Interview with David Hooper - Part 2
This is Part 2 of an interview I did for Millbrook High School senior, Alving Garcia, who is currently working on a research project about the music industry. Part of the project involves interviewing a professional in the field.
Posting his questions and my answers here, so MusicMarketing.com readers will benefit.
6. Do major labels only sign individuals are do they sometimes sign entire independent record labels?
If they want an act, they'll sign (or buy) an entire label to get it.
This kind of thing happens all the time, in the music business and elsewhere. When MTV wanted Jessica Simpson for a reality show, part of the deal was that they had to do a show featuring her sister as well.
7. If major record labels do buy indie record labels, would the indie record label work under similar conditions as an individual being signed?
It depends. Sometimes everybody is canned and a new staff takes things over. Other times, people from the indie will go to work for the new owner.
As far as conditions, that also varies. I've seen "mergers" which let the smaller label run as it always has, including staying in the same office. Other times, everything is moved.
8. Does the above commonly occur or does this happen rarely?
Deals are being made all the time, but none of them are the same. So whether that is common or not really depends on how you define it.
With that said, I think various "deals" are becoming more and more common, since there are so many options for creating, recording, distributing, and promoting music these days. For example, a record company might make a deal with a mobile phone company to handle one aspect of distribution, but work with another company to handle something else.
9. Do you think that the digital age will have a positive impact on the future of the industry?
Definitely. It's getting less and less expensive to release new music and make a profit on it. This is going to allow more music to be released.
These days, it's fairly easy for the average band to record an album. Depending on the style, you could record something as quickly as a weekend...or even a day. Not everybody can, but a lot of bands do.
This stuff isn't perfect, but that's not the point. It allows bands, musicians, songwriters, and labels to release new recordings quickly, cheaply, and easily. Digital releases can be an extremely profitable income stream. It's also great for the consumer, since they can purchase music that would otherwise be unavailable, because it's too expensive to release traditionally.
10. How do you see the music industry 10 years from now (larger and more profitable or decreasing in sales)?
I think it will be fine. People were worried about the movie industry when home video came out, but the movie industry is larger than ever, with things like Netflix, pay-per-view, cable television, and digital distribution outlets, such as iTunes.
Video games blew up when the technology to play them at home advanced.
Bottom line for the music business is that content will be king. We don't know how things will be distributed, but we do know there will be a need for music.
Right now, we're promoting music via video games, movies, television shows, and ways nobody would have every imagined would be so important, even just a few years ago. I'm sure new opportunities for music promotion as well as new income streams for musicians and songwriters will be developed. Things like this have a tendency to work themselves out.
