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How to Market Music from Developing Countries Online TRADE IN SOUNDS Martin Labbé, Adviser, Online Marketing Enterprise Competitiveness Section
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Presentation structure: - Background information - The joint ITC-WIPO initiative - Call for action
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The International Trade Centre
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Export Value Chain Export Marketing & Branding Export Management Development EXPORTER Strengthening digital-content value chains by making LDC producers more competitive
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… starting with music!
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But why music?
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Summary: what we did
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Exploring new opportunities for our clients
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2008 - the global digital music business grew to US$3.7 billion (+25%) Online music stores account for around 20% of recorded music sales, up from 15 per cent in 2007 Music has gone digital and online…
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… and music is going mobile… 1 out of 2 digital tracks is sold over mobiles… … Nokia’s « Comes with music » leading the way… … and developing countries on a level playing field – almost…
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New players in the value chain… New intermediaries and new consumption patterns. From « buying music » to « music access »
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… and a new way to share value… Dealing directly with Online music stores generates more profit, but requires an attractive portfolio and more technology involvement Aggregators are easier to approach, but are not always able or willing to promote all of their portfolio equally.
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Online music stores are mushrooming… but NONE in an LDC But what is the impact on the music industries of the developing world?
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Country-level findings Brazil & India: despite piracy, dynamic market, local leaders, « white label » platforms Senegal, Serbia, Kyrgyzstan: web promotion (streaming), aggregators, OMS, but not mainstream. Mali & Tajikistan: no real usage of web or mobile Marketing, isolated efforts To access global markets
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Challenges…. Piracy + lack of innovation in marketing = Low Revenues
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How can we help?
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How can ITC help? CAPACITY BUILDING A two-day training course Support materials: manual + online platform BUSINESS ADVISORY SERVICES Market linkage with major online distributors
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DIY: Starting with the basics
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DIY: Following inspiring examples 1/2…
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DIY: Following inspiring examples 2/2…
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DIY: Setting up an online music store
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Thank you! For more information: labbe@intracen.org
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