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sandbox MUSIC MARKETING FOR THE DIGITAL ERA 06–07 Campaigns Years & Years, 05 Tools Def Leppard, 08–12 Behind The Campaign Fan Bits Gaana, RJ Thompson - George Ezra MAY 30 2018 FLASH ISSUE 205 IN THE MERCHANDISING PAN AND SWIFT SALES PART II MERCHANDISING SPECIAL COVERFEATURE Make the most of technology “Merch is one of the last parts of the music industry that has remained un-innovated and static in the digital age,” says Tersha Willis, co-founder of Terrible Merch . “That’s mostly because merchandising companies are still making money doing it the old- fashioned way and there’s a bit of an ‘if ain’t broke...’ attitude towards merch generally.” FLASH IN THE PAN merchandising and swift sales Novelty, she adds, of the kind that has seen Kiss produce coffins, the Kiss Kasket, and Rammstein hawk dildos, is probably not the way forward. But relevance is. And one way to increase the relevance of your merchandise offer is to make the most of current technology. In the second part of sandbox’s merchandise special, we talk to some of the companies shaking up the world of music merchandising to discover how the music industry can use new digital tools to increase merchandise sales today. 1 | sandbox | ISSUE 205 | 30.05.2018 COVERFEATURE “All of our artists, no matter how small, Ingrosso bot for ATM, One of the problems, Cocker explains, is are able to take card and phone payments claimed the same bot had that smaller bands may not sell enough on the road – and this also allows us to an impressive 21% click- merchandise to be able to analyse their monitor stock levels and we are then able through rate on average. sales in any meaningful way. But larger to re-stock them long before it’s a same- bands – or, indeed, merchandise specialists day-delivery charge and rush-re-print Use data to like Dizzyjam – can generate enough data charge,” says Willis. “We monitor stock, we understand points to come to practical conclusions. monitor sales – and we also know which your audience Dizzyjam recently looked at the question grassroots venues sell more merch and on of T-shirt size, using the data from what nights of the week. We know what Both the live music and 15,000 D2C sales worldwide. It found that items sell well in which cities and we know the recorded music approximately 15% of all men’s/unisex how much merch a band will need on the businesses have long band T-shirts sold in the US are XXL, double road. We’re currently building an app so realised the power of the percentage found in Europe – a very that bands and managers can see and data in understanding useful stat for bands about to embark on a know this too.” their markets. But the US tour. Cocker explains that data analysis Kevin Douch, founder of indie record merchandise business in merchandise can tell you about gender label Big Scary Monsters says that apps lags somewhat behind splits, size preferences and how musical like AtVenu are useful for bands to in this, a situation that genre affects shoppers’ tastes; so a funk monitor their stock flow while on the road. Neil Cocker, MD of music “It isn’t sexy or particularly rock ‘n’ roll,” merchandise specialist he admits, “but if it means the difference Dizzyjam , finds between turning up to a venue missing key frustrating. items or not, it’s essential”. “If you started thinking smartly about data and getting access to data, that is where you can start an app that they seem to neglect the idea to make smart of the actual fan experience at the show decisions,” he says. and after the show.” Bots are another platform that the band from Portsmouth, say, would know merchandise industry should look to exploit what kind of merchandise to stock up on Willis says that the technology currently further, taking advantage of the feeling for their German tour. Of course, it helps used by ticketing companies could also personalised attention they engender in this if bands have retained the rights to help to improve merchandise sales. “We in fans. Sean Hill of Axwell /\ Ingrosso’s online merchandise sales and therefore think artists should be looking at selling management company, ATM Artists, told own their data. merch at the ticketing stage for delivery music:)ally last year that their company Matt Young, EVP of Warner Music Artist at show,” she explains. “New-generation had sold over £10,000 of limited-edition Services , says that data “plays a huge ticketing companies actually have the merchandise via a Facebook Messenger role in how we approach each individual technology to do this, but they are so Bot in just a couple of months. The Bot artist’s integrated branding campaign”. heavily focused on the user experience of Platform, who created the Axwell /\ “For example, last year when we launched 2 | sandbox | ISSUE 205 | 30.05.2018 COVERFEATURE Melanie Martinez’s Cry Baby Perfume Milk, a specific design for every show. “But in New York recently that his company we utilised fan data from our email list and even then,” Willis says, “his T-shirts are created a commemorative T-shirt to mark e-commerce customer list and partnered still printed on shoddy blanks and there’s a client passing 3m YouTube subscribers, with Spotify, You Tube and Alternative Press definitely lots of room for doing it better with the process of concept to sale taking for insights on how best to drive awareness and innovating even more, especially just four hours. “The two things we have and reach fans,” he explains. when you’re at that level.” learned are that it is about scale and it Personalisation can also extend to is about speed,” said Scott. “When you Personalisation is key bundles you offer. “Customisable merch are reacting to something and hoping to is important because no two fans are the turn that into money, you have got to be Identification has long been a driver for same,” says Warner’s Young. “We do a lot really quick.” merchandise sales and this is one of of tiered bundles – everything from a basic the reasons why personalisation is so record/T-shirt offer to a full-fledged VIP Think like a brand important in the field. By buying a T-shirt behind-the-scenes experience.” from a particular tour, you are identifying Musicians can be understandably reticent yourself not just as a fan of the band but Scarcity sells to think of their work as a brand. But music also as a fan of the band on that tour, at marketing strategist Tyler Allen argues that specific moment in time. Personalisation may go hand-in-hand that they can learn a lot from the way Direct-to-garment is a modern printing with scarcity in the world of merchandise brands balance new products with more technique that uses specialised ink jet – but limited doesn’t necessarily have to “standard” merchandise. technology and print-on-demand – mean personalised. Sparklestreet founder “Think about [merchandise] like a big deploying digital technology to print Gary McClarnan, whose clients include brand’s commercial campaign,” he writes goods only when ordered – and it has DJ/producer Mr Scruf , says items of on the SonicBids blog. “Let’s take fast both helped greatly in terms of merchandise “are really useful when they food chain Wendy’s for example. It’ll run personalisation, allowing bands to are scarce or part of a uniform”. a commercial promoting its brand-new create small merchandise runs without “We tend to do things that Asiago Ranch Club sandwich but it’ll also large overheads. people want to show off that they have a standard commercial promoting “We see a lot of T-shirts dedicated to have got, or limit the number of Wendy’s as a brand; not necessarily specific events,” Music Glue’s Gabrielle them so that only a number of plugging a new sandwich, but just Nicot-Berenger said at AIM’s 2017 them can acquire that version,” promoting the values Wendy’s has and why Indie-Con conference in London. “With he says. “It is simple scarcity “With Scruff, jigsaws fitted because of the you should enjoy the food. You should be print-on-demand, you can create your and quality – trying to be a little cartoon nature of his graphics.” like Wendy’s, guys. Have material that’s T-shirt without any cost: create designs artisanal.” Musicians should also think about evergreen and can be sold year-round but specific or a gig in Manchester, in Brighton Mr Scruff, for example, has sold everything merchandise that works in the moment, also have your Asiago Ranch Club: that […] Fans start buying the ones they can from tea pots to umbrellas during his taking advantage of passing trends, be unique product that’s hot at the moment connect with.” lengthy career and produces exclusive they GIFs or TV moments. “If you can and needs to be pushed.” Willis, meanwhile, believes that posters for every venue he plays, using new turn out merch straight after something music:)ally Head of Training and merchandise “has become a way for technology to produce high-quality prints happens on Game Of Thrones, that is Development, Wesley T. A’Harrah, says fans to mark the occasion of attending at reasonable prices. These offers work, pretty much bank,” says Patrick Ross, that bands can learn a lot from the a show or concert” after the demise of McClarnan explains, not just because they Director of Digital Strategy at music:)ally.