HYPE

Talk to a label, it’s all about set-up.

But in one fell swoop, Steve Jobs stole the Beatles’ thunder.

We had this long run-up to on-sale today.  With the ongoing complaints that you couldn’t even get Beatle product, that it was sold out everywhere.  9/9/09 turned out to be a let-down.  The day the hoi polloi finally got the product and all the air was let out of the balloon.

Whereas Apple only announced a presentation.  The rumors were all behind the scenes, fueling the fire.  Imagine if the Beatles had just announced 9/9/09 and didn’t even say what the product was.  Today everybody would be running to the store, lining up like they do for iPhones when they’re introduced every June, and we’d be following the frenzy online.

Are they gonna be on iTunes?  Mono or stereo?  Imagine all the discussion of what will be announced.  Is Paul gonna play?

Instead, Paul and Ringo played a private party, E3, and all the hype was focused on middlemen, the press who had the product long before the consumer could lay his hands on it, frustrating buyers.

In today’s egalitarian world, shouldn’t the customer be first, or at least tied in terms of access?

That old first day sales nonsense is so nineties.  It’s about the long haul.  The key is to build enough of a rep that people care about your announcements.  Via great music and a relationship with your fans.

As for Palm’s Pixi…  Someone should be fired for this.  Did they really think they were going to steal Apple’s thunder?  They couldn’t wait a week?  This is like Farrah Fawcett’s death being usurped by Michael Jackson’s.  You can’t time death, but you can pick a date for a press release.

MORE, NOT LESS

The big story in today’s presentation is the new Nano.  And it’s not about music, but video.  For $149, you can buy a product that not only plays music, but shoots video.  Like the Flip.

Do you know what the Flip is?

An ultra-cheap video camera, that’s ruling the sphere.

Sony taught us that people want more more more.  And Microsoft picked up on the same trend.  Only Steve Jobs realized it was about less, making products that were usable.  Until Pure Digital’s Flip.

You shoot video, and the built-in USB plug allows you to connect to the computer with no extra wires and upload to YouTube.  It’s all the rage.  Apple has now piggybacked on this rage.  All for a very low price.  Arguably, the video camera is a bonus!

Contrast this with today’s music business.  Especially the major labels.  Who want 360 deals and deliver almost nothing in return.  What if a label offered something agents and managers did not?  That inspired acts to sign with a major label.  The land grab 360 deal is purely about the company, its bottom line, paying the execs what they’re used to at the expense of the artist.  This is wrongheaded.  You’re supposed to be in bed with your artist, just like your artist is sleeping with his fans.  Adversarial relationships are so twentieth century.  New companies will be bonded to the artist, with open and fair accounting, there will be trust.

As for consumers…  You’ve got to pay for the CD with the ticket so the act can debut high on the SoundScan chart.  Huh?  Just make the music free.  Or give away live takes.  How about something extra.  You charge me to buy the ticket, print it, park, even if I don’t have a car, renovate the facility and then overcharge for food, drink and merch.  This is a business model?  If I pay a hundred dollars, can’t you give me something?  Like a car company gives new car owners a blanket?  You’ve already got my money, make me feel good!

iTUNES LP

I’d trash it, but the labels already know the score.  This isn’t about getting new people to pay more, it’s about getting those already buying albums online excited to buy more.  It’s like Lexus introducing self-parking on the LS.  Cool, but most people don’t need it, and aren’t about to pay for it.  Then again, self-parking may eventually get cheaper and trickle down to the masses.  Whereas we expect what iTunes LP offers to be free on the band’s Website.

SPOTIFY

Just like Apple was late to the game with the iPod and the Nano with video, perfecting what others had pioneered, when are we going to see the Apple streaming service?  You know it’s coming.  And you’ve got to believe it’s going to be better than Spotify.

Then again, AT&T’s 3G is so lousy, songs on demand are hard to deliver.

But Spotify is caching your tracks, so you can even listen where there’s no wireless access.

Yes, Spotify’s on the iPhone, and Android too.  It appears Apple is behind.

Or does Apple have bigger fish to fry.  Does it really care that much about music?  The company can survive quite well without it.  Hell, most of the songs on iPods are side-loaded.  And the real action is in the App Store, which now has Genius suggestions.

The record labels keep saying how Steve Jobs screwed them.  But he was right about pricing.  Sales are declining now that $1.29 is the price point.  And maybe he’s tired of the conflict and is looking towards bigger and brighter pastures.  Amazon was originally about books, now it’s a behemoth.  iPods were originally about music, now they’re about movies, recording video, getting restaurant suggestions, maps…

Today’s announcements were more than we expected.  Every September we get new iPods, but the hand-held players were seen as a mature item.  Today, we see that unlike the labels, Apple’s going to eagerly enter the future, fight for market share with video game console companies and camcorder manufacturers by providing a better experience for less.  I’d like to say it’s rocket science, but Apple’s been doing this act for over a decade.  It all depends on killer products.  You don’t have to be first, but best.