- China’s Population

- Capital of China

- Name 5 Cities in China besides Shanghai, Beijing,

- Name 5 Chinese Music Artists

- Name the biggest selling music artist in terms of CRBTs (China Ringback Tones)

- How Many Music Festivals are in China?

- Name the Chinese Equivalent of YouTube, Facebook, Twitter, and MSN

If you were able to answer all 7 questions, then there may be a future for you in the Chinese Music industry.

The headline: China is worth the investment but you can’t import a western music model and drop it into China.

With internet users equal to the US, mobile phone users triple in size to the US, and a growing Chinese middle class expected to double in size – China may well be on its way to building a formidable music business.

However, it will not be easy.  While the western countries have experienced a free exploration of music, China has been in a constrained music sphere and has only recently, in the last two decades, allowed international music artist to perform.  Even now, barriers exist for international companies and artist to penetration the music industry and for local Chinese music to succeed.   To be successful, you should:

1. Build presence locally first.  You need to have success at home before you enter China.

2. Be willing to breakeven or lose money at least once.

3. Build a Chinese version of website

4. Get help from a native Chinese speaker

5. Find a local partner that believes in your company or group

China will play a huge role in the 21^st century but accessing the Chinese market is not a get rich quick scheme.  If you want to be a part of China, you have to be in it for the long-term.

1. The death of the record label:  in the age of digital technology and a generation of self-producers (Flickr, YouTube, Blogs) – is the record label doomed?  The Verdict: No. Artists, especially grassroots, still need record labels to help them get places, approach consumers, and manage their business.

2. Music moves to the cloud – not the sky cloud but the technology cloud where play list sharing becomes the norm and more powerful filters exists than radio or podcasts.  The Verdict: Coming Soon. We are in a generation that loves to share and advertise something “cool”. In addition, we are fast becoming a consumer base that requires instant gratification. Music is becoming ever easier to access and download.

3. Resurgence of local ownership in music.  Will there be a resurgence of local record stores and a fall back to traditional access to music?  The Verdict: Mix.  While communities are experiencing an increase in the number of local record stores, it will still not be enough to upset the rise of instant download and immediate access to content.  Still, there is need to provide exposure and interaction to local bands and your local record store may just prove to be a growing niche market.

4. Brands become the main distributor and revenue stream for music.  The Verdict: Mix. With television advertising having a decreasing impact; brands are looking for alternative means to create an emotional experience with their audience.  Brands are teaming up with music artists to help enhance their brand identity, creating a hefty increase in revenue streams for popular music artists.  But such increases from endorsements, still does not outweigh the revenue that comes from sold out concerts and tours.

5. New Forms of consumption and modification take over – example Rock Band.  The Verdict: Already Happening.   The ability to experience music through different avenues like Rock Band is happening today and will only increase.  These avenues create additional revenue streams for artists and only enhance the music industry.  The question is will these new avenues surpass traditional avenues in revenue?  What is your vote?

So how do brands survive in an anti-ad climate?  How about through music, this was the topic of the SXSW panel entitled “Using Brands to Help Your Music Career”.  Music has ways of soothing the fear to run from ads and even the ability to mask the fact that you are listening to or watching an ad.  Rather it creates an emotional experience and connection with its listeners.

Thus brands can create an ideal partnership with music artists.  Brands need to reach their target in new and interesting ways and artists need to expand their target.  This is especially true for grassroots bands and music artists who do not have the financial means to increase exposure.

What’s better than an ice-cold Pepsi?  An ice-cold Pepsi (or maybe two or three) .  . . on a Friday. A great way to chill, relax, and relieve the intensity of a jam packed work week.  A great way to re-conn3ct with friends and family.  A great way to catch up on all the TV shows that you missed during the week.  A great way to start the weekend and gear up for all the excitement and action at SXSW.  A great way to refresh yourself.  Enjoy your Pepsi Friday.