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Dry Streams Paradox Sponsor Page BROUGHT TO YOU COURTESY OF 04-05 Tools Skills for smart speakers 06–07 Campaigns Moby, Red Hot Chili Peppers, Ludovico Einaudi, Blossoms ™ 08–12 Behind The Campaign- Khruangbin AMP IN ASSOCIATION WITH sandbox MARCH 20 2019 MUSIC MARKETING FOR THE DIGITAL ERA ISSUE 224 UP HIT CREEK THE DRY STREAMS PARADOX SPONSOR PAGE COVERFEATURE UP HIT CREEK THE DRY STREAMS PARADOX Are you frustrated with the size of your fanbase? Tired of banging your head against a brick wall with ticket and merchandise sales? Unable to reconcile your streaming figures with the number of genuine fans? Then you too might be suffering from The Dry Streams Paradox. K, we’re being slightly facetious with What happens when you a healthy and committed the phrase Dry Streams Paradox, but realise the streams are dry? fanbase.” Othe problem is a real and present One Scandinavian danger, as music:)ally SVP of digital Dry streams, Ross explains, are manager, who did not wish strategy Patrick Ross explains. “What streams that come without a to be named, says that we are hearing from a lot of artists is great deal of interest in the artist they have seen numerous that playlisting doesn’t necessarily grow themselves; streams where the examples of this problem. fanbases,” he says. “You get listens and a artist is reduced to little more than “We have had a lot of lot of those come from playlists; but that a name and packshot on a playlist. projects that just ran crazy doesn’t necessarily mean they connect Dry streams tend to come from playlists on streaming and then you have to play tons of projects and tons of talent just with you as an artist. We have seen this created by editorial teams rather than by catch up on the rest,” he says. “Especially completely wasted because the labels are where an artist has millions of streams, algorithms and that makes them time Scandinavians, we have been working fine with having it stream really well and they play a show and there’s no one sensitive and rather insecure: your playlist with Spotify for a long time. We have not changing how they work to try to build there.” placement is based on a human decision had that as the major part of our music more stuff around it.” sandbox spoke to multiple artist that can easily be changed. And when your market for a long, long time. We are seeing managers for this piece who did not want playlist placement goes, as it inevitably will, From connection to to be quoted directly – but all of whom then streaming counts plummet. disconnection: streaming confirmed that this is a genuine problem. “If the main portion of an artist’s listener in a vacuum At the root of this problem is the fabled base comes from third-party playlists, they “dry stream”. will have to rely on releasing a constant Unpleasant as this might sound, the “I was with somebody the other day and flow of content in order to get those playlist phenomenon of dry streaming is perhaps they said, ‘Oh my god, I love this song, I’ve placements and the monthly listeners they to be expected the more the industry added it to my library.’” Ross says. “I asked, bring in,” says music:)ally digital marketing shifts to a playlist culture. No one here is ‘What is it?’ And they said, ‘I don’t know – it coordinator Isabelle Ljungqvist. “Being complaining about streaming, with global is on one of my playlists.’ And that is the featured in large and prominent playlists music industry revenues once more on the dry streams paradox.” might be good in the short term for initial rise due to the uptick in user numbers for streams, but it doesn’t automatically foster Spotify, Apple Music, Amazon and more. 1 | sandbox | ISSUE 224 | 20.03.2019 COVERFEATURE Nor are we about to grumble about the on you. This might work – but it is hugely incredible access to music that streaming risky and puts a vast amount of strain on the brings. But it is hard to argue with the idea artist to keep coming up with the goods, and that more access to music has led to a also doesn’t work well for albums. disconnect with individual acts. “You can keep releasing music forever “With physical and digital purchases, and then you can keep playing Spotify,” you’d pay up front for a specific artist’s Ross says. “But you need to realise it is music; whereas the financial commitment part of the ecosystem and if you put all of of a streaming subscription isn’t your eggs in one basket, then you are not directed at a certain act,” says Ljungqvist. actually doing the job.” “Having that financial commitment to an It is also a rather shortsighted approach artist fosters a loyalty to the act, as the to take. “My biggest issue about this is so consumer has spent money for a specific many labels creating stuff that lasts maybe album or track, which they will probably a maximum of three months if you are listen to multiple times.” lucky,” says one manager. “They create lots of catalogue that doesn’t stick or have any Platforming rather value other than being used for a while.” than performing especially if you have the DSP To address the dry streams paradox may support, as a label you can keep require labels, managers and artists to re- You might wonder what exactly the on servicing tracks and putting think some of their most treasured beliefs problem is here. Dry streams are still out tracks at that level and doing about the power of playlists, taking down streams and pay as well as any other kind all your budgeting based on that some holy cows with them. “We speak of play. And if people don’t exactly know level.” about [Spotify playlist] New Music Friday your name, well, there are worse things in They add, “If you are a label being a curse and a blessing at the same the world than well-paid anonymity. Like that works volume-wise, you time: it provides the peaks that you get on a twist on the old Oscar Wilde line, there are kind of fine with that. You’re release day and then [streaming numbers] is only one thing in life worse than being not going to lose any money, fall and flatten out after that week,” says dry streamed and that is not being dry you’re not going to pay any big our Scandinavian manager. “Only the ones streamed. advances, you just say, ‘OK the that are in the top 10 stick and get that This helps to explain why plan for this is to stream 5m to major boost with people.” many labels are OK with the dry 10m and after that you are fine.’” So acute is the problem that at least one stream paradox: streaming makes The fundamental problem manager talked to sandbox about actively them money and, if they budget is that dry streams put artists avoiding the all powerful New Music Friday. accordingly, they can still make a at the mercy of the streaming Instead, they look to “curate” their audience profit off this temporal success. platforms. “If you are finding through more traditional methods, creating “I call it ‘platforming’ – that first year and favour within the streaming If the stream is dry then engaged audiences that will follow them a half of a project, when you get some radio ecosystem, then every time you release on to Spotify. “It’s all about trying to build support, some DSP support and you end something you get a bump because you flooding it must surely an audience from the get go,” the manager up going up a level,” says our Scandinavian get playlisted,” Ross explains. “But in be the answer. Right? says. “When we launched some of our manager. “But it flattens out and you stay reality you are completely beholden to the One remedy to this problem is to simply keep young artists last year, we went to Spotify on that level for a long time. It is extremely playlist owners so that they continue to releasing new music, in the form of singles, and said the only thing we are going to hard to scale from that point. And playlist you.” and therefore to keep the editorial spotlight be focusing on on Spotify is to build that 2 | sandbox | ISSUE 224 | 20.03.2019 COVERFEATURE Spotify follower numbers. We are not But the added advantage of having fans asking you to add stuff to playlists.” who actually know your name is that this To build this kind of engaged audience, will also help to drive plays and algorithmic marketers may want to take a leaf from playlist adds on streaming platforms. the music industry’s recent past. “It “When something is extremely is basically dusting off the marketing organic, it says something to book from 2009 and going, ‘What are all Spotify; it tells them to think of this the activities you have to do? And what as something that is going to be actually makes an artist?’” says Ross. worked by algorithms and all that “And that involves all kinds of marketing, good stuff that keeps your physical and digital, whether that be a good streams going,” says the Scandinavian Instagram strategy, frequently playing live, concentration on the kind of marketing So that’s where tracking, remarketing and manager. and even TV or radio or bits of press: all the skills that are sometimes overlooked today, digital advertising and promotion back to Ross says that many people things that make the artist more than just such as creating engaging social media these people comes in.
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