M O N E T I Z I N G T H E M U S I C E X P E R I E N C E

E L I S A B E T TA S C H I A T T I

!A summary of the article posted on my music business blog: lisadubh.tumblr.com

– J . D I C K I N S , A D E L E ’ S M A N A G E R

“Streaming's the future, whether people like it or not”

– TAY L O R S W I F T

– E D S H E E R A N

– B O N O

“Payments don’t add up to replacement for income from physical or digital sales at

the moment - but I think they can if everyone sits down – record companies,

artists and digital services - to figure out a fairer way of doing business”

I don’t think music streaming services

appropriately value my art I owe the career to Spotify

©2014-2015 AlwaysSmileForMe ©2013-2015 ISheeran

I S W O R T H T H E B U S I N E S S ?

39% Streaming services gain adoption, but net margin isn’t yet positive. The services are heavily investing in global expansion, marketing and product development. Plus royalties.

global music revenues

digital is

source: IFPI, Digital Music Report 2014, revenues for 2013 source: statista.com

A C T I O N S F O R T H E E V O L U T I O N O F S T R E A M I N G

• Meet people music consumption with different level of pricing (see Mark Mulligan)

• Find royalties agreements

• Design the service to create real value for people around the whole music experience

A S H I F T I N T H E S E R V I C E

from streaming service TO holistic music experience

one place to listen, to buy merchandise, to socialise with people with similar music taste, to get updated with artists, to buy concert tickets, to recognise music captured in the physical world, to read lyrics, to ask for gigs, to get specialised articles and reviews, to watch video…

1

O N E F U L LY I N T E G R AT E D A N D T R A N S PA R E N T E X P E R I E N C E

A S H I F T I N T H E S E R V I C E

from a personal streaming service with a flavour of friends TO a music social media

one place to discover people with similar tastes, to socialise with fans, to plan and meet people for concerts, to talk with friends about the music discovery, to storytelling the live experience, to attend artists special in app session, to interact with artists, to share music stories, to get influenced by the aggregated feed of artists and friends…

2

M U S I C I S S O C I A L , L E T ’ S E X P E R I E N C E S O M E T H I N G M O R E T H A N A D I G I TA L J U K E - B O X

A S H I F T I N T H E R O L E

from content aggregator TO aggregator and music label

big data get the insights to discover trends and niches. Those can become the engine to help, grown and promote artists to find the right audience. Label royalties would be invested for the development of new talents and the production of new music.

U N D E R S TA N D I N G D ATA I S P O W E R , A N D I T L O W E R S T H E R I S K O F I N V E S T I N G

T H E W H Y

• Royalties becomes assets, not costs

• Social interaction increases engagement, loyalty and user experience - without increasing royalties payments

• Revenues from other transactions (merch, tickets, virtual gigs, D2F activities…)

• Value for artist and their art

E L I S A B E T TA S C H I AT T I

UX & Service Designer

Find me here schiatti.elisabetta@gmail.com tumblr: lisadubh.tumblr.com twitter: lisa_dubh

I Love Music, the Music Industry

and Live shows. this is the right moment to design music

business with the service, the experience

and the people in mind.