The Future of Online Music is Now

4/21/2008 staff Online social music sites, such as MySpace and Facebook, are the new draw for music sales, and are poised to become the latest venue for ad-related music sales, reports CMA Closeup Online. The April/May 2008 issue of Closeup reports a new genre in the social networking world, called Imeem. Designed to marry the concept of free music and video for fans with revenue for music labels, imeem.com has signed licensing deals with major record labels that allows free video and music for members, while the music companies receive a portion of the site’s advertising revenue. Social networking sites, with millions of visitors each month, have long been a standard for Country Music artists to connect with their fans.  The growing popularity of artists like Kenny Chesney and Taylor Swift have boasted video streams and music plays that top the 40 million mark. Increasingly, artists have added virtual “stores” to their social network pages, allowing fans to purchase and download music as they visit the site. In early April, Imeem announced it had acquired Snowcap, a company launched by Napster founder Shawn Fanning, which provided such virtual “store” services for artists.  Imeem also facilitates direct music sales, with links for users to download music via iTunes and Amazon. Like other social networking sites, the San Francisco-based imeem is interactive for users, with features that allow users to create playlists and share photos and blogs.  The site has recently signed a contract with MTV networks, offering clips from networks such as CMT, MTV, VH1 and Comedy Central. The site also boasts some special online events with Country Music stars Faith Hill, Blake Shelton and The Wreckers, which offered private listening parties or recorded intros to the artists’ playlists. At any rate, it appears online is where it’s at, bringing a new niche to satisfy the piracy-hungry virtual generation and pull advertisers from traditional formats, like television, to the online universe.