Conference presentation in Bled econference. Presents results of a small study we did in 2008. In the study Social media in the music industry we have both managers and consumers views points.
Harnessing the Power of Social Media in the Music Industry: A Finnish Case Study Jari Salo, Professor of Marketing Editor of Journal of Digital Marketing Associate Editor of Journal of Information Technology Research Aalto University Aalto School of Economics Professor of Marketing, Head of Department Oulu Business School University of Oulu Department of Marketing Bled eConference [email protected]Co-authors Matti Mäntymäki (TSE) Sami Kajalo (Aalto SE) Mikko Lankinen (Oulu Business School)
Transcript
Harnessing the Power of Social Media in the Music Industry: A Finnish Case Study
Jari Salo, Professor of Marketing
Editor of Journal of Digital Marketing
Associate Editor of Journal of Information Technology Research
Co-authorsMatti Mäntymäki (TSE)Sami Kajalo (Aalto SE)Mikko Lankinen (Oulu Business School)
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Agenda• Social media• Methodology• Music industry case studies• Discussion and implications
According to Kaplan & Haenlein (2010) social media can be defined as
"a group of Internet-based applications that build on the ideological and technological foundations of Web 2.0, which allows the creation and exchange of user-generated content."
• These Internet based technologies are used to create and deliver value & capture value for companies and customers in many ways
• Some companies like Dell use social webs (www.ideastrom.com) for research and new product development
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Social media practicalities
• Apple – iPod, new product development – using discussion groups
• Others companies use e.g. Facebook for internal communications and even some cities use social webs for promoting their services for tourists e.g. City of Oulu
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Will it blend campaign - Blendtec
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Myspace
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Facebook
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Taxonomy of Social Webs
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Methodology
• Four case studies, four companies studied
• Data was collected by interviewing representatives of four companies
• Qualitative data analysis to thematize (see Miles and Huberman 1984) transcribed interviews
• Secondary data collection: participative observation, in-depth interviews, secondary archival material was collected
• Secondary data also used for data triangulation purposes
Cases studied
• Case Sony (multinational conglomerate, in Finland has digital marketing group focusing on novel marketing solutions)
• Case Lonerider (small Finnish company, focuses on pop/rock/metal music), catchy YouTube campaign)
• Case Nordie (medium sized Scandinavian music company)
• Case Branch (Finnish pop music for adults)
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“Very rarely I will put stuff to it [Facebook] as there is so much stuff in there already…however if I know that someone might like some[artist] I would. Of course then if there is some sort of interesting event like a concert I would definitively send that to all friends. Especially if you want your friends to know something you can use that”
“…all the messages and suggestions to send something to 15 friends is annoying. It is always like I will never do that…”
Focus group
Results – Social media in the music industry
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Social media focus: Facebook, MySpace and YouTube
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Discussion and implications
Theoretical points:
• Framework to categorize social media types
• Illustrated how that plays out in the music industry
• Further crystallization needed
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Discussion and implications
Managerial points:
• Creating content that matters
• Engaging customers to co-creation of value
• Using social webs to promote artists, sell songs, albums, concerts, promotional merchandise – T-shirts etc., create “brand – band” awareness
• Managerial points can be applied to other industries as well
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Discussion and implications
Limitations and avenues for further research:
• Generalizations based on case studies or focus groups are weak…
• More case studies could be conducted in other countries to enable comparison between cases
• Data collection continued until 2010 (4 additional focus groups and 5 interviews with managers)
