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The music subscription service, Rdio, has recently partnered with concert promoter Live Nation. As a result, Rdio will provide audio streaming on LiveNation.com and act as a sponsor for Live Nation-promoted festivals including the Sasquatch! Festival and the Watershed Music Festival. The partnership started last weekend and is part of Rdio’s efforts to gain more subscribing customers.

Resulting from Rdio’s recent partnership efforts with terrestrial radios, other services like Shazam and SoundHound, and Live Nation, Rdio has managed to increase its subscriber base. This article from Billboard describes some recent subscriber trends and numbers for the music subscription service:

Embracing live music requires being both online and on-site, CEO Drew Larner tells Billboard. Live Nation’s presence in country music gives Rdio an opportunity to gain visibility in front of country music fans. “It’s a demographic we want to approach and we felt this was a great way to hit that demographic.”

The company doesn’t share specific figures on number of registered users and subscribers, but Larner gives a couple examples of its recent growth. In Brazil, registered users were up nine-fold from June 2012 through June 2013, and up six-fold from January through June. Registered users were up six-fold from June to June.

Larner also points to the ranking of Rdio’s iOS app at iTunes as an indication of the service’s upward trajectory. Rdio rose to #1 among free music apps in June in the United States after steadily ranking between #10 and #20 for much of the year. It has also hit #1 in Australia, Canada, the United Kingdom and Mexico. “We’re killing it in Mexico,” says Larner.

What’s driving this growth? Larner says four factors are behind Rdio’s growth: partnerships, social media, marketing and the product.

Partnerships have been a growing trend for some online radio and music subscription services as they search for ways to add value to the listener experience. Most services already have the capabilities to allow users to buy music they listen to, but this connection with live music may act as a more effective link between the online and the offline experience. Many would argue that downloading music and streaming music are comparable, and many consumers do not find the need to own music if they can easily stream it online from any device in any location. The live experience, on the other hand, is irreplaceable. It cannot be duplicated online or through any music service.

As users browse the Live Nation site for concert tickets, they will also be able to listen to tracks via Rdio if they are subscribers, or listen to 30 second clips if they are not.  This direct connection between music discovery and the live music industry may act as a funnel, driving new, and current fans to purchase tickets to a band’s live show. If this driver proves effective, artists stand to benefit more than they would from a download as touring generally brings in more money. In an article by Bloomberg, Rdio Chief Executive Officer Drew Larner describes this beneficial cycle: “Marrying what we do with streaming and discovery, and promoting artists with live music, is a natural fit. A streaming service like Rdio and live concerts can be a virtuous circle.”

No official date has been set as of yet for the integration of Rdio’s services into the Live Nation site.

What do you think about this partnership? Do you think Rdio could effectively drive listeners through its service to a live show?

While the recorded music business continues to suffer, the live touring business is holding up rather well, propelled in the short term by legacy acts, but moving forward with smaller bands and festivals well poised to fill the shoes of the legendary bands as they retire. Here are some excerpts from a great piece by Dean Budnick with the Hollywood Reporter.

We’re at a fascinating crossroads. The modern touring rock industry emerged in the late ’60s, during the heyday of such venues as Bill Graham’s Fillmore East and West in New York and San Francisco, respectively, Jack Boyle’s The Cellar Door in Washington, D.C., and Don Law’s Tea Party in Boston. Rock music didn’t move into arenas until the early ’70s, a development that prompted Graham to close his clubs, announcing his decision via a letter to the Village Voice that decried “the unreasonable and totally destructive inflation of the live concert scene.”

So how are the smartest people in the industry preparing for the next big shift?

“We need fresh acts to appeal to new generations,” says Michael Rapino, president and CEO of Live Nation, the world’s dominant tour promoter. “The Rolling Stones was an epic tour, but it’s not a long-term business.” Rapino suggests that this process already is in motion, as six of the top 10 Live Nation tours of 2012 were by artists whose first hit was in the 2000s, including Lady Gaga, Coldplay, Jason Aldean, Drake, Rascal Flatts and Nickelback. “The beauty of this industry is there are always new acts to win our hearts.”

Chip Hooper, worldwide head of music at Paradigm, echoes this sentiment: “Today you’re talking about one group of bands, but what is contemporary and what is heritage just keeps changing as time goes marching on. If you took a snapshot of today, yeah, there’ll be some older artists who won’t be touring in a couple years, but then there’ll be new older artists because younger artists are getting older.”

Still, it remains an open question as to whether today’s concertgoers will continue to follow a singles artist like Rihanna into her dotage and whether they will pony up for the ever-escalating price for a live-concert experience. “As concertgoers age and inflation increases the price of nearly everything, ticket prices will rise in conjunction,” says industry analyst Dan Greenhaus, chief global strategist at BTIG. “When Coldplay play Madison Square Garden with a crowd averaging 50 years old rather than 30 years old, the higher-income-earning crowd will part with more money. The transition from The Eagles and CSN to Bon Jovi and U2 to Coldplay and Foo Fighters might be difficult for some interested parties — but the transition will occur.”

The answer might be to think smaller, says Tom Windish of The Windish Agency, which reps more than 500 acts including Foster the People, Gotye and 20 of the performers at the 2012 Coachella festival. “If I was a promoter, I would be analyzing which markets could use a 2,000- to 5,000-capacity venue and what obstacles are in the way to creating one,” Windish says. “As an agent, there are many cities where there is just not a suitable venue for a band who can sell this number of tickets. It takes time to open a venue of this size for many cities, and it can’t happen soon enough.”

So will all this work? Perhaps a more pointed question is: Can the live music industry survive the coming generational shift? Will young people show the same passion for live music as their elders — and do they have the income to support their habit? Tentative signs point to yes, based on festival attendance as well as the rising popularity of such performers as Mumford and Sons, Zac Brown Band, Bassnectar, Grace Potter and the Nocturnals and Vampire Weekend. At its core, the live entertainment industry is built on a certain ineffable, unquantifiable connection between fan and band, which is also why those legacy acts might not be leaving the stage anytime soon.

Read more from the Hollywood Reporter.


Hypebot reports: Technology has changed a lot about how concerts are marketed, ticketed and produced since Woodstock.  Recently, the greatest driver of change – particularly from the fan perspective – has been the smartphone.  From taking photos to texting friends and song requests, smartphones are changing how concerts are  consumed and remembered.  But early glimpses of projects from Live Nation Labs and startups like  Tastemate show that we’re on at the start of a smartphone driven live music revolution. This infographic above chronicles the journey so far.
Lots more to come…