On air/on sale... on track
May 07 2011
By Paul Williams
Source: MW
The UK singles market has undergone a radical transformation in the few months since the introduction of the on air/on sale policy – and the chart is already starting to behave in a different way. Music Week research reveals that while a majority of releases are following the on air/on sale strategy, some labels make an argument for adhering to the policy on a case-by-case basis
On air/on sale has radically overhauled the UK singles market within the space of a few months – with Music Week research revealing the vast majority of new tracks are now available to buy almost as soon as radio starts playing them.
Just three months after Universal and Sony adopted the policy of commercially issuing new singles at the same time as servicing them to radio, the once normal practice of allowing weeks of pre-release airplay has become the exception rather than the rule.
The policy was brought in as a key measure to reduce online piracy and early evidence suggests that it has already been effective at reducing illegal P2P activity.
However, analysis by Music Week of the singles sector since the beginning of February, when the two leading majors introduced on air/on sale strategies, reveals that in some cases music fans still have to wait up to two months to be able to purchase tracks legally after they first hear them on the radio. The exclusive research undertaken into on air/on sale has examined every track which has entered the UK Top 40 since February and was not previously available to buy in some legal form (such as being part of an already-existing album).
This covers the weeks from when Island/Lava act Jessie J’s Price Tag – widely seen as one of the first on air/on sale successes – debuted at number one to last week’s OCC chart when RCA’s Beyoncé single Run The World (Girls) entered at 18 on the back of only three days of airplay and commercial sales.
During this period some 46 tracks arrived in the Top 40 that were not previously commercially available; more than half of them were releases from either Universal or Sony, four came from Warner, three from EMI and the remainder from the independent sector.
Music Week has compared these 46 tracks’ debut appearances in the weekly OCC Top 200 sellers to when they first cropped up in Nielsen Music’s weekly Top 1,000 UK radio airplay chart (this chart was used as the benchmark for when airplay started to kick in properly).
Twenty-five of these 46 tracks – some 54.4% – had not yet made the Top 1,000 radio chart by the time they were commercially available, while about 11% of them first showed up in the radio chart the week before they could be purchased. This meant there was, in effect, only a few days’ gap between initial radio plays and commercial release.
Of the remaining 35% of tracks, the gap between radio stations playing a song and its commercial availability varied between two and 10 weeks. Four of these tracks turned up in Nielsen’s radio chart at least seven weeks before they could be purchased.
In some cases the big gap between radio date and commercial release can be explained because on air/on sale policy had not fully kicked in at the beginning of the period under review. Some of the tracks that enjoyed weeks of pre-release plays, such as RCA’s Champion by Chipmunk featuring Chris Brown, were already at radio at the time the policy rolled out so had been on the air for several weeks or more when fans could finally buy them.
In other instances there has been a deliberate decision to hold back a track’s commercial release to allow weeks of pre-release awareness to build up and help to secure a high first-week OCC chart position. An obvious example of this is the Ministry Of Sound single Unorthodox by Wretch 32 featuring Example, which had already spent 10 weeks in the Nielsen Top 1,000 radio chart – getting as high as number 15 – when it debuted at two on the sales countdown a week ago.
Ministry Of Sound Recordings managing director David Dollimore describes on air/on sale as “a great idea in principle”, but says it has to be adopted on a case-by-case basis. “If, for instance, a dance track hasn’t started at all at clubs or on the radio it needs a longer period of time to bed in,” he says. “If you put up a track on iTunes by an unknown dance producer there is no plot so it is not going to do anything. With an artist who is much more established it is easier to do it because there is already a groundswell of interest.”
The widespread use of on air/on sale for more established acts has been adopted by Universal and Sony. Universal has since applied day and date techniques twice for Lady GaGa releases – with Born This Way, which entered and peaked at number three on the OCC chart in February and has since sold more than 400,000 units, and follow-up Judas, which debuted at 14 a fortnight ago before climbing into the Top 10 a week later. Both tracks will be on GaGa’s May 23-issued album Born This Way.
According to Universal’s commercial division managing director Brian Rose, since the company introduced on air/on sale in February there have only been two releases that have not stuck to the policy: the Mercury-issued On The Floor by Jennifer Lopez featuring Pitbull and Geffen act The Wanted’s Gold Forever.
Several other Universal tracks during this period only became available commercially after several weeks of airplay, including Nicole Scherzinger’s Don’t Hold Your Breath, which entered the OCC chart at one in mid-March, six weeks after first making the radio airplay chart. However, Rose suggests the release was already at radio before the policy started, a situation also shared by the debut single from Polydor artist Clare Maguire.
In the case of the Lopez track, which had seven weeks of upfront airplay before becoming an instant OCC number one in April, Rose says this happened because of a decision by the artist’s management, while The Wanted stance was led by the track’s link to this year’s Comic Relief.
“With Jennifer we talked it through with management and we were happy with their plan,” he says. “We always have these conversations with the managers and artists and that is definitely going to continue.
“In the case of The Wanted, because it was a single for Comic Relief, we couldn’t look at it as a run-of-the-mill single. It was around a specific event and it was more about the event than radio.”
The early results from on air/on sale have been greeted positively, albeit with some caution, by Music Managers Forum chairman Jon Webster whose organisation campaigned for a year alongside the Entertainment Retailers Association for the airplay/sales window to be closed.
“The MMF is generally very pleased with the progress of OAOS but the stats show there is still a long way to go,” he says. “We still need to educate all facets of the industry who are resistant to change so that we arrive at a place where retrogressive marketing techniques do not promote piracy. We are confident that sanity will prevail.”
Despite there being a few exceptions occurring, Rose says all the Universal labels have embraced on air/on sale. “We’ve also taken massive strides in terms of working with all our partners – radio, press, TV and promotions – to explain to them what we’re trying to do,” he adds.
The main reason for introducing on air/on sale in the first place was to try to reduce online piracy by making sure consumers were given the option of buying a track they heard on the radio legally rather than being tempted by illegal services filling the gap ahead of official release. Although it is still early days, Rose says he is very encouraged by the early signs the initiative is having on online illegal activity.
“We’ve only got six or seven weeks of data but we’re really seeing some interesting trends,” he says. “Prior to on air/on sale when peer-to-peer was peaking it was doing so two weeks before you could buy a single legally. When the track is available legally we’re now seeing a dip in P2P because people can legally buy it when they hear it on the radio.”
A Sony spokeman says it is still very early days to do a proper verdict on the effect of on air/on sale, but adds, “It’s certainly proving an early indicator of blockbuster records, such as in the movements of the Chris Brown Beautiful People track.
“Where we still need further evaluation are in the areas of the overall plot – when you do go on air, you need to factor in what other marketing assets are in place over the subsequent weeks to sustain interest and awareness of tracks while you build up to the release of albums.”
THE EFFECT ON THE SINGLES CHART
On air/on sale can still produce instant number one hits, but increasingly for labels the focus is shifting from a single’s first-week chart position to how many units it sells overall.
Island/Lava’s Jessie J featuring B.o.B. track Price Tag might have suggested the new strategy would have little impact on how the UK singles chart behaves when it debuted at one on the weekly OCC countdown in February, despite having had only minimal pre-release radio support.
But while some other singles subject to the on air/on sale policy have followed in Price Tag’s wake by commanding a high, first-week sales chart position, the days of a stack of brand new entries in the OCC Top 10 each week now appear to be over.
Instead labels and the wider industry are having to get used to, in the majority of cases, releases entering the chart at more modest positions and then building up to a peak over several weeks or more.
In short, the singles chart is starting to behave like it used to decades ago when, with minimal pre-release airplay support, the story was about releases growing week by week; only occasionally would something debut at number one.
The evidence of the first three months of on air/on sale, as uncovered by Music Week research, suggests the commercial behaviour of releases subject to the day and date policy can roughly be divided into two: some tracks will still claim high first-week positions – as evidenced by Price Tag and Polydor act Lady GaGa’s Born This Way, a number three debut in February – but the vast majority of new releases will enter the charts lower down. As awareness grows through increased support at radio and elsewhere, they then move up the rankings.
Universal commercial division managing director Brian Rose says on air/on sale can still produce “out-of-the-box” hits such as Price Tag, but the focus now is cumulative sales and a switch in focus away from the first-week chart position. “Our business needs to be about the consumer first. It’s not about the business first or the media first, but what the consumer wants,” he notes.
A good example of the effects of on air/on sale on chart patterns is Universal’s Interscope/ Polydor release Party Rock Anthem by LMFAO (pictured left) featuring Lauren Bennett & Goonrock. Prior to this policy, this track would likely have enjoyed a number of weeks’ airplay before going on sale and debuted on the OCC chart at least in the Top 10. Instead it entered at 22, having that week sat only in 330th position on Nielsen’s weekly radio chart, but then climbed on the sales countdown a week later to three, then two before hitting number one in its fourth week.
In some instances OCC chart progression can go in fits and starts for tracks subject to on air/on sale with some releases falling down the chart or even dropping out in their early weeks on sale and only then beginning to progress again when a story begins to develop at radio.
An example of this is RCA act Britney Spears’ (inset) Till The World Ends which was only radio’s 859th most-heard track when it entered the OCC chart in a modest 55th position in March. It leapt on the OCC countdown to 21 the following week as its radio profile started to grow but then dropped back down to 55 on the sales chart the following week and then out of the Top 75 altogether. But then in the week its parent album Femme Fatale was released it re-entered at 47 and moved back into the Top 40 seven days later to 26, while retaining this position the following week. However, its sales progress so far may have been held back by the track not yet having fully taken off at radio. By last week it had only got as high as 66 on the airplay chart.
Meanwhile, Warner Bros act Birdy’s first single Skinny Love has demonstrated how the industry going forward will need to consider more and more cumulative sales rather than a release’s chart peak. Having entered the OCC chart at 25 in March, without having first appeared in Nielsen’s weekly Top 1,000 radio chart, it has since enjoyed a very consistent sales pattern, moving on the OCC countdown up to last week 29-27-27-27-22-21.
It is a similar case with Wall of Sound release C’mon (Catch ’Em By Surprise) by Tiesto V Diplo featuring Busta Rhymes which, without upfront radio support, entered the OCC Top 75 at 50 at the end of February but then spent eight weeks in the Top 40 with its cumulative sales up to last week standing at nearly 160,000.
But Ministry Of Sound Recordings managing director David Dollimore questions whether the single – which peaked at 13 on the OCC chart – could have done better without on air/on sale. “It could have been in the Top 10 if it had great pre-orders,” says Dollimore who suggests on air/on sale can “create a bit of confusion” when a release has a low chart position if people are not aware of the process.
On air/on sale is also no guarantee that a release will build its sales chart profile once airplay starts to increase.
In the case of Domino’s Arctic Monkeys, on air/on sale resulted in a Top 40 debut – at 28 – just days after radio first started playing their single Don’t Sit Down ’Cause I’ve Moved Your Chair as their loyal fans no doubt decided to purchase it immediately. But it was not able to grow beyond that and dropped to 43 on the OCC chart the following week.
No doubt the longer on air/on sale is established the better labels will get in terms of determining how best to use it to most successfully commercially exploit their releases, while the wider industry will become more used to judging the success of a single on its full sales life and not just based on the first week or two.
At this early stage it would be premature to pass full judgment on the policy, but the fact most on air/on sale tracks have seen their sales pick up after initial release would suggest on the whole it is working. It is also difficult to know how much, if anything, to attribute the continuing growth this year of the UK’s singles market to on air/on sale, but Universal’s Rose is convinced it is helping his company’s sales.
“In terms of what we’re doing, looking across our slate of releases, we’re really encouraged by our sales,” Rose says. “The track market is up 9% year-on-year, which is a really good result, but our track sales are up 15% and I do think our policy is playing a part.”