A hotly debated term in the music industry, 360 deals have indeed managed to capture the attention of record labels and artists alike. It is important for any artist whether solo act, band member or producer to understand exactly how these deals work and who ends up with the bigger payoff. Before I get started explaining what a 360 deal encompasses I would like to take a few steps back and remind us all of what has been the purpose of a record label in the past and how the business model has changed.

Back in the day… Let’s go back to the Motown era just for clarity sake. The purpose of a record label in those good old days was to acquire talent by promising to develop their image and talents funded by big label dollars. Once the talent had been fully nurtured and developed those big label dollars would pay for marketing campaigns. These marketing campaigns would produce gigs, concerts and fan base thus providing exposure for the talent. Exposure which would lead to record sales. Based on contractual obligations by the artist those record sales would payoff the record labels first. Indebted by their signatures on those multi page documents, the label so happily placed before them, the artist had to make several more albums in order to try to dig out of the hole all the while acquiring more debt that had to be repaid. Thus it was and has not been uncommon to hear stories of artist who have had mega sales and number one hits, that have faded into the masses as bankrupt or poverty line statistics.

Granted there were those larger than life (or at least larger than record label) acts such as Elvis, The Beatles and The Rolling Stones that managed to conquer the masses and produce record sales that proved profitable for both label and artist.The new era had brought mega superstars front and center. Michael Jackson, Madonna and Prince have been at the forefront of artist who have gone head to head with their record labels and secured lucrative deals. Yet artist were still receiving the short end of the stick. Could this type of business model go on forever? How could an artist ever think they could reach stardom and notoriety by their own means. Only well established artist could possibly turn the tables.

Welcome the new millennium. Welcome the digital age. Welcome the end of the record label business model as we know it.

At the turn of the new century the number of internet users had grown rapidly. Napster became a household name. Online music file sharing was born. Many Napster wannabe’s followed. This posed a major threat to record sales. The majors were not going to let a home grown program drive down their profits. By 2001 the screams of copyright violations had been heard in the courts. Napster had been shut down. It wasn’t only record labels waging war against Napster big name acts such as Metallica had helped shutdown Napster. The big bad record label wasn’t the only entity losing money it was the artist as well. Napster may have been shut down but here came Kazaa, Limewire and finally iTunes which helped monetize the situation helping artist regain some of what the internet and their fans had taken away.

With record sales down, the labels looked to cut corners. Artists development had now become product development. Less focus was given to the development of the artist. The focus of the new millennium Artist development departments had shifted to breaking or promoting artist to turn over profits quickly and minimize the financial investments of the labels. This change in business model also changed how and when an artist got signed. Before having talent that could be nourished to stardom was enough to ink the deal, now artist must come prepackaged. They must come to they label with enough developed talent and image to have garnered them a growing fan base. Well if you’ve developed your talent and you’ve spent money developing your image then you’ve helped the label do some of its job. Developed a fan base? well that must mean you’ve had some success marketing your talents. These new criterias for getting signed spawned a revolution within the industry.

Yes, it is true that the internet has created losses in music sales but it should be also said that the internet has created a new venue for artist to market themselves and create new revenue. Thus the 360 deal is born. Record labels, quick on their feet, looked for new ways to make enough money to sustain themselves and their contracted talents. 360 deals, a multi-layered contract designed to control the artist’s or band’s overall career and not just their record sales. A 360 deal is designed to allow record labels to control the artist’s career in all aspects. It includes concert revenues, advertising and of course, merchandise—merchandise being the biggest profit gainer nowadays. It also involves branding the artist and maneuvering their careers to what the record labels deem better for revenue gain. Once signed, the record label will be in charge of the talent’s career including their visibility in the music industry. In a 360 deal, the record label and the artist will both get a share of profit coming from all areas of the talent’s career. For the record label, it means more money while for the artist, it means less room for personal choices.

In other words, a 360 deal is somewhat disguised as a partnership between the record label and the artists. Before it was the artists under record labels, now the record label must work hand-in-hand with their talents if they want to make money from them, or so these record labels say. In reality, it is just the record labels’ way of sharing a bigger piece of the pie. As label execs argue, an artist can never land a contract and be known by the public without them. I wonder if anyone mentioned this to Soulja Boy or Drake who have recently delivered big record numbers before signing with their labels. Jay-Z and Madonna penned huge deals pioneering the 360 deal but when the balance of power is in an artist favor those deals do make sense. However, non heavyweight acts are essentially signing away all of their rights and everything of value that gives them any leverage. 360 deals aren’t about selling music, they’re about selling anything that will make some money.

Through the use of artist development professionals, a good marketing firm and effective public relations the artist can develop a team that can do the same at a lesser price or percentage of what the record label will take. Open minded, innovative, ambitious artists and managers should look for investors to form a limited liability company (LLC) and share ownership with the artist in all aspects of the business. The LLC governed by an operating agreement will allow for flexibility and room to grow. The company could invest in new talent and form a subsidiary or the artist could eventually buy out the investor. A lot of the things are possible with the right team and the proper paperwork. If an artist takes a more responsible role in their career and understands the more control you retain the better chance you have of longevity within the industry, the potential is limitless.

Twitter has gradually found its way into the lives of the global audiences. In fact it has moved from being an optional way of communication to a dependable tool. A toll especially useful to marketing efforts.

Newcomers would not naturally find it user friendly but once they get going they realize how many options it provides them with. It not only helps you interact but there is a vast world of marketing waiting to be used. Industries like the film Industry, music industry or web marketing have great potential to reach the top by using the latest social network marketing tools. This is not only common with the older tools like the Facebook and Myspace but it has also expanded its wings to reach the more modern and technologically advanced phenomenon i.e. Twitter.

An artist can use twitter to increase their following and develop a fan base. Twitter can also be used by musicians and artists to give the inside news to their followers. The followers are always interested in listening to the latest about their favorite artists and bands, twitter can deliver fast up to date information giving the audience instant access to the whereabouts and life of the artists thus connecting both in the digital world.

What these artists need to do is to start by building a basic twitter page with a customized background. Once done, they will have to add the link to their original website on the twitter profile. The artists should complete the entire profile and should provide a display picture as well. Giving the true and the proper information will help the fans and the followers find the artists. Having a verified account will let the fans know they are indeed following the artist and receiving updates from the artist.

The artists should make sure that they are themselves attending to their twitter account. They should take some time out and should tweet. This will help them to create a better image. The followers will know that they are not following software program but are actually following a real human being.

In order to reach the top and get the maximum interested following, the artists should care about their attitude and image. They should present themselves in a way that their fans can feel a sense of affiliation with them while following them. Also, the artists should be friendly while tweeting and replying to the tweets and direct messages.

The artists must make an effort to reply to the re-tweets and the direct messages on Twitter. This will help them to create a better place in the hearts of their followers. Most of the modern indie artists are already utilizing twitter in their marketing efforts and they are getting their reward for that. So make sure, you do not miss this great opportunity to market your talent. This is the future of marketing and you need to get on it right now.

If you are an artist and you are finding ways to create a buzz without having to pay a lot of money for advertisements and full-scale campaigns, you will need a knock-out web design and social media sites to display your talents effectively.

The most important rule in social media marketing is being able to maintain your profiles and accounts active, interactive and updated. You need to establish presence in top-ranking sites which allow audio and video postings. Your latest audio recordings should be posted once they’re done for your fans to have a chance to listen to them and provide useful feed backs before you finally release them to the world. You should also post recent videos of your gigs and updated schedule of upcoming shows and events. This way, those who just stumbled upon your site and was quite intrigued with what you have to offer a.k.a potential fans, would be able to know where to catch you in action!

Effective social media sites for artists and bands would be the likes of YouTube and MySpace. You can post hundreds of video clips on YouTube to advertise your brand there while in MySpace and Facebook, you can practice your networking skills. This way, you are inviting your fans to take a peek into your life and in the process, you will be able to get to know them and vice versa. This is how to do social networking effectively and not by blatantly promoting yourself there.

Artist marketing is all about strategies; knowing what people would like to see and hear. In the world of social media and networking sites, you are required to be a person first before a marketer. In this world where spammers rule, it is very important to let your people feel that you are not one of those spammers; instead you belong to your fans.

A press kit is a pack of informational material used by individuals and/or groups for promotional purposes. Also known as promo kit, media kit, or (in case of artists) artist pack, it is a valuable marketing tool that introduces the world to the products, services, and or talent of the individual/group. While every press kit needs to be personalized according to individual needs, talent, and target audience, the key components of a press kit must include: a resume, press releases, positive reviews and/awards, at least one high quality color photo of the artist, contact details, and a CD carrying clips of the artist’s talent. In today’s world of Internet marketing, these promotional materials are usually included in an easily down loadable format (usually a PDF document) to make a digital press kit.

The promotional value of press kits, whether printed or digital, is immense for both beginning and established artists. For the beginners, it serves as an entrance into the world of media, making them known to potential customers. With quality press kits, already known artists take their talent to a higher level of recognition. In both cases, artists’ press packs need to distinguish them from the competing individual/groups with similar talent and offers. Ideally, a press kit will present concise and vital information and not just everything about the artists. The presented material gives an impressive glimpse of the person’s talent and gives an idea of whether and to whom his professional work is of interest.

As a general rule, the more effort you put into preparing a press kit, the higher its promotional value. Depending on their budget, artists can get professionally designed covers and graphics for their press kits; separate covers and graphics may be needed for individual components of the kit. In case of digital press kits, dynamic contents like animations and links to short video clips, add a lot to the kit’s marketing appeal. Digital press kits are also easier to edit and update for press releases and event news etc. Artists having their own band or company (big or small) need to include their logo and company profile. An updated schedule must be included in the press kit so as to inform potential customers on the artist’s availability.

For all artists, creativity is important for using in press kits just like it counts in their professional performance. However, it makes a greater impact if professional designing and editing services are hired for developing one’s artist press kit. Before hiring an editor/designer for making your press kit, do remember to check samples of his/her work available online. If none are there, ask for it.

When promoting your talent one of your biggest assets is not only the talent you showcase but how you present it to industry professionals. Rebel Talent combines marketing and design skills with a passion for the arts to help aspiring artist create an unforgettable Media Kit. As part of our Artist Development services we offer press kits which include:

• Branding Graphics
• Photos
• Biography
• Description of your Product (music, art, book)
• List of Current Projects (concerts, art gallery showings, book signings)
• Description of Additional Services (workshops, seminars)
• Testimonials, References and Media Reviews.

Electronic Press Kits for Musicians also include several songs and a video, performance requirements and a calendar of upcoming shows.