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Yes, music piracy is still a problem in 2019

A decade after the streaming revolution promised change; music piracy continues to worsen.

Ten years ago, music executives began promoting the future of streaming as a solution to the industry’s problems. Access to legal streaming, they claimed, would lower the rate of piracy and increase the return artists saw from their creations. 

Any artist reading this now can tell you the latter-half of that promise has proven to be an outright lie. While the most popular artists in the world are seeing big returns for their music online, the vast majority of talent sees next to nothing. Worse yet, the sales of physical media have largely bottomed out, which has only further hurt smaller artists.

What you might not realize is that the first half of that promise was a lie as well. Piracy hasn’t gotten better over the last decade. In fact, it’s more popular than ever. The amount of digital media pirated in 2016 was double the amount pirated in 2008. That figure has grown larger still over the last two years, and it shows no signs of slowing anytime soon.

So, what can an artist or group do?

It’s time the industry accepts the fact that piracy will always exist. As long as people are expected to pay for music, there will be others who seek to access that same content for free. Before the internet made piracy accessible in a matter of clicks people were sneaking tape recorders into concerts and pressing the audio captured from the hidden devices to vinyl.

If we accept that piracy will happen as soon as an album is released, which it will, then the best anyone can hope to accomplish regarding keeping music under wraps until its street date is through secure promotional distribution. Haulix, and companies like it, work tirelessly to ensure that artists at every label can safely and discreetly share pre-release music with influencers without risking a leak. Here’s how it works:

An artist or group registers for Haulix. The first month of service is free, so artists should pick a subscription tier that offers ample storage and bandwidth, as well as watermarking services. Watermarks, for those who don’t know, as essentially digital fingerprints baked into audio files. They do not change the audio at all, but when leaks occur they can be extracted to discover the source of the leak, including the IP address where the file was initially accessed.

Once your account is activated, artists can upload their music and create a fully customized promo page. Here is a recent example, courtesy of the band Emarosa:

With the promo creation complete, can now upload their contacts and create groups to help organize who will receive their record and when.

Once the contacts have been added, it’s time to create custom email invitations. The artist’s contacts will use the unique access links found in these invitations to access the album promo. Each link is unique to each recipient.

You can try Haulix free for one month. To access this offer, visit the Haulix website and select a plan that fits your needs. Have questions? Email james@haulix.com for answers.

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Industry News News

Cassette sales continue to the rise

Think cassettes are dead? Think again.

Not long ago, many industry movers and shakers believed all physical media to be either dying or dead. Streaming, they claimed, would soon replace the need for media in any other form. They were wrong.

According to Nielsen’s recently released report on the music business, cassette sales in 2018 rose 23% over the previous year. That’s more than 4x the total number of cassettes sold in 2014 (roughly 25,000). In total, more than 215,000 tapes were sold during the calendar year, with many of the biggest totals coming from catalog releases more than a decade old.

That figure is a far cry from 1994 when total sales for cassettes topped 246 million, but it’s a healthy number nonetheless. The market for cassettes has grown consistently in recent years and is likely to grow further still in 2019.

The top-selling tape of 2018 was, perhaps unsurprisingly, Guardians of the Galaxy: Awesome Mix Vol 1. The release, which is one of three soundtracks from the Marvel comics film series to land on the best-sellers list, features packaging that is similar to a mixtape made and used by the lead character in the movie.

Awesome Mix Vol. 1 as seen in Marvel’s Guardians of the Galaxy (2014)

Other artists that made the top 10 list for 2018 include Twenty One Pilots, Wu-Tang Clan, and Elvis Presley, among others. You can view the full list of best-sellers below:

RArtist, TitleSales
1Soundtrack, Guardians of the Galaxy: 
Awesome Mix Vol. 1
24,000
2Soundtrack, Guardians of the Galaxy, Vol. 2: 
Awesome Mix Vol. 2
19,000
3Twenty One Pilots, Trench7,000
4Soundtrack, Stranger Things: 
Music From the Netflix Original Series
5,000
5Britney Spears, …Baby One More Time4,000
6Soundtrack, Guardians of the Galaxy: 
Cosmic Mix, Vol. 1
3,000
7Guns N’ Roses, Appetite for Destruction3,000
8Metallica, The $5.98 EP: Garage Days Re-Revisited3,000
9Elvis Presley, Where No One Stands Alone2,000
10Wu-Tang Clan, Enter the Wu-Tang (36 Chambers)2,000

Cassettes may never be as big as they were in the late 80s and early 90s, but the numbers revealed by Nielsen show the market for such media is thriving more than it has in recent years. Smaller artists may not move as many units as the acts above, but considering the low cost of uplication, the cassette tape remains a viable merch option for anyone trying to give their fans something they can hold that isn’t a t-shirt or beanie.

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Industry News News

Your Spotify account may be supporting fake artists

A new report from the BBC finds fake artists accumulating plays from real accounts, but who’s listening?

Multiple Spotify users, including one dedicated BBC reporter, made a surprising discovery when reviewing their 2018 listening habits on Spotify: They were supporting artists they’d never heard of whose legitimacy is up for debate.

As first reported by the BBC on January 25,  plays of ‘mystery’ tracks from artists such as Bergenulo Five, Bratte Night, DJ Bruej and Night were being credited within individual Spotify user accounts –  despite these same users knowing nothing about this music. Here are just a few examples:

https://twitter.com/robbiegirl/status/1070830250425110528

The artists in question, whose sound has been dubbed ‘,’ are suspiciously similar. Every act has multiple instrumental releases featuring up to forty tracks on each album, with the average song lasting between one and two minutes. Many of the songs racked up thousands of plays in 2018 without any of the artists garnering press or being featured on prominent Spotify playlists. Their success makes no sense, but the BBC does have a theory that might explain their existence.

In September 2018, Facebook reported that up to 50-million accounts were compromised in a large-scale security breach. That cyber attack may have enabled hackers to get ahold of ‘Access Tokens,’ which allow users to log into Spotify using their Facebook accounts. Hackers may have then created fake artists and uploaded their fake albums to Spotify directly using a tool the streaming giant introduced in September. From there, hackers could use the pirated account information to rack up streams that would later turn into revenue.

That theory is further substantiated with the revelation that all plays for the mystery artists were accrued in October 2018 and after.

However, as Music Business Worldwide reports, that explanation cannot be correct because Facebook and Spotify claim Access Tokens were not accessed in the attack. The site also reports receiving tips from industry insiders about similar unrecognized plays appearing in user history as far back as March 2018, months before the Facebook hack took place.

Spotify has removed many of the artist accounts in question since the BBC story went live last week, but found at least two of the accounts from their investigation were still active of as of today, January 29. The team at Spotify has declined repeated requests for additional information about the artists and has yet to reveal whether or not the artists received payouts for their streams.

The question remains as to who could be behind these accounts, as well as who has the capability to generate streams through legitimate accounts without the user knowing their profile has been accessed. Rumors abound, with many suggesting Spotify themselves could be responsible, but no hard evidence to support these claims has been made public.

If you have any additional information or insight on this topic, email us! Send your tips to james@haulix.com and help us uncover the truth.

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Industry News News

Instagram, owned by Facebook, denies hiding posts

A series of viral posts claiming Instagram limits posts to 7% of a person’s following has prompted the company to respond.

There is too much content. That is not an opinion, so much as it is a statement of fact. Unless an individual commits to following a small number of accounts online the chances that they see everything posted by everyone and every brand they love are incredibly low. The leading social media platforms know this to be true, which is why most rely on algorithms to determine what content users see and in what order that content appears in their feed.

Recently, Instagram came under fire from public outcry after a post went viral on the photo-sharing site claiming that just 7% of a person’s following will see their latest post. The claim was then amplified as accounts of all sizes began regurgitating the baseless accusation and encouraging people to engage more with posts they like to ensure that content is seen.

Instagram broke its silence on the matter earlier this week via Twitter. In a series of tweets, the company stated, “What shows up first in your feed is determined by what posts and accounts you engage with the most, as well as other contributing factors such as the timeliness of posts, how often you use Instagram, how many people you follow, etc.”

Their explanation continued in a second tweet, adding “We have not made any recent changes to feed ranking, and we never hide posts from people you’re following – if you keep scrolling, you will see them all. Again, your feed is personalized to you and evolves over time based on how you use Instagram.”

Essentially, Instagram fine tunes users’ feeds based on the content they interact with the most. The company places an emphasis on user engagement over when an item was posted. Facebook, which owns Instagram, does something similar with its users news feed.

Twitter faced scrutiny after it made similar changes to how tweets appear on users’ timelines. However, chronological order has returned to Twitter as of September 2018.

Facebook has made no plans to reintroduce a chronological timeline to its platform, so it is unlikely that Instagram will change their approach to content curation anytime soon.

For now, users hoping to see specific content should make it a point to like posts from the accounts they most enjoy. Keep in mind, however, that engaging with highly active accounts, such as those who post multiple times a day, will drown out less active accounts over time.

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Industry News News

New Nielsen music report reveals an increasingly healthy industry

Annual report shows industry-wide growth and continued embrace of streaming services.

The internet has changed practically every aspect of the music business, including the speediness of reporting. In years past, the annual Nielsen music report would arrive in February or March, but the latest is already available online. The contents help to gauge the strength of the music business as a whole, which this year reveal an industry poised for big things in the months to come.

The biggest takeaway from this year’s report is that consumption is up. Way up. According to Nielsen, total music consumption rose 23% over 2017, mostly thanks to a 49% increase in on-demand streams from services like Spotify and Apple Music, among others. Industry pundits continue to take issue with the “album equivalent” metric (where 1,500 streams from an album are equivalent to one album sale) as it is open to manipulation and as a result, doesn’t accurately depict how people consume an album, but that’s all we have right now.

Other key takeaway include:

  • “Music streaming volume continued to rise, with the total number of on-demand audio song streams reaching 611 billion in 2018, a sizable 49% increase over the same time period in 2017.”
  • “Overall on-demand music streaming volume, including video, surpassed 900 billion streams, an increase of 43% over the same period last year.”
  • “Vinyl continued to soar, up 15% over the same period last year, with record-breaking sales during the week of the 11th annual Record Store Day.”
  • “Despite sharp declines in Digital purchasing, Digital Audio consumption (digital albums + track equivalent albums + on-demand audio streaming equivalent albums) was up a healthy 34%.”
  • “Four songs surpassed 1 billion on-demand streams this year, including Drake’s ‘God’s Plan,’ Juice WRLD’s ‘Lucid Dreams (Forget Me),’ Drake’s ‘In My Feelings’ and XXXtentacion’s ‘Sad.'”

Nielsen also identified several trends that emerged throughout the last year. These include Latin artists getting more traction on the top of the charts than ever, Drake breaking consumption records, more than double the number of female artists on the charts from the previous year, soundtracks scoring big with consumers (most thanks to The Greatest Showman), and K-Pop finally breaking through big in the U.S. (mostly thanks to boy band BTS).

The genre that saw the biggest streaming growth over the last year is country music, which saw a 47% jump. That fact speaks to the long-held belief that country fans held out longest before abandoning their love of physical media. With the trend now broken, it appears that streaming is and will remain the king of consumer consumption. At least, that is, until a new format arrives.

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