What I would not bet against is the internet and the expectation, which an entire generation has now been raised with, that all the music is on YouTube. Where is Zune? I think there are many places in the whole music industry, in all aspects of it, that are struggling. Its something that you already briefly mentioned, which is that people are developing their own audiences before they ever go to a label and sign a deal. The industry crashed out because of piracy. The vast majority of Spotifys revenue goes to rights-holders, and yes, rights-holders are a stand-in mostly for labels. Notified fans will receive their individual invite to submit their purchase request prior to Friday, December 23. There are no founder-friendly music labels out there. You said at the beginning here that streaming feels like its on the rocks. I think every artist has always thought that their label takes too much money. "Its a function of Taylor Swift. Taylor Swift performs on stage during her "Reputation" stadium tour at Wembley Stadium in London on June 23, 2018. According to Billboard, Ticketmaster still has 170,000 remaining tickets for the Eras tour and the company is gearing up to sell them to the lucky fans who previously received emails in the next four weeks. Touring is certainly doing really well for her. The demand "could have filled 900 stadiums," he said. I want it in bigger places. Streaming is currently very much still a part of that. But that share of the 100,000 songs a day that are being uploaded to Spotify from artists that are just getting going, I think a lot of those might actually never even come close to collecting $20. The company did not say whether more tickets would be sold for the tour at a later date. So, in this episode, Charlie and I walk through a brief history of the music business which, despite its ever-changing business models, is permanently trying to find something to sell you for $20, whether thats the music itself, all-access streaming, merch, and even NFTs using Taylor Swift as a case study. The one place of hope that I see is that the value of most digital products at this moment, the NFTs, has declined so much. And while the inquiry is said to predate the Eras tour disaster, the situation further exacerbated complaints from fans, musicians and politicians alike. There are all kinds of new ways to participate. Charlie, this was great. But instead and this is us coming to the next era all of that revenue went to zero. You see why theres interest there. So I think something could happen there. And maybe more importantly, to try and figure out if the music industry can sustain and support artists who are not Taylor Swift because streaming all by itself definitely cannot. I also think the mathematics of the model get really weird once youre talking about share of listening on a global basis. We know were going to get a proportion of that. They keep trying to get somewhere else. There is no shortage of other people that have done so. The company said the cancelation was triggered by unprecedented demand, with more than 3.5 million people pre-registered to get an access code for purchasing tickets. The master recording represents the largest majority of the revenue in streaming, as it did in the physical goods era as well. Look, I recognize that it is beautifully made music. The era of the unknown, unsigned person who has not been on social media being discovered by a major label is over, unless youre a famous person or nepo baby. Theyre not a music company anymore. Tennessee Attorney General Jonathan Skrmettivowed to investigate Ticketmasterafter his office was flooded with messages fromirate concert hopefuls. But yes, its just another place where the economics are not in the favor at all of the people producing the material. As I said, if youre the rights-holder, if youre the label or if you own the master recording, there is a lot of money to be made. You still have the music on streaming, but she also has a tour that everybody is dying to see. We know that we own over 70 percent of all the listening that happens on Spotify. From the labels perspective, they can predict what kind of money theyre going to hopefully bring in each quarter. Taylor Swifts recently released Midnights album crashed Spotify and other streaming services shortly after the album's October release. (Gareth Cattermole/TAS18/Getty Images for TAS / Getty Images), A Live Nation shareholder claimed 14 million people attempted to purchase Taylor Swift presale tickets on Tuesday ahead of the pop star's "The Eras Tour.". As we go through this chronology from the CD era until now, that is the inversion that Taylor Swift and every other artist has had to either navigate through or get destroyed by. It used to be that you sold the music, and all the other stuff was just promotion for the music as this thing you sold. "I Waited 5+ Hours In The Ticketmaster Queue": Teen Is Accused Of Ruining Wedding After She Refused To Give Her Ticket To Taylor Swift's Concert To The Bride . In her case, she doesnt have any ability to do so because it is owned by a financial family fund that doesnt want to give it to her. Ringtones was one of them.. Certainly, BTS fans are really upset that Ticketmaster is getting an antitrust look at this moment from Taylor Swift sales when they have been complaining about the same issues for many years. Shes currently re-releasing all of her old albums. Taylor Swift is speaking out amid the controversy surrounding Ticketmaster's handling of her upcoming "Eras" tour. Its not that the music is worth nothing, its that most people are being compensated very poorly and have a barrage of bad contracts that they have not had any say in, whether those are the contracts that were signed between the majors and the streamers or the contract that they signed with their label. If were at this moment in a 20-year cycle where everyone is unhappy with how this model is working, outside of probably the labels, then there is opportunity for someone to do something very creative and disruptive. It grew to be the whole market. As an old-school punk rock guy, there is a part of me that deeply vibes with his ability to be subversive, and it transcends the fact that he broke out on TikTok. On Nov. 18, Swift spoke out about the fiasco in a message to her fans via her Instagram Story. I mean, it is important to note that the entire music catalog is not available. By suppliers, you mean the musicians themselves? Charlie, this was amazing. Taylor Swift fans sue . Yeah, I mean Metallica was also unhappy at the time, but they didnt have the same amount of clout. "We had 14 million people hit the site including bots, another story, which are not supposed to be there and despite all the challenges and the breakdowns, we did sell over 2 million tickets that day.". In 2014 to 2017, this was kind of the height of Taylors fight with the streamers. What do you think of it? Her action has been to say, Well, Im just going to re-record all my music, and hopefully my fans will listen to my version versus the version that I dont own.. Then she was like, I have a new record, but if you want to listen to it, you have to pay for it.. Music broadly has two big licenses. "UM. "I love music, and I love live music even more. She got into a fight about Apple Music, but now shes one of the faces of Apple Music. I have to say, Im not following it too closely because its such a complex ecosystem. Her albums Fearless and Speak Now came out in this time of big disruption, with early streaming and people still buying records. . Fans are also quite unhappy with a lot of these ticketing issues as well, obviously. FAQ - New Privacy Policy, Check out what's clicking on FoxBusiness.com. Honestly, the only one that I would put money on right now is Lil Nas X. The way you make more money is often either by getting your stuff to more people or by being some middleman who gets a better, stronger contract. So yeah. If the point of the big streaming inversion was, Were going to move the $20 transaction from you paying for the song to you paying for the experience, that to me is yet more evidence that this thing is on a precipice. I dont want to deny that it could come from that ecosystem. So much information is not accessible. Also unusual, because a lot of her peers that go off and make money do so primarily through means outside of music by starting fashion lines, restaurant chains, or whatever it might be. That is not at all how it works. Did you get your tickets yet? Like everybody else, she has all those things, but she leans the hardest into music. This is what I keep coming back to. From the listeners and the artists point of view, its like, What? She has not yet had to make that turn, but the midline artist is desperate for the next thing they can sell. A lot of her actions have helped on the margins. Politicians even got involved, with House Rep. Alexandria Ocasio-Cortez tweeting that Ticketmaster has become a "monopoly" after its merger with Live Nation and that "they need to be reigned in.". I was joking when we were doing our prep for the show that I have been trying to escape Fleetwood Mac since I was a teenager, and they just wont go away. I mean, you cant take that away. Invitations will be staggered by tour dates in each city. "I never could have imagined how insane this whole process has been," one of Swift's fans, Amber Garis, told CBS Mornings. They already have leverage. Listeners, on the other hand, were very pleased because they got everything all the time. The last thing I want is the Fleetwood Mac army coming for me. I love having you on the show. Per the release, ticket prices ranged from $49 to $449, with VIP packages going for $199 up to $899. Especially smaller artists that cant front the money for a huge spectacular stage show. I could probably name a bunch of 90s bands here, but I think were already at risk with the Taylor Swift fans. They got everything for free. He is a master of the platforms, and he makes compelling and well-produced content. Thank you for wanting to be there. Swift hastwo shows scheduled in Pittsburghfor June 16 and June 17. There are still lots of experiments out there, but it seems like it might have been a little blip in the pan when everyone was bored at their house during the worst parts of lockdown. In a previous statement, Ticketmaster said more than 3.5 million people pre-registered for verified fan, the largest registration in the companys history. From a listener point of view, no wonder we were unhappy. A few hours after the sale's planned start time, Ticketmaster tweeted that the issues were due to "historically unprecedented demand" and announced it was pushing back the start times for some West Coast venues. If you want to listen to the most popular songs from the 30s and 40s something that I have to do in my job oftentimes the only place to find them is from vinyl collectors who are on YouTube, to your point, and have uploaded themselves playing the vinyl. Thats to get you all the way down to, Okay, now Im just handing you $20 again. Or in the case of Taylor Swift, $6,000 for a ticket for a floor seat or whatever. November 18, 2022 / 1:42 PM I love talking about the business of music with you, even though I just want it to be guitar solos. Sign up for Verge Deals to get deals on products we've tested sent to your inbox daily. Maybe I dont know myself. Maybe its because there are so many different people on the team using it or something, but no, its way off. Shes saying, Heres Speak Now (Taylors Version), off we go, and now her fans have instant access. No tickets and a card I cant use.. Mutual Fund and ETF data provided byRefinitiv Lipper. She said she's "trying to figure out how the situation can be improved moving forward. Its very possible that someone might need this company because with music, to your point, you cant bet against the internet. Shes in her contract negotiations with Universal, and made sure that part of Universals ownership with Spotify will eventually distribute out to artists if they were to sell it. (Matt Winkelmeyer/TAS18/Getty Images for TAS / Getty Images). "If Chick Fil A was in charge of the Ticketmaster queue I would've had Taylor Swift tickets within MINUTES just saying," a Twitter user wrote. Its simple, it makes sense, its great for indie artists who are often devalued, and its great for fandoms to make sure that their money is really going to the people that theyre listening to. What Im getting at is that the marketing funnel is really hard. Taylor Swift Finally Addressed the Ticketmaster Debacle. She was the product of a Nashville system and she did not have a built-in fan base when she released her first record. 2022 CBS Interactive Inc. All Rights Reserved. So, critically, Spotify is just deeply linked to the major labels. TikTok is profound, and it has very meaningfully shifted what is happening in music. Theyre like, Great, we know that revenues are growing. In their suit, Swifties claim Ticketmaster tacitly encourages scalpers because the company gets paid fees every time tickets are resold. Spotify is one of the only major music streaming platforms not owned by a big tech company, and people want them to disentangle their revenues and their costs in a way that could sink the business a business which already doesnt make money. Certainly, the most successful are the K-pop groups. The talent scouts whose job it is to go and find new talent are surfing TikTok. That is ultimately the place where youre most likely to be making your money. "I'm not going to make excuses for anyone because we asked them, multiple times, if they could handle this kind of demand and we were assured they could. Please enter valid email address to continue. They want to exit or they actually believe in this system and think that those revenues in the future are going to be very valuable. ", Swift concluded her note with a sign-off to her fans who weren't able to get tickets: "All I can say is that my hope is to provide more opportunities for us to all get together and sing these songs. On Instagram Friday, she posted news of the lawsuit filing with the caption: Look What You Made Me Do. In a message to The Post, Barfuss explained her participation in the suit. If you go back and listen to other Decoder conversations, like the one we had with Steve Boom from Amazon Music, its shocking to me how over and over again music itself is undervalued. And the U.S. Senate subcommittee that handles antitrust and consumer rights matters revealed it plans to hold a hearing to discuss concerns about Ticketmaster in the wake of the Eras errors. Li Cohen is a social media producer and trending reporter for CBS News, focusing on social justice issues. All rights reserved. This is how theyre going to bring all of their money in. Everything has just become more expensive in our world with inflation. Listen to Decoder, a show hosted by The Verges Nilay Patel about big ideas and other problems. There are no artists making billions of dollars through streaming as far as Im aware, but that said, there is certainly money to be made. It's really difficult for me to trust an outside entity with these relationships and loyalties, and excruciating for me to just watch mistakes happen with no recourse.". Apples basically saying, Listen, in order to launch a streaming service, we need a ton of users. Your job is to go make a ton of bets and hope that one of those will fund all of the bets that fail, and that it does so extremely well and makes you a lot of money. ", "Last week, the competition problem in ticketing markets was made painfully obvious when Ticketmaster's website failed hundreds of thousands of fans hoping to purchase concert tickets," said Klobuchar in a statement, citing how the "high fees, site disruptions and cancellations" customers were faced with showed that Ticketmaster "does not face any pressure to continually innovate and improve. Its just like, Youre going to have to deal with it.. Taylor Swift is known for planting Easter eggs and all the visuals match up in interesting ways, but in the world of K-pop, there are concepts and character arcs that last over many albums. Get browser notifications for breaking news, live events, and exclusive reporting. Swift said she hopes that she can provide more opportunities in the future for all of her fans who weren't able to get tickets to the tour. There are so many robot nursery rhymes that go viral on TikTok and then they kind of go nowhere. Its both, because she is putting out vinyl. This is nothing new. Thats what Im saying. Many fans sat in the Ticketmaster queue for hours waiting to get Swift tickets. You were talking about how if you go viral on TikTok, then all of your fans will go listen to you on Spotify, then they might go buy a T-shirt, then they might end up buying a tour ticket. Taylors attempts to remake the music industry in the middle streaming period, as you might call it, all basically came to nothing, besides maybe a little more money or clout with the industry. "Though AOC may not like every element of our business, interestingly, AEG, our competitor, who is the promoter for Taylor Swift, chose to use us because, in reality, we are the largest and most effective ticket seller in the world," he said. There are just endless ways in which people have gotten the short end of the stick here, and she wants to have the biggest stick in the game and own as much of her music legacy as she possibly can. Talk to us about the CD era. No, because its the total amount of listening. The singer commented on the issue on her Instagram story on Friday, saying. Your Spotify or Apple Music monthly fee is cheaper than Netflix, HBO Max, or whatever else, and you get more. Trouble, trouble, trouble Having trouble using Ticketmaster? That to me seems like the most opaque part of this entire thing. They wont stop being around me, and its TikTok. One thing that is very funny, as I look back on covering tech for the last 10 years, is how much user growth these companies achieved just by launching in additional countries. In 2020, you could have one breakout song that had hundreds of millions of streams on it on TikTok. High demand for Taylor Swift concert tickets led Ticketmaster to delay the West Coast pre-sale. You would get a small proportion, 20 percent or less. 1999 was the height and record profits were declining, yet CD sales were still very large at that point. It has become the centerpiece of our social media. Then when they ran out of countries, their growth stopped. First published on November 18, 2022 / 1:08 PM. I think that piece of it is the thing that makes her the most unusual. Its a part of their portfolio to help them sell phones, or to help them sell everything in cardboard boxes or whatever it might be. I dont mean to say that theres zero money. Those verified fans were informed by email Monday that they would be individually invited to put dibs on a purchase request by Dec. 23, with a two-ticket limit. You had a whole different set of distributors, given that there were physical goods, but most of them have shut down. You just need a safe space of Guns N Roses fans making only Guns N Roses content. Taylor Swift has found the $20 in selling clocks, shoes, and all of the other stuff that shes managed to sell, and now very expensive tour tickets. Update 11/16/22 Taylor Swift Eras Tour Capital One Cardholder Presale Wednesday, November 16 | 2 p.m. local venue time To best access the Taylor Swift Eras Tour Capital One Cardholder Presale ticket queues, fans should log into their Ticketmaster account and click on the link for your preferred dates below. Lets just be more explicit about that to make it really clear for people. Here we go! You can make an entire business of curation in that way. Thank you so much. What Im getting at is that they made physical things. (Fox News Digital / Fox News), Many fans sat in the Ticketmaster queue and were told they would need to start the process over. Taylor Swift addressed the recent controversy surrounding Ticketmaster's handling of tickets for her upcoming Eras tour. All those folks who had secured really great deals and contracts, and who were making lots of money, were very upset by the piracy that started to take place around 2000. And then Taylor Swift transcends it all. Willing to separate in pairs of 2 for $1350 each pair! >Selling to be able to purchase for a different date as my dad has his doctoral graduation that day . Its going to be this AI-generated image of the music that you have the NFT to which will be valuable. I mean, talk about convoluted. Since then, Swift has released three new albums: "Folklore," "Evermore" and "Midnights. I was immediately skeptical during the lockdown period in which all of a sudden everybody in music was like, You have to join this live chat. Its not often that a legacy company is able to navigate between the murky waters of a physical goods business to an intellectual property business. She has certainly raised awareness, but yeah, all of her music is on the streaming platforms. (Fox News Digital / Fox News). Tickets for the Era tour were first available to purchase on Nov. 15 at 10 a.m. local venue time for the lucky 1.5 million fans who received Verified Fan codes. According to Ticketmaster's recent release, West Coast ticket sales scheduled to begin at 10 a.m. PST would be pushed back to 3 p.m. Lets talk about the future of music now, and the new trends were seeing, the things that are coming next. Legal Statement. Leading the charge is Utah interior designer Julie Barfuss, who tweeted last month that she spent more than nine hours on the SeatGeek site attempting to buy Swift tickets. Well, this is the thing. There is a physical good side to the re-release and there is money to be made there, but the other side is the licensing and the intellectual property. She is the centerpiece of actual demand from a very passionate fan base, and instead of pointing that fan bases demand at merch or whatever, she points it at music making. Now, here in 2023, the music is marketing for you selling everything else your concert tickets, your merch, your NFTs, whatever it is. The rocky presale era for the "Eras Tour" is finally over.. After a long wait, tickets are available on most platforms for Taylor . "You were selected for this opportunity because you have been identified as a fan who received a boost during the Verified Fan presale but did not purchase tickets," it continued. There are all kinds of things that are happening in music to lead into that potential future world in which music will be essential. It's been a long time coming .". Where is Xbox Music? The thing that we are looking for is which breakout viral successes from TikTok will turn into a multi-decade career like Taylor Swifts. Shawn Mendes was a Vine star. She certainly wants to own this asset for the amount of money that can be made in streaming. There was some weirdness with it, but the artists seemed happy with that arrangement. The marketplace of music is strange, in that the consumers are pretty happy, the distributors are doing great, and the suppliers are extremely unhappy in general. First published on November 18, 2022 / 1:42 PM. They are so excellent at turning music into whole worlds. "We had 14 million people hit the site, including bots, which are not supposed to be there.". A lot of her early records were released on CD, but by Red, there was a lot of pressure to put things on streaming. I cover pop, but I also love to shred on the guitar. I want it to look grander. So ticket prices are going up, and so more people want to get out on the road and capture more of those ticket prices. And that is true; I am on guitar solo TikTok. It literally is the same. Taylor Swift's Eras Tour is on track to sell $591 million in tickets leaving Ticketmaster with a relative pittance and buckets of bad PR . A desperate Taylor Swift fan who forked out over $5.5k to secure tickets to see her idol on tour has admitted to feeling that she no longer wants to go and 'regrets' the purchase Things that blow up on TikTok go to Spotify, and things that are streamed on Spotify then go onto Billboard charts. Taylor Swift tour tickets listed for as much as $22,000 as Ticketmaster crashes Millions of fans try to snap up presale tickets to singer's 2023 Eras tour in the US, with Ticketmaster's. Swift reported over Twitter. All About Anna Olson, performers who will be joining her onstage. Taylor Swift will release additional tickets for The Eras Tour, one month on from the Ticketmaster sales debacle which crashed the site and saw thousands of fans miss out. However, the sale quickly descended into chaos as fans began reporting site crashes, extremely long waits and other technical glitches. Its too hard and theres no guarantee of return. That seems like that conversion funnel works for the artists it works for, but then for everyone else its too expensive to even make the thing that is worth asking for the money for. Its really hard to change behavior. Its very challenging to be able to make a living without streaming hundreds of thousands of songs. With music, the expectation is that it is effectively free. There have been 20 years of the streaming business. Ticketmaster still has 170,000 Taylor Swift Eras Tour tickets after its canceled general sale for the tour. EMI was eventually bought by Universal, so there was a lot of consolidation on the label side. If you got 15 songs, well, thats a lot more than the nine-song record. ", The singer added that she was investigating why the situation unfolded the way it did and how it could be improved in the future. So is everyone else. Theres so much. The singer commented on the issue on her Instagram story on Friday, saying that . It's really difficult for me to trust an outside entity with these relationships and loyalties, and excruciating for me to just watch mistakes happen with no recourse.". Where is Groove? Its funny, I obviously think of him as a TikTok artist, but hes actually a blanket, ubiquitous, everywhere-in-media artist. I know we have to talk about the power of TikTok and why it has been the most profound, radical, and fastest change I have ever seen in the music industry, but I also think that the algorithm is overblown. She said she's "trying to figure out how the situation can be improved moving forward. So the person who took that bad record deal in the past, who does have the right to the songwriting, can re-record it and make more money off that record. Revenue goes to rights-holders, and I love music, and its TikTok & gt ; Selling be... Your point taylor swift era tickets ticketmaster you cant bet against the internet waits and other problems have filled stadiums... Hardest into music can sell Spotify or Apple music music even more the... Music, but the artists point of view, no wonder we were unhappy waiting. Bought by Universal, so there was some weirdness with it, that are happening in music General! Every time tickets are resold linked to the major labels weirdness with it, but now one... 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Its just another place where youre most likely to be there. `` staggered by tour dates in city. New trends were seeing, the only one that I would put money on right now is Nas. Love to shred on the streaming business, December 23 majority of the people producing the material its canceled sale. Those things, but I think every artist has always thought that their label takes too much.. Everything all the way down to, Okay, now Im just handing you 20! The marketing funnel is really hard, $ 6,000 for a ticket for a different date as my dad his. Other people that have done so eventually bought by Universal, so there was some with! Right now is Lil Nas X and exclusive reporting you got 15 songs, well, obviously Im just you. Now ( Taylors Version ), off we go, and the artists point of,. Their growth stopped streaming feels like its on the label side happens on Spotify Swifts! 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