Adding Value to Your Album in the Digital Age

I’ve recently became addicted to a blog called Techdirt.  There’s a lot of good posts to read over there regarding the changing way consumers get their music and how artists can benefit by forming new business models. 

 A good summary of this blogger’s viewpoints can be found in the post titled “The Grand Unified Theory on the Economics of Free.”  A point he makes quite often is that your music is an infinite good.  Once those tracks are recorded, they can be duplicated and distributed digitally at no cost.  Because these tracks are infinite, he encourages artists to let them be distributed digitally for free.  Artists should focus their business models on making money from scarce goods, such as concert tickets, access to the band, t-shirts, and even CDs.  The infinite digital tracks should be used as a promotional tool to help sell the scarce goods.

Because I’m working at a CD manufacturing company, I began thinking about how someone can drive their CD sales by giving away the music for free.  It seems like giving away free tracks would be counter productive to selling CDs.  You know the old saying, “Why buy the cow when you can get the milk for free.”  Well, I think there are some other good reasons to buy that cow…or CD.  It’s all about adding value to your album. 

Here’s some ideas I’ve floated around in my head:

Artwork – This is something that’s always been a reason for music fans to buy CDs.  The artwork, design, and packaging is part of that whole album experience.  It helps build your music’s image.  And despite what soft drink ad campaigns have told me, image is an important thing.

If you are hiring a designer who has done similar projects, use that to hype up your own release.  Use social networking sites to mention the graphic artist who’s completing your design and include links to some of his or her previous work.  This may build some excitement amongst your fans to see that new album in it’s whole packaging when it’s released.

Limited Editions – There’s a few different ways you could approach this idea.  Perhaps you release an EP online for download only, then after some months of successful promotion, release a physical copy of the album.  Instead of making a full CD replication run of 1000 copies, you could do a smaller CD duplication run of a few hundred.  This really plays up the theme of scarcity, especially if you vow to never make another printing of this EP.

You could also create new designs for each new print run of the same album.  If you sell your first batch of 1000 replicated CDs, add a couple extra bonus tracks and update the artwork for the next print run.  This may draw fans who passed on purchasing your first printing to buy this time around.  It may also draw your most dedicated fans to buy a second copy of your album just to collect the new artwork and bonus tracks.

Autographed CDs -  This may sound cheesy, but it’s nice personal touch you can add to your albums.  It’s pretty easy to sign copies when you are selling them at your shows.  Offer to sign any item ordered online, too. 

Package Deals – Offer discounted package prices when your fans are buying both a CD and another piece of merchandise, like a T-shirt or poster.  Or maybe include free passes to an upcoming show with CDs ordered online. 

I also remember ordering CDs online directly from a band’s website, and they often send a few stickers or buttons along with the CD.  It’s a pleasant little surprise, but it doesn’t have to be a secret.  Let it be known at your website and merch stand that fans will get free stickers or buttons with a purchase of your album.  That will give them even more reason to purchase.

Exclusive Access -  One of the best things you can give fans is your time and attention.  For example, invite the next buyer of your CD (plus a guest, so they aren’t alone) to a band member’s birthday party, a Super Bowl party, or even just an evening of mini-golf or bowling.  Any little reason to hang out with a couple of your fans.  This would not only help drum up some more CD sales, but also help connect with more of your fans on a personal level.  If you can do that, then they will become even bigger advocates of your music, which will lead to more CD sales and bigger crowds at your shows.

Those are just the first few idea that came to mind.  If there are any other ideas out there, I’d like to hear them.