Don't let the economy get you down

 I've been reading several articles lately about the current economic climate and its effect on the music industry and I'm not just talking about the major label music industry.  It's having an effect on the independent music industry as well...not that you don't already know this.  However, it's interesting to read what other aspects of the music industry are being affected and how.  

Some of the articles I've read have talked about the obvious decline in album sales for the major labels and the fact that digital downloads have not been saving the day as previously predicted--due in part to small profit margins on downloads.  I think even indie musicians are seeing/feeling this as well.  

Even at this year's SxSW (South by Southwest) music conference, which took place in the last couple of weeks, indie record labels mentioned their inability to escape the valleys of this fiscal roller coaster.  Indie labels that were previously able to get units in stores locally and regionally are having trouble selling digital downloads let alone physical album.  Now, those same labels aren't getting their calls returned by stores to whom they use to distribute, and that's crippling their ability to maintain already small staffs.  

If you're still reading this blog post by now, you're probably wondering where I'm going with all of this because so far the tone has been pretty dismal.  Well, thanks for staying with me...I do have an optimistic conclusion that you can begin to put into effect right away and it may help you out, if you haven't already been doing it...   

Perhaps as musicians our business model needs to rely less on the retail operation side of what we do (album sales and digital downloads, t-shirts, etc) and operate more heavily, at least in the present moment, on the service business side of things (i.e. offering entertainment services at a club to provide its patrons with a memorable experience, or providing an intimate performance and face-time with fans who have given their undivided attention at a house concert).  Now, most indie musicians I know, myself included, have been essentially operating that way since the beginning.   

I'm not sure about other indie musicians, but I'm certainly not well-known enough to be making the majority of my music-related annual income from album sales.  What monies I do make are coming primarily from performances, and other related services.  The reason I think I have any success with that is because I work at putting on a live show that creates a meaningful, crowd-engaging and memorable experience for fans, rather, than just a performance of music.  I shake hands with people that come out to shows before, at breaks in the set, and after the show.   

The point is, provide a great music service and allow the retail to be gravy.  Put the emphasis on building relationships everywhere you perform, everywhere you go, with everyone you meet (that really goes for any business).  My opinion is that the retail side of the music business, at least for most indie musicians, is fuel to attract more venues to play, more fans, and more exposure, it's not necessarily a big money-maker.  My experience has been that if you put less emphasis on the retail side of your music business and put more emphasis on the service side and building relationships you'll actually see the retail side steadily grow because you've built relationships and a following that wants to support what you do and your business by purchasing your CD or a digital download or a t-shirt, etc.