The eMusic Post We Had to Have By Amanda on June 4, 2009 5:40 AM | Permalink | Comments (10)
So, the eMusic issue. I didn't jump in and blog here about it for a few days because I wanted to be more measured in my response. It's entirely over the fold so as to not bump the Flatlanders down at the expense of a rant most people won't be interested in. It is long and rambly, assumes knowledge already of the eMu model and entirely about me, me, me. Fair warning...
I have two active accounts, a "grandfathered" ("I don't think that word means what you think it means") 90 a month for $19.99 and an annual account of 50 a month. In a stroke of bad timing my annual expires in July, I was thinking of renewing it but now will not. The new annual plans have nothing to recommend them -- you're not getting much of a discount which is the whole point with annual subscriptions and more importantly the highest you can get is 35 credits. Nothing there for me.
I will, for the time being, keep my main account, even after the downloads are slashed to 50 for the same cost. I refresh end of June and the changes are first billing in July so I have two months to see how it plays out before moving to the new one.
Individual track price never really meant much to me -- perhaps because as I'm paying in AUD for something in USD so the exact real world amount I pay every time changes depending on the exchange rate. Oh for the heady days of near-parity '07! What matters to me is the number of downloads for a price I can sustain when I do a rough USD conversion in my head. That's part of the reason I am reluctant to make the jump to the $40 "Connoisseur" plan for 100; it's OK at today's exchange rate but if the AUD falls back into the .60s, not so much. At the lower prices you have the ability to absorb whatever currency fluctuations happen.
I would be prepared to pay more (even though I was told my plan would be grandfathered for as long as my account was in good standing), a good deal more. As with most corporate frakups, things could have gone so much sweeter with some respect and honesty. The music industry is in flux and when the majors got their heads in the 21st century I figured a price point with broad acceptance would emerge, and most likely that would be above what I was paying. I am realistic. I would pay more and I know my grandfathered plan was a good deal, but who can accept a DOUBLING of cost overnight without many choices and with potentially nothing in return. And with all the corporate marketing BS that goes with it, as if you are too stupid to notice what's up. Hecker gets it right at Swindleeee!, this could have been dealt with so much better. Stagger the price rises, be honest about the reasons, show some respect to your long term hard core fan base - and I don't mean music fans, I mean eMusic fans. It's that kind of service, it encourages not just utilisation, but devotion. Don't throw that away, pay me some lip service at least.
More than the price rises what sticks in my craw are the download credit cuts. Cutting back to 50 significantly affects my behaviour. Value to me is not by per track pricing but the percentage of my monthly allotment. And within that, tracks downloaded when I have fewer credits left have more weight than ones just after refresh. This is where I wish I'd paid attention in 2U Economics in Yr 11 so I would have the language to precisely describe this economic psychology. What I mean is, I am willing to take a chance on a 12 track album when it takes me from 90 to 78, far less so when it takes me from 14 to 2. From the message boards, I believe this is common among the faithful. I can use the first 40% to experiment, explore, expand and support but when I hit 50 I start tending towards safer bets. I said to someone on Twitter the other day until this eMusic was my favourite non-human thing in the world, which is not hyperbole. I visit it more often than any other website, I hunt obsessively from link to link to link, sample to sample and I have not only discovered countless new artists but numerous entire genres, which now make up a large part of my listening habits. That process is a post of its own. No more dusty 40s Ghanaian field recordings and 60s Taiwanese girl pop 45s. Suffice to say here, the reduced ability to explore and test and experiment is a profoundly sad loss.
So, now I am at 50 to start with the incentive to experiment is gone. This is quite genuinely sad. And I do not see any way contra Yancey et al that it is good for indie labels since they are the ones who are now going to miss out. Will higher prices make up for lower volume? This is the question and I am not at all convinced. Perhaps the major indies will see benefit, but the second, third, fourth tier indies down to the Z list self-uploaders will surely not. And good luck getting people to download the eMusic Selects artists in any volume -- if such a thing will still exist.
Which brings us to the major label booga booga question. The major label involved in this initially is Sony Music which owns a bazillion other famous names, including Columbia which is why Bob Dylan, Bruce Springsteen, Johnny Cash and Leonard Cohen are touted as top acquisitions. As any reader here knows, those four are in fact my four favourite artists. I was thinking just the other week actually about how three of them have been on Columbia their whole careers and Cash was there for most of his. I am clearly not anti-major artist although my feelings about major labels are much more ambivalent. And if you were going to choose one company which would most get a bunch of music nerds riled up, Sony's the one because memory of the rootkit fiasco still burns strong. Still, I buy their stuff in hard copy so I do not object to their presence. I've got all the Dylan/Cash/Cohen/Springsteen anyway, but there are a lot of gems in their back catalogue. All that Sony Nashville, Arista, Epic and RCA country stuff for a start. It boggles my mind when people say there is "not enough music" on eMusic (I have about 1000 records saved for later), but I also always thought some major label back catalogue items were inevitable and desirable. Blue Note is the example people most often use. There are lots more in the major label long tail that would fit right in.
However : In Australia we will probably not get the Sony stuff. This is not certain, and sometimes they say "US only" to just mean "not the UK, EU or Canada" and we here can actually get it. However my experience of geographical distribution system leads me to be extremely pessimistic. I am assuming in fact we won't get the new stuff. This makes the pain all the worse.
The way the change was presented gave the very strong impression the price rises were linked directly to the acquisition of the Sony back catalogue. Stein and others are trying to walk that back now but the damage is done. The two are inexorably linked in everyone's mind. We are paying double for something we were happy to live without and if we wanted it we could already get it at every record shop not to mention eBay, is the message. Marketing disaster, eMusic.
My musical habits are now almost exclusively digital - a change largely driven by the delights of eMusic. However the closer in price a digital album gets to a physical CD, the less it is appealing. I buy the occasional thing from iTunes but generally not only because the difference between that and a physical CD at JB Hi FI is only a couple of dollars. And you get liner notes, artwork, lossless audio and resale value. 50 credits is maybe only two albums if they are a Blind Lemon or Sister Rosetta or Memphis Minnie compilation and frankly I can probably buy the CDs second hand for the same price or less. On the other hand of course, a Coleman Hawkins session which is four long tracks is still a good deal. But overall, not as good a deal and it will spur me to go back to the second hand market (where artists/labels get nothing.)
I also realise I am not a typical consumer, although I am more typical amongst eMusic hard corers (which is nice, to be surrounded by your own) - and we are the ones who don't waste our downloads ever and so reduce their profit. The subscription models suits my voracious appetite, whereas most people are better served by a la carte. My sister is happy with her 40 downloads a month, and the anticipation and casual exploration gives her great pleasure. Under the new plans, she can go to 25 for the same price which is too few credits, or to 50 which is too expensive. I hope she will not have to quit, but may do.
I don't know what the strategic vision here in the eMusic boardroom. "iTunes Lite"? Looks like it, but that runs the risk of pleasing no one. Music nerds are squeezed out, but more casual consumers still won't find the last top 40 hits there. I'm no marketing guru but when you have a distinct brand, I know you have to be very careful about diluting it. I also know you have to make money, but surely part of business growth is finding new markets while not casually sloughing off your old ones, the ones who gave you the market position to be able to make a play for the golden ring in the first place.

By Fuschia
on June 4, 2009 1:33 PM
And when I say 'i am happy with my 40 downloads', what I mean is that this is a good number of tracks for me to really listen to and get to know over the coming month. (but not much shiraz is required for me to be convinced I need to get a booster pack for extra tracks).
The cost is still a large part of this - with the exchange rate, my $11.99 subscription will cost me anywhere between AUD$13 and $20 dollars per month, so its hard for me to justify much more than that. But even with only 40 songs, I still have room for the exploration and taking a chance on albums.
I have found some of my favouritist music on eMusic - The National, Blind Willie Johnson, Rosie Thomas, The Standard etc, all bands that make my heart sing, and I would not have known about them except for via this service.
Its not just the music - its the community of people who love music and really provide such wonderful recommendations and create lists to share etc
I really don't know what I to do...I certainly don't want to support this dodgy new business model, but I am saddened by the thought I will lose the monthly searching for treasures.....
By Phineas
on June 4, 2009 2:14 PM
If changing the price structure isn't directly related to the big label deal, what is it related to?
Just because they can?
By Amanda
on June 4, 2009 2:52 PM
The argument now is that it will benefit all labels, including the indie ones and "everyone" complains eMusic doesn't have Mariah Carey and now they do so shut up nerds.
See eg
http://digitalmusicnews.com/stories/060209emusic
where CEO Stein describes Sony as a "catalysing event" for the rises. I do not think you have to be overly conspiracy minded to suspect a stronger correlation = causation relationship. As Hecker surmises in the Swindleee posts, it appears .40c is the "hard floor" that it took to get the Sony back cattledog. It is very dramatic (60%, 70, 150% increases) which further strengthens the impression it was a prerequisite for Sony. And it is not just the price rises, but the fewer higher credit options.
It may entice some of the bigger indie labels back, but as I said above I don't see the rising tide lifting smaller boats. Smaller labels have often said they earn more from eMusic than iTunes b/c the lower prices are compensated for by higher sales as eMu attracts people more interested in their niche music and makes them easier to find. To me, these changes jeopardises that for them.
By Amanda
on June 4, 2009 3:02 PM
This article makes the same point that so strongly relating Sony with the price rises (however real the relationship) was dumb as dirt.
http://www.techdirt.com/articles/20090602/2250355103.shtml
I'm not sure they didn't forsee the fall out though, they probably don't care if they lose me but gain someone who downloads Thriller then forgets to use their subscriptions for the next six months.
By Amanda
on June 4, 2009 3:10 PM
Oh frak, someone just posted this on the message board. Australia will soon be cut off entirely. Just like we are with Amazon MP3, Rhapsody, Lala, Spotify and every other damn thing.
Globalisation my ample antipodean arse.
"Current subscribers living outside the US, EU and Canada will continue to have access to eMusic, they are effectively grandfathered into the service, and will continue to be charged US plan prices with track availability subject to licensing terms for the territory of residence, just as they are today. However we will no longer accept new customers from these areas in the near future, so current customers should bear this in mind. The Sony catalog will not be available to eMusic subscribers with US service but who are living outside the US. "
http://www.emusic.com/messageboard/viewTopic.html?topicId=176410
By Mike
on June 4, 2009 6:09 PM
Nice post.
Re:
"I am willing to take a chance on a 12 track album when it takes me from 90 to 78, far less so when it takes me from 14 to 2"
Yes, I behave that way too. My last 7 credits almost always are "one from this, one from that" and with great selectivity, whereas my first 12-15 are almost always an album. The "being adventurous" and taking a risk on something you aren't sure about is what emusic will be losing, and this will be almost entirely by smaller, lesser-known, independent artists. These artists will lose money. They get $0 when you don't download their track.
The Sony deal is definitely the cause for the dramatic increase in rates per song, and I believe probably the cause for the odd decrease in number of tracks too. Whether it is involved with an eventual acquisition of emusic outright (eliminating one pressure point causing the downward trending in digital music download pricing) or if they just are looking for a way to squeeze emusic's market share in their direction, I don't know.
One other thing... emusic is starting to get worried. They have begun censoring the comments (800+ and growing) on Mr. CEO's announcement blog post. They appear to be worried about the conversation moving to twitter, and perhaps exploding in scale in a place they would have no control over whatsoever. What was removed was the previous references to the twitter tag #emusicfail. I saw several over the last few days, but now they are gone. They were caught doing it late 6/3/09 USA-time, as detailed in post #811 (unless they remove it too).
Here's the link to the comment:
http://17dots.com/2009/05/31/more-of-the-good-stuff/#comment-94860
So emusic is showing some signs of concern, even if they don't bother to respond to the inching-toward-1000 posts. I hope people do what they are most worried about, and take it to twitter with #emusicfail and/or #emusic tags.
It really sucks that Australia is getting shut out of download services. It is an idiotic situation all around.
Also, there is a facebook group for protest or link posting, called "Keep Sony out of Emusic!!!" It is at:
http://www.facebook.com/group.php?gid=81281012678
By Amanda
on June 4, 2009 6:29 PM
Hi Mike, thanks for commenting.
I'm on twitter but my updates are protected so no point using hashtags. Maybe I will unprotect for this!
I am just stunned right now that in 2009 after holding out against DRM all these years, eMusic is about to go this route blocking us entirely. There's always been geographical availability issues but to go the whole way, when surely the trend is in the opposite direction. WTF?
By Shaun
on June 5, 2009 12:12 PM
I'm reconsidering and may keep my eMu account given that they won't let Aussies join after the changes.
But is an amazing trashing of the brand.
By Amanda
on June 5, 2009 1:01 PM
It actually makes me strongly reconsider staying. If they lock out international consumers without a coherent reason consistent with their visison up to now, I will quit.
By PaulMorel
on July 4, 2009 12:28 PM
Great great post. You pretty much summed up my feelings about this whole thing.
I was only at 50 downloads/month, and that was barely enough to keep me sated. Now 35 DLs/month for the same price ... that's definitely not enough.
And like others, I have limited interest in the Sony catalog. I love Miles Davis, and some of the jazz that is now owned by Sony, but I already own most of those recordings on CD.
Of course, you didn't touch on the most galling change (in this post): that small albums with longer per-track running times will now cost 12 credits. Previously, the best thing about eMusic was getting a 4-8 track jazz or classical CD for 4-8 credits. But now those same albums will cost 12 credits to get them in their entirety? For just a dollar or two more, I can get the CD, and read the liner notes, and listen to lossless audio.
Anyway, I am just repeating you. Like you, I will probably give eMusic a month or two, but now I will be questioning myself every time I pay the monthly fee, and I'm not sure how long I will last.