Authors Equity

"A New Publisher Promises Authors 'the Lion's Share of the Profit' - Authors Equity is tiny but has big industry names behind it. Its founders hope their profit-sharing approach and experience will entice authors."

Free link: https://shorturl.at/cfwHK

Musical artists don't know how good they have it. After all, they could be AUTHORS!

Talk about an antiquated industry. One thing I love about the music business is it's down and dirty, ultimately it's all about the cash, either you can generate it or you can't, where you went to school doesn't matter.

But just having a job in the publishing industry is status enough. It's a rinky-dink industry kept small because of the backward thinking of the big publishing companies, who believe book promotion is reviews and author tours, that's how James Patterson established a juggernaut, he employed his background in advertising to promote his genre books, and it worked! But kind of like lawyers in the past, advertising is seen as dirty, commerce is seen as dirty in the publishing world.

But they've got it locked up, because they control distribution.

This is something that people refuse to understand, how distribution trumps content every day of the week. Because no matter how good it is, if you can't buy it, if it's not readily available, you're screwed.

So, the book publishers went on a crusade to save the physical book, cheered on by the Luddites who believe screens are anathema. But it had nothing to do with the physical book, it had everything to do with distribution, they didn't want to lose control, like the record labels.

Yes, physical distribution is a barrier that's hard to climb if you're an independent. You can't even get your book in the store, unlike with Spotify there's not an unlimited amount of space. And, if you do get your book in the store, and it does sell, good luck getting paid. Retailers pay big accounts first, because they need new product from them. Whereas an indie author with only one book... Why pay 'em? They're not going to have another book for YEARS!

This is how it used to work in physical retail in music. The majors kept the indies down. Ditto with radio. You had to be aligned with a major label to play, to get your record in stores, to get paid.

But not anymore.

Anyone can get their music on streaming outlets for a de minimis cost. But rather than see the opportunity, ungrateful artists keep complaining. They want the major label advances of yore, when the truth is in the past, in the pre-internet era, they wouldn't be able to get a deal.

Now in the book business, everybody can distribute digitally, it's a level playing field. But physically? Get outta here.

So these experienced people have now established a new company that flips the switch. Instead of advances, you get paid on what you sell. What a concept! One that musical artists will not accept. Low Spotify payments? That just means that no one is listening! Furthermore, you have so many other avenues of revenue, did you read that article in yesterday's "Wall Street Journal" about music in video games?

"Why Musicians Are Doubling Down on an Unlikely Venue to Reach New Listeners - Musicians are releasing new songs in videogames, in some cases before anywhere else. 'We're trying to meet fans where fans are at.'"

Free link: https://tinyurl.com/ysxcnnnh

It's not the twentieth century music business anymore. As a matter of fact, it's less about worldwide domination than cobbling together a number of revenue streams, many enabled by technology.

It's not like the major labels don't know the power of video games, it's just that there are more opportunities for indies than ever before, and all people can do is complain, especially about streaming rates. Look at it this way, even if you had a record deal back when and your record was in stores, that didn't mean anybody heard it, they had to buy it to listen to it (or hear it via tight radio playlists).

But unlike so many entrepreneurs in music, in it for the money, taking cash from the wannabes who will never make it, Authors Equity is starting at the top. If you've got a proven track record, why should you pay for the major publishers' losses? They can't pay you more, because your profits are covering all the stiff books!

But the internet allows you to go it alone. Well, not so much in books, because of that pesky physical retail. And Authors Equity is only going to put out a few books a year.

Writers who make deals with Authors Equity believe in themselves. They don't need no stinking advance. Some musical acts have done this in the past, forgone advances for higher royalty rates, but record labels are legendary for creative accounting, so some sophisticated managers wanted all the money up front. (Also, this is a good time to note that so many of the legendary artists of yore never ever went into royalties. There's this fiction that in the past everybody with a record deal was making a great deal of money. Wrong.)

So if writers and readers were smart, they'd embrace digital publishing, it would level the playing field. But the publishers have snookered the readers into thinking that they're on their side in the anti-digital war when nothing could be further from the truth. They just don't want to lose control of distribution!

Now music is an evanescent business. There's no assurance of longevity. And you may want to bet on yourself, but the infrastructure, the managers and lawyers, don't want you to. Because they don't want to take the risk, of never getting paid, never mind eventually.

Will this continue?

Probably. Because despite all acts testifying how great they are, they don't really believe it, which is why they want that major label cash and help.

This is flawed thinking, The major label is not your friend. Unless you're temporarily making money for them. You can do it by yourself. But you have to give up the fake dreams, that everybody wants to listen to your music and you're going to be a zillionaire.

You're an entrepreneur. Every dollar you take now cuts into your back end. Which is why you should be lean and mean, and truly believe in yourself. Create your own audience. Hell, the major labels don't even do that anymore, they used to start acts from scratch, now you have to prove to them you have an audience before they'll sign you, and your music must be in very specific, narrow genres.

Now someone could come along and do what Authors Equity has done. Low overhead, big payments, but... The question is how many zeros are involved? The grosses in music far exceed those in book publishing, and no one starts a business unless there's a huge profit opportunity.

Well, in music anyway, not in publishing.

And the truth is the major labels and major publishers' real power is their catalogs and backlists. Reliable income with little cost that streaming outlets/retailers need to be in business.

But those services the major label theoretically provides?

You can hire them yourself these days. Radio promotion, publicity, playlisting. That's what they're doing at Authors Equity, to keep the overhead low.

But everybody in music is swinging for the fences, when in truth almost no one is in the stadium. It's all sandlot ball these days. But ignorant artists have bought a passé dream to their disadvantage.

Let's be clear. Almost no one can have a successful music career and almost no one can have a successful publishing career. Giving up your day job? Buying a house and car? That's not most. And so many famous authors teach for steady income.

No, only a very few are rich. But just like with sports, everybody coming up believes they can fill the few slots available. And while they're at it they keep complaining about the system.

How many people in the music business do I know who started off as musicians? They woke up and realized they weren't good enough, they couldn't earn a living, and they switched over to the business side. Today some of them would be struggling on, believing a mass of people care, when they don't.

So the message to musicians is you can distribute your music online as equally as a major. You can promote it online for free. This is FANTASTIC!

But everybody's a Debbie Downer. They need an explanation why they're not rich. The system must be stacked against them, right?

It's never been stacked less. If you're great, and if you believe in yourself, you can build a business in music. You don't even need a major label. That's an antiquated paradigm.

But it's nearly impossible to convince artists.

Just like it's nearly impossible to convince writers that digital books are to their benefit. Costs are eliminated. Prices can be kept down. Your book can be available to all. You can even get paid!

But everybody's too afraid to march into the future.

And therefore they're ripe for disruption, by Daniel Ek or Jeff Bezos or...Authors Equity.

Furthermore, Spotify is now publishing audiobooks. Nature abhors a vacuum, and Daniel Ek is filling it. I mean when you listen it's all digital, why would you need traditional brick and mortar? Why would you even need a major publisher?

That's the question.


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