Do You Know What A 360 Deal Is?
13.06.2010
POSTED IN Underground 101 | 3 COMMENTS TAGS : 360 record deal, A&R Payola, artist management, i am the traphouse, jay z, live nation 360 deals, madonna 360 deal, Malik Shaheed The Krypt A&R Phony, music industry rip offs
As An Artist Do you know enough about 360 Deals? Original Article written By Trap (Reprinted with permission from www.reverbnation.com/IAMTHETRAPHOUSE)
As An artist myself that has been putting in a strong grind for some years now, and feel that I am a Refreshing change to the industry; Do I deserve or anyone for that matter Deserve to be treated as just another number in this fickle Music Industry? My quick response to this is hell Nawl.
The industry is at a great downfall, because wack artists are being signed to labels that can’t sell albums, or sell out shows, and it is creating hardships for Those few artists that have the talent to strive and shine in this music world. The Labels want to sign new artist to 360 deals? For anyone that doesn’t know what a 360 deal is… You’re going to get a quick lesson on this. Free of Charge! Thank me Later. a 360 deal is the 1st thing that a Label will offer an artist. It is just that 360, Just like a 360 degree circle. The label has there hands in all artist pockets when it comes to money making. They get a cut. So if you are making money doing a commercial, a show, getting paid for a guest appearance somewhere; the label gets a piece of your hard work and hustle.
Bottom Line to this, any thing that you and your talent does that generates money, or compensation, the labels getting a percentage. It definitely makes me think on the subject of being signed. Of Course I would like my hard work, and skillz to be recognized by a Major Label, or even and Indie Label with the ability to put me on a larger platform, but It’s not our fault as Artist that the industry is where it is today, Suffering with no immediate bright future ahead.
I think that these A&R Reps that put the music world in this predicament should be videotaped while receiving a massive beatdown by Talented Artist that could have gave life to the industry years ago.
As a Matter of fact there should be a law that allows the “True Great Rappers” to file a pain and suffering Lawsuit against these companies… Laughing, but very Serious. Learn about 360 deals. It’s awesome to be signed, but don’t let them Rape you. Get that Monster Lawyer to negotiate for you.
More On 360 Deals By Nadejda:
Quite simply, a so-called “360 deal” in the music business refers to the recent modern practice of record companies brokering deals with artists that are “all encompassing” in terms of revenue streams. Live Nation’s signings of Madonna and Jay-Z are high-profile 360 deals…the long-term success of which remains to be seen. The practice is novel and barely tested.
Traditionally, record companies were in the business of selling records (including all formats such as vinyl, tape, and CD). The CD (Compact Disc) was the most profitable for the labels as they are the cheapest to produce (compared to vinyl or tape) and, for the first few years of CDs at least, brought a retail price as high as $20 or more! That enormous profit margin (we now know that a blank CD costs just pennies!) provided record executives with the glut, the excessive lifestyles and the fame which from the mid-sixties to around year 2000 was synonymous with the “Music Biz.”
But the party is over. CD sales are on a downward spiral that many think won’t stop until virtually no CDs are sold through traditional retail outlets. Big established record chains, including Tower Records, have quit. Those massive traditional record profits are gone.
This fact of life has forced the enterprising record labels to try to get a piece of all the ancillary action surrounding a hit recording act: publishing, concert receipts, merchandise sales (which can be huge) and other related artist revenue sources. Thus the name “360″…as in the whole pie.
Like many innovations, these deals were born of desperation; after experiencing the financial havoc unleashed by years of slipping CD sales, music companies started viewing the ancillary income from artists as a potential new source of cash. After all, the thinking went, labels invest the most in the risky and expensive process of developing talent, so why shouldn’t they get a bigger share of the talent’s success?
In return for that bigger share, labels might give artists more money up front and in many cases touring subsidies that otherwise would not be offered. More important, perhaps, artists might be allowed more time to develop the chops needed to build a long career. And the label’s ability to cross-market items like CDs, ring tones, V.I.P. concert packages and merchandise might make for a bigger overall pie.
Not everyone is sold on the concept. Many talent managers view 360s as a thinly veiled money grab and are skeptical that the labels, with their work forces shrinking amid industry-wide cost cutting, will deliver on their promises of patience.
Bottom line is this, if a deal is put on the table, do nothing, consult with your management team, if you don’t have one now is the time. Consult and attorney and protect your rights. If it’s not the right deal for you get to steppin’.
Resources from NY Times and Music Row Lawyer.
Sidenote to Trap~ Beat down not necessary, we are going to expose and document cases of A&R Payola, name names and expose this shit to all who will listen….Stay Tuned…
