Record Labels Use Piracy Data to Please Fans
Written by Enigmax & Ernesto on September 18, 2007It turns out that P2P is not only an enemy for the major record labels, it’s also an excellent marketing research tool. In fact, MediaDefender is using piracy to help labels increase profitability.
Most people assume that record labels hate filesharing, but it seems that some companies actually use it as a research tool.
In this specific case Interscope asked MediaDefender to check whether one of “Pussycat Doll” Nicole Scherzinger’s leaked singles is getting some traction on P2P networks. Her first single “Whatever U Like” isn’t selling well and they want to find out if pushing the track “Baby Love” is a good idea. Valuable information for them apparently, and it shows that P2P is not all bad, it’s a tool.
Here’s a quote from an internal MediaDefender email that was leaked on BitTorrent:
Nicole from pussy cat dolls has a single called “whatever u like”. It’s not selling well on itunes or playing that great on radio. A song called “Baby Love” just leaked (I don’t know how long ago). Interscope wants to know if Baby Love is picking up steam on p2p. They need to make a decision by early next week on whether they should switch to this song as the single. Please get me a score comparison on Monday for these two tracks. Also, please put beyonces, fergie, gwen, and nelly furtado singles as comparisons.
So, while the RIAA is suing the heck out of downloaders claiming that they lose them money, their monitoring of P2P itself is providing a rich source of information that businesses love. It enables the label to gauge the mood of the pay market in advance - a glimpse into the future - to ensure that they don’t alienate their customer base by giving them stuff they don’t want. In a business, this type of market foresight can be invaluable. Nearly always leading to more profits, customers feel happier and more satisfied with the products they are offered, leading to greater loyalty longer-term.
MediaDefender checks how popular the song is, produces some nice graphs, and Interscope releases the single if it’s popular enough, saving the label money and pleasing their customers more as they do so.
Long live P2P!
Previously: The Pirate Bay blocked in Turkey
Next: MiiVi Admit They Will Report Pirates to ‘Proper Authorities’
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Wow, there are some real revelations this week! Unfortunatly Interscope will have to find another company to do its research, as MediaDefender will undoubtedly be going into liquidation very soon.
LOL, this is golden.
“Please leech the song on p2p, so we can decide if we will push it, and if we do, please pay 4000usd because you leeched it.”
BOINK!!!
Haha. That’s actually pretty cool, and a pretty smart move by the record labels. Maybe they’re beginning to see there isn’t just downsides to filesharing?
Just like a nasty spell of the clap, the MediaDefender email leak is a present that just keeps giving!
Hm, I don’t listen to hip hop, rap, r&b, etc and whatever that’s on mainstream radio. To me, it is not music, although, technically, they are. I just don’t like them, but they are not crap, just not my thing.
I like to listen to trance (some sub-genres of it) and classical music. So this news is sort of strange, but I couldn’t care less. I guess that it is a good thing that these organizations are doing something positive for the music and the p2p community.
Side note: It is unfortunate that at my school, the dances are comprised of music of what you hear on radio that a large majority of teen listen to. The company, Vibe, hosts the dances for us. I have listen to the tracks that they play, I can’t imagine people actually dancing to this music. Trance is the perfect genre (along with some sub genres of House) for real dancing. Oh well, can’t beat the mainstream. http://vibe.ca/main.shtml
It seems like record companies are finally innovating their approaches towards their customers. Finding ways to utilize new (and old) technology to benefit your market model is ever so important to those corporations, you’d think they’ve invest themselves in figuring out new methods instead of making vain attempts to counter-attack an irresistible tidal wave (metaphorically speaking).
Touché Interscope records, you’ve shown some proof of intelligence amongst your peers.
Big Champagne has been doing this stuff for years …
Also worth quoting is this email from EMI to MediaDefender on July 25:
“We’re trying to make some decisions on the next Interpol single from the
recently released album “Out Love to Admire”. Can we get a breakdown on P2P activity for all the tracks on the album so we can add that to our decision making data?”
Long live P2P!!
yeah I used to work at wbr/reprise in the new media dept, and they def love p2p data for things other than prosecuting. I think bigchampagne was one of the services they used.
Figures that the RIAA would condemn P2P and then .. *GASP* Use it to their benefit?!?
That’s the way to do it! I’d rather hear about Media* giving more stats than gathering data on individual users.
What I think needs to happen is we need to get some type of group together that snags all of these jackass companies IP addresses and blocks them from using P2p networks. We’ll get that damn MediaF’ers ip’s and the RIAA, MPAA and whoever else is causing a ruckus and just block them from using p2p. If there was a database that torrent sites could connect to that would constantly be updated… Yeah, it’s a nice thought. Wish I had the know-how to get ‘er done.
I’m confused. We learn here that the RIAA companies are leaking singles on P2P, so are these legal right? I mean if they give away promotionals, of course they’re free. How can I tell if I have legal promotional single or a ripped single? We’ve previously heard of TV show producers deliberately leaking episodes to BT for publicity. They really should label promotionals as promotionals, otherwise some smart lawyer will argue consumers can’t be expected to tell the difference.
I want to know how much the people receiving the data requests are getting for their trouble.
MediaDefender are equivalent to the con artists that sell fake Rolex watches for half the price of a real Rolex. The only people that listen to these shysters and believe them are those looking for a short-cut to riches and fame.
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