We've been doing some research over the past few weeks. Our business plan and strategy are final. We have started with the development of our online platform. Earlier on, we researched our target audience. Pretty crucial to run a business properly one would say. Yet there aren't many record labels that could describe their audience in detail.
When developing our business strategy we've defined our target group. Our description of the audience as '15 to 35-year-old electronic dance music enthusiasts' however, was way too broad. Other than age and the likelihood that most of them are male this doesn't tell us anything.
Because of the inconclusive data we decided to set up a survey to get insight into the habits of our potential audience and related business opportunities. The survey consisted of 2 sections focusing on current music consumption habits and preferred music consumption methods. Basically we've asked:
- What type of listener the respondent considers himself to be
- How often the respondent listens to electronic dance music
- If they consume illegal and/or legal downloads
- If they consume music through free and/or paid streaming services
- How often the respondent is on the lookout for new music
- Which tools the respondent uses to find new music
- How the respondent wishes to consume music in the future (downloads/streaming)
- What their preferred pricing would be for a single track digital download
- What else it would take for respondents to move to the Loving Music platform if it would offer music at their preferred price point
Respondents have been gathered from our personal network and the TranceAddict.com community, both of which have been very helpful in making this survey relevant to our case.
|80%||- Searches for new music once a week or more|
|70%||- Use social media to discover new music|
- Has bought legal downloads in the past three months
- Streams music without paying for it
- Finds new music with music discovery tools
- Prefers paying between 0,50€ and 1,50€ for a single track digital download
- Has downloaded illegal copies in the past 3 months
- Would obtain music through a different platform if it would be cheaper and have an extensive catalog.
|40%||- Prefers to obtain new music in the form of digital downloads|
|30%||- Listens to electronic dance music about 1-2 hours a day
- Listens to electronic dance music over 4 hours a day
- Still buys copies on physical media such as the cd
- Finds new music on the top charts that are relevant to their preferred niche genre
- Use their offline personal network to find new music
- Would obtain music through another platform if it was cheaper
|25%||- Listens to electronic dance music about 2-3 hours a day|
- Prefers music downloads that don't have to be paid for.
- Prefers buying physical copies.
While we won't claim this list is representative for the entire electronic dance music audience it is indicative and helpful to identify trends and developments. We've gained a lot of insight on our future clients and will adapt our strategy accordingly. In particular, we would like to thank the TranceAddict.com community in particular for their help.