The global lockdown hit many businesses hard as physical interaction and one on one contact became a thing of the past. The entertainment industry, and more specifically the music industry, has been no different.
Live concerts, theatre productions, and movie cinemas all became no go zones and as a result, revenue dropped drastically. We have had to embrace the new normal of online streaming, online concerts, and even direct to streaming movies – all in an attempt to stay relevant both during and after the COVID-19 pandemic. Reinvention will be key to future successes.
Let’s take a look at the ways the music industry is set to change as a result of the recent pandemic.
The ease of access that comes with using online streaming platforms will continue to gain popularity. This takes the risk out of taking on new talent while allowing audiences to choose the music and artists that they would like to listen to. Artificial intelligence will also play a role here as curated playlists become a go-to for many. AI will pick up on the music genre, style, and artists that are most frequented and build a customized playlist based on those preferences. While user subscriptions generate income, artist pay-outs will need to increase significantly to make this a profitable route for artists.
Research has found that concerts will not return in 2020. Live events will continue to be postponed or canceled for the foreseeable future. This has resulted in a huge financial knock for the entertainment industry as the income from ticket sales is no longer available and artists are forced to find alternative means of income. The relationship between artists and fans will also deteriorate as they are no longer able to facilitate one on one encounters. While social media will attempt to step in and replace this, it doesn’t have the same effect.
The internet allows artists and producers alike can more easily reach out and collaborate. In the same breath, fan interactions will need to be managed on a similar platform. This means that all users that have access to the platform or service will be able to interact with one another in real-time in a virtual space. Instagram Live is currently leading the space in terms of this. We need to find new and innovative ways of interacting with fans to keep the industry afloat.
We are all hopeful that the world will eventually revert to normal, and in theory, we will. However, this transition will take time and need to be properly managed. Mass gatherings are still strictly prohibited in most parts of the world, and in the parts that have lessened their restrictions, there are still limitations on capacity in addition to COVID-19 guidelines that need to be followed.
This pandemic has given the industry to re-evaluate our entire business model and find ways to reinvent how we interact with one another. We need to stop seeing the pandemic as an obstacle and instead use it as a way to ensure future successes.