Originally posted by Brian Prunka
Eliot, I'm interested in your assertion that the music business exists to sell advertising. Can you explain yourself? Obviously the radio industry
exists to sell advertising, as does the music press. But they sell a lot of advertising TO the record companies (although the radio stations don't
call it advertising). The record companies didn't really exist in modern form until Frank Sinatra showed them that you could make a significant amount
of money selling records, and they didn't really take off until Elvis showed you could make a LOT of money selling records. And who are we selling
most of those records to? Kids.
Touring has always been more lucrative than record sales for most artists (except those who wrote a lot of hit songs, because they got the publishing
$, which is why the Beatles didn't bother to tour after their first few LPs).
But the record companies made a lot of money from record sales (and from the aforementioned hit songs, of which they usually controlled 50% of the
publishing). I don't see how the record companies make any significant amount of money from advertising. Radio and television both exist to sell
advertising, sure, but that is irrespective of their content--talk radio exists to sell advertising, too. The music business and the advertising
business certainly have a symbiotic relationship, but they don't exist because of one another, as far as I can tell. |