Social Cache.
A Nemo blog. Dealing with uncommon cents.

It doesn’t seem that long ago since Radiohead did what was once unimaginable – release an album without being signed to a major record company. On the long march to digital ubiquity as the means of music delivery Radiohead avoided the tar pit that seems to be major label thinking and came out clear winners. Yes, they resorted later to releasing the album as a good old CD into regular retail distribution but they were pioneers and were soon followed with great success by Nine Inch Nails and to lesser success by many others. Both these bands had an understanding of what their fans wanted [price level choice, quality and special packaging] and both bands understood the power of the internet for marketing purposes and direct reach. [NB: Although I believe that the digital music file will rule the day, vinyl still has a role to play and I'll get to that later.]

The most interesting part of this experiment [which at the time, I would argue it was] was not only that it was wildly successful but it laid the groundwork for what I have coined the end of the organizing principle. In other words I suggest that we are now seeing the end of the album-length work as the permenant work, the everlasting body of work that represents the pinnacle of an artists’ creativity. I am fully expecting to hear the howls of derision over this but bear with me.

Radiohead

If you were honest how many albums do you own that demand to be listened to from beginning to end? AV Club recently came up with a list of 25, some of which I agree with and Rolling Stone, Spin and other mags regularly post their lists of the “all time greatest albums” whether its 100 or 50 or less. My band Gang Of Four’s album Entertainment! is often featured on these lists but take it from me it has its flaws. The problem with lists and suggestions is that they are all subjective. Being engaged by music requires too much of a personal commitment on an emotional level for anyone to be able to provide an ultimate list. [Imagine if an art critic attempted to make a top ten list of the world's greatest paintings. Why does popular music suffer from this conceit?]

We live in an era of MP3 players, streaming internet radio, web apps – not to mention the iTunes music application and its ability to shuffle your entire digital music collection – now the cloud and almost-mobile ubiquity, the list goes on; in what part of digital music culture does an album-length piece of work now reside?

I’ll answer that question – I believe it has no place in a digital future.

The original organizing principle of music was of course hand written, composed. It then moved along to sheet music and with that came revenue from sales to the musical public and by so doing helped to move revenue income beyond just ticket sales to the opera or orchestra performances. This wasn’t enough though. It was as if music was demanding to be organized and soon enough inventors jumped in to the fray and began organizing music recording and playback – at first on tin foil.
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Ok, this is a fascinating rant from Robert Scoble. His list of the newspaper industry’s woes, and in some cases unforgivable missteps, when presented like this could take your breath away. Yet all is not quite what it seems – e.g. the Huffington Post is a news aggregator and walks a fine line in repurposing other news outlets’ content. Google and Yahoo are search engines linking back to the newspaper’s sites etc, etc, but there is a point here – the newspaper industry [rather like the music industry] would have preferred that the internet would have just curled up and died – unfortunately it didn’t and it won’t….plan B anyone?

All the text below this line is from Scobleizer the blog:

The newspaper industry just gave away another free meal, er Twitter: do they have any left?
I’m listening to Dave Winer and Jay Rosen “reboot the news.” Jay is a journalism professor and Dave is a geek that helped either birth or bootstrap all sorts of publishing technologies including blogging, RSS, OPML, XML-RPC, and more. So, hearing the two of them do an audio podcast every Sunday is very interesting.

I’ve been pretending in my head that I’m a newspaper exec. When I do that I keep beating myself around the face. Why? Because the newspaper industry keeps giving the geeks free meals. Let’s study the free meals:

Free meal #1. Giving away classified advertising to Craig’s List.
Free meal #2. Giving away photography to Flickr (look at the photos from the Chinese Earthquake, why didn’t this happen on a newspaper branded site?).
Free meal #3. Giving away front page news to blogs like Huffington Post.
Free meal #4. Giving away “small” community news like births, deaths, birthdays, etc to Facebook.
Free meal #5. Giving away real-time news to Twitter.
Free meal #6. Giving away news distribution to Google News and Amazon Kindle, among others. With new sites like Kosmix coming on strong (hundreds of percent of growth month over month).
Free meal #7. Giving away restaurant reviews to Yelp.
Free meal #8. Giving away traffic information to Google Maps.
Free meal #9. Giving away celebrity news to Facebook and Twitter. (Why is Oprah on both of those, and why didn’t the newspaper industry lock up Oprah and keep her on a newspaper brand?)
Free meal #10. Giving away local news to Topix (at least that was funded by a newspaper brand).
Free meal #11. Giving away business news to Yahoo Finance and Google Finance (and something new that will get announced tomorrow).
Free meal #12. Giving away news ranking to Memeorandum.
Free meal #13. Giving away astrology to Astrology.com.
Free meal #14. Giving away comics to Comics.com.

What is their latest giveaway? Crowd-sourced news. I visit Twitter Search every day to find out what is “hot news.” That’s something I used to look at newspapers and older media for (radio, TV) but Twitter is just plain better at telling me what is trending.

OK, so now my face is bloody because I’m seeing all the things the newspaper industry gave away. Do they have anything left to give away?

YES!

Read the rest of this very lengthy post here….

Leave it to Billboard Magazine, a scion of the fading music industry, to resort to old media tactics. This editorial on their web site is worthy of discussion but unless you happen to subscribe to the magazine for $24.95 a month you do not have the ability to comment. Clearly what happens as a result of this madness is that Billboard’s music business subscribers can hold up this editorial as a sign of “things aren’t so bad after all chaps…” and then continue to ignore the future of their business whilst looking backwards at the good old days. [Ironic note: check the image above and note the arrow in the right corner and the line 'Teen music spending drops.']

It’s not my ego nudging me to write that I can’t help thinking Steven Wilson is talking about my article, ‘The End of the Album as The Organizing Principle‘ when he sarcastically writes about ‘industry experts’ here – “Reports that CD sales continue to decline—they fell 14% in 2008 compared with 2007—have once again inspired a pundit-led roll call of the music industry’s dead and dying institutions: major labels, record stores, terrestrial radio and the CD itself, to name but a few. Recently added to the obituary page is the album itself, thanks to industry “experts.” However, I’m happy to say that the reports of the album’s death are greatly exaggerated.”

I am pleased to say I don’t consider myself an ‘industry expert,’ at least not a ‘music industry expert.’ Although I have had a long career as a professional musician [Gang of Four, Shriekback] and have run record labels etc, I would rather be remembered for jumping feet first into the future of music by joining eMusic.com as GM in 1998.

Unfortunately Wilson’s editorial completely ignores what is actually happening at the MP3 stores that he mentions – Amazon MP3 Store and Apple’s iTunes – music fans are buying more single tracks and not so many albums. He recognizes that the vinyl album is making inroads into the market place once again but he misses the point about the end of the organizing principle whilst admitting that people don’t have the attention span these days – “When the computer becomes a listener’s main source of listening to music, it’s hard to focus for 40 minutes, let alone 70.” It’s not about the computer Steven, it’s all about the Cloud and what Rio Caraeff, EVP of Universal Music’s eLABS understands when he says “the browser is the new iPod.” The browser is everywhere on almost all mobile devices, millions of them around the world – and users are not listening to album after album on them, most likely they are listening to their own playlists.

And here’s Wilson’s killer ‘make the recording industry feel better’ moment – “…. the argument that technology killed the album is a diversion—the mere availability of downloadable music is irrelevant to the question of the format’s viability.” The part of that statement that I have bolded out is simply an idiotic statement.

Technology doesn’t kill anything. In fact it moves things forward. For artists, technology and the advent of almost ubiquitous broadband has brought unparalleled freedom of expression. I wrote in my article, with regard to the early technologists who devised the album-length organizing principle, that – …..musicians and bands were not part of that decision in the first place then why would they complain of what modern technology now brings – their craft has been unchained from early technological limitations and they now have endless amounts of time and bandwidth to spread their creative message far and wide; along with unfettered artistic control.

I also wrote –
How music was delivered used to be in the hands of the few – bands, concert promoters, record companies and their retail distribution companies, radio, and video shows such as MTV. In tech-speak this system embraced ‘push’ – we the mighty and powerful will “provide you” [at a price determined by "us"] with access to our treasures when “we” feel like it. These days that system is rapidly breaking down as music fans now ‘pull’ what “they” want to listen to.

Control has moved from the few to the millions of many. Dull labels and dull bands offering dull, flat, non-experiential product – e.g. a CD, will go the way of the CD as it goes the way of the Dodo. Consider what Cirque Du Soleil provides as an experience compared to Barnum and Bailey’s circus. Or Burning Man compared to your average music festival. Even the Las Vegas Beatles-themed show ‘Across The Universe’ wipes the floor with most rock concerts these days.

If these ideas and opinions, not to mention the debate around them, are ignored, then the recording industry and Billboard Magazine will definitely follow the CD into extinction…

I am still reeling after watching the latest amazing “news” piece from Jon Stewart. I wrap “news” in inverted commas because this man is a comedian and a great one at that. So why is he more important than any of the talking heads on cable TV news and political shows?

Here’s why – In an era where newspapers are dying and mainstream TV and cable media are flailing around trying to increase viewers by using limp content, Will Bunch at the Philadelphia Daily News points out that “Great research trumps good access to the powerful.” In essence all Stewart’s team did was juxtapose past remarks on the economy from people like the CEO of Ford or blowhard and so called ’stocks wizard’ Jim Cramer and even bigger blowhard CNBC’s Rick Santelli [who in a magnificent performance gets traders on the floor to boo President Obama because "we shouldn't be paying for those folks who can't pay their mortgages, those losers!"] and compared them to more recent statements to show how hypocritical these people have been and continue to be. Great research all available at any journalist’s fingertips online. Stewart’s team just did the research and then they are not afraid to have Jon go out and skewer these people not lionize them.

You must watch the Stewart video.

And here’s an extract from Will Bunch’s very prescient article:

As briefly noted here earlier, the most talked-about journalism of the day wasn’t produced by the New York Times, CNN, Newsweek or NPR. It was Jon Stewart’s epic, eight-minute takedown on last night’s “Daily Show” of CNBC’s clueless, in-the-tank reporting of inflatable bubbles and blowhard CEOs as the U.S. and world economies slowly slid into a meltdown. You can quibble about Stewart’s motives in starting the piece — after he was spurned for an interview by CNBC’s faux populist ranter Rick Santelli — but you can’t argue with the results.

The piece wasn’t just the laugh-out-loud funniest thing on TV all week (and this was a week in which NBC rebroadcast the SNL “more cowbell” sketch, so that’s saying a lot) but it was exquistely reported, insightful, and it tapped into America’s real anger about the financial crisis in a way that mainstream journalism has found so elusive all these months. As one commenter on the Romenesko blog noted earlier today, “it’s simply pathetic that one has to watch a comedy show to see things like this.”

But that’s not all. The Stewart piece also got the kind of eyeballs that most newsrooms would kill for in this digital age — planted atop many, many major political, media and business Web sites — and the kind of water-cooler chatter that journalists would crave in any age. In a time when newspapers are flat-out dying if not dealing with bankruptcy or massive job losses, while other types of news orgs aren’t faring much better, the journalistic success of a comedy show rant shouldn’t be viewed as a stick in the eye — but a teachable moment. Why be a curmudgeon about kids today getting all their news from a comedy show, when it’s not really that hard to join Stewart in his own idol-smashing game.

Read the rest of the Will Bunch article here. It’s a great read for anyone in media.

Red is the new black? Nope – less is the new black

Everywhere one looked recently on the blogosphere, especially social media blogs, the ever-so-informed pundits were banging out their year end lists around mid-December and by today the 2009 predictions/trends/forecasts lists were rapidly turning from a flurry to a blizzard. [US-based bloggers, especially on the East coast, are panicking as the clock ticks down to Midnight.] So I give thanks for two forecast contrarians – Ana Andjelic and Fred Wilson.

Ana Andjelic runs the I Love Marketing blog where she posted ‘The Problem With Forecasts.’ When a post begins like this: “The end of the year is known for releasing “best of” / “worst of” lists, forecasts, & trends that will “shape” the next year. While I heart lists, it’s the trends that I found real dumb. And no, I am not alone in this. Predictions usually go from plain ridiculous to rather obvious and to those that are there for shock value – “blogging is dead”, “podcasting is dead” that no one but Armano really takes seriously.” You know you’re in for a fun read. She’s spot on.

From there I linked to Fred Wilson’s A VC blog where he posted not a forecast list but a wish list of what he’d like to see happen in 2009. Two interesting wishes are 1. a $1.50 gas tax which I agree with and 2. a request of Apple – “I just want Apple to come out with an aggressively priced touch screen mobile computer that can be used to read books, blogs, watch movies, listen to music, and work as a home remote too. This is a huge opportunity for them and others too.”

And by the way, I found both these blogs via Twitter which I have been using more and more as a business tool lately – finding I can’t live without it these days..

So, having written the above I will now throw caution to the wind and present you with a 2009 forecast that is only marginally tongue in cheek. Here’s my baker’s dozen:

Malcolm is thinking about a new book

01. Malcolm Gladwell will publish another book.
02. The New York Times print edition will continue to arrive on my doorstep.
03. It will be cold and wet when I arrive at the Oregon Coast tomorrow.
04. “Feels free” will take a hold. [I've been waiting for this since my time at Intel in 2000.]
05. The CD business will continue to shrink but the music business will grow.
06. Art will be smaller, leaner, cleaner.
07. Consumer products will be simpler – see the Flip.
08. Socially conscious projects such as public housing will thrive under Obama.
09. Blogs will not die.
10. Twitter will see a huge growth spurt and continue to have growing pains.
11. U2’s new album will be as boring as the last 3 or 4 have been but will sell millions.
12. The rich will continue to cut back on their mistresses.
13. And finally, less is the new black.

Got your own 2009 trends, forecasts or wishes list? Post it in the comments section…

Finally, an advertiser being honest about social media advertising. Ted McConnell general manager-interactive marketing and innovation at Procter & Gamble Co spoke recently at a forum on Digital Media where he came across as rather negative about social network platforms and advertising. He singled out the Facebook platform, saying “I really don’t want to buy any more banner ads on Facebook.”

Other key phrases of his that stand out –
Social networks may never find the ad dollars they’re hunting for because they don’t really have a right to them.
What in heaven’s name made you think you could monetize the real estate in which somebody is breaking up with their girlfriend?
I don’t think everything every consumer says to someone else and writes down is somehow monetizable by the media industry.
Fragmentation thwarts artificial scarcity.
Performance-based advertising will gain share over CPM

Ted McConnell. [Pic Ad Age]

McConnell’s premise is that social network platforms won’t be able to collect ad dollars because they don’t really have a right to them, which I believe is entirely accurate. And his negativity about the platforms appears to hinge on the wrong-headed idea or a misunderstanding of the meaning of the term “social media” – he asked – “Who said this is media? Media is something you can buy and sell. Media contains inventory. Media contains blank spaces. Consumers weren’t trying to generate media. They were trying to talk to somebody. So it just seems a bit arrogant. … We hijack their own conversations, their own thoughts and feelings, and try to monetize it.”

McConnell’s ideas strike a chord with me as I have found myself on the contrarian side of the social media argument recently. I have argued on panels and in essays that technology did not transform the way we socialize –

When we wrongly consider technology as a ‘new’ medium that simply and efficiently transformed culture, business and society, we forget our own human ancestry. We leave out Nature. In our hearts we want to belong, to share; we fear dying alone and as we age we become thanatophobic – we fear dying. Individuality is an illusion. [By that I don't mean an individual's style, taste, fashion etc, things that set us apart aesthetically from others, I mean we are forever bound to being social animals.] Read the rest of these thoughts here.

We need to rethink the term “Social Media.”