"Water Model" for music industry
Music is an absolute essential of life for many people. Consuming music becomes a daily routine, similar to consuming water and electricity. Software development and technology make music more ubiquitous and available to use, but even with all variety that is being offered in music today, there are many premiums, just like "premium water" we buy in the store instead of drinking a tap water. This concept is coming from a book I've read this summer on future of music industry.
The authors of the book, David Kusek and Gerd Leonhard talk about a possibility to use the same model for music that is being used right now in selling water. What happens with water? We pay extra for getting premium class water. It should be free of bacteria, even better if it has electrolytes and a nice bottle. The price for water will vary from $1 to $4, depending on the brand. Would it be fair to say that water is about packaging it comes in, probably yes.
Can the same model of flat fee be applied to music industry? If music is acceptable as a part of living, than would it be possible to have flat-fee based approach? What services today use this model?
It's obvious that music has been transformed throughout history from being a product to a service. For many people, Youtube and Spotify are the only ways to listen to music. Rather than owning records, the trend is to have unlimited access to music. Spotify is competing today with many other services in the online space. With a flat fee, you can get unlimited music as you go. Will this model be replaced by something else in the industry? As we pay extra for water, we will pay premium for music.
