It is true that the 21st century generation had a lot of things to benefits us. A faster flow of information, easy taps to searches, food delivered next to our homes and even getting gearbox repairs for your cars (in this link https://www.nationalgearrepair.com/flender-gearbox-repair.html)
With that, it is no doubt how the music industry was able to cope up with it too. Ecommerce has transformed our music in ways we could never imagine. Let us check this out!
Instagram and Music
In March 2019, Instagram introduced a native checkout funnel that allowed users to purchase products featured in photos from select brands without leaving the app.
According to the company, 130 million of its users already interact with product tags in posts every month, making native checkout a shrewd move to reduce purchasing friction for this already-existing demand. Even in a crowded e-commerce market, there are also potentially gargantuan returns awaiting – namely $10 billion in annual incremental revenue by 2021, according to Deutsche Bank.
Artists and labels have been jumping all over merch as a powerful marketing tool and revenue stream ever since. Instagram is capturing virtually none of that transaction value, even though its power users are also power music consumers
More than a Social App
The social app also has an inherent advantage over paid streaming subscription services like Spotify, Apple Music and Amazon Music when it comes to empowering artists to become their own media properties, independent of any given song or album cycle.
Incumbent streaming services reward consumption: Artists earn money every time their music is streamed, regardless of whether those listens come from actual fans. At its worst, this model encourages artists to maximize streams without further scrutiny of an engagement or consumer loyalty.
In contrast, Instagram’s new e-commerce features – along with its licensing deals with major labels and publishers, and its popularity as a live concert documentation platform – provide a blueprint for how to build an integrated music hub that monetizes fandom, not just consumption, while closing the ongoing, stubborn data silos between physical and digital music economies.
To develop a more sustained following around their music, therefore, artists face an enormous amount of pressure not just to be heard, but also to be seen.
Mat Dryhurst, “the music industry is now the visibility industry” – and in today’s tech-dominated landscape, winning out in a “visibility industry” arguably requires gaming the algorithms on the platforms that make one the most visible.