REFLECTIVE  REPORT  –  CULMINATING   EXPERIENCE   DIRECT-­‐TO-­‐FAN  IN  INDIA  (Consulting  Project)   Tanya  Nath  (Masters  in  Global  Entertainment  &  Music  Business)                           Table  of  Contents   SUMMARY  OF  THE  PROJECT  ...................................................................................  3   THE  PROCESS  .........................................................................................................  4   RESULTS  .................................................................................................................  6   Survey  Analysis  ...................................................................................................................................................  6   Challenges  Faced  ................................................................................................................................................  7   Market  Analysis  ..................................................................................................................................................  7   Recommendations  and  limitations  of  PledgeMusic  to  expand  to  the  Indian  Market  ..........  7   Challenges  faced  .................................................................................................................................................  7   NEXT  STEP  ..............................................................................................................  8   CONTRIBUTION  TO  THE  DISCIPLINE  AND  PROFESSION  ...........................................  8   IMPACT  ON  THE  STUDENT  COMPLETING  THE  WORK  ..............................................  8   BIBLIOGRAPHY  .....................................................................................................   10   APPENDIX  ............................................................................................................   11                                 2   SUMMARY  OF  THE  PROJECT     With the opportunity given at Berklee College of Music, I have been working on a consulting project for my culminating experience. Ever since we were told about the culminating experience, I knew that I wanted to do a consulting project. I strongly believe in hands on learning and what better way to do that than working with a company from the music industry. My topic for the consulting project was to get a chance to work with a company from the U.S or Europe, which is looking as India as one of the companies to expand to. I felt this would be a good topic for me to work on as I have prior experience in market research and survey and coming from India, I was familiar with the market and how to conduct business there. Several online streaming and digital companies are trying to internationalize to the Indian market but a lot of research and time is required to analyze the culture of the country and whether it will be a successful market for the company to expand or not. One of the guest lectures at Berklee Valencia was by Mr. Benji Rogers, CEO of PledgeMusic. PledgeMusic is a direct-to-fan online music platform that helps musicians reaching out their fan base to distribute and pre-sell their music projects. It’s a great way for the fans to the see the process of their favorite making music as it happens. He gave us great tips on start-ups with his personal examples of how he started and is carrying out PledgeMusic. I was really intrigued by their business model and idea and felt PledgeMusic would be a great company for the Indian market. I got the opportunity to speak to Benji about my culminating experience and he was interested   3   in the idea. The idea was to do market research and analysis of India for the company to see whether India would be good market for them to expand to or not. So, I analyzed the cultural, legal and political aspects of the music industry sector of India, which should be beneficial for the company. As before expanding to another country, it is really essential to understand the regulations and cultural aspects of how business is conducted in that country. I conducted the market research by doing a survey analysis of the Indian market and then recommendations whether or not it will be profitable for PledgeMusic to expand to India and under what circumstances. THE  PROCESS     Topic  Research   Pitching  the  idea   Finding  a  Kirm   Benji  Rogers’  Lecture  at  Berklee     The  first  thing  to  consulting  project  was,  which  topic  would  I  be  consulting  for.   With   some   research   and   past   projects,   I   was   certain   about   working   with   a   company  that  was  looking  at  India  as  one  of  their  potential  markets.       4       The   next   step   was   what   exactly   what   I   be   pitching   to   the   companies.   I   wanted   to   have   a   solid   pitch   as   you   only   get   2   to   5   minutes   to   speak   to   someone   from   a   company  and  I  wanted  to  make  a  great  first  impression.  In  my  pitch,  I  used  to  ask   about  the  growth  plans  of  the  company  and  whether  they  would  like  to  expand   to   India?   A   lot   of   companies   are   growing   really   quickly   and   most   of   them   are   looking  at  India  as  on  of  their  potential  markets  due  to  high  opportunity  level  in   the  music  industry  in  the  country.  I  would  then  talk  about  why  India  would  be  a   good  market  for  their  company  but  can’t  say  yet  if  it’ll  be  profitable.       After  I  practiced  my  pitch,  I  tried  to  get  in  touch  with  companies.  Initially,  I  was   looking   at   online   streaming   companies   like   spotify,   deezer   etc.   because   digital   streaming  platforms  are  growing  really  quickly  and  I  believe  that’s  the  best  way   to  curb  the  issue  of  piracy.  India,  having  the  highest  music  piracy  rate  needs  legal   platforms  for  music  consumption.       After  Benji  Rojer’s  lecture  at  Berklee,  I  was  certain  that  PledgeMusic  would  be  a   great  company  for  the  Indian  market  not  only  to  curb  the  issue  of  piracy  but  also   act   as   great   platform   for   emerging   artists   in   India.   I   spoke   to   him   about   my   CE   during  his  visit  and  followed  up  with  him  via  e-­‐mail.  He  kindly  took  out  time  to   speak  to  me  about  the  same  over  skype  and  took  a  look  at  my  CE  proposal.         5     RESULTS     SURVEY  FOR  MUSIC   FANS  IN  INDIA   SURVEY  FOR   MUSICIANS  IN  INDIA   SENDING  OUT  THE   SURVEY  AND  ANALYSIS     MARKET  ANALYSIS   SWOT   RECOMMENDATIONS   TO  EXPAND         Survey  Analysis       I  conducted  two  market  surveys  –  survey  for  music  fans  in  India  and  survey  for   musicians  in  India.  I  got  21  useful  responses  for  the  survey  for  musicians  in  India   and   52   useful   responses   for   survey   for   music   fans   in   India.   This   was   after   excluding   some   of   the   responses,   which   were   unrelated   to   the   questions   in   the   survey.   I   sent   out   the   fans   survey   on   linked   in   pages,   music   forums,   friends   of   friends  and  music  schools.  As  per  the  musicians’  survey,  I  sent  them  out  on  music   forums  and  music  school  in  India,  which  has  collaboration  with  Berklee  College   of  Music.     6     Challenges  Faced     ! It   was   a   little   difficult   in   collecting   responses   and   running   this   project   from  Valencia,  when  the  consumers  were  in  India.     ! For   the   fans   survey,   I   received   a   lot   of   unrelated   responses   and   seemed   like  many  people  didn’t  take  the  survey  seriously.       Market  Analysis     I   conducted   a   cultural,   legal/political   and   economical   analysis   of   the   Indian   market,  which  a  company  should  keep  in  mind  while  conducting  business  there   and   recommendations   to   adapt.   I   also   conducted   a   SWOT   analysis   of   PledgeMusic  in  India.       Recommendations   and   limitations   of   PledgeMusic   to   expand   to   the   Indian   Market   I   analyzed   three   scenarios   for   this   of   whether   PledgeMusic   should   expand   to   India   or   not:   optimistic   scenario,   pessimistic   scenario   and   in-­‐between   scenario.   I   also   mentioned   a   few   limitations,   which   they   would   have   to   keep   in   mind   and   analyzed  the  pricing  range  of  willingness  to  pay  of  the  music  fans.     Challenges  faced   ! Pricing   strategy:   How   much   should   the   pledge   products   be   priced   at   for   national  and  international  musicians.   ! Legal  and  Economic  analysis:  Foreign  exchange  and  inflation  rates.       7   NEXT  STEP     If   PledgeMusic,   does   expand   to   India   in   the   future,   I   would   like   to   get   an   opportunity  to  work  as  there  associate  from  there.     CONTRIBUTION  TO  THE  DISCIPLINE  AND  PROFESSION       With  the  courses  taken  by  me  in  my  academic  year  at  Berklee,  I  tried  to  put  all   my  learning’s  into  practice  during  my  CE.  With  the  International  marketing  class,   I   learnt   about   market   growth   and   PESTEL   analysis,   Intellectual   property   law   class   taught   me   how   to   deal   with   the   legal   aspects   when   starting   a   business   in   another  company.  With  the  entrepreneurship  class,  I  got  to  brush  up  my  survey   skills  and  the  Economics  class  helped  me  in  analysis  the  Economic  analysis  of  the   Indian  market.   I  strongly  feel,  consulting  projects  are  a  good  way  for  Berklee  College  of  Music  to   build  a  network  with  the  companies  we  are  consulting  with.  This  project  will  be   really   beneficial   to   my   career   as   if   I   ever   start   a   company   in   India,   I   can   utilize   this  knowledge  of  market  growth  in  the  international  expansion  of  the  company.       IMPACT  ON  THE  STUDENT  COMPLETING  THE  WORK         I  got  to  learn  a  lot  from  this  project.  It  not  only  taught  me  about  market  growth   but   also   enhanced   my   professional   skills.     My   educational   background   was   in   business   administration   and   professional   background   was   as   a   management   trainee   a   reputed   pharmaceutical   company   in   India.   This   project   was   my   door   to   working   in   the   music   industry.   It   was   a   hands-­‐on   project,   I   got   to   work   with   a     8   professional,  Benji  Rojers  who  has  extensive  experience  in  the  industry.  It  helped   me   build   a   network.   I   also   got   to   learn   about   the   pricing   strategies,   of   how   the   products   should   be   priced   differently   in   another   country   keeping   in   mind   the   exchange  rates  and  customers  willingness  to  pay.  I  gained  knowledge  about  the   cultural,   economic   and   legal   analysis,   which   a   company   should   do   when   expanding   Hands-­‐on   project   to   Pricing   strategy   and   analysis   another   Marketing   growth   and   strategies   country. Direct-­‐to-­‐ fan       I   learnt   about   Direct-­‐to-­‐fan   and   personally   lived   the   experience   of   pledging   for   artists.  Researching  for  the  company  since  February,  I  have  seen  how  quickly  the   company  is  growing  and  would  hope  to  get  an  opportunity  to  work  with  such  a   reputed  transparent  company  in  the  future.                     9   BIBLIOGRAPHY         1. "Music Business Research." Music Business Research. http://musicbusinessresearch.wordpress.com/2013/06/04/is-streaming-thenext-big-thing-an-international-market-analysis/ (accessed November 29, 2013). 2. "Online Music Industry in India: A look at Past, Present and Future." NextBigWhatcom. http://www.nextbigwhat.com/online-music-industry-inindia-297/ (accessed November 29, 2013). 3. "Saavn urges music industry to see streaming as India’s salvation." Music Ally. http://musically.com/2013/08/01/saavn-urges-music-industry-to-seestreaming-as-indias-salvation/ (accessed November 29, 2013). 4. International Branding & Marketing 1 (2013): 21. 5. "Indians Will NOT Pay For Music? Wrong." NextBigWhatcom. http://www.nextbigwhat.com/indians-will-not-pay-for-music-wrong-297/ (accessed November 30, 2013).                                   10   APPENDIX                                           11