For the past decade, on-demand streaming drove incredible gains in recorded music revenue, which climbed from $6.7 billion in 2014 to $17.1 billion last year in the U.S. alone. Now there’sBut look, up in the sky, it’s a nerd, who could help an artist buy a plane, it’s SUPERFANS!Basically, now that the music business takes in a modest amount of money from an enormous number of people, it needs to find ways to also capture much larger amounts of money from smaller numbers of more dedicated fans.
To get sense of what this business might look like, let’s look at the iconic group that pioneered one kind of superfan model, as well as newer stars that have turned a very different model into something of a science: theand K-pop groups. Both are very popular — phenomenally so by some measures — but neither is exactly mainstream in the way thatis. Their popularity is deeper than it is wide.
K-pop acts tend to focus on selling merchandise, and given the declining number of CD players, many young fans probably see CDs asthan a way to listen to music. K-pop is all about fandom — having it, displaying it, and in some cases arguing about it — so those acts tend to sell merchandise that appeals to a collector’s mentality. K-pop fans spend a considerable amount of money on merchandise — $24 a month, according to research from Luminate, which is 140% more than the average U.S. listener.
Selling streaming subscriptions to a mass audience requires executives who could focus on the mainstream. Getting part of that audience to spend twice that much money on a single act is certainly possible — but it takes a different skill entirely.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: FoxNews - 🏆 9. / 87 Read more »