Interesting article on Reuters (Link) concerning the difficulty in placing a value on music. The piece mentions the following pricing models currently in play:
I’ve heard of these models before, but unfortunately I still don’t see what I’d call “The Experience Model“. In that scenario digital music is free. If people want it on CD or want something else tangible, they pay for the manufacturing just like any other product. Where the real money comes is from bundling an experience with the music. Fans would pay for the experience just like they pay now to go to an amusement park. There are ways to do this; some of which I’ve mentioned on this blog. The one thing that isn’t going to make labels happy is that it’s effectively a label-free concept. Sorry guys.
Now for those of you wondering why this blog about design, virtual worlds, and rapid manufacturing should bother discussing music, the answer is simple: I see “The Experience Model” as the future. Music is only the first product. Next will come movies.
Eventually, as rapid manufacturing develops in the decades to come and people can fab their own products at home or at local service bureaus, the 3D files used to create today’s manufactured products will follow in music’s footsteps. If you’re an industrial designer, no matter what you think of Karim Rashid, you’d do well to learn by his example. There’s added value in Reputation.