Steve Stoute explains how music consumption across racial demographics exposed flaws in Madison Avenue's demographic-driven advertising model.
Opinion
Stoute: Labels Avoided Spotify Fan Data Deals to Preserve Power
“The record companies, I believe, never negotiated that when they had that leverage, because they didn't even want to have to share that information with the artist.”
Opinion
Stoute: Black consumers are the world's best by buying unmarketed goods
“Black consumers are the best consumers in the world. Because they buy products that aren't marketed to them.”
Prediction Not checkable as stated
Stoute: A direct-to-fan creator data platform will emerge within three years
“The next evolution of this in the next three years, I have to be able to go direct, and I have to be able to collect that fan data. I want to send out the newsletter. I want to send out the fan, the sort of correspondence. Like, it's the platform you own. I no…”
Assertion Contradicted
Stoute: Independent music has outgrown major labels in frontline new release market share
“So I guess the good news out of all of this, since we started United Masses, is that the independent music space, and there's a lot of us, have outgrown on the front line The major labels. So if you talk about new releases, market share, the independents have …”
Insight
Stoute: Booming business models temporarily reward and financially applaud mediocrity
“That when an industry is booming, sometimes when it's booming because of the business model itself, mediocre gets rewarded. And like, and then over time it catches up. But in the beginning, mediocrity is applauded and financially awarded.”
Assertion Not checkable as stated
Stoute: Nike missed lifestyle footwear by focusing strictly on performance
“What was clear was Nike wasn't doing lifestyle at that time. They just thought, like, Just Do It was all about athletes and performance, so what I was trying to do was tap into the truth, which was people were wearing sneakers, Not to perform at all. Just so i…”