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Business News (more headlines) 10-30-2001

Promolibraries, New Hope For Music Industry

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Dallas/Fort Worth, TX - With broadcaster's program-hypocrite, the bought-and-paid-for airtime for new music, rather than public demand, out of the bottle via 'program consultants' effectively making payola legal at the price of losing virtually all public credibility, major record companies and independent labels alike are suffering from worse than lackluster sales. The super companies, Time-Warner, Sony, Universal, Bertelsmann, Vandor, EMI, Walt Disney and EFA (European) are now resorting to greater use of subscription Electronic Music Services (EMS), mainly promolibraries, to test market new releases before taking on the investment of hard promocopies and in-advance-of-orders stocking of shelves.

Uploading a song into the promolibraries can reach some 8,000 download subscribers world wide almost instantly, and does not require a manufactured record! Compared to the $400.00 to $7,000.00 per-song to upload, and the $60,000.00 minimum just to manufacture and deliver a record in today's market, promolibraries have become the secret lode of cash-saving cows, providing a cost effective way to determine a product's commercial acceptability before the massive expense of manufacture, promotion and distribution.

The 200-plus major and independent promolibraries service mostly radio, broadcast programmers, syndicators and background music providers. With anti-piracy the major concern, usually reduced or eliminated with sophisticated identification software and constant password changes, most everything else is off the shelf, programs, hardware, sales and administration. An expected side-effect of the merging promolibrary market is an influx of independent operators and brokers. Some are now advertising on the internet bringing the as-yet little known service into main stream.

Promolibraries, once called "digital libraries" came on-line in 1992 and into their own in 1998/1999 when virtually all major companies made their entire catalogs available for licensing via their in-house EMS by both subscription and the internet. The advent of narrowing profit margins due to increased costs of broadcast accessibility and falling record sales has made major and permanent changes in music promotion and promolibraries a force to be reckoned with.

The super eight companies are forwarding plans to make all new releases available only by electronic subscription eventually totally by-passing manufacture and mailing free-to-radio copies.

And now you know how a record can reach a local station from some distant broadcast program service several days, even weeks, before it shows up on store shelves. Promolibraries, the promotion rage of the coming age!

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