Photo courtesy of Edvill
April 8th, 2009 – Whether you like Nine Inch Nails or not (I’m not always a fan), you cannot deny the business acumen of Trent Reznor. While many other artists and the whole recording industry as a whole is tanking, Reznor is not only making money consistently, but is making a big chunk. Even the business ventures that fail to meet his expectations, still succeed beyond the levels that others might achieve.
Take, for example, the Saul Williams release Reznor orchestrated in 2007. While a free low quality version of the album was available, a high quality version was also available for just $5. Banking on the high rate of return that NIN brings in from its community, Reznor thought that if the public knew all of that $5 was going to the actual artist, they would be more likely to pay the money.
Well, it turns out that only 18% of downloaders did pay for the CD, which was a failure in Reznor’s eyes. Saul Williams, however, still made more money with this method, than he would have had the album been a commercial success under a traditional record label.
Of course, NIN already had a huge and loyal following before they went to an independent distribution model. The NIN business model will not work for an independent artist just starting out, but there are plenty of ideas that can be implemented on a shoestring, and without the fanbase.
Check out this DIGG interview below. It’s an unfortunately lengthy 40 minutes, but hearing Reznor speak about marketing, and business is refreshing. He is acutely aware of building the NIN brand, but we never question his artistic integrity or his relationship with his fans. He is more organic about his business, and provides real value for those that are paying for what he monetizes.
He and I also share the opinion that, while music should not be free automatically, it is now unfortunately and there’s nothing that can be done about it. He’s found a way to make a good living in this hostile environment. If you have the time, the interview is well worth the investment.
3 Comments, Comment or Ping
Sebastien Orban
This guy trully think about what and why he do.
It’s a pleasure to hear him talk about the commercial aspect of music, and I’m glad I bought Ghost to support his ideas – especially since I like it too (not so much fond of Discipline).
Very nice interview. One thing that struck me is how he answer to remark like “well, it work because he was already popular thanks to label” : try to get to your fan, work with the internet, tour, connect with people. Simple, logic…
Glad I’ve taken the time !
Apr 11th, 2009
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