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Daniel Cepeda Gonzalez

Student ID
1014831
BA (Hons) in Music Production
3rd Year
2014/ 2015
Personal & Business Development
Harry Leckstein
Assessment 1

SWOT ANALYSIS FOR A LIVE RECORDINGS


YOUTUBE CHANNEL

WORD COUNT:
763

Strengths

Weaknesses

Experienced crew producing live


recordings.
Innovating product in the national territory
(Spain)
Anyone with an internet connection can
access the product.
Free access to recording facilities.
YouTube is the worlds biggest music
streaming service.

New in the business.


Lack of sponsorship.
Dependence on advertising.
The first intended audience wont be
worldwide.
The need of getting subscribers to have a
steady amount of plays per video.

Opportunities

Threats

Increased demand from musicians to have


music videos in their portfolio.
Undertake work for radio stations, record
labels and artists, based on the channels
popularity.
Expanding the channel to English
speaking countries.
Creating new music content.
Selling the recorded music on iTunes and
other online digital music stores.

Equipment renewal.
New emerging music streaming services.
Decreasement of money received by the
ads.
End of the free studio deal.
Lower market demand.
Loss of key staff.

Strengths

This YouTube channel will count with two experienced creators. The music production
student has produced over 30 tracks during his years at BIMM London, while the person
in charge of the video recording is an established photographer.

Spain lacks a YouTube channel that promotes independent music and follows the model
established by BBCs Radio 1 for live recorded music videos.

Anyone with an internet connection will be able to watch the channels content any time
of the day, anywhere, via PC or smart phone. Furthermore, this has a figurative zero
cost for the consumer.

A recently achieved deal, will allow the recording of the videos for free in a recording
studio.

According to Spotify (2014) YouTube is the worlds biggest music streaming service.
Aviciis Wake Me Up was streamed 200 mill times in Spotify, while the number of
YouTube plays surpasses the 450 million. YouTube is also the teens first choice for
music, as reflected in a poll by Nielsen (2012).

Weaknesses

New businesses require high commitment, high risk and delayed profitability(Bison
Franchises, 2014).

Having a sponsor would provide funds for investing in advertisement. It would also
supply the necessary cash for buying new equipment and paying already established
artists, which would increase the channel plays massively.

Old school marketing techniques such as posting flyers will be applied in high schools
and other places where teens attend. Luckily, this method is low-cost and very effective.

There is an initiated agenda of musicians to participate in the recordings, which is made


exclusively of Spanish speaking bands. This will attract the young Spaniards, but wont
habilitate the channel to compete worldwide.
2

Having subscribers assures a steady amount of plays every time that new content is
uploaded.

Opportunities

Things have changed since the 90s, not only rich artist can, or are required to have their
own music videos nowadays.

Once the videos are up and running, companies might show interest in acquiring the
services of the company. This would bring money to pay back the initial investment, as
well as to use it in making the channel grow.

Putting together an international channel would substantially increase plays.

Videos like making offs and interviews with the musicians could be of interest for the
viewers.

Worth investing in this services if the demand for it existed.

Threats

Technology is an ever changing world. This will cause the necessity to renew the
equipment from time to time.

Years ago the CD was the chosen medium to bring music to our homes. Nowadays the
leader is YouTube, but soon enough Spotify or other similar streaming services could
become more popular.

The revenue received from YouTubes monetization system could change easily. So can
the deal for using a studio for free.

When you are good at making something, the job offers fly to your door. This could
happen to key employees, and seriously damage the companys pillars.

Enhancing the Strengths:

Setting clear goals.

Establishing start and finish dates for completion.

Making sure the objectives are achievable.

Managing the channels resources appropriately.

Investigating about other similar businesses.

Improving the weaknesses:

Recognizing the weaknesses.

Enhancing this areas to turn them into strengths.

Getting viewers from other age groups.

Attracting subscribers by using social media.

Advertising as much as possible using old school marketing techniques.

Developing new opportunities:

Focusing on the core product.

Creating as many content as possible.

Not going after who dont need the offered expertise.

Using subtitles in the videos to reach people that speaks other languages.

Getting in touch with former class mates in the former music school.

Addressing the threats:

Capturing the market as soon as possible.

Being ready for having to change the business model.

Seeing yourself as if you were a customer.

Bibliography

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