The Music Industry

The music industry is a dual market whereby companies select, market, and publish singles and albums, which are later sold to customers by online retailers (Anderton, Dubber & James, 2012). Like many other content and media segments, the music industry entails high upfront investments, high risks, and low marginal costs. The music industry entails the work of recording, performing, and distributing music via various methods. There are various kinds of persons involved in the music industry, including musicians and sound engineers to oversee the process of producing and recording music. Different companies and record labels may supervise the music industry in a certain area or country.

Companies that Operate in the Music Industry

The music industry comprises organizations and individuals that earn money by musical compositions and writing songs, presenting concerts, and sheet music, selling and creating recorded music, and establishments that represent, train, supply, and aid music creators. Among the many organizations and individuals that work in the music industry are composers and songwriters who write musical compositions and songs. The bandleaders, conductors, musicians, and singers perform the music; the digital and retail music stores, audio engineers, music producers, recording studios, music publishers, record labels, and performance rights organizations produce and distribute sheet music recorded music (Wiesen, 2022). Further, the audio engineers, road crew, music venues, promoters, and booking agents help to sell and organize concerts.

Products in the Music Industry

The music industry produces three distinct products: media such as DVDs or MP3s and CDs; recordings, both video and audio; and compositions, lyrics, pieces, and songs. Typically, media are owned by consumers; record companies own recordings and compositions by composers.

Current Trends in the Music Industry

The music industry has transformed swiftly in the last decade. Currently, the artists do not need to be discovered by giant label representatives to become known, and releasing and recording an album is not the same as in the days of iPods and CDs. The audience and the industry are adapting to fit the tastes and times of the 2020s (“4 trends in the music industry right now,” 2022). Maintaining these trends is important for people interested in entering the music industry. Some of these trends include the return of live music, music will go more multilingual and global, TikTok will continue to launch careers, and grassroots monetization will continue to increase.

As the world starts to overcome the pandemic, there is a yearning for live music. During the global pandemic, many events were canceled (“4 trends in the music industry right now,” 2022). Currently, as venues and musicians learn to conduct assemblies carefully, audiences are coming in large numbers, eager to compensate for the lost time. Music lovers expect to see more concerts in the venues close to them.

Analysis of playlists, tracks, festivals, and artists reveal that the music industry will stop being dominated by English-speaking artists (“4 trends in the music industry right now,” 2022). Other artists have started dominating airwaves hence bringing multilingual songs to the forefront. Subsequently, TikTok has started to dominate the music industry. This widespread social media site has enabled fans to discover their new favorite tracks making their music career go viral. Also, TikTok has contributed significantly to re-popularizing tracks from the past. There are some musicians writing songs purposely to go viral on TikTok. Due to its huge potential, TikTok can be an ideal tool for each level of the music industry.

Currently, unknown artists can utilize tools such as TikTok to become popular. A lot of music is going to the grassroots level. Artists have many probabilities of reaching fans and nurturing a fanbase, including ways of making a living. Throughout the pandemic period, Livestream performances become popular. Currently, artists at all levels can monetize their content with digital merch, digital tipping, and NFTs.

A Successful Company in the Music Industry

One of the companies that are successful in the music industry is Universal Music Group (UMG). UMG is a Dutch—American international music corporation based on Dutch law (“Universal music group launches virgin music group,” 2022). The company’s headquarters are in Hilversum, Netherlands, while its operational headquarters are in Santa Monica, California. UMG is the largest music corporation in the world and one of the big three record labels, together with Warner Music and Sony Music (Campbell, Martin, & Fabos, 2011).

Universal Music Group (UMG) is the leading music-based entertainment globally, with various businesses involved in audiovisual and merchandising content, music publishing, and recorded music in over 60 countries. The company features a wide-ranging catalog of songs and recordings across each musical genre. The company recognizes and develops artists and generates and dispenses the most commercially successful and critically acclaimed music globally.

UMG is committed to entrepreneurship, innovation, and artistry. The company nurtures the development of business models, platforms, and services to broaden commercial and artistic opportunities for the artists and establish new experiences for the fans. Also, UMG nurtures the development of music publishing groups worldwide. It is a leading branding, lifestyle, and consumer service provider to entertainment brands and recording artists globally.

References

Four trends in the music industry right now. (2022). Remington College | Non-Profit | Trade-Focused | Career School. https://www.remingtoncollege.edu/articles/4-trends-in-the-music-industry-right-now/

Anderton, C., Dubber, A., & James, M. (2012). Understanding the music industries. Sage.

Campbell, R., Martin, C. R., & Fabos, B. (2011). Media and culture: An introduction to mass communication. Macmillan.

Universal music group launches virgin music group. (2022, September 13). UMG. https://www.universalmusic.com/universal-music-group-launches-virgin-music-group/

Wiesen, G. (2022). What is the music industry? Musical Expert. https://www.musicalexpert.org/what-is-the-music-industry.htm