsible for changes to the music industry; however,

changes in the industry have been greatly influenced by fans leveraging social media. Fan

expectations for consistency, engagement, and personalization have changed. Because

independent musicians have retained control of their careers and can make quick decisions,

changes to fan expectations have crippled several record labels.

Music Dangers

Because social media often encourages sharing of concert videos and photos, live music

venues continue to decline in numbers around the world. Music fans are more likely to stay

home and watch a live or recorded performance than barhop in search of good music. The

solution is to provide music fans a reason to attend live shows, which requires maximizing the

perceived value of live music venues.

Music publicists and promoters face rising concerns from fans expecting musicians to be visible

and reachable. The sustainability of careers that directly support musicians will soon be in

jeopardy. The solution requires a balance of responsibilities that satisfies fans, musicians, and

direct support personnel.

Record labels have been forced to change how they conduct business—transitioning from

physical album sales to licensing digital music to streaming services, like Spotify and YouTube.

Such changes have eliminated numerous careers while only creating a few new careers. As

more changes are introduced, it is expected that record labels will continue thinning manpower.

The solution is to recreate the original purpose of record label careers to increase value to the

musicians, such as Artist and Repertoire careers that no longer nurture the professional

development of musicians.

The commercial radio industry has been in trouble for several years due to budget and licensing

restrictions. Unless more licensing freedom is given to individual radio stations, few will survive

beyond the next few years. Commercial radio is losing artists as record labels merge and

collapse, which is causing fans to lose interest in radio. The solution is to allow commercial

radio stations to work with local musicians to air new music and reconnect with its audience.

Recommendations

Social media has contributed to a permanently altered music industry. It appears that

independent musicians are at an advantage in the modern music industry. All industry

professionals need to embrace change, however, and work together to meet the new

expectations of fans. Fighting the fans will never work in the industry’s favor; using social media

to listen to music fans will work in the industry’s favor.

Independent musicians are experiencing how meeting fan expectations can help develop and

sustain healthy careers in music. Independent musicians are still limited by growth

opportunities, however, and that is proving to harm the entire industry. It is time for the industry

to work together and create solutions that satisfy the fans first and the musicians second,

without concern for industry nostalgia.