Democratization of the Music Industry: Success Is Not Guaranteed

AThe ease with which artists can reach their target audience directly, without the need for intermediaries, is reshaping the musical landscape. Proof of this is that the independent music market continues on a significant growth curve for the fourth consecutive year, according to analysis by the British Phonographic Industry (BPI). Record labels that used to release all the Billboard hits and top charts, such as Universal Music, Sony Music, Elektra Records and Atlantic Records, now share space with musicians such as Lily Allen, Luan Santana and bands such as Arctic Monkeys and Calypso, who show other possible paths for achieve public attention.This change in the dynamics of the music industry is attributed to the growing presence of social media.

One of these new artists who found space for promotion away from record companies is Orlando Miotto, vocalist and guitarist of the band Astrônico, who from Ribeirão Preto manages to promote his work all over the world. “Social media is the main means of promotion for independent artists, where we can connect directly with the public and share our music.” For the artist, another drastic change in the music industry is streaming platforms. “It’s as if music has traded its CDs for millions of headphones around the world.”

Professor Marcos Vinícius Miranda dos Santos, from the Department of Music at the Faculty of Philosophy, Sciences and Letters at USP in Ribeirão Preto, explains this revolution. “The physical market, like CDs and DVDs, has practically disappeared. Today, some younger artists are even releasing LPs, embracing a more retro approach that appeals to collectors. However, the digital platform has democratized access to music production. You no longer need a big studio or record label to reach the masses with your work.”

The digital transformation of the music industry has brought with it the exponential growth of streaming platforms, such as Spotify, Apple Music and Amazon Music. According to recent reports from the International Federation of the Phonographic Industry (IFPI), the global music streaming market grew by an impressive 7.4% in 2021. These platforms offer instant access to a vast catalog of music from independent and established artists, democratizing music consumption like never before.

Although social media and streaming platforms have given artists unprecedented freedom, the picture is not entirely rosy. Santos notes: “Digital platforms, as well as services like Uber, exploit end-workers while keeping a substantial portion of the profits for themselves. This migration from major record labels to major streaming platforms also resulted in minimal payments to artists and music professionals.”

According to the Recording Industry Association of America (RIAA), in 2022, streaming represented 87% of revenues in the United States music industry, reaching US$25.9 billion. However, the uneven distribution of these gains is a concern. Most independent artists face significant financial challenges, with a considerable portion of revenue still going to record labels and the streaming platforms themselves.

This raises questions about economic sustainability for independent artists, who often rely on touring and even other sources of income to supplement their income. Research from MIDiA Research in 2021 suggests that, on average, independent artists earn around $0.003 to $0.005 per song play on streaming platforms, meaning they need millions of streams to make an income. substantial. So while independence offers creative freedom, the financial challenge remains.

Challenges of the Digital Age

Miotto identifies two significant challenges for independent artists in the digital age. Firstly, the vast sea of ​​content and information available on the internet makes it difficult to stand out and attract the attention of your target audience. Secondly, independent artists are now burdened with multiple roles, including promoting their work, or tasks often completely different from their original occupation as artists.

This shift in focus can be overwhelming and ultimately harm the quality of your musical creation. Many independent artists find themselves torn between the pursuit of artistic excellence and the constant demands of promoting and managing their careers. Data from the Independent Music Companies Association (IMPALA) shows that most independent artists spend around 20% to 30% of their time on promotion and administration tasks, time that could be dedicated to creation.

Faced with these challenges, Orlando Miotto highlights the importance of specialized advice for independent artists. This guidance not only helps navigate the complex aspects of career promotion and management, but also allows artists to focus on their true passion: creating music. In this scenario, consultancy professionals play a crucial role in alleviating some of the administrative burden and allowing artists to explore their full creative potential.

For the professor, USP has played a fundamental role in training future artists to face the challenges of the constantly evolving music industry. “Our students are diversifying their careers, from classical music and orchestras to holding events and teaching classes. Some are even composing for series on Netflix. We encourage our students to explore all the possibilities and paths available”, concludes Santos.