Merge Records co-founder Mac McCaughan explains their A&R screening process for filtering through thousands of unsolicited demo tapes and CDs.
Insight
McCaughan: Record labels represent a shared aesthetic voice, not just manufacturing
“I thought of a label as the kind of aesthetic umbrella of, like, a certain group of artists.
In other words, like, when I thought of record labels, I thought of For AD, or Sub Pop, or Discord, or Teen Beat Records.
Like, they each had their own kind of voice”
Insight
McCaughan: Performing well earns artist retention better than contract lock-in
“I mean, our assumption, I think, to this day is that if we're doing a good job, then why wouldn't you want to do another record with us? Though we do use contracts now, but we were taking the handshake deal model from labels like Touch and Go and Discord and l…”
Insight
McCaughan: Bands are more open to labels run by fellow musicians
“From the artist relations side, bands are more open to working with the label, knowing that The people running the label are also in a band.”
Insight
McCaughan: Indie labels can't scale permanent operations for rare blockbuster albums
“We go into things trying to keep a rein on, you know, how much money we're spending, because it's the band's money, too, you know? And so, for better or worse, that does put us in a position of not having made the 50,000 records that we could have sold from th…”
Insight
McCaughan: Mainstream music listeners do not care about record labels
“When a record gets as big as, or a band gets as big as Arcade Fire, there's a percentage of people that know what label that record is on, but there's a much bigger percentage of people that don't know and don't care, like, even what a record label is.”
Assertion Not checkable as stated
McCaughan: Multiple agents admitted ignoring Arcade Fire's demo CD
“After we put out the first Arcade Fire album, more than one booking agent called and said, you know, I could have booked that band. I had that CD sitting in a stack of demos on my desk, and I just never listened to it.”