Music Industry Trends and Analysis

This assignment delves into contemporary trends shaping the music industry. It requires an analysis of various factors like digital distribution platforms, the impact of nostalgia marketing, and evolving consumer preferences across different age groups and genders. The analysis involves using provided data to calculate percentages, determine medians, and create cross-tabulations to understand these trends effectively.

TRIBUTE LTD

TABLE OF CONTENTS
INTRODUCTION................................................................................................................................1
TASK 1.................................................................................................................................................1
Critical analysis of senior citizen music market, nostalgia marketing and role of internet in
marketing.........................................................................................................................................1
TASK 2.................................................................................................................................................3
(A). Excel spreadsheet with formula...............................................................................................3
(B). Graph representing % of total & % of total profits..................................................................3
TASK 3.................................................................................................................................................4
(A). Analysis of the results from the combined data set and assessing the consumers interest in
music................................................................................................................................................4
(B). Meaning of biasness and assessing its implication for the conducted survey..........................6
(C). Methods to improve the data collection...................................................................................7
TASK 4.................................................................................................................................................7
(A). Median age group for purchasing and listening preferences by new age group......................7
(B). Cross tabulation........................................................................................................................8
(C) Evaluating the intern’s survey research in terms of appropriateness........................................8
(D) Applying the best test for finding out the meaningful information...........................................8
TASK 5.................................................................................................................................................8
CONCLUSION....................................................................................................................................8
REFERENCES...................................................................................................................................10
APPENDIX........................................................................................................................................10
Appendix 1. Computing % of total CDs sold & % of total profit.................................................10
Appendix: 2. Field observation results at Theatre and Mall..........................................................11
Appendix 3. Computing median ranking for young at heart & Senior..........................................11
Appendix 4. Cross tabulation.........................................................................................................11

INTRODUCTION
UK music industry shows a rapid growth over the period and as per the recent statistical
report, the industry made a contribution of 4.1 GBP billion to the gross value added. Musicians,
lyricists, composers and songwriters are the biggest contributor who generated a turnover of 2GBP
billion of 2.7GBP billion in the year 2015. Tribute Ltd is small sized business unit who promote
tribute artistic work in the industry. Recently, it has appointed Jonnie Jones who play guitar, write
songs and play music also. He has been appointed as a Hendrix’s tribute artist who was the most
popular guitar player and singer and awarded many times in the industry for his phenomenal
performance. In order to promote Jonnie’s albums, Tribute Ltd has decided to get assistance of
nostalgia marketing concept thus, the report will critically evaluate this concept whether it is useful
or not to for the business to generate millennial audiences, more importantly, senior citizens so as to
drive greater yield. Besides this, the business managers are also concerned about their distribution
channel i.e. retail outlets, hometown, websites, venue of live concerts and other where maximum
number of visitors can be attracted for the highest turnover. Thus, the main target of the report is to
analyze generated data from both the primary as well as secondary sources applying suitable
statistical & financial techniques to make informed decisions and attain targets.
TASK 1
Critical analysis of senior citizen music market, nostalgia marketing and role of internet in
marketing
In British music industry, the music preference among senior citizens and younger age is
different. It is because, elderly aged people prefers to listen music during walking, exercise,
rehabilitation and others, unlike this, modern age people are music lovers for the entertainment.
Senior citizens thought that listening music during the period of exercise is really helpful for
increasing physiological arousal & improve the subjective experiences as well. They also prefer
listening tribute artistic music, songs and albums. In UK, senior citizens has a sizable population in
the economy which makes it essential for the marketers to consider their desires & expectations
while marketing their music albums, videos & visiting venues (Anderson and et.al., 2016). As per
the case study, Jimi Hendrix was a very popular tribute artist, singer, songwriter and guitarist and
built a huge reputation through UK across all the age ranges people, more importantly, among
senior citizens. This is the reason why Tribute Ltd has decided to promote its recently approached
music player, Jonnie’s albums through nostalgia marketing to attract greater proportion of senior
citizen audiences.
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It will be definitely highly effective approach for the Tribute Ltd, in which, it will use the
positive connotation, strong memories and familiar events of iconic guitarist and music player,
Hendrix to evoke comfort, excitement and fondness among senior citizens (Why Nostalgia
marketing works, 2016). This marketing strategy will be surely push the new promotional campaign
to attract millennial elderly aged people to purchase the Jonnie’s music albums, songs and live
concerts as well. Such practices can be incorporated in distinctive ways such as reviving old
memories by using the same features of the Hendrix’s albums that was highly popular among the
senior citizens, reminiscing outdated memories and others. In the digitalized connected world,
internet and social media usage is considered as the best and easier way for building strong
connection through the nostalgia marketing for leveraging the old memories and optimistic feelings.
It helps in creating a meaningful connection between the historical memorable days & present.
Thus, Tribute Ltd can create its own website and offer their music albums, CDs and others to the
citizens (Howell, 2016). Moreover, uploading latest live concerts picture, videos and others on
Youtube, Facebook and internet will assist it in generating higher number of audiences from the
aging population for Jonnie’s work in the future.
(Source: Introducing the Future Music Forum. 2016)
Looking to the graph, it can be seen that in the digitalized age, it becomes essential for the
artists to use the internet for promoting their music work on multimedia channels for drive-in
millennial traffic and achieve brighter success.
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TASK 2
(A). Excel spreadsheet with formula
Percentage of total CD sold by Tribute Ltd over different locations:
= Number of CDs sold at different locations/Total number of CD sold*100
Total number of CDs sold = 130+353+167+223+1376+2459+72 = 4780
Percentage of total profit generated at different location by Tribute Ltd:
= Estimated profit at each location/Total profit obtained*100
Calculation of profit: Sales – cost
Sales: Number of CDs sold*selling price
Cost: Number of CDs*cost (2 pound)
See appendix 1
(B). Graph representing % of total & % of total profits
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Analysis: Looking to the graph, it reflects that more than 50% of sales has been obtained
from the retail stores as it reflect 51.44% sale. It clearly presents that majority of the buyers prefer
to purchase CDs from the retail outlets at where total 2459 CDs has been sold over two year period.
However, 28.79% CDs has been disposed off to the consumers at live concert places where 1376
CDs has been sold by Tribute Ltd. From the retail outlets, firm has obtained a profit worth 14,754
computed to 42.43% whereas from the concert performance sites, profit were little bit lower to
13,760 indicate 39.57% of total yield. On the other hand, Brighton pubs showcase lowest sales to 72
(1.51%) at a profit of 576 (1.66%), in contrast, general, e-mail and website sales reported % of total
CDs sold to 7.38%, 3.49% & 4.67% whereas % of total estimated profit founded to 8.12%, 3.84%
& 5.13% respectively. However, at the complimentary, it reported lowest sales percentage to 2.72%
at a loss of 0.75% (Cramér, 2016). The analysis concluded that Tribute Ltd must sale Jonnie’s CDs
and music albums at retail outlets as well as live concerts for improvising the sales volume & yield
as well.
TASK 3
(A). Analysis of the results from the combined data set and assessing the consumers interest in
music
See appendix 2
In the scenario, it is stated that Tribute Ltd has conducted a field observation at two different
locations, one is Theater at Uxbridge and another location chosen for the observation is shopping
mall at Brighton. Field observation is a technique of primary data collection, in which, observer
identify and analyze the people’s desires, thoughts, experience, interest and feelings about Jonnie’s
music and guitar plays without asking them any questions.
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From the derived output, it is presented that in the Mall, majority of the audiences to 41
liked Jonnie’s performance and shown their performance for 2 minutes whereas in the Theatre,
there were 19 people who heard the music and approached his performance (Berman and Wang,
2017). Thus, in total, 60 visitors out of 156 were interested to look his live music concerts and
performance.
Column chart:
Analysis: Above graph express that from the observed candidates, higher audiences were
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founded from the aging population who lies under the age group of 61-75 years as in the Mall and
Theatre, there were 64 & 41 members out of 104 & 52 derived at 61.54% & 78.85% were senior
citizens. However, in total, only 37 & 11 members were below the age of 60 years who came to
enjoy the live performane of Jonnie’s music and guitar.
Analysis: From the above results, it is presented that at Brighton Mall, out of 104 members,
62% were female whilst only 38% were male. In contrast to this, at the Theater at Uxbridge, 58%
candidates were under female category and remainder 42% were male. In total, 61% were feminine
and only 39% people observed were male, the results founded that female are more interest in the
music played by Jonnie.
(B). Meaning of biasness and assessing its implication for the conducted survey
Selection biasness in a survey refers to selecting individuals, data or group of people for the
field observation in an un-randomized manner which indicates that chosen sample is not a
representative sample, also called as selection effect (Greenwood and Hartley, 2017). In other
words, biasness can be defined as a distorting statistical analysis of the gathered material facts and
leads to produce inaccurate results.
With the given case study, it has been stated that Tribute Ltd observed people at two
different locations, Brighton Mall & Theatre, at the first, Jonnie presented brief appearance
followed just by some album singings and on the stage, a sign has been displayed presenting
Jonnie’s tribute artist of music legend, Hendrix and played the music for three hour which can be
heard all around the mall. At this place, he arranged his own music instrument and played the
music. Unlike this, it is not so with the Theatre where no sign has been disclosed presenting his
tribute artistic work which indicates that the made observation was not representative and
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appropriate and biased. Besides this, the time duration for the field observation was also different as
in the Theatre, people has been observed after three days. Apart from this, mall venue were crowded
in comparison to the Theatre as in the case, 104 people just twice to the Theatre has been observed
which shows biased observation.
(C). Methods to improve the data collection
Field observation must be done by the Tribute Ltd keeping into account the number of
audiences at the selected venue. The places chosen must have equal characteristics, whilst, in the
stated case, one is mall while other was Theatre. It is also essential to observe the people for the
same duration and at same time also for finding out the right results for evaluating people’s interest
in Jonnie’s performance (Lindsay, Bernoff and Ward, 2017).
TASK 4
(A). Median age group for purchasing and listening preferences by new age group
See appendix 3
Median table constructed in Appendix 3.
From the founded results, it is clear that under the younger group, majority of the people
gave top priority to the retail outlets from where they often used to buy CDs, albums and others and
gave lowest priority to mail & phone. However, under the senior citizen group, retail outlets and
live concert sites were preferred equally, thereafter, they gave average preference to mail & phone
and lowest preference were given to online buying, overall, top priority was given to retail outlets.
Under the listening preference, younger people listened radio, CDs and digital and gave little
priority to the cassette and live music. In contrast, senior citizens gave high preference to radio,
thereafter, cassette, CDs and live at an average and they do not prefer to listen music online.
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Overall, radio & CDs gains high demand across both the age group.
(B). Cross tabulation
See Appendix 4
From the results of the cross table prepared in excel, it is founded that there were no
significant differences founded between young at heart and seniors regarding their buying
preferences.
(C) Evaluating the intern’s survey research in terms of appropriateness
Results founded that people gave top priority to the retail outlets from where they often used
to buy CDs, albums and others and gave lowest priority to mail & phone whilst senior citizen
group, retail outlets and live concert sites were preferred equally. And the cross tabulation analysis
founded that there is no significant different detected under young at heart and seniors regarding
their buying preference.
(D) Applying the best test for finding out the meaningful information
Chi-square test can be applied to find out that whether the buying preference of younger and
senior citizens significantly differs or not.
TASK 5
To: BOD of Tribute Ltd
From: Financial analysts
Date: 30th March 2017
Results founded that nostalgia marketing will be definitely highly effective approach for the
Tribute Ltd, in which, it will use the positive connotation, strong memories and familiar events of iconic
guitarist and music player, Hendrix to evoke comfort, excitement and fondness among senior citizens. This
marketing strategy will be surely push the new promotional campaign to attract millennial elderly aged
people to purchase the Jonnie’s music albums, songs and live concerts as well. Besides this, it becomes
essential for the artists to use the internet for promoting their music work on multimedia channels for drive-
in millennial traffic and achieve brighter success. Despite this, retail outlets and live concert plays gains top
priority among senior citizens to buy music CDs and albums. Lastly, no significant difference has been
founded between young at heart and senior citizens regarding their buying preference.
CONCLUSION
Aforementioned report concluded that by approaching the Hendrix’s albums, memories &
concerts using nostalgia marketing will drive benefits to the Tribute Ltd by exceeding their senior
citizen base to maximize sales & return through delivering Jonnie’s albums and CDs. Besides this,
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secondary analysis identified that retail outlets and live concert places were the top places from
where largest sales volume & profit is obtained by the firm. Apart from this, people highly prefer to
listen music from CDs and radio and bought it at the retail shops.
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REFERENCES
Books and Journals
Anderson, D.R. and et.al., 2016. Statistics for business & economics. Nelson Education.
Berman, E. and Wang, X., 2017. Essential statistics for public managers and policy analysts. Cq
Press.
Cramér, H., 2016. Mathematical Methods of Statistics (PMS-9) (Vol. 9). Princeton university press.
Greenwood, J.A. and Hartley, H.O., 2017. Guide to tables in mathematical statistics. Princeton
University Press.
Howell, D.C., 2016. Fundamental statistics for the behavioral sciences. Nelson Education.
Lindsay, A.E., Bernoff, A.J. and Ward, M.J., 2017. First passage statistics for the capture of a
brownian particle by a structured spherical target with multiple surface traps. Multiscale
Modeling & Simulation. 15(1). pp.74-109.
Online
Introducing the Future Music Forum. 2016. [Online]. Available through:
https://musicindustryblog.wordpress.com/category/music/. [Accessed on 8th April 2017].
Why Nostalgia marketing works. 2016. [Online]. Available through: <
https://www.searchenginejournal.com/nostalgia-marketing-works/134771/>. [Accessed on
8th April 2017].
APPENDIX
Appendix 1. Computing % of total CDs sold & % of total profit
Number
of CDs
sold
%age of
total
CDs
sold
CDs
selling
price Sales Cost
Profit
estimation
% of total
profit
estimated
Complimentary 130 2.72%
£
-
£
- £260.00 -£260.00 -0.75%
General 353 7.38% £10.00 £3,530.00 £706.00 £2,824.00 8.12%
Order via mail 167 3.49% £10.00 £1,670.00 £334.00 £1,336.00 3.84%
Order on website 223 4.67% £10.00 £2,230.00 £446.00 £1,784.00 5.13%
Concert
performance 1376 28.79% £12.00
£16,512.0
0
£2,752.0
0 £13,760.00 39.57%
Retail 2459 51.44% £8.00
£19,672.0
0
£4,918.0
0 £14,754.00 42.43%
Brighton Pubs 72 1.51% 10.00 £720.00 £144.00 £576.00 1.66%
4780 100% £60.00 £34,774.00 100%
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Appendix: 2. Field observation results at Theatre and Mall
Time Brighton Mall The Theatre Combined results
1 min 14 11 25
2 min 41 19 60
3 min 25 9 34
4 or above 24 13 37
Total 104 52 156
Age Brighton Mall The Theatre Combined results
Less than 15 0 2 2
16-30 4 0 4
31-45 16 0 16
46-60 17 9 26
61-75 64 41 105
76 & above 3 0 3
Gender Brighton Mall The Theatre Combined results
Female 65 30 95
Male 39 22 61
Total 104 52 156
Appendix 3. Computing median ranking for young at heart & Senior
Buying preferences Young at heart Seniors Total
Retail 1 2 1.5
Concert 3 2 3
Online 2 4 3
Mail 4 3 3
Phone 4 3.5 4
Listening preferences Young at heart Seniors Total
Cassette 5 3 4
CDs 2 3 2
Live 4 3 3
Digital 3 5 4
Radio 2 2 2
Appendix 4. Cross tabulation
Values
Row Labels Count of Young at heart Count of Seniors
Concert 1 1
Mail 1 1
Online 1 1
Phone 1 1
Retail 1 1
Grand Total 5 5
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