One of the main challenges in the validation process of the Pro model was to see whether we could close pilot tests with some artists who have a follower base of between 500k and 10m on social networks. To do this we contacted people from record labels (Universal Music, Atlantic Records, Mad Decent), management agencies (Career Artist Management, Three Six Zero) and music festivals and arranged meetings with them.
The conclusion after these meetings is that in order to attract new artists, festivals and record labels to the Pro service, Playmoss must grow as a platform. In this way, artists, festivals and record labels will be able to use Playmoss to attract users to their Pro profile and will see Playmoss as a sales channel as well as a promotional tool.
Additionally, we should integrate to our app the Pro service, now only available through our mobile web and our web. Simultaneously, we should also reach a deal with a medium-sized artist that allows us to make the leap to major artists.
Besides that, we commissioned a study from Media Insight Consulting, a consultancy specialized in the music sector based in London and run by Chris Carey, a well-known consultant, former analyst of Universal Music Group and with clients such as Sony Music, Spotify, O2 and BMG. Their conclusions were although there are variable factors such as the conversion rate or the speed of market growth, the music market is growing and the verticals that have been studied are large enough to be interesting from a business standpoint. In short, it seems that the opportunity and space to create a multi-million dollar business exist.
During this phase we have also carried out a study on intellectual property rights for the Playmoss Pro model. The conclusions were that because “non-independent” artists do not own the rights to their own songs, it is more effective to act in one way or another depending on whether the artist is independent or, on the contrary, has signed with a major or a subsidiary of a major. Independent artists seem to be the best option to start and non independent artists, which should be reached through their record labels, look like the best way of acquiring artists fast.
Media Insight Consulting studied the competitive landscape, and competitors should not be a problem when it comes to penetrating the market. During the assessment, we have detected some interesting partners and stakeholders.
Development: Following the recommendations received from record labels and artists, we have started to change the architecture of Playmoss Pro. We will continue performing development iterations so that the product fits within the market as much as possible.
