Financial situation

The economic crisis of 2009 has really hit the music sector hard. The album sales have dropped dramatically and the most important gate of income seems to be the concerts. The record labels are using this situation in their favor. It is actually the artists who suffer the most from this situation.

Before, it was the record labels that went after the artists. They discovered new talent and created an artist from scratch. However, in the last couple of years, artists actually make their own albums with their own money and sell its rights to the labels. This means that only the artists who have the financial means and the right connections (with songwriters, composers, arrangers, video directors etc) have a chance to make it in the music arena. The artists are now responsible for everything from the album to the video production. The record labels only have to manufacture the album and work on promoting it. There is a huge unfairness in the sector; actors of the sector are not getting what they deserve at the moment. The new system only works for the labels.