Applying the case-studies Explore an exam style question Understand the terms and how to apply a case study. Identify gaps in research.

Discuss the issues raised by media ownership in the production and exchange of media texts in your chosen media area.

Universal Music Group A global conglomerate

The largest of the ‘big four’ labels Responsible for 30% of world music sales Based in the US with offices worldwide Owned by Vivendi (French media conglomerate) Merged with BMG Music Publishing in 2007 Many subsidiary companies including Island Records Group, Decca, Polydor and Mercury Revenue $5.87 billion in 2010 Key facts

Universal is the biggest of the four major record labels, responsible for 29% of the music sold in the world. A global conglomorate Has access to a global market – targets international audiences and manages artists with global appeal. Is this always beneficial? In summary…

Often the ‘majors’ or ‘conglomerates’ brand their output as ‘independent’ by setting up or acquiring a separate company. This is done by buying local record labels who sign local artists in addition to their marketing of global acts. What is the benefit of selling music that is made ‘independently?  Being ‘outside the mainstream’ localizes the product and seems more personalised  It suggests that you able to offer something that is ‘alternative’ in some way (unlike all the others)

Major labels operate a vertically integrated business model, where the owner has acquired companies which play different roles in the process of creating, promoting and selling music. Recording Promotion & marketing Distribution e.g. Vivendi Distribution Retail/exhibition e.g. Virgin radio Song writing and publishing Licensing (to film/TV/mobile) e.g. Universal Pictures Hardware e.g. Sony DVD players

Universal includes marketing and distribution branches which exist in order to aggressively maximize catalogue repertoire according to their website. This means that branches of the company work hard to make sure that as much money is made from each artist as possible.

A music publisher owns the copyright for music and lyrics and can licence them for use in film, TV, advertising, mobiles etc. as well as for other artists to cover. UMPG is the largest in the world, with over 1 million copyrights.

 A type of energy drink, made by Universal Music Group?  ‘Cross-Promotion’ of media products for example the release of certain products simultaneously.  The type of energy created when a record label takes over a small independent label

 A type of energy drink, made by Universal Music Group?  ‘Cross-Promotion’ of media products for example the release of certain products simultaneously.  The type of energy created when a record label takes over a small independent label

What it means and how it relates to the music industry…

 Definition: The integration (combining) of institutions for mutual benefit. For example the release of certain products simultaneously. The industry calls this: ‘Cross-Promotion.’

Example: A film may be released at the same time as an associated CD soundtrack to produce maximum revenue.

 Definition: The integration (combining) of institutions for mutual benefit. For example the release of certain products simultaneously. ‘Cross-Promotion.’

 Definition: The integration (combining) of institutions for mutual benefit. For example the release of certain products simultaneously. ‘Cross-Promotion.’  eg. Who had heard of ‘The Rembrandts’ before the series ‘Friends’ made the song so memorable?

 Sony has a franchise in the music and film and game console industry.  It is easier for them to use synergistic practices to promote and sell their products because they are vertically integrated.  The potential for internal synergy is enormous!!

‘Quantum of Solace’ (Sony Pictures 2008)  Soundtrack by Sony: ‘Another Way to Die’ Alicia Keys’ – distributed by J Records (a subsidiary of Sony Records)  DVD and BlueRay Disk released film in HD  Console Game available on Sony Playstation 3 - Funded by ‘Sony Entertainment’

 How is it an advantage to the music industry? The music is more saleable because the audience is attracted to elements they recognise from the films. The film is advertised by the music. Everyone’s a winner!

 Sony Pictures could join with Sony Online Games to produce a ‘tie-in’ game/film to produce a greater market exposure for both products.  Sony Music could then release the soundtrack for both. How could this work for a record label promoting a new music artist?

 Girls Aloud – produced by Polydor Records (subsidiary of Universal Records)  Sang the soundtrack music to St Trinians – produced by Universal Pictures

 Music was used in a diet coke advert Homework: Create 2 more case studies on artists represented by Universal who have used synergistic marketing to promote their albums

A music publisher owns the copyright for music and lyrics and can licence them for use in film, TV, advertising, mobiles etc. as well as for other artists to cover. UMPG is the largest in the world, with over 1 million copyrights.

What do they do? - concerned with the development, promotion and protection of the interests and rights of songwriters and composers. - manages the rights in the music - enables the music to reach its many audiences by.. encouraging record companies to record and release material and licensing works using synergistic marketing (i.e. agreeing the use of music in a film or advert) and print (sheet music).

Production:  Signed to Island Records after takeover by Universal.  Worked with songwriting & production company Xenomania, Jay-Z’s production company Roc Nation and several other producers and writers.

 UK, Europe, Asian and US tours for new album  Theme song for Powderpuffs Girls Movie  ITV teen drama Girls in Love theme song  Tracks on soundtracks for Love Actually and Sex and the City  Boots Christmas TV advert – Girls  Images licensed to Mattell for Barbie dolls

 None of the original line-up remain – critics say they are now ‘more brand than band’ (The Independent)  New album Sweet 7 has sold relatively poorly in the UK and Europe – launch week is significant for sales.  Rumoured that Roc Nation has dropped the group from a contract due to poor European sales  Sweet 7 entered UK album charts at #14 March 2010 – first single had been released August  US release uncertain due to poor European sales

Create 2 more case studies on artists represented by Universal to include: 1. Artist who has used synergy to promote their album 2. Artist who has sold ‘secondary licensing’ to help promote their music