This could be either the greatest stroke of genius a UK based media company has taken in years or the making of a disaster. The Daily Mail has announced that they will be launching a record company. In my opinion it really depends upon the approach the Daily Mail take. In the Daily Mail, Associated Newspapers have a great vehicle for direct marketing as can be seen when they gave away Prince’s (I think that’s what he calls himself these days) album away free with the newspaper.
Mail on Sunday editor Peter Wright, in an interview with Music Week, claims the whole project is "very exciting" and that the label hopes to launch its own acts on the world. You see the problem is that the music industry is in dire straits as C.D sales continue to tumble, while the future of the music business lies in live entertainment and sponsorship deals.
Live Nation is a perfect model of how to capitalise on the dramatic change in the ever changing music business. It’s the biggest concert promoter in the world, it employs a 360-degree model that incorporating venues, festivals, artists and merchandise as key routes to profitability. Over the last year or so they have signed long term deals with U2, Madonna and Jay-Z, each rumoured to be worth over $100million.
If The Daily Mail is able to create a similar model, this move could create one of the most forward thinking, relevant media companies the UK have to offer. However, the alternative is not worth thinking about for the UK based newspaper.
What do you think?
1 comment:
This is gonna be interesting to see!!
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