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When times are rough you throw out many darts as possible hoping one sticks. One dart being thrown by labels is re-investing into old stars..

They believe there’s new money in new music from old stars.

Sony BMG’s Burgundy Records is now home to R&B Chaka Khan, ’80s pop diva Gloria Estefan (pictured), Donna Summer. New Door Records, part of Universal Music Group, released new albums by Frampton, ’70s arena rock favorites Styx and Motown legend Smokey Robinson last year.

This strategy is not new, Malaco Music Group and Koch Records, have long made a business out of releasing new material from aging stars.

Also, older fans of ageing artists typically buy CD’s. Sales are typically sluggish for older stars because its not the ‘NEXT’ new thing, but its still an opportunity to generate at least modest profits from older artists at a time when it’s becoming increasingly difficult to make money on new releases of any kind. Its the ‘we will take what we can get” mentality.

Depending on how their deals are structured, even modest sales levels can be enough for an album to make money. Older artists generally command smaller advances, Kellogg says, adding that thanks to their existing fan bases, labels don’t have to invest as much on marketing.

Still, marketing new recordings by older artists isn’t a sure bet. Gallo says that New Door’s success rate on turning profits on such releases has been about “50-50.” Just look at SANCTUARY for example. (Forbes)

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NJ based indie act Paulson has always been a KOAR fave. Check out the new video ‘Calling on You’. We love the dark melodies and harmonies. Go to their myspace for a list of tour dates.

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Apple IPhone Hype Machine in Overdrive:
Apple has mastered the art of HYPE. Die-hard Apple fans are expected to line up overnight or longer outside retail stores to get their hands on an iPhone for either $500 or $600. Skeptics wonder whether even the most innovative product could live up to the iPhone’s lofty expectations – and whether the pre-launch anticipation has spiraled too far out of control.

Scrutiny of the product is so great that any small disappointment could send Apple’s stock plunging, experts say.

The hype began when Apple CEO Steve Jobs took the wraps off the iPhone at the annual Macworld Conference and Expo in early January.

The iPhone has already generated a thriving cottage industry online, with more than 1,100 peripheral iPhone items currently for sale on eBay, including colorful holsters, touch-screen protectors and car adapters.

But the hype has also hurt Apple.

The launch is being so closely watched that Apple’s share price plunged more than 4 percent in a matter of minutes last month after a rumor about a delay was reported on Engadget.com, an electronics Web site.

Die-hard fans are expected to camp out in front of Apple and AT&T stores to get a shot at snagging one of the iPhones, which are being sold on a first-come, first-serve basis starting Friday evening.

“God knows what’s going to happen when the reviews come out,” he said. (myway)

First Review……………… 

Review: The iPhone Matches Most of Its Hype

 

 

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KOAR Briefs……………..

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The caffeine pusher Starbucks and Universal Music Group are now priming a release from Sonic Youth. (DMN)

An increasingly large number of consumers are listening to music on their PCs, according to the Consumer Electronics Association.

Thrice who was heavily anticipated in 2003 with “Artist in The Ambulance” have parted ways with Island Records. Vagrant Records has signed indie act
Dr. Manhattan.

New acts starting out should read these two articles Yahoo articles including Digital riches await savvy indie bands and Five touring tips for developing bands. (AbsolutePunk)

The Donnas who have departed ways from Atlantic Records start their own record label. Even though the Donnas entered talks with other majors after its departure from Atlantic, the group ultimately wanted more control and profits from its records. The new Redeye deal guarantees a 50/50 split from sales, plus co-ownership of the masters and a record-to-record contract. Redeye’s deal is for North America, leaving the Donnas to choose international distributors. (Billboard)

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Read the LA Times article “Kelly Clarkson’s dispute with Clive Davis has made her music hard to hear”.Unlike most first time successful artists, Clarkson doesn’t have the urge to claw her way back on the charts.

Sanctuary Records Group will have let go their entire Radio Promotion Department come June 30. Names and contact info of exiting employees can be found here.

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The Future of Music Coalition, an artists’ rights group, is accusing Clear Channel Communications of forcing musicians to give up their digital copyrights in order to get the airplay that the broadcaster is required to give under the payola consent decree.

The Coalition claims that Clear Channel is forcing independent musicians to sign a contract that gives up the artists’ right to a performance fee when their music is broadcast over the Web.

This is outrageous,” Coalition Executive Director Jenny Toomey said, according to the Hollywood Reporter, Esq. “This is like the fox getting caught in the henhouse a second time and arguing that he shouldn’t get in trouble because he was leaving the hens alone. He was just eating all their eggs.”

Clear Channel tells a different story:

Michele Clarke, according to the Reporter. “The artists are in complete control of their musical work. They control whether they just want it considered for broadcast over the air, whether they want it considered for streaming online, whether they want it to be available for download or all three, and (most importantly) they have the right to terminate their license at any time upon notice to us.”

In March, the Copyright Royalty Board voted to increase the rates that Webcasters must pay each time a song is played, and the stiff increase has been a hot button issue among Webcasters ever since.  (FMQB)

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