Building A Record Label

labels continue to consolidate and internal1. Finds new artists (works with a research team
departments continue to merge. However, it isto uncover important market research statistics
important for future record industry executives“numbers”)
to have some idea of the internal mechanisms2. Finding artists’ material
that exist within a major label. In fact, independent3. Liaison between artist and all other departments
labels have to incorporate many of the sameof the record company
responsibilities within their infrastructure in order to4. Coordinates across departments for projects
compete in today’s marketplace.5. Product Manager (your manager within the
Some of the departments may seem obvious tolabel)
some of the more experienced readers.PROMOTIONS
However, even you can benefit from knowing1. Primary function is to service radio stations with
what tasks need to be tackled and accomplishedproduct and secure airplay
in order to be a fully functional recording2. Manages independent promoters and
label…independent or major.contractors
It is important to remember that a record3. Works closely with radio stations on contests,
company is defined by foundational concepts:concerts, giveaways, etc.
1. Equity in the copyright of the sound recording4. Works closely with new media and marketing
2. An ability to promoteSALES
3. An ability to distribute1. Primary function is to service retail with product
Keeping these underlying concepts in mind, a labeland oversee retail initiatives
can then be about anything the owners want it to2. Services national and independent accounts
be about. Many people hate to concede to the3. Instrumental in planning release schedule, initial
idea that a record label is ultimately about makingunit volume, and solicitation strategies
money, then hopefully about making great music.4. Works closely with marketing and promotion to
Although, the latter has been falling farther andtrack radio airplay
farther behind in today’s marketplace.MARKETING
Suffice it to say, the label’s departments1. Creates strategic marketing plan for the
must also be working toward the common goal incompany as well as, specific artists and their
their own ways. Below is a general list ofreleases
departments within a record label and the2. Instrumental in seeking strategic alliances for
responsibilities of each department. Rememberthe label (Consumer Products, advertising, radio/tv
with smaller labels, departments are smaller andfilm)
therefore, many tasks are accomplished byPUBLICITY
fewer people.1. Gets the word out
CEO2. Writes press releases
1. Crafts strategy and implements agenda of3. Helps secure personal appearances —
corporate parent companyradio interviews, television exposure, featured
2. May not be involved in day-to-day operationsarticles
3. May be responsible for the business affairs of4. Works with artist’s independent publicist
all affiliated labels under the corporate umbrellaif applicable
4. Reports to executive at corporate parentNEW MEDIA
company1. Responsible for dealing with some of the newer
PRESIDENTaspects of the music business
1. Responsible for entire record label2. Creates Online Presence — social
2. Reports to CEOnetworks, online reviews and feature, blogs,
3. Less removed than CEO and may be involvedwebsite, streaming music, etc.
in day-to-day operations and high profile signings3. Responsible for producing and creating music
BUSINESS AFFAIRSvideos for the artist
Responsible for all contract negotiations and legalMANUFACTURING AND DISTRIBUTION
affairs1. Coordinates
FINANCE/ACCOUNTING2. Pressing
Responsible for all financial functions, payroll,3. Packaging
royalty accounting and financial reporting4. Shipping
LABEL LIAISON5. Warehousing and Inventory Management
1. One person or a small group of people6. Digital Distribution
2. Serves as liaison between record7. Rack Jobbers, One Stops, Record Clubs
company’s distribution company and theThe aforementioned departments and their tasks
record companyare for general reference only. Each specific label
3. Helps decide when to release an album andhas their own way of accomplishing tasks,
makes sure it doesn’t conflict with anyassigning names to departments, and ultimately
other labels the record company ownsselling product.
A&R