The music industry has undergone a sea of changes since the days of vinyl records and cassette tapes. While the current mobile downloading setup offers plenty of convenience for the average consumer, it can spell financial ruin for musicians and producers dependent on record sales. After all, illegal downloads still eat into profits, with the Recording Industry Association of America (RIAA) reporting that piracy caused music industry profits to fall from $15 billion in 1999 to just $8.5 billion in 2009. In order to survive in this environment of piracy, musicians must think outside of the box, taking advantage of social media, mobile technology, merchandising and, of course, live performances. Together, these elements can spell great profit, even in an age of iTunes and illegal downloading.
Offer VIP Packages for Concerts
Critics of social media may complain of young people wasting their lives behind computer screens, but the truth is, music fans still love attending live shows. You still can profit handsomely off of traditional concerts, but if you're looking to amp up returns on your tour, consider throwing in VIP concert options. These could include special meet-and-greets before or after shows, or even private performances for your most dedicated fans. Many will gladly pay two, three, even four times the going rate for your concert if it means getting up close and personal.