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Conclusion

In: Direct Licensing and the Music Industry

Author

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  • Ivan L. Pitt

Abstract

Piracy was, more or a less, an obfuscation to shift the focus away from the structural changes that were occurring due to the widespread use of digital technologies where consumers were discovering and listening to music; and the creative ways in which to monetize the new digital services (free on-demand streaming with advertising or ad-free paid subscription models). Listening for free to streaming services—which was once considered piracy—was a crucial marketing plan for some of the streaming services to acquire new customers and build a loyal customer base to later up-sell or cross-sell other products and services. For example, in the Beats Music case, streaming was added in order to sell high-priced headphones. As streaming services increase the number of customers and revenue, they are beginning to increase royalty payments to songwriters, composers, and record labels as well, even though it may not offset the decline in revenue from CD sales and downloads.

Suggested Citation

  • Ivan L. Pitt, 2015. "Conclusion," Springer Books, in: Direct Licensing and the Music Industry, chapter 0, pages 261-267, Springer.
    • Handle: RePEc:spr:sprchp:978-3-319-17653-6_11
    DOI: 10.1007/978-3-319-17653-6_11
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