Notes from Midterm Promo Package and Music Business Concepts, WEEK 2 lesson
Underground and indie labels vs major labels
The speaker connects the idea of an “underground” or indie route to artists who prefer smaller, independent labels or self-publishing rather than big label deals. They mention Frank Zappa as an example of an artist who pursued an underground/cult-following path instead of signing with a major label like Apple. The point is that some artists consciously reject the mainstream route in favor of autonomy and a dedicated, niche fanbase. The concept of “underground” persists today and can be a legitimate strategy for building a career with a loyal following rather than chasing mass-market fame.
Warning labels and early career dynamics
A discussion pops up about warning labels starting in the early 1990s, with a rough guess of the era (
’90s). The exact details aren’t memorized, but the point is that regulatory or industry practices evolved during that period, shaping how artists and labels manage product content and branding.
Contract tricks and the arc of industry norms
A story is shared about a record company demanding 10 albums for a contract. One artist, frustrated with the contract, produced nine albums very quickly and stacked them on the rep’s desk, effectively signaling completion. The label then adjusted rules so that releasing 10 albums within a short window would be restricted (e.g., needing 12 months between releases). The broader takeaway: small, clever stunts by artists helped shift industry terms over time, pushing contracts to become less favorable to artists and more favorable to the business.
The contrast is drawn between one major project (as with Frank Zappa’s broader catalog) and nine remaining projects that a different artist had to fulfill. This underscores the variability in contract requirements and how artists navigate them.
From physical sales to streaming: revenue implications
Before digital, selling albums at live shows produced tangible revenue (e.g., selling to a small audience for around $30 per album). Some fans who bought the album might not even listen; the product existed as a physical object and a memory of the live experience.
In contrast, digital streaming changes revenue dynamics. A million streams might yield around , whereas a million physical album sales could, in some cases, total roughly in revenue and potentially be more lucrative per unit than streams. The speaker emphasizes the broad difference in monetization models between physical sales and streaming, highlighting the need to understand and navigate these economics.
A common takeaway is that artists are competing for listeners in a landscape where the per-unit revenue of streaming is much lower than a direct sale, making it essential to target high-value gigs and connections.
Distribution and promotion roles of record labels
In the traditional model, labels did more than fund albums: they managed distribution, including their own distribution offices and relationships with streaming platforms (Spotify, Deezer, etc.). The question was raised: who is the artist—the label or the artist? The answer implied here is that streaming platforms handle distribution logistics, while the label contributes strategic support and promotion. The takeaway is that the role of a label is evolving with digital distribution, and artists may need to blend creative work with business administration to maximize reach.
The speaker notes that artists often prefer to stay in a creative mode (music creation, performance) and delegate or outsource business functions (marketing, distribution, negotiations) to managers or partners while maintaining creative control.
Business thinking for musicians: mindset and practicalities
Even when musicians are primarily creative, business-minded thinking is essential. Pricing, profits, and expenses must be considered to grow a venture. The speaker emphasizes treating music as a business, with profits and costs to manage.
Example domains mentioned: film scoring, live sound, teaching, composing, and music production. The class explores how a musician might combine creative work with entrepreneurship, including pricing strategies and how to balance revenue streams.
Small business resources for musicians
The course introduces two practical resources for aspiring entrepreneurs:
Small Business Development Centers (SBDC), e.g., at UWM, offering guidance on setting up an LLC, taxes, and other startup processes. These resources can provide step-by-step help and materials.
SCORE (Service Corps of Retired Executives), a mentor network where experienced veterans of business can answer questions and offer guidance. The speaker notes that finding mentors in a specific field (like broadcasting/communication arts or live music) can be challenging but valuable.
The broader message: seek mentorship and official guidance to move from idea to formal business setup with confidence.
Bookkeeping and financial hygiene
Tracking expenses is essential for a music business. The speaker uses QuickBooks to simplify bookkeeping, though spreadsheets are still used for some tasks. Keeping a clear record of gigs, travel, meals, lodging, and equipment purchases enables accurate profit calculations and tax preparation.
A practical tip: keep your receipts and categorize expenses (gas, meals, gear) to understand profitability from different gigs and projects.
A simple productivity tip mentioned is the “touch it once” approach to mail and administrative tasks, reducing the time spent revisiting clutter rather than processing items promptly.
The 80/20 rule and prioritizing gigs
The favorite concept is the 80/20 rule: 80% of profits come from 20% of clients. In practice, this means focusing on the high-value gigs (e.g., corporate events or weddings) that pay significantly more than routine gigs (e.g., small coffee shop performances).
The speaker notes that for a gigging musician or live sound engineer, those high-paying gigs can dominate profitability, prompting a shift toward securing and prioritizing those opportunities while maintaining some ongoing, smaller gigs.
The same principle is observed in other industries (e.g., construction) where a few large clients create most of the revenue, suggesting a generalizable strategy for business planning and resource allocation.
Plan and articulate your business: exercises and templates
The class includes structured prompts to help students articulate their business: a one-paragraph business description, a paragraph about history and background, and a decision on business structure (sole proprietorship, LLC, corporation types, partnerships). The rationale for LLCs is personal-asset protection in case of lawsuits, whereas sole proprietorships are simpler but offer less protection.
Target market and marketing strategy are broken into primary and secondary markets. The primary market is the main source of high-value gigs, while the secondary market covers related services and broader opportunities. The example pathways include global online reach for percussion lessons and a more focused local approach for live sound or teaching services.
The concept of a positioning statement (short, elevator-pitch-like description) and a marketing mix plan are introduced as core components of a coherent business strategy.
Referral marketing and collaboration: instead of seeing competitors as threats, the speaker advocates turning competition into collaboration, exchanging cards, partnering on gigs, and building a network that creates referrals for mutual benefit.
Marketing strategy: ideas, channels, and presentation tools
Marketing ideas discussed include obtaining radio exposure, college radio appearances (e.g., WMSE), and screen-recorded demonstrations of the music production process (DAW) to showcase expertise and attract clients.
The instructor emphasizes the value of testable, accessible marketing content—short, informative, and demonstrative materials that attract potential clients without being overly promotional.
The class discusses a practical plan to gather marketing ideas into a “marketing mix,” a combination of channels and tactics tailored to the performer’s brand and audience.
Elevator pitches and the marketing mix are intended to be prepared before the end of the course, so students can present a concise, compelling description of their business and value proposition.
Professional identity: business cards and digital contact sharing
The instructor demonstrates various real-world business cards from his own collection to illustrate design considerations: orientation (vertical vs. landscape), band vs. personal branding, and how to convey multiple roles (music, construction) on the same card or separate cards.
The discussion covers practical tips for design and printing: templates via Canva, final production through Vistaprint, and the importance of including a QR code or contact information that enables quick access to online profiles or websites.
Two main formats are highlighted: a two-sided card (one side for music-related services, the other for a different business area) and a single-card approach with design elements that reflect the artist’s identity. The value of a visually memorable card (color, typography, layout) is emphasized, along with practical notes about the cost and speed of printing.
Creative examples include cards designed to be distinctive (portrait vs landscape orientation, see-through plastic cards), as well as the risk of too much novelty (e.g., a card with limited back information or a translucent surface). The speaker uses anecdotes about specific cards the class can relate to.
Alternatives to traditional cards are discussed, such as Doc/dot-based contact tools that allow visitors to tap their phone to save contact data or automatically add to a contact list; these can streamline post-event follow-ups but require a platform and profile setup.
A practical caveat: digital contact sharing can lead to clutter in recipients’ phones or inboxes, so it’s important to choose a method that balances ease of use with reliability.
Canva, printing, and the design process
Canva is presented as a fast, accessible tool for students to design business cards using templates. The instructor demonstrates how templates can be quickly customized and exported as JPEG/PNG files for submission. For cost reasons, Canva templates can be edited and then printed through services like Vistaprint.
The demonstration includes a quick design-and-export workflow, underscoring how students can complete the assignment rapidly if they choose to use templates instead of starting from scratch. The importance of obtaining a proof before final printing is mentioned.
The process emphasizes the importance of including essential information on a card (name, contact email, phone, website/Linktree, and a QR code) and ensuring that the design is legible and professional for potential clients and collaborators.
Two practical scenarios for using business cards
The speaker identifies two real-world use cases for business cards:
1) At the end of a gig, when time is short and the client needs contact information quickly; a card enables a quick exchange and a fast return to tasks.
2) In post-event follow-up, when a client or booking agent ultimately sees the card later and may reach out once they’ve had time to consider opportunities.A personal anecdote about collecting and organizing cards from various professions (music and construction) demonstrates an ongoing habit of keeping networks accessible for future opportunities.
Emerging contact-sharing tools and ethical considerations
The speaker mentions newer contact-sharing tools like Doc/Dot cards that can transmit contact information with a tap or scan, and that require some profile setup on the vendor’s platform. The idea is to keep contact sharing modern and efficient, while remaining mindful of user experience and privacy.
The content underscores that technological tools should simplify, not complicate, networking efforts, and should fit the user’s brand and target market.
Midterm promo package and assignment logistics
The midterm promo package assignment requires constructing seven components (as per the syllabus folder examples). The due date is September 30, with the option to upload the completed deliverables to Blackboard rather than printing physical copies.
Students are instructed to create a Google Drive folder with labeled categories and to include the final business card template or a screenshot so the instructor can review. This folder structure helps organize evidence of progress and ensures all required elements are accounted for by the deadline.
The instructor revisits the importance of thinking through business structure, target markets, and marketing materials in the lead-up to the final project, reinforcing the idea that marketing and business planning are integral to a musician’s career, not afterthoughts.
Cross-cutting themes: ethics, philosophy, and practical implications
Collaboration over competition: turning rivals into potential partners, sharing networks and resources to raise everyone’s profile rather than warring for limited gigs.
The ethical dimension of fair contracts and the power balance between artists and record labels: artists have historically pushed back against overly restrictive contracts by using strategic behavior (e.g., catalog stacking) to negotiate better terms.
The practical reality of monetization strategies in a digital world: distinguishing between revenue from live services, product sales, and streaming, and understanding how different revenue streams align with personal goals and the market.
The ongoing tension between artistic freedom and business requirements: even highly creative individuals must adopt business practices (bookkeeping, marketing, legal structure) to sustain a career.
Key formulas, numbers, and quantitative references
Streaming revenue example: If one million streams yield about , then the per-stream rate is approximately $$R_{ ext{per stream}} \