Tag Archives: social networks

How Much Eminem Would Make on Beat-Play (Hint: there’s a “b” in there)

First of all, if you’re not familiar with Beat-Play or how artists will make money, I’ll give you a real quick run-down. Beat-Play will be a Social Radio App launching on Facebook in several months. On Beat-Play, you’ll follow people who you share a taste in music with(friends & favorite artists). The songs those people like enough to actually save to their own playlists, automatically get sent to your radio. If you like a song enough to save it, it get’s sent to anyone following you. So if the music is good, it will spread throughout people’s social networks like wildfire.

Now for the money part. Artists give away full quality streams of their music for free to the fans, and then artists are able to set their own prices for their ad space. There is a small “postage stamp” sized ad affiliated with each stream of a song (shown below). The artists will set their price/1000 plays, that the advertiser will have to agree to. Negotiations between the artists and advertisers will occur until an amount can be settled on. The more plays an artist gets, the more leverage they have to get more money for their ad space. Eminem gets a LOT of plays, so his price/1000 will be pretty high.

The immediately following calculations represent ONLY Youtube and Vevo plays. This includes mostly official music videos for Eminem’s singles. The thing to remember is that Beat-Play will not only include an artist’s videos, but it will also track each time an artist’s songs are played without videos. So this includes an artists whole catalog of music, plus any additional audio/video content that they generate.

According to Eminem’s “EminemVEVO” channel only, he has accumulated approximately 680,588,260 plays from May 11th 2009 to Nov 7th 2010 (about an 18 month time period). That’s approximately 37,810,488 plays a month and about 453,725,496 in one year. Again, this is only in official music videos and things like behind the scenes footage of the making of his videos.

Of course, this also doesn’t even begin to count the views on videos that were not uploaded by the EminemVEVO account. I tried to get an estimate on how many plays Em has gotten from other people’s uploads, and I got up to 216,670,668 only getting to page 5 of the search results for the search term “Eminem.” In actuality, that number is probably more the the 680+ million plays he’s recorded on his Vevo account, though it would be over a longer time span.

Based on the EminemVEVO account numbers, if Eminem were to have this content on Beat-Play, let’s say for a range of $17 – $21/1000 plays (considerably high, but it is Eminem), he would have made anywhere from approximately $7.7 million – $9.5 million in one year, off of videos alone.

Of course since Beat-Play will accommodate more than just his videos, let’s try to figure out how much Eminem would make with all of his content on Beat-Play. We’ll use simple logic to get an estimate.

The search for the number of albums Eminem has sold world-wide returns conflicting answers online, but let’s say 80 million just to be safe (the most commonly agreed upon answer), even though it is probably more since his newest releases. Remember, this ONLY counts the albums that Eminem has sold. This doesn’t account at all for any pirated copies of Eminem’s CDs floating around out there.

So, not including Infinite or the Slim Shady EP, Eminem has had 10 commercially released albums (also not including any mixtapes, leaked underground tracks or freestyles). For the sake of being easy, let’s say that’s about 200 tracks – 20/album (this is a low estimate for all of Eminem’s trackable songs).

If each one of these 20 tracks has been listened to only 5 times for each of the 80 million copies, at $18/1000 plays, that would mean Eminem, by himself, would have made approx. $144 million dollars since 1999 (11 years). If each of those 200 tracks were listened to only 5 times by 80 million people on a radio platform like Beat-Play where they can save songs into playlists to listen to anytime for free, he would have made $1.44 billion dollars, based on an ad price of $18/1000 plays. Of course, Eminem’s songs have probably been listened to more than 5 times by each person who has bought a copy of his CD’s, AND, the number of actual copies of his CD’s around out there has to be over 80 million, so there has to be more plays, which means more money.

Let’s go for a more accurate estimation of how much Eminem should be worth. According to MTV’s Discography of Eminem, including verified audio biographies, mixtapes, greatest hits and other works, Eminem has 50 albums available for purchase. If there was approximately 200 tracks on 10 albums, there might be close to 1,000 tracks on 50 albums, however, let’s be conservative and say 650. That would be an average of 13 tracks on each of the 50 albums.

If each of those 50 albums were FREE, and available in one place (the conditions on Beat-Play), and each one of the 650 tracks were listened to an average of 3 times by say…150 million people (a conservative estimate of Eminem’s word-wide fanbase considering he has sold over 80 million records, and p2p file sharing is now way more common than sales). At $18/1000 plays, Eminem would have made $5.265 billion dollars over his entire career so far, if he owned all of his masters (without a record label), and before recording and production costs. That’s only each of his songs being listened to 3 times, by 150 million people.

Also remember, with Beat-Play there would be no real need to market the music, being that the music spreads by itself throughout people’s social networks (as long as it’s good), and the music is free for everyone.

This also doesn’t include ANY of his music videos, interviews, freestyles, stupid videos of him playing basketball with Jimmy Kimmel (over 6 million Youtube views), ANY merchandise sales, ANY tour money, or ANY profit from ANY of the movies and TV shows he has starred or appeared in, or any other offers he’s gotten during his career.

According to CelebrityNetWorth.com and a number of other sources online, Eminem is worth approximately $115 million dollars. That estimate probably doesn’t take into account his most current releases, but that $115 million dollars equals about 8% of our first estimate of $1.44 billion dollars. I don’t even want to know what percentage $115 million dollars is compared to our (most likely more accurate) estimate of $5.265 billion, so I’m not even going to do the calculation..go ahead if you want to.

If you look at this commonly accepted chart of the distribution of money within the music industry right now, for an album that costs $9.99 in a store, with a high end royalty deal similar to the one Eminem’s label has with the distributors (who then have deals with the retailers like Walmart), the label would keep approx. $2.00 dollars from this $9.99, and the artists would get $1.00 (after they have paid back the labels for paying to record, promote and package the album). $1.00 is just about 10% of $9.99.

Based on this it’s not hard to imagine that if Eminem has himself made $115 million dollars, the industry(including distributors and retailers) has all together made approx. $1.15 billion dollars off of Eminem sales alone. Also, if $115 million is a low estimate of his actual worth, and that figure is 8% of $1.44 billion, our first estimation of how much Eminem should be worth, then the numbers seem to back themselves up pretty closely.

The fact that 90% of Eminem’s money has already been handed out to other people so that he could make 10%, because of a broken, outdated, and seemingly greedy industry model, is pretty disgusting to me, and it almost borders on crime, had Eminem not signed away all of that money when he signed with Interscope. This also shows that with this model, you don’t need to have 80 million fans world-wide to make a decent living from your music.

Finally, an industry model will exist where artists will independently get paid what they properly deserve, while gaining the exposure they need to gain, even if unknown, without having to borrow millions from record execs who want to charge huge interests in return. This is the beginning of real freedom for musicians and producers; of independence and victory, instead of dependence and misery.

This is an opportunity that has never before existed for independent artists, but with the right tools, the internet now makes this model completely possible. Beat-Play is planning on providing these tools. We’re getting EXTREMELY close now. If you would like to get involved and help us beta test our social radio, by submitting your music to us, please contact me directly at Dante@musicwithoutlabels.com and I will send you more information.

Eminem’s not the only one..at least his career 10% has more than 3 zeroes in it. We’re all in this together. The talent is there. The opportunity is there. It’s time we unite and get it done!

Written by: Dante Cullari Founder & CEO Beat-Play, LLC

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A Look at New Artist Revenue Model: The Social Radio – By the Numbers

For those that don’t yet know, Beat-Play will be introducing the first ever social radio to the web in a few short months. It will run off of Facebook and will be fueled by social recommendations. With this radio app, if you like a song, it will automatically get sent to your friend’s radios, if they are following you. If they like it then, they pass it on to their followers.

Not only is this an awesome (free) form of viral promotion and distribution, but it can also be a completely new revenue model for artists as well, and I believe it’s a model worth looking deeper into, and worth doing some comparisons with what else is out there right now.

In this new model, the music is free for the fans. The artists will get paid based on ad revenues generated from their popularity. The artists essentially get paid from their plays. The more average plays/day they get, the more an artist can charge for their ad space (artists set their own prices).

Let’s get right to the numbers. We’ll start with an artist having an average of 20,000 plays/day. This may sound like a lot, but you must remember the environment that this will be in. With this viral automated word-of-mouth system, a steady supply of great music will always be fed right to the users without them having to search, and being filtered through people they trust, so the chances of them liking the music are greater as well.

With this system, the playing field would finally be leveled: If the music isn’t good, it won’t spread very far; if it is good, it will spread like wildfire.

As long as the artists pump out a steady supply of great music themselves, with even the smallest pre-established fan base to start with, I think building up to an average of 20,000 plays/day can be pretty achievable in not such a long time, with the right amount of hard work being focused to where it should be: on the music.

An ad appears every time a song plays. The ads themselves are unobtrusive and not interruptive, although they could be quite interactive and engaging if clicked, instead of damaging to the user’s experience. So say an artist has an average of 20,000 plays per day for a whole year, and the average price for their ad space is $6/1000 plays. At this price, the artist, in that one year, would make approx. $43,800.00 before taxes. Of course that also doesn’t include any merchandise or tour money.

That’s not too bad at all! Let’s compare this model now to some other artist revenue models out there.

I’m sure you’ve seen the following chart at some point before. I will use their averages because I feel they’re still pretty accurate.

So in the new social radio model, to make $43,800.00/year, the artist would need 7.3 million plays in that year. (Think about artists that get millions of plays in a day)

For Last.fm, according to the chart, to earn just $13,920 in one year, which is the US minimum wage, an artist would have to have 18.5 million plays in that year. To earn $43,800 on Last.fm, they’d have to have almost 60 million plays in one year!

It’s hard to compare this model with CD Baby or Itunes, because these 2 models are based on sales, not plays, and there will always be more plays than sales, but let’s try to compare anyway:

For an artist to earn approx. $43,800.00 on Itunes, they would have to sell over 450,000 singles; On CDbaby, over 75,000 singles. That’s a lot of credit card transactions no matter which site you choose.

Think about this too, when you make your money off of downloads, your only getting paid to sell a copy. That copy will get listened to hundreds, or thousands of times after the sale, but you only get paid once. Now I hope you can see the potential in the opportunity to monetize the plays of songs, with a proper ad model, instead of just selling copies to fans who love to share.

With this new model, the artists may finally be able to make a decent living off of just making and circulating their music, without having to kill themselves to market and promote their music, without signing away their souls for a distribution deal, and without having to worry about piracy taking all of their money! Maybe, with this new system, artists will be able to make the kind of money they should be making when they factor in shows, merch, music licensing, and any other opportunities that a model like this could potentially present.

I urge all independent artists to consider supporting a model like this, and to think about the kind of effect this model could have on your career. I’m an indie artist myself. It’s about time we start using a model that works for us.

If you would like to help us test this model, right now we need artists and music to be submitted to our social radio so we can continue testing internally. We’re getting really close to our Facebook launch.

Written by: Dante Cullari – Founder & CEO Beat-Play, LLC

Optimize Your Facebook Page with FBML

Want to really customize your company or band’s fan page? With the use of the FBML (Facebook Markup Language) application you open a new window of possibilities for sharing your information. Build fully customizable pages where users can interact with your companies site right from Facebook. Don’t force people in a certain direction; be where they already are.

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Indie Artist Promotion Priority # 1: Reduce Clicks


It’s simple common sense..the more clicks it takes to get to your music, the harder it will be for people to hear it, and without people hearing it, there’s absolutely no chance at making a sale.

The biggest problem here really lies in the way that the internet is structured. The web is a very visual thing in it’s nature. Photos or Artwork can be posted up almost anywhere, and once seen, the damage has been done. With music this is not the case. People mostly have to rely on links to attract people to their music. There’s nothing to distinguish 1 link from any other link. There’s not even a special kind of link for music. It sounds weird, but the web is just not set up to handle music yet.

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Promotion Online: Is it really worth it?

That all depends on your definition of success. If your definition is getting a few hundred views on your blog every week, then yea, it works great.

However if you’re an independent musician, or a small business owner, and you’re one fish swimming in a sea of millions, online promotion today won’t do much at all for making you successful. Course that doesn’t mean it can’t.

With all of the hype behind social networks, and people shoving out thousands of dollars to “internet marketing” companies to conduct marketing that most people don’t even fully understand, and that’s methods are still evolving so rapidly, it’s no wonder that people continue to jump on the ship.

Nobody really knows what’s going on, but they’re smart enough to know that something is happening. And this isn’t a bad thing, but it can be a bit dangerous if not handled correctly.

Results on the web have not proven to be full proof by any means. There is no secret formula that can guarantee success. Right now it’s all about luck, some strategy, risk, and persistence. And the results don’t always come out quite how you expect.

I wouldn’t say online promotion is in it’s infant stages, but I would say it’s about a pre-teen right now. The potential there has not been fully realized.

This is an important thing to take into consideration when planning on investing and developing an internet marketing strategy. It’s best not to get your hopes up about anything online right now.

If a company is telling you they can get you thousands of new views to your website a week, I would at least be a little skeptical about where these “views” are coming from.

It’s not to say that internet promotion is not a good thing to do. If anything, I believe it WILL eventually be the future of marketing, just because of the million benefits that the internet provides to it’s users in general, including ease of use, mobile access and stuff like that. It safe to say the internet will always be a big part of people’s lives.

So establishing a presence is a great idea that I believe everyone should do, but expecting the world out of it right now would be a bit wishful.

As practices develop however, online promotion will begin to get much more fruitful. If you want an example of how this may be possible, check out my model for Beat-Play, and how we revolutionize promotion for independent artists.

The same principles can be applied literally to anything that needs promoted online, but gone will be the days of posting ads and trying to virtually scream for attention into a crowd of people. It doesn’t work too well in real life either.

Instead, the beauty of the internet is that it offers alternatives to these kinds of medieval things. When the internet matures a little, if someone is looking for something that you provide, they will automatically get introduced to you.

In other words, the people already looking for you, will find you, and you will no longer have to waste time advertising to people who may never have a need to look for you.

It seems right now we are working against the natural flow of the internet, when it comes to our marketing methods. When we smarten up a little bit, things will definitely change.

This is a good thing to keep in mind when considering any kind of online promotion. If you’re not getting great results, don’t get frustrated..it’s not designed for you to….but it will be soon. Just don’t go betting the bank on it just yet.

Written by: Dante Cullari Founder & President Beat-Play, LLC

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As the Web Grows – New Neighborhoods of the Web are Emerging

As the internet continues to advance, the ways we use and experience it will evolve.

A neighborhood is a community of people usually brought together by similar circumstances. There are certain aspects of the community that all people there commonly enjoy. One is the network itself. Social networks are simply gateways of access and connection to basically opportunities, and social networks have existed offline for a very long time.

On the web it is no different. I break the neighborhoods of the web down by their community’s purpose. Right now there is only one neighborhood that is really distinguishable, and continuing to grow rapidly – the social one. It is a huge web of social communities, each with their own functions, all linked together for one reason or another. I call what is commonly referred to as web 2.0, the collection of all of these social functions, the Social Neighborhood.

But the Social Neighborhood is beginning to splinter. It is getting so big, and so customized for specific purposes that separate neighborhoods are beginning to form, each with their own unique experiences. The Social Neighborhood will in fact be the mother of all other neighborhoods to come, because of the universally social nature it shares with the web itself. All other neighborhoods, I believe, will eventually reach the same proportions of the Social Neighborhood right now, and may go beyond.

The reason I call the different purposes of internet use, neighborhoods, is because as they continue to develop, they begin to take on their completely own spaces, feels, functions, and uses, just like neighborhoods in traditional society, and the metaphor at parallel is an important one.

Think of the web as a city. A huge conglomeration of infinite complexity. A hub, for anything. There are many different neighborhoods..many different purposes for the web. The neighborhoods right now are relatively small and unorganized, centered around the main Social Neighborhood, mostly because of the lack of new tools and organization to really make drastic changes. But still, progress is being made slowly.

A couple quickly emerging neighborhoods right now are the gaming networks, news discovery networks, music networks, and the common socialization networks, like facebook, and even 2nd Life, although 2nd Life has been proven to have a wealth of purposes. A neighborhood that I believe will explode in the near future will be shopping social networks.

To explore deeper what I mean, lets look at one of the farthest along examples right now, the gaming platforms. Gaming is continuing to get a lot more social, with a lot more p2p interaction. As this is happening, it’s creating new virtual communities, where the experience of web use is completely transformed, from the navigation throughout, to interaction with others, and everything is made custom for the specific experience of playing the game.

Other environments, specific to other web usage, will begin to emerge as well, and the looks, feels, and total embodiment of the web will begin to evolve rapidly. The web is quickly becoming more like a place, rather than a thing. It’s a place we go to find something we need..music, information, good deals, ect. It makes perfect sense that the web will actually adapt to suit these specific needs, and new kinds of experiences will emerge individually.

I envision a vast online map of virtual communities and experiences, more similar to the ones we enjoy in real life. I see things like virtual pools halls, virtual car dealerships and test drives, more advanced ways of experiencing the web, like with full peripheral glasses, and even augmented reality integration with our everyday lives.

A great example of the difference between now and the future can be described by shopping online for music right now, say on iTunes, and shopping in a real music store. The difference is staggering. Despite the ease of iTunes, I often hear people say they prefer the intimacy of strolling through the racks of music, and physically rooting through the albums. Because of that, I’ve actually created a 3D virtual music store for Beat-Play that recreates the experience of being in a real store, while allowing for all the same benefits of an online store..no lines, open 24 hours, instant checkout and downloads, ect.

This is one example of how the current interaction and organization of the internet could actually evolve to be both more realistic, and more encompassing of the user’s need for a satisfying experience. As all of these neighborhoods continue to grow, and get more organized and advanced, so will the ways we access them, making web usage extremely more efficient, and even more fun.

I am very excited for the future of the internet, and I love the direction it seems to be heading in. I can’t wait for things like teleporting from virtual site to virtual site, infinitely customizable browsers, and infinite scalability in virtual social networks. These may all be topics for another blog…I really just can’t get enough.

Written by: Dante Cullari Founder & President Beat-Play, LLC

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