I think that the worlds in which fandoms are emphasized have definitely done well in this model. Vinyl is a small but meaningfully growing share of the music revenue pie.. I was a verified fan. 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. Its often like the Marvel Cinematic Universe. I think a lot of it has to do with, frankly, mismatches of supply and demand. Invitations will be staggered by tour dates in each city. Do we have a sense of how that works and if the labels are happy with that? As the lucky fans who were selected for the presale attempted to join the waiting room queue for tickets, Ticketmaster is reportedly crashing on many people's devices. Okay. Once they sign up, theres going to be a whole pool of money, and youre going to get it later., That doesnt really make sense when youre like, Yes, but I sold you the thing now and theyre listening to it now, so I should be getting paid now. This goes especially for artists who finally get their royalty payment many quarters later. ", Swift said Friday that the controversy occurred because of a "multitude of reasons," and suggested that the blame for the situation falls on Ticketmaster. The price of fuel is an increasing cost. For the labels, its very clear. We were looking at the number of legacy artists that are selling off their catalogs for huge amounts of money to private equity companies, who all think theyre going to make massive returns on owning those catalogs of music. Okay, theyre working to sell my product because they have a financial stake in the product too.. Dec. 12, 2022, 1:37 PM PST. We have to add some stipulations before we begin a conversation on Taylor Swift. She is trying to reclaim the rights to all of her master recordings, which were sold without her permission by her former label. We have to see how big your TikTok is before we ever sign the deal.. In 2014 to 2017, this was kind of the height of Taylors fight with the streamers. In the CD era, you wanted to buy a greatest hits record because it was all killer, no filler, right? Even though theres more music than ever, there is so much historical music that is not available. The singer's team has announced that some verified fans who weren't able to buy tickets last month will get a second chance. I have always found those models to be a bit optimistic, because most other countries do not look like the GDP of the United States, where many of these tech companies get founded though obviously Spotify was founded in Sweden. The singer commented on the issue on her Instagram story on Friday, saying that . It might be undervalued financially, but in terms of value as humans, it is so essential to us. 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. Ticketmaster canceled last months general public sale of Swift tour tickets after seeing historically unprecedented demand at its presale events. Its tenuous. On Thursday, Ticketmaster canceled its general sale of the tour tickets that was supposed to debut on Friday after hours of complaints about pre-sale site complications and glitches. By Kaetlyn Liddy. Quotes displayed in real-time or delayed by at least 15 minutes. Queues for the West Coast tours in Los Angeles, Las Vegas, Santa Clara, and Seattle will open at 2:30 p.m., Ticketmaster reported over Twitter. Ticketmaster later chalked the disaster up to "historically unprecedented demand," though Swift had some choice words for the company in her response, noting that she and her team had "asked them, multiple times, if they could handle this kind of demand and we were assured they could." They already have leverage. The Capital One presale was also rescheduled for the following day. She has mastered the album release cycle. 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. For some of us, they even created tools that would help you export your music, so that you could grab your entire MP3 library and all your ripped CDs and carry them with you. I wasnt going to buy the nine-song record because CDs at my local Best Buy were very expensive. 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. If you go back in this episode to when I asked Charlie to explain music licensing, there was a sigh. Things that blow up on TikTok go to Spotify, and things that are streamed on Spotify then go onto Billboard charts. Right. 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. Now theyre an audio company. I think that piece of it is the thing that makes her the most unusual. ", The singer added that she was investigating why the situation unfolded the way it did and how it could be improved in the future. Its like, Thats what I call music. Thats usually the best outcome. I dont know. Apples basically saying, Listen, in order to launch a streaming service, we need a ton of users. Its an unusual part of the licensing arrangement in the United States, and its not common elsewhere. Right? There is so much that is similar, especially the labels that have sustained, but how we interact with music and who distributes that music has radically changed. This doesnt make any sense.. You need to be posting many times a day, and you need to be figuring out how to create whole moments every single week in order to maintain attention when theres so much other material that people could be focused on. "Due to extraordinarily high demands on ticketing systems and insufficient remaining ticket inventory to meet that demand, tomorrow's public on-sale for Taylor Swift | The Eras Tour has been cancelled," Ticketmaster shared Thursday on Twitter. She was acting as a voice for a number of quite unhappy folks at that time. The industry is very mad at Apple for this, but the iPods ascendancy is there. Independent artists can fare well in this ecosystem if they get hundreds of millions of people to go listen to a song which they own the majority of, because then theyre getting the full fraction of a penny, rather than a tiny fraction of the fraction of a penny. I think this is a question I always have. To get the $20 at the end, we have to front too much money. 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. They are able to get out of there and cash out on the venture capital model. If I had to pick one, I would pick him. 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. In total, the company explained, 2.4 million tickets were sold across the Verified Fan and Capital One sales on both Ticketmaster and SeatGeek. I live in the best city for it," said Amy . We definitely live in an era where the actual product is so devalued that all the people that make it are in a state of precarity. Along with the tour announcement came information about how fans could score tickets. I mean the musicians, yeah. (Getty Images / Getty Images), SPOTIFY CROWNS TAYLOR SWIFT'S MIDNIGHTS AS MOST-STREAMED ARTIST, MOST-STREAMED ALBUM. That is not at all how it works. Well, yeah. Taylor Swift Finally Addressed the Ticketmaster Debacle. All of that was promotion for you to go spend $12 or $13 on a CD, or 99 cents on a song in the iTunes store. They want to buy their music. She has not yet had to make that turn, but the midline artist is desperate for the next thing they can sell. She was like, Im out of here. So yes, there are other breakout stars, and there are more and more of them every single day. You went on tour to promote your CD sales and you let radio stations in this country play the music, effectively for free, because that would lead to CD sales. They want to have a relationship with it. This was a religious war inside the tech and media industries. He doesnt just get the TikTok platform. But culturally? Part of what youre saying, Nilay, is that music is more valuable than it has ever been. Ticketmaster cancels Taylor Swift public ticket sales due to demand and 'insufficient' supply. Thats where we should come to now. Over time, as more music ended up on Spotify and people diversified their listening, there was more competition. Image source: taylorswift. 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. To be fair, the big knock on the music industry during the CD era was that CDs were full of filler tracks in order to make them look like a better value than they were. Thats why they want to do podcasts and why they have original videos. They have been growing and they are listening in this way. (Fox News Digital / Fox News). Fans are also quite unhappy with a lot of these ticketing issues as well, obviously. Search. You have to find another planet, for other reasons too, unfortunately. "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.". 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. Copyright 2023 CBS Interactive Inc. All rights reserved. This is nothing new. Were all just trying to get back to, Im giving you $20 as directly as I can. So if the CD era was, Im buying the music for $20, and then concert tickets are cheap because they promote the CDs, then that made sense. You have to make it on your own. There are still cracks in the model, right? But you are the artist. Ticketmaster has canceled the public sale of Taylor Swift's "The Eras Tour" after high demand in the pre-sales. The sudden cancellation comes after Ticketmaster said Thursday that more than two million tickets were sold Tuesday for her upcoming tour the most ever sold for an artist in a single day. Now, Swift herself has addressed how she feels about the . Obviously, with an NFT, you dont have to front the cost of a tour and you dont have to manufacture clocks. They were a manufacturer in a way that a label today is not. How did Spotify do at that moment? Everyone knew getting tickets for Taylor Swift's The Eras Tour was going . The 33-page lawsuit was filed Friday in Los Angeles, attorney Jennifer Kinder told The Post. Your Spotify or Apple Music monthly fee is cheaper than Netflix, HBO Max, or whatever else, and you get more. They get early options in Spotify and they get guaranteed payments per year early on, so theyre certain that many millions of dollars are going to come into their coffers, even if no one listens to the service. There are still some bonus songs where you have to go buy a thing at a retailer. Get browser notifications for breaking news, live events, and exclusive reporting. Well, it was similar yet different in many ways. It was just three years later that streaming became the predominant revenue source for recordings. Its the same one. Taylor Swift released her first album in 2006. Just to put a pin in it, highlight it, circle it, bold, italic, and underline that inversion. You have to enter the content creator world and build your identity off that. 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. They were smart to follow what the crowd was doing. She got into a big fight with Apple Music, which wanted to give Apple Music away to new subscribers for free for three months in order to build a user base. She has certainly raised awareness, but yeah, all of her music is on the streaming platforms. The company did not say whether more tickets would be sold for the tour at a later date. If music was working, you could keep leaning harder into it, but its not the future of that business. They have been pretty obvious and pretty explicit with their own investors that renting music from labels and then selling it for pennies is not a great business model. Its not clear who listens to it and how, it devalues fans, there were all kinds of ways that people were very unhappy with how they got paid out. Following widespread issues with the sale of tickets to her upcoming Eras Tour, the singer wrote that she hopes "to provide more opportunities for us to all get together and sing these songs." On. It's truly amazing that 2.4 million people got tickets, but it really pisses me off that a lot of them felt like they had to go through several bear attacks to get them. Look, I recognize that it is beautifully made music. Ticketmaster cancels Taylor Swift public ticket sales due to demand, 'insufficient' supply. The one that comes to mind for me immediately and instantly is TikTok. Swift hastwo shows scheduled in Pittsburghfor June 16 and June 17. "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 . Its all out there. Well, I think that tour is actually finally over, but she was effectively permanently on tour, and it was generating tons of media for her on social. A group of 25 incensed Taylor Swift fans from across the country are suing Ticketmaster for fraud and intentional misrepresentation after last month's Eras tour debacle. Touring is certainly doing really well for her. What you do is you say, Hey, were going to give you a little bit of an advance. 2023 CBS Broadcasting Inc. All Rights Reserved. Heres how I think most people think their streaming subscription works. I love having you on the show. Thats actually maybe the most interesting piece of the TikTok puzzle, the Instagram Reels puzzle, and the YouTube Shorts puzzle. Instead, what they do is they give out a proportion of their revenues. 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. They were the dominant form of revenue. I cover pop, but I also love to shred on the guitar. I think there are many places in the whole music industry, in all aspects of it, that are struggling. A few days later, Swift confirmed she was going back on tour in 2023. It just created a sensation, but it was a huge, expensive stadium tour. Its really hard to change behavior. 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. Fans who weren't able to secure tickets during the Verified Fan or Capital One presales were shocked when Ticketmaster announced that the general sale planned for Friday, Nov. 18 was officially canceled. Since it cannot sell music in that one-to-one transaction, it is forever on the hunt for the $20. We have seen tech stocks everywhere struggling. That is a huge part of why Apple is betting on Atmos. You would get a small proportion, 20 percent or less. (Gareth Cattermole/TAS18/Getty Images for TAS / Getty Images). Then you just have to hope that people are going to show up. 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. You can serve them too, by the way. Does that stuff seem viable to you? I want to talk about that conversion funnel real quick. When you see how she has made that shift, are there any other artists who have managed to pull that off? In the case of touring, there are way more artists than ever that want to tour at the moment because they had to hold back during COVID-19. Apple Music is going to be fine because the iPhone is fine, right? Microfiches do that. Thanks for contacting us. I dont know if we prepped you for that. Now every single time that people stream these songs, she gets more of the share of that stream if they listen to Taylors version. So much information is not accessible. She has inhabited a lot of them and been able to go with the changes in a way that many artists have not. Theyre making a really big gamble about their future. Right, because Ticketmaster is owned by Live Nation, which owns all the venues, and that is all part of the same company that owns SiriusXM, which promotes the things on the radio. While appearing on The Graham Norton Show, the "Bejeweled" singer first teased an upcoming tour tied to the release of her latest album. We now live in a world where you make the thing and give it away for basically free in the hopes that people will come and join you on your tour, and thats where youre going to make all your money. If youre the biggest artist in Germany, you should still be rich, even if your share of listening minutes is not. So, critically, Spotify is just deeply linked to the major labels. Shes saying, Heres Speak Now (Taylors Version), off we go, and now her fans have instant access. In. Notified fans will receive their individual invite to submit their purchase request prior to Friday, December 23. 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. "It obviously wasn't meant to be if we didn't get tickets but we're upset. I mean, it is important to note that the entire music catalog is not available. Look, man, I came up in an era where a guitar solo in a small, smokey room with 300 people is perfect. I mean, we are putting that in the metaverse right away. "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. Streaming is currently very much still a part of that. That dynamic, where you expect more but pay less and the artists are openly struggling, is the most unusual thing about music to me. I think every artist has always thought that their label takes too much money. A lot of the best people in this business are able to secure the most advantageous contracts, though often very exploitative ones, and there has been no shortage of those throughout the entire history of recorded music. One, I think we both very much like Taylor Swifts music and we think shes a good musician. The Midnights singer's loyal listeners have taken the company to task after the ticket-buying process for her upcoming Eras Tour resulted in chaos. If youre Dua Lipa, a lot of people will show up, but there were lots of artists this past summer who had to cancel their tours because they couldnt make the math work. / CBS News, Taylor Swift is speaking out amid the controversy surrounding Ticketmaster's handling of her upcoming "Eras" tour. I want to talk about the arrival of streaming to music from about 2012 to 2017, and how Taylor Swift consistently pushed back against that business model. Even if a lot of people listen to our music, were not sure how much we are getting paid.. "We have already seen that Ticketmaster cannot arrange a pre-sale," she said. Lisa Marie Presley's net worth: Losses, lawsuits and Graceland, Marie Osmond says her kids won't get an inheritance, Former "American Idol" contestant C.J. "Thank you for wanting to be there," she said. There are hundreds of people who have been signed now off of the platform to label deals. It seems like every tech company has tried to do that in the last three years, and it doesnt seem like people are pouring in to do lots and lots of live audio. 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. I am openly curious and I do not say that with any sort of darker cynicism whether or not the reality of those forecastable revenues from licensing and music catalogs will play out. For example: based on the volume of traffic to our site, Taylor would need to perform over 900 stadium shows (almost 20x the number of shows she is doing)that's a stadium show every single night for the next 2.5 years. Powered and implemented byFactSet Digital Solutions. There are no founder-friendly music labels out there. SPOTIFY CROWNS TAYLOR SWIFT'S 'MIDNIGHTS' AS MOST-STREAMED ARTIST, MOST-STREAMED ALBUM Many fans sat in the Ticketmaster queue for hours waiting to get Swift tickets. It grew to be the whole market. That revenue was going to the labels, not the artists. I actually want to instruct the listener. You can be paid out in hundreds of millions, billions of dollars. Its very challenging to be able to make a living without streaming hundreds of thousands of songs. All About Anna Olson, performers who will be joining her onstage. She was like, Im not doing that. Ticketmaster still has 170,000 Taylor Swift Eras Tour tickets after its canceled general sale for the tour. Currently, in Ticketmaster, they are showing as transferrable. Given the success of Midnights, Swift's overall popularity and the fact that the singer-songwriter's previous tour had been canceled due to the pandemic, Eras was immediately projected to be the hottest ticket of the year. ", She continued, "That's why we will hold a hearing on how consolidation in the live entertainment and ticketing industry harms customers and artists alike. Burn. in commercials. Yeah. There are just countless ways that people are trying to use these, including ownership of actual music, being able to have an exclusive license to music, or weird pictures of gifs that were made by an AI. I mean Charlie Puth was a YouTuber. 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. Several pre-sales events are planned ahead of Madonna's holiday tour before the public sale begins, which Becker considers a bad sign. I wasnt going to make playlists. But yes, its just another place where the economics are not in the favor at all of the people producing the material. ", "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," she said. FAQ - New Privacy Policy, Check out what's clicking on FoxBusiness.com. We've been doing this for decades together and over the years, I've brought so many elements of my career in house. ", Ticketmaster then explained their Verified Fan process, which is tasked with "identifying real humans and weeding out bots." ", "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. 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. Are there going to be another 20? You pay them the fee, and then you have access to an all-you-can-eat buffet of all the music in the world. It thinks the Switched on Pop TikTok account is an in-recovery smoker who is really into a bunch of very dated movie references. 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