THE DYNAMICS OF MASS COMMUNCATION Joseph R Dominick University of Georgia Athens McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Chapter Chapter Outline Sound Recording McGrawHill History Sound Recording in the Digital Age Defining Features of Sound Recording Organization of the Recording Industry Ownership in the Recording Industry Producing Records Making a CD Economics Feedback The Recording Industry â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved History ã Edisoninventsphonograph(1877) Tinfoilưwrappedcylinder Peddledasaidtodictation • Bell and Tainter’s graphophone – Wax cylinder • Berliner’s gramophone (1887) – Spiral track recordings on a flat disk • Lippincott and stenographers • Nickelodeons McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved History Rivalry – North American Phonograph Company • Edison Cylinders – U. S. Phonograph Company • Berliner Disks perfected – Columbia Phonograph Company • zonophone, their version of disk player VictorTalkingMachineCompany ã BerlinerandJohnson ã HisMastersVoice ã Victrola(1906) McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved History • Record players ubiquitous (1916) • 107 million records produced (1919) • Radio’s Impact on Recording Industry – Radio cuts record player sales in half (1923) – Electronicrecording radio Radio/phonographcombos(1926) RCA/Victormerge(1929) McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved History ã The Great Depression – Edison’s company out of business (1930) – Record sales $46M (1930) $6M (1933) – Jukeboxes appear after repeal of Prohibition (1933) • World War II and After – Shellac restricted during WWII – American Federation of Musicians strikes – Capitol Records – free recordings to radio stations McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved History • Battle of the Speeds – Longplaying record (LP) • 33rpm Columbia Records (1948) – Extended play record • 45 rpm RCA – 19471949 sales drop due to battle – HiFi sets appear 1954 – Radio’s Top 40 helps sales of 45s McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved History • The Coming of Rock and Roll – Bill Haley and the Comets (1955) – Elvis Presley (1956) – Jerry Lee Lewis • “Whole Lotta Shakin’ Going On” • 6M copies 19571958 – Little Richard – Chuck Berry McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved History • Rock Goes Commercial – Loss of pioneers from music scene – Cleancut image • Bobby Vinton • FrankieAvalon ã TheBritishInvasion TheBeatles(1964)Seven#1records TheRollingStones McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved History • Transitions and Trends 60s90s – 1960s: Freedom, experimentation, innovation • The Who Blood, Sweat, and Tears – 1970s: Heavy Metal – 1980s: Thriller – 1990s: CDs replace tape McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Sound Recording in the Digital Age • Digitally encoded music – easily copied and shared – Napster – KaZaA – Grokster • MusicNet and PressPlay • Apple’s iTunes • Copyprotection software McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Sound Recording in the Digital Age ? McGrawHill Could pirating shut down the recording industry ? ? © 2007 The McGrawHill Companies, Inc. All Rights reserved Defining Features of Sound Recording • Cultural Force – Shapes musical development • International business – 5 dominant companies in 5 countries • Blend of business and talent – Singers and musicians – Recording companies McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Organization of the Recording Industry • Four major segments – Talent – Production – Distribution – Chain Retail McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Organization of the Recording Industry Figure 8-2 Record Distribution Channels McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Ownership in the Recording Industry Table 8-1 Top Five Recording Companies, 2004 McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Producing Records • Seven departments 1) 2) 3) 4) 5) 6) 7) McGrawHill Artists and repertoire Sales and distribution Advertising and merchandising Business Promotion Publicity Artist development © 2007 The McGrawHill Companies, Inc. All Rights reserved Making a CD Record 4-track demo disc Sell demo with agent Record multitrack master disc Equalize tracks Add special effects Re-record as required Mix down to stereo master Reproduce on a disk McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Economics Figure 8-3 Recording Industry Revenues, 1980-2002 McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Economics • Economic Trends – 20002003: recording revenues in a tail spin – 2000: Peertopeer file sharing gained popularity – 2002: Consumers buy more blank CDs than recorded CDs – 20032004: Legal downloading increases thanks to iPod – 98% of industry sales still come from CDs McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Economics • Courtney Love’s example $0.00 – – – – – – – – McGrawHill Fourperformer band 20% royalty + $1 million advance Recording: $ million $150,000 to staff; $170,000 in taxes $45,000 each for one year 1 million copies $2 million royalties $1.1millionpromotionandtoursupport Leftforband: â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved Feedback ã BillboardCharts SalesandDigitalDownloads ã NielsenSoundScan • Weekly sales data from 14,000 retail locations – Exposure • Nielsen Broadcast Data Systems • Airplay on 1200 radio stations – Index number is a composite McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved Feedback ã SoundRecordingAudiences In2000 ã 85millionstereos;85milliontapeplayers ã 40 million CD players • $500$800 per sound system – In 2004 • 30+ spent 55 cents per dollar spent on prerecorded music • 19 declined 11% from 1988 McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved The Recording Industry ã 20,000peopleinindustry ã EntryưLevel Engineering • Recording Institute of America – Creative • Mass media, business admin, music • Volunteer at local studio – Business ã Businessadminandmassmedia ã Startatbranchoffice McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved The Recording Industry • Upward Mobility – Audio engineer Staff engineer Senior supervising engineer – Producer Staff producer Executive producer – Business Management McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved .. .Chapter Chapter Outline Sound Recording McGrawHill History Sound Recording in the Digital Age Defining Features of Sound Recording Organization of the Recording Industry Ownership... Shellac restricted during WWII – AmericanFederationofMusiciansstrikes CapitolRecordsfreerecordingstoradio stations McGrawưHill â2007TheMcGrawưHillCompanies,Inc.AllRightsreserved History ã BattleoftheSpeeds... Organization of the Recording Industry Figure 8- 2 Record Distribution Channels McGrawHill © 2007 The McGrawHill Companies, Inc. All Rights reserved Ownership in the Recording Industry Table 8- 1 Top