TULSA, OK, June 29, 2014 — Before the birth of iTunes, the career of a music artist was entirely focused on selling albums, getting their songs on the radio. Getting on tour.
iTunes changed that dynamic.
Hip-Hop artists, along with the entire music industry, realized that selling albums would not guarantee financial success because people could easily download the songs for free illegally or purchase them individually from iTunes. It no longer required an album investment for a body of work. Consumers could spend less than $2.00 and buy the one song they wanted.
Hip-Hop artists today who are hungry for wealth look beyond music, recognize that they need to create a brand, start their own business ventures to increase wealth outside of music sales.
50 Cent is just one of the hip-hop artists making investments in companies such as Vitamin Water to make financial gain. Hip-Hop artists at the time had no prior history of being investors in companies, especially an unknown product at the time.
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50 Cent is also building other ventures in the headphone industry and launched a boxing promotions company –SMS Promotions – just to name a few of his ventures. Jay-Z is one of the first hip-hop artists to be an owner of a professional basketball team, which although was a small portion, it significantly increased the marketing of the Brooklyn Nets (formerly New Jersey Nets).
P.Diddy changed how the hip-hop industry endorses alcoholic beverages. Instead of just rapping about the drink P. Diddy took ownership in Ciroc and marketed the bottle as the must bottle to have in the club.
Soulja Boy turned his music fans into customers when selling his products such as clothing, shoes and video games via social media.
Hip-Hop artists are realizing that album sales are no longer the only way to create wealth in the music industry. Turning a music fan to a paying customer for products is the new wealth builder.
Hip-hop artists are taking advantage of the opportunities because as the saying goes “time is money.”