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New Zealand Shows Music Piracy Boosts Sales

vik writes "According to This NZ news article it appears local music is being boosted by piracy. Strangely, their Associate Minister of Arts, Culture and Heritage, Judith Tizard, supports this when she warns that "... while sales of local music are high, so are illegal copies of New Zealand albums." Unfortunately as always, government bodies don't seem to be able to make the connection even when it stares them in the face."

31 of 320 comments (clear)

  1. Let's remember that... by mOoZik · · Score: 4, Insightful

    Correlation is not causation.

    1. Re:Let's remember that... by splaytree · · Score: 5, Funny

      So which way does the causality go? Being smelly, white and pasty causing the "not getting the sex"? Or not getting sex can lead to smelly, white and pastiness?

    2. Re:Let's remember that... by ottffssent · · Score: 5, Insightful

      True, but irrelevant. Consider:

      If the availability of free music causes people to buy music, the studios shouldn't try to stop it because it's helping them.

      If buying lots of music causes downloading lots of music, the studios shouldn't try to stop it because they'd be attacking their best customers.

      If there's no causation either way, then the studios are wasting money trying to stop it since it has no bearing on their bottom line.

      Any way you slice it, this suing of children and grandmothers is pointless, a PR disaster, and ultimately suicidal. Whether the campaign works, fails, or has no effect, the studios LOSE.

    3. Re:Let's remember that... by ottffssent · · Score: 4, Informative

      That hardly seems to be the case though, does it?

      Janis Ian's got a nice article posted here ( http://www.janisian.com/article-internet_debacle.h tml ) where she very eloquently tells 'em to go shove it.

      In particular, she points to the one clear experiment being conducted in this area: the Baen Free Library. If increased availability of illegal and free entertainment guts the industry, then surely increased availability of LEGAL, FREE, and PRODUCER-SANCTIONED entertainment would be its death-knell, no? Yet what happens every single time an author puts their work up on the Library? Sales jump.

      So go to the Library ( http://www.baen.com/library/ ), find a good author, and buy a book. Support an author today.

      Get a copy of BNL's Everything to Everyone, and go to a concert. Support a band today.

      And please stop forcing me to compare the music industry to the printing industry. It's really not a good analogy.

  2. Ridiculous by happystink · · Score: 4, Insightful

    How does this stuff get put on the main page? This is a 4 paragraphs or so article just saying that local music is popular, and mentions that piracy of the music is up too. How is this in any way proof or causal? Dear submitter, here is what is staring you in the face with this tiny, tiny article: Piracy happens more for bands that people like than bands they don't like. If a band becomes more popular, piracy will increase. To attribute some weird "the popularity must be because of the piracy, duh!" idea to this is ludicrous, and crazy illogical. God I hate myself for reading slashdot, especially on a saturday night.

    --

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    1. Re:Ridiculous by Duckman5 · · Score: 4, Insightful

      Even better is that the person whose whose words are being used to "prove" this causational relationship doesn't seem to think there is a think that it exists. Instead, she seems to be saying that even though sales are up, "piracy" is still a problem. Not the following quote:

      But Tizard warns that while sales of local music are high, so are illegal copies of New Zealand albums.

      She says piracy and copying of CDs and cassettes is estimated to cost the music industry $40 million a year.


      I guess it is just a bit of wishful thinking and selective reading on the submitters part.

  3. Middle-Earth Makes Music... by MilitaryIntel · · Score: 4, Funny

    I didn't know that Middle-Earth was at the top of the music scene, good for them.

  4. Sales by jeepee · · Score: 5, Insightful

    I think it boost sales of less known album but reduce sales of more commercialy pushed album..... Free access to music give the power of choice.... thats why any big commercial distribors, RIAA etc are against it.

    1. Re:Sales by LoadWB · · Score: 4, Insightful

      I've been interested in an album for a while, so I went to the record store to listen to the samples they have (scan the UPC, listen to the sample.) But they only have the same popular single from the album that gets overplayed on the radio.

      That was my attempt to take the high moral road. Not feeling able to justify $16.99 that I can't get back if the rest of the album sucks, I tried to download a few other tracks to see if it was worth it. Of course the files I got were bogus, having either been purposefully damaged with garbage data at specific parts (same time in each file,) or about 20 seconds of the popular single repeated for the duration of the file.

      So fuck 'em. No sample for me, no money from me. I'll just listen to the one song on the radio until we all get sick of it, and wait until I run into the album in a pawn shop for $5.

  5. i pledged not to, but... by Anonymous Coward · · Score: 5, Insightful

    ...you know with RIAA and cousins constantly using my own government to screw me, i had pledged not to buy anymore cds...it's been months.

    usually i just listen to the radio or existing collection.

    but a friend loaned me a cd with a couple hundred mp3s on it, and two of them were by "no doubt", god i just love gwen's voice, and they just released some interesting stuff...

    well i had to do it, buy some of their older cd's (and some of their newer stuff, too) as well as some dvd's i've been wanting.

    so i was doing pretty well until this dude loaned me mp3s, then, bam! $250 spent on media just like that.

    i hate the corporate bastards taking away my rights, but music has always been a calming, enjoyable thing for me--makes it pretty fucked when you have to choose between loving great music and hating corporate scum and knowing you can't support the former without supporting the latter.

  6. Damn it Slashdot is so Australiasian-centric now.. by Anonymous Coward · · Score: 5, Funny

    You'd almost think that you care about us in the Southern Hemisphere ;)

  7. Thats what i call Misleading by ATAMAH · · Score: 4, Insightful

    Nothing in the article says or implies towards the fact that "Piracy boosts sales". What boosts sales is the fact that there are plenty of new zealand artists in top lists, and new zealanders love to support their fellowcountrymen.

  8. New Zealand Music, and NZ copyright law by Coryoth · · Score: 5, Interesting

    I think the boost in local NZ music by copying is not that surprising. There is a lot of very good New Zealand music, but a lot of it stays relatively unknown, even to the local market, as we tend to get swamped by the more affluent overseas marketing. A little exposure can take you a long way.

    As to New Zealand copyright laws - that's an interesting one, as they are currently under review. I haven't checked recently (but made plenty of submissions while they were taking them) but I believe that while they aren't doing a DMCA (because enough people spoke up) they aren't doing the right thing either.

    This article by the IT editor of one of the major NZ newspapers goes so far as to suggest that they ought to be trying to enshrine Copyleft and Creative Commons in the copyright laws, so there is a movement towards this at a reasonably public level - how much sway that actually has over politicians is hard to say.

    All the New Zealanders reading this: Write in to your local MP and ask them for their stance on Copyright law, and explain the benefits of having Copyleft and Creative Commons as a firmly enshrined concept under law. The more they think people are paying attention, the better the chance thet something good will come in the copyright review.

    Jedidiah.

  9. Re:That doesn't matter to Slashdot by Anonymous Coward · · Score: 5, Insightful

    Always damaging the artist? So, downloading a song from 1942 which I can't buy in any store, or hear on the radio, is damaging the artist that died 20 years ago?

  10. Why make excuses? by Spyffe · · Score: 5, Insightful
    We don't copy software and music because we're trying to help the music industry; we do it because we can, and doing this doesn't harm anyone. Anyone, that is, except for those people that think they can tell us what we can say or share.

    Yet we try to present music sharing as "helping the music industry!" It's like telling King George that Britain will benefit from granting the colonies self-rule. Sometime the reality will strike: music sharers don't care about the music industry and they don't care about the artists. Sales will eventually fall.

    Better that we tell the industry what our resistance is really about: We reject the government's copyright system that makes Federal authorities into thugs that enforce the music companies' restrictions of our freedom to spread information to whomever we want.

    --
    Sigmentation fault - core dumped
  11. Piracy is good . . . somehow by pisco_sour · · Score: 4, Insightful

    First off, I do agree with that article being, well, not an article at all, but a news brief at the most. A more in-depth view is needed to really understand what's going on. But past that, I do agree with music piracy being a boost on sales and popularity, as it widens dramatically the potential market for any artist to not just people with 20 bucks but to people with MUCH much less who probably couldn't afford it at all otherwise.

    Same thing happens with books, as pirated books, costing way cheaper than legits (at least in my country) find their way not only into a segment of the population's homes, but to a much broader market, and it is usually the widespread distribution through illegal channels that ends up dragging forward the non-pirate books or CDs or movies or whatever.

    So, in a sense, piracy - despite its many cons - has the big pro of making culture (and yeah, a lot of garbage too) widely accesible to lots of people who, usually driven off by high prices, simply turn away in resignation. Knowledge for the masses, if you like, and in poor countries like my own, maybe the only working scenario to raise population's literacy levels.

    --
    http://castorexmachina.wordpress.com - Filosofía, tecnología y cultura.
  12. Radio by POds · · Score: 4, Interesting

    I wonder if Radio listening has been ont he increase at the same time sales are picking up? I'd take a guess and say yes. But it all comes back down to think like American Idol etc!

    --


    Giving IE users a taste of their own medicine since 2005 - http://pods.-is-a-geek.net/
  13. Impossible to correlate properly by slycer9 · · Score: 5, Interesting

    After all, how do you quantify someone like myself, who either:
    A) Downloads a track or three by an unknown (to myself) artist to 'test the waters' and based on the tracks in question either buys their CD's/Merchandise, or immediately deletes their tracks of my HD.

    B) Downloads live/unreleased/discontinued tracks by the truckload.

    Both of those show as 'piracy' by RIAA's standards, one of them 'MAY' contribute to higher music sales, HOWEVER, in the case of 'A', even tho' I downloaded tracks to which I will NEVER purchase said album, it can not be considered a 'lost sale'.

    Bascially, just goes to show, you can skew the numbers to show whatever you want them to show...

    Also of note, I'm up to about $400 in sales to the iTMS. Quantify that...

    --
    Don't park drunk, accidents cause people.
  14. Causality link by Coryoth · · Score: 4, Insightful

    As many have pointed out - there's no good causality link here. It's equally likely that local music is more pirated _because_ it is more popular.

    If I was to try and pin some causality to the rise in popularity of local music in NZ, I would say that the Governments request (with threats of legislation) that NZ radio stations fulfill a certain quota of airtime to local music has been a huge boost. And it links in timewise quite closely with some of the rise of popularity of local music. Mostly though, that is simply down to exposure. As noted in another post, local music gets lost amidst the larger marketing budgets of major overseas labels. I'm also not a fan of the government mandating local content quotas - I would prefer the radio stations choose to do that themselves.

    My point is, simply, that greater exposure is what has boosted local music sales. Internet sharing of music is another way to increase exposure. That doesn't mean, of course, that I would advocate piracy - but perhaps local artists who would like to get known should release some tracks under a license that allows copying. Hopefully they already do.

    Jedidiah.

  15. Re:That doesn't matter to Slashdot by Dorothy+86 · · Score: 5, Insightful
    I'm sorry, but music piracy will always be wrong.

    Let's look at the flip side of that. The music industry is, as is almost any other business, out for profit. The money made by such groups is only given to the artist at a factional amount. The "rich and famous" are a small portion of the artist whom we are "damaging." The price of a blank CD is c. .10(us) at the most; the burning, labels, cases, leaflets, et al, is probably around 4 dollars a CD produced. These are then sold to Record stores at around 10-15 dollars (US) Then, the record stores sell them to us (the consumer)at 29-21 dollars (US). The royalty charges go to the record company (i.e. Sony, Columbia, etc) not to the artist. The artist is paid by the record company in proportion to how many CD's are sold, how many concert tickets sold etc. This amount is Negligible when talking about the total amount of profit made. The real thievery is put to the consumer with massive profit margins, from such a relatively cheap commodity. Why not download half, or more, of the music you listen to? The ends, music (for the consumer) and a "loss" for the record company. The whole thing balances out. The ends, justify the means in this case. The consumer is happy, the record companies are still making money, and the world did not end.

    That's my 2 cents anyways.

  16. anti-RIAA stickering by chatooya · · Score: 5, Interesting

    in store stickering of major label cds:

    "WARNING: this record label pays radio stations to keep independent music off the air"

  17. Re:Agree - by happystink · · Score: 4, Insightful

    The problem with adding that to the slashdot submission utility is that the submitters/editors wouldn't actually be able to see it because of their crazy myopia where any news story at all that is somewhat related to any of their pet causes automatically becomes proof of them. Here are 2 situations I can imagine coming up and the slashdot spin on them:

    1. Major record companies report record profits
    slashdot spin: "See, ever since P2P has been thriving, sales have gone UP! GET WITH THE PROGRAM STUPID RECORD COMPANIES"

    2. Major record companies report record losses
    slashdot spin: "The stupid record companies have to get with the program, of course noone is buying cds when they cost too much and with P2P thriving. They need to change their model and offer high bitrate non-DRM downloads for very very low prices! GET WITH THE PROGRAM STUPID RECORD COMPANIES!"

    --

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  18. The number of dollars "lost" is always inflated by Anonymous Coward · · Score: 5, Insightful

    The music industry apparently figures out the amount of money lost by piracy with the following formula:
    Amount of money made = $X
    Amount of money I think I should have earned = $Y
    Amount lost to piracy = ($Y - $X) + $C, where $C is some large constant.

    Unfortunately for the music industry, demand for music is sensitive to price. A lot more people will listen to a lot more music if the price is cheap than they will if it is expensive -- raise the price too high and you will see entertainment dollars flow to movies or computer games or kegs of beer. You can't just say "A billion songs were traded last year, so at a buck per song we would have made a billion more dollars without piracy." Even if the RIAA had absolutely perfect content protection and people were so law-abiding they hesitated to cut the tags off mattresses, the amount the recording industry would have gained would be a tiny fraction of the amount they are claiming -- and with some artists, especially the lesser-known ones, they would actually lose sales since no one is going to spend fifteen bucks on an artist they have never listened to.

  19. This is just silly by rsilvergun · · Score: 4, Insightful

    the trouble with online music piracy is it doesn't just threaten the industry's sales, it threatens their control over distribution. Put simply, why would the music biz tolerate music piracy for a modest increase in sales when they could use their strangle hold over distribution for a massive increase in sales? For profit's sake the music industry ought go on doing what it's been (crushing pirates and stuffing digital restrictions down people's throats while screwing artists). That's gonna pay off a lot more in the long run.

    --
    Hi! I make Firefox Plug-ins. Check 'em out @ https://addons.mozilla.org/en-US/firefox/addon/youtube-mp3-podcaster/
  20. Re:That doesn't matter to Slashdot by Anonymous Coward · · Score: 5, Insightful

    Hey, I pirate music, but I agree, it's wrong. (Yes, I'm proud to be a hypocrite underneath my anonymous sheath)

    I also buy a lot of music. I also work in the music industry.

    Do I feel compelled to feel bad because I might download a song that's on an album I can't find in my local stores? No. What about the song that's on an album with 14 other songs, which I can't stand? No.

    Do I think slashdot has the right to promote piracy? Yeah, sure, it's called freedom of speech. Do I think it's morally sound? Not really. Do I think that slashdot has some example or integrity to uphold? Not in the last 6 years, no.

    Get off the soapbox and download iTunes so you can pay and get in on what everyone else is doing already for free. Micro-payments for music is the best thing since sliced bread, and I'm happy to be a customer.

    Now, when it works on my FreeBSD box, I won't just download the files, pull them through a stream ripper and encode them mp3 to share with family and friends, but that's another story entirely.

    HAND,

    Your friendly politically-incorrect anonymous coward.

  21. cycle by Catskul · · Score: 4, Funny

    Its a..*sniff*... visious cycle....*sniff* :,(

    --

    Im not here now... Im out KILLING pepperoni
  22. Re:That doesn't matter to Slashdot by Khaed · · Score: 5, Insightful

    What if I download a few songs to hear a new artist, not on the radio or television, then buy their album? I may be one of the few, but I *do* tend to buy albums if the music is decent, and I can't listen to radio, because the same songs are played to death here. Technically, even if I buy a CD later, it's still "music piracy."
    And let's be honest, 90% of the time /. users fire up their P2P, they're downloading porn, and we all know it! ...Wait, it's not just me, right?

  23. You *DID* get fooled again by alizard · · Score: 5, Insightful
    This is for the people repeating the RIAA whines about piracy = theft.

    Looks like you've let the *AA slide YET ANOTHER ONE past you. People are taking the RIAA "stolen goods" crap at face value. Perhaps the astroturfers I've seen around here have managed to spread some disinformation.

    128K MP3s are FM broadcast quality (by definition) promos. The business model has one big difference from FM. The users are storing music promos at their own expense and serving up copies using their own bandwidth.

    The only differences between taping MP3 promo tracks being played back over a wireless analog channel, like an FM radio and downloading identical MP3 promo tracks off the Net is that one is illegal and the other isn't. Does listening to 128K MP3-quality tracks displace sales? Why would the labels be paying to have them broadcast if they did?

    Either works for promoting records. The digital version is illegal because the *AA organizations paid off a bunch of politicians to make it illegal. As for morality, some people think getting law in exchange for campaign contributions is immoral.

    Sales aren't displaced by MP3 downloading, they're driven. That's why indie musicians release their own stuff for download on MP3. Not because of generosity, but because they want people to buy their CDs and higher-than-broadcast quality digital tracks at iTunes.

    The most downloaded album on Kazaa was the last Eminem CD, "pre-released". People were waiting to buy it so they could get a higher quality music experience than they could get off broadcast quality CDs.

    Records are sold when people hear enough of what's on it to decide they want a high-quality copy for their own listening. Nobody hears it? Nobody buys it. People hear it, whether on FM, P2P, or via FM radio, people might buy it. What's so hard to understand about that?

    Why is the digital version illegal? Record companies want exclusive access to media channels suitable for broadcasting promotional reduced-quality audio tracks to the general public. So they paid a bunch of politicians to make it that way. Just because it's legal doesn't necessarily make it right.

    The only damage done to legit artists by MP3 is that fewer people buy CDs by mistake anymore. People who like a specific band are likely to check out the new album by buying it. If they've heard all the tracks, they aren't going to buy if they find the one good song is the one on the radio and the rest is filler. What's wrong with that? Record labels do not have the holy right to profit at our expense by selling us crap we wouldn't buy if we knew what was on those shiny discs in advance.

    That's why the MP3 downloads from networks like Kazaa are being tracked by places like Big Champagne. To find out what bands are most popular in a kind of real-time readout simply impossible via traditional radio end user polling methods used to find out what music end users are. Arbitron's every few days or month. MP3 downloads are realtime.

    If THE RECORD INDUSTRY didn't think P2P downloads caused CD sales, why are they using Big Champagne tracking info to run marketing campaigns? If low-quality promo downloads automatically killed the market for the CDs they're taken from, all they could find out from the tracking info is who will not be buying their records. If an album were getting millions of downloads, it would be time to pull the plug on marketing and write off the investment because everyone who wanted to hear it's got it on the hard drive and in their MP3 player. Funny that it isn't happening that way, isn't it?

    Or maybe you guys are reacting instead of thinking to RIAA disinformation and conflating a law (AHRA) created via political campaign contribution with morality.

    If you gave public policy issues the kind of concentrated thought you give your software when a program blows up in your face, you might be able to make sense of a lot more of what is going on around you.

    While correlation isn't ca

  24. RIAA, you didn't lose jack shit. by Anonymous Coward · · Score: 4, Insightful

    Here, at the end of that article, is yet another example of the widespread, thoughtless assumption that every music file traded illegally constitutes lost revenue.

    I know that if I couldn't download music without paying for it, I wouldn't listen to as much music, since I ain't that rich. Because I can "steal" mp3's, listening to music has become a much greater part of my life than it could have otherwise, which means that I'm more interested in buying the albums that I really enjoy. True, I'm not the kind of customer the music industry is really interested in; they cater mostly to the people who listen to those crappy NOW compilations, because those people form the meta-cliche of all cliches: the lowest common denominator. They're undiscriminating morons by the truckload who will, in a twisted bit of irony, undiscriminatingly download the same tripe from Kazaa, and will also likely never give the record industry another penny in their lives. Could the executives responsible for signing artists possibly develop a variegated, thoughtful customer base which really appreciates what it listens to enough to buy it, by refusing to offer up any more flashy, shallow nonsense? nah... Maybe they shouldn't have artificially jacked up the price of CD's (which they lost an antitrust suit over). Or allowed the heinous, evil Clear Channel to become so prevalent as to force musiclovers to find other means of listening to music for free.

    What I'd like to do is simply steal every bit of major-label music I listen to and then mail a check of the full amount of the CD directly to the artist/band. The middle men don't get their cut. Everyone should go that way. Wouldn't be the "end of the music industry" as the press so often likes to say: it would just be the end of the bloated, manipulative corporations that have no place making a commodity of something as specific and inherently idiosyncratic as individual people should be.

  25. Those heavy metal blokes sure know their marketing by Simon+Kongshoj · · Score: 4, Informative

    An excellent example of how 'Net file sharing can actually be used deliberately to boost sales, while also making the fans happy, was how Iron Maiden promoted their latest album, Dance of Death.

    The album wasn't recorded all in one go, as albums usually are, but was recorded during the breaks between tours and gigs. When Maiden had written and recorded a new song for the coming album, they'd perform it on some of the subsequent tours. Whenever they were about to play some new material, frontman Bruce Dickinson would tell the gathered hordes of Maiden fans that if they wanted to record it and share it with their friends on the Net, that was OK, "just buy the album when it gets out, right?".

    So in the months before the release, tons of concert bootlegs of Wildest Dreams, Rainmaker and the title track Dance of Death were floating around the net. People's anticipation of the new album was boosted to the boiling point, and Maiden had come across as sympathetic people who wanted to share their music with the world rather than greedy Lars Ulrich clones. When the album was released, it had killer sales. Lots of people who had come across one of the aforementioned bootlegs (with poor sound quality -- you don't drag your studio quality recorder to a concert, do you? ;) ) just had to hear them in a studio version. It's likely that encouraging filesharing had actually boosted the sales of that record. At any rate, the move sure gained Maiden more respect from their fans, which I personally think is something that also translates to better sales.

    I believe this is the way to do it if you're a major band -- adapting to the new reality of 'net file sharing (legal or not -- the illegal status of sharing copyrighted music obviously isn't stopping anyone) rather than whining about it.

    --
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  26. Re:That doesn't matter to Slashdot by spyfrog · · Score: 5, Insightful

    Be sarcastic all you want but the parent post has a valid point: why does copyright extend BEYOND the physical existance of the creator?

    The idea behind copyright is that the artist should get paid to be creative. Once you are dead you STOP being creative. So the idea to have copyright extend beyond the life of the artist goes against the whole basic fundation of copyright.