“And Now, a Song From Our Sponsor...”

By Tripp Underwood

What do a body spray

manufacturer, a coffee shop mega chain and an energy drink company all have in common? Well, if you believe some people, they’re the future of the music industry. Circling like vultures around the majors’ bloated and near dead bodies, companies like TAG Body Spray, Starbucks and Red Bull have started to peck away at struggling record companies’ exposed market bases by creating their own music labels.

The fact that these companies’ forays into the music biz come at a time when young artists are having trouble getting signed by established labels is no coincidence. As the digital music revolution continues to slash profits within the industry, record companies are spending less on developing new talent. Some businesses see this as an opportunity to support young and potentially popular musicians, and more importantly, latch on to their ability to influence the tastes of their fans. And it’s not just the suits in the marketing department that see this as a positive opportunity. Atlanta music mogul Jermaine Dupri has been named president of the TAG record label, a venture he says will provide young talent with more resources than traditional record deals. “There’s a lot going on in the world that makes it hard to do the old conventional record business,”Dupri explained to People.com. “This label is going to provide new artists with a chance of a lifetime. New artists will receive 10 times the typical marketing support,” he said.

More money for artists sounds appealing, but the brand marketing record label is a double-edged sword scenario. An expanded marketing budget could help launch the careers of many young artists, but there is the fear that music labels formed as marketing gimmicks could hinder the growth of some performers. An environment where music is produced more for its appeal to a specific demographic than its artistic merit may not be the ideal label for artists looking to challenge convention and expand the tastes of their fans. Artists who sign these deals must keep in mind that brand label association works both ways. If the parent company is suddenly exposed as having unscrupulous business practices (like mistreatment of employees, environmental infractions, animal testing, etc.) then groups associated with them may find themselves spending more press time explaining their involvement with that company than promoting their new album. No one knows exactly what the future holds for the music industry. It seems the only thing we know for sure is that it is changing. As the business side of music attempts to reinvent itself and the concept of brand marketing record labels becomes commonplace, the smart artists will be the ones who weigh all their options before they jump on board.