Ken is the CEO and co-founder of Verifi Media. Ken is an independent investor and business advisor for music startups and artists, through his company Digital Daruma, with a specific focus on artist facing music and media service companies. Digital Daruma has invested in numerous promising music startups over the decade. Digital Daruma has also made select direct investments in music artists and songs. He is also an experienced musician, and currently plays bass in a band Fifth of Bourbon. Lastly, he is involved in a number of music foundations and academic organizations, including serving on the board of Little Kids Rock, as well as advisory board position for programs at New York University and Berklee College of Music. I personally know Ken through my Dad who is also part of the band Fifth of Bourbon.
Basic Recording Principles:
Before entering the recording studio, it's essential to have a clear idea of what you want to record. Composition work should be completed beforehand. The recording process typically involves three phases: tracking, mixing, and mastering. Tracking refers to recording all the necessary tracks, which can occur over multiple days. Mixing involves tweaking volumes, panning, and adding effects to enhance the recorded tracks. The final mix is then bounced down to a stereo track, usually stored as a WAV file for optimal fidelity. Mastering is the last step, where the finished mix is polished to ensure consistency and quality. This can be done using software like Logic Pro or by employing mastering services, although the latter can be costly. Finally, once the recording is complete, considerations for releasing the music come into play, involving further post-production work and distribution strategies.
Stone Foxes:
The Stone Foxes, a rock band based in San Francisco, gained traction over their ten-year career primarily through touring and professional management. Their manager facilitated commercial placements, including beer and whiskey campaigns, which provided significant revenue through licensing fees. Despite touring expenses, the band relied on sync licenses to cover day-to-day costs, as touring itself was not particularly profitable. Streaming revenues, while present, were minimal due to low payouts, with their most popular song garnering around $70,000 over 14 years. Professional recordings, studio time, and promotional efforts also incurred significant expenses, highlighting the financial challenges faced by independent bands in the music industry.
Music Distribution:
When preparing to release music, there are several crucial steps to consider. Firstly, selecting a distributor is essential, with options like DistroKid and CD Baby available to distribute final master tracks to various streaming platforms for a fee. Additionally, registering as a songwriter is important, and services like Song Trust assist independent songwriters in registering their compositions with organizations that collect royalties on their behalf. Furthermore, registering with a PRO (Performing Rights Organization) such as BMI, ASCAP, CSAC, or GMR is necessary to collect public performance royalties for songwriters. Clearing cover songs is another critical step before release, and services like We Are the Hits can help in this process. Understanding royalties, metadata requirements for distributors, and creating artwork for releases are also vital aspects. It's important to grasp the licensing process, as artists license their recordings to streaming services through distributors, and royalties are collected based on usage agreements. Additionally, public performance royalties collected by organizations like BMI ensure compensation for songwriters when their music is played in stadiums, stores, and other public venues. Lastly, PROs also collect royalties from radio stations for the public performance of songs, further monetizing an artist's work. Overall, completing these steps ensures that an artist's music is properly distributed, protected, and monetized in today's streaming landscape.
Monetization:
The shift to digital platforms has significantly altered the revenue sources for artists, particularly those from previous decades like Blue Oyster Cult. Historically, artists relied heavily on album sales, which allowed labels to bundle hits with lesser-known tracks, generating substantial profits. However, with the decline of physical sales and the rise of streaming, many artists find themselves earning less from recorded music. This has led to increased dependence on live performances for income. While some iconic acts like Led Zeppelin managed to balance earnings between recordings and tours, the streaming era has further diminished the revenue potential of recorded music alone. Yet, there are exceptions where legacy acts experience resurgences in popularity, often due to movie soundtracks or TV show placements, resulting in substantial revenue boosts. However, these instances are relatively rare, and the majority of artists, even popular ones, primarily earn from touring. Notably, artists like Taylor Swift stands as an exception, achieving significant success both in recordings and tours. Overall, while digital platforms offer exposure, the financial landscape for artists has shifted, prompting a greater emphasis on live performances as a primary revenue stream.