Scott Heiferman looks back at Meetup’s bet-the-company moment

I love the notion that the simple fact of having a paying customer helps to focus the company.

Amplify’d from 37signals.com
Heiferman also feels charging has simplified everything the company does. “There’s so much good potential that can come out of just charging people for your good product,” he says. “And it’s a virus. It’s a disease. It’s contagious. It becomes person to person. It takes over. It’s a simplicity of organization. The most important thing is it lets you sleep well at night when you get to say that everything you do is for the benefit of the people, for the user. If you get to say that everything you do, every decision, and every operational thing you do is serving them, there’s a simplicity – and it’s just good for your conscience.”

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“As Things Stand Now, Digital Music Has Failed.”

“Institutional self-perpetuation holds no legitimate place in a world of scarce resources”, or even in a world of abundant access to resources.

Amplify’d from www.hypebot.com

An entire decade is behind us and there hasn’t been much progress. Record company executives are starting to worry that the digital music business is already is big as it’s going to get. Of course, many say that there’s still hope to be had. As long as they can continue to curtail music piracy and make it harder to download music illegally, many think that the record industry can still rebound.

Sadly, as Jay Frank, who is SVP of music strategy at CMT, said last week, the music business is still in the CD to download transition while fans are clearly in the download to streaming transition. In other words, young fans are warming up to the idea of Spotify and Grooveshark and moving to access over ownership.

“Not all companies deserve to last. Perhaps society is better off getting rid of organizations that have fallen from great to terrible rather than continuing to let them inflict their massive inadequacies on their stakeholders. Institutional self-perpetuation holds no legitimate place in a world of scarce resources; institutional mediocrity should be terminated, or transformed into excellence.” 

In the terms of Collin’s model of institutional decline, the major labels rest somewhere in between stages 4 and 5, which are aptly described as “Grasping For Salvation” and “Capitulation Towards Irrelevance or Death.” While the record industry executives believe that piracy enforcement will be their path towards “Recovery and Renewal”, it’s hard to say if that’s really their way out of decline.

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How Many Facebook Credits Is Your Song Worth?

Interesting question aside: what currency will become thé currency for music online?

Amplify’d from www.hypebot.com
On July 1st, Facebook is introducing its Facebook Credits virtual currency. First, the company will make it the main payment system for all apps, taking a 30 percent cut of transactions. Soon thereafter, Facebook could also use this payment system as the preferred system for buying goods, concert tickets, or songs.

It’s one of those situations where if Facebook does decide to make it so users can buy digital music using Facebook Credits, artists will have to make their songs available in that fashion. This could also mean that once a song app goes viral in Facebook and everyone is playing an artist’s music, each fan is now just one click away from buying the song or album if Facebook has their information.

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