Music is an art that has been around since ancient times, but the way the music industry works today is in evolution. Traditional models for success in music have been upended in the digital era. This means that anyone interested in diving into this exciting, fast-paced world needs to be agile, innovative and up-to-date.
Access to streaming and seemingly endless content online has changed consumption patterns, but the popularity of live music persists. Live music sales have continued to soar since 2022, and festivals like Coachella, Tomorrowland and Glastonbury regularly sell out months in advance.
Since its founding in 2001, Primavera Sound has become one of Europe’s premier music festivals. Daniel Fletcher, Primavera Sound’s former CDO and CIO, joined us on IE University’s Venture Ahead podcast to talk through the current state of the sector. For anyone looking to learn how to make it in the music industry, he had some fascinating insights on trends to look out for and some likely challenges you’ll face.
What entrepreneurs can learn from the music industry
Embrace failure
Great success is rarely achieved without some serious setbacks. While you’re probably eager to hit the ground running as a music industry professional, you should prepare to encounter a few roadblocks along the way. Daniel recommended embracing failure as a necessary part of the process. He believes “Failure is nothing to be ashamed of—it’s a learning opportunity. Each failure teaches you what doesn’t work and allows you to refine your approach.”
When something tricky comes your way, taking a flexible approach and basing your decisions on data related to industry trends can help to mitigate risks. However, the music industry is constantly changing, so you’re bound to come across new challenges that emerge from novel practices and technologies. The important thing here is to learn as much as you can from each situation that arises.
Having a network of partners within the industry can also help to soften the impact of setbacks. Although it’s usually several major corporations who dominate the industry, it also has numerous independent players. Knowing how to navigate this landscape is vital to positioning yourself and your skills appropriately.
Don’t be afraid to innovate
The music industry thrives on innovation. This can be anything from new styles of music to new distribution platforms. A good example that Daniel offered is the digital/real-world hybrid experience of attending live music nowadays. The process of buying tickets and gaining entry, and many elements of the experience on the night are now heavily digitalized. But there’s nothing like the very real physical response to music experienced by concert-goers. Maybe one day, he mused, tech will be able to partially mimic the live experience. But we’re not there yet.
Having said that, as a professional within this dynamic environment, he pointed out that it’s important to recognize the disruptive power and very real opportunities that various emerging technologies present in any industry. Knowing about the tech isn’t enough—you have to understand how to integrate these technologies into your work as tools and “transform your business model to extract value from them,” he explained.
Leverage our new, hybrid reality
Daniel underscored the importance of knowing how the digital and the physical are coming together in the music industry to offer novel types of experiences for audiences. He also went over new ways for artists to engage with their listeners. In that respect there’s an important lesson that entrepreneurs in any sector should be aware of. He said: music can learn from other industries.
He cited immersive digital exhibitions that place the viewer “inside” paintings, showing them the world as it was at the time the works were produced and expanding their experience of the pieces even in the absence of the original paintings. This, he said, is an example of how to harness the opportunities digital tools offer. The key is using them effectively.
Tech presents new challenges too, of course. In fact, concerns in the industry continue to arise around persistent issues like piracy, royalties distribution and developments in AI. As these issues evolve, they create various effects that ripple outward and affect the industry in sometimes unexpected ways. Reacting to these shifts requires agility and openness to thinking outside of established practices for new ways to respond to change.
Get started
Securing success as an entrepreneur in the music industry may seem like a daunting task. And it is. However, with the right approach and the right grounding, you can find your place in a world where creativity and business are intertwined.
Our Dual Degree in Business Administration & Humanities is a great place to start. It provides a global perspective with a holistic blend of academic, creative and humanistic learning, and access to industry leaders who share actionable advice. Check it out and start building your own future.