Let's Make a Deal: Why and What You Should Know

For anyone in the music industry, there will come a time when you will have to negotiate with another party. It could be to work out appropriate compensation for a performance gig, to broker a fair and mutually beneficial record label contract, or anything in between. For this reason, it’s a good idea to understand the art of negotiating and how to accomplish the goal of getting the best deal while still preserving the relationship of the person or parties with whom you are dealing.

There are many sources from which to get this education on negotiating. I will be reviewing three of these sources for this blog article to get you started on your way to feeling prepared to handle any deal-making session in which you may find yourself.

The first source comes from a podcast created by Elkay Corporate Advisors, whose business mission statement is “helping individuals, entrepreneurs, and business achieve success”. The interview in the podcast is with Greg Williams who is an internationally known negotiator. In his interview, he discusses the need for proper preparation for a negotiation. Greg says, “In any negotiation, if you do not put your emotions in the negotiation, you will be better prepared to walk away from the negotiation.” In other words, if you are emotionally involved, you will be more likely to make concessions that you may not otherwise make if you were able to be more objective. Greg also emphasizes how important it is to develop a plan prior to heading into a negotiation. He suggests that background preparation is critical in setting yourself up for a desired outcome. Being prepared is also another way to make sure that you can keep the negotiations based on objective criteria. It’s hard to argue against an industry standard or statistics, as they are facts, not opinions. This use of objective criteria will assist you in staying away from emotions during a negotiation. Greg also discusses how body language and facial expressions can be just as powerful during a negotiation as the words that are spoken, if not more so at times. I encourage you to listen to the entire podcast to see what tips you can glean from this ‘Master Negotiator’.

The goal of any negotiation is to create a mutually beneficial agreement for both parties. This not only leaves both parties feeling as if they got something they wanted, but this also preserves the relationship between the parties for further potential negotiations. In searching YouTube, I found a great lecture given by Joel Peterson at Stanford Business School called “Conducting Effective Negotiations”. One of the concepts (and there are many as this video is an hour lecture) Joel illustrates is having “Rules of the Road” or ROR. He gives an example of how he wanted to be seen as a negotiator who didn’t move on price. If he wanted to do a deal for a million dollars, he would get it at a million and nothing less. After several serial negotiations with one particular person with whom he negotiated 300 deals in his career, at about 50 deals in, the other party caught on to his strategy. The other party said to Joel that he simply FELT BETTER if he could negotiate a price. So he told Joel that if he was going to want a million dollars on a particular deal, to just start the negotiations at 8% to 10% higher than where he wanted the deal to be made. So Joel did this and the two were able to make 250 more deals over the span of 20 years using this mutually beneficial arrangement. Once Joel found out what the other party’s underlying interests were, it became easier to negotiate based on those interests. If you’d like to view the entire video to learn more about Joel’s experience and knowledge, I’ve included it for you here:

Finally, no blog post about negotiation would be complete without including something about a BATNA. BATNA is an acronym for Best Alternative To a Negotiated Agreement. This concept is one that will likely determine the fundamental dynamics of your negotiation. Obviously when you go into a negotiation, you and the other party are BOTH looking to get something out of the exchange. But what if your negotiations break down? What if they fail? This concept is discussed well in a video on YouTube from a company called The Voluntary Life. It’s useful to have a BATNA, as it allows you to understand what your worst-case scenario is if the deal does not happen. In other words, what are you going to do if you can’t reach an agreement? If you have a BATNA that says your company will completely fail if you don’t make a certain deal, then you are already entering that deal in a weak position. You also must think of what the other party’s BATNA would be. This will allow you to work out with what position the other party comes to the table. Using a BATNA allows you to come to the negotiation table with a clear picture of what will happen if you need to walk away. You can listen to this and many other helpful concepts from The Voluntary Life by clicking the video below:

I encourage any entrepreneur reading this blog to further educate yourself on negotiating. If you are in the music industry, you will need to have good negotiation skills to protect your own interests and build relationships with other parties that can potentially help move your career forward. If you don’t get the education now as you enter the industry, I promise you that there will come a time when you’ll wish you would’ve heeded my advice. Thanks for reading, and happy deal-making!

Reading Is Fundamental

I am unapologetically a child of the 70’s and 80’s. These were the years of my childhood and teens. Since we only had three or four channels on TV back then, reading was much more of a common activity for kids than it is today. My mom was a huge advocate for reading, and took me to the library at least once a week. I remember a certain ad campaign back then for the Reading Is Fundamental Program, or RIF as it was often referred. RIF was the first non-profit organization that encouraged kids to read more and touted the value of books in the lives of children. One of the earliest commercials I remember was a RIF PSA from the early 70's that used the song ‘He’s Got The Whole World In His Hands’. Suffice to say, the love of reading was instilled in me early on. Later, in the 1980’s, RIF was one of the first PSA’s that I can remember where celebrities were used to compel one into action. One of my favorites is this one with Ed Asner who says, “Give a kid a book and you’ll give a kid a break.” Well, RIF has come into the 21^st Century, and now has this great PSA called Book People Unite. It again uses music, this time a funky little rap tune. I'm hoping it has the same effect on the kids of today as the RIF PSAs did on me, that being they made me want to read.

Although RIF’s goals as an organization are focused on childhood reading, I’ve found that many of the young adults with whom I work are also lacking in the area of being well read. In my generation, we had far fewer things vying for our attention. Now, with the evolution of technology and cable television, books are usually on the losing end of the battle for what both children and adults choose to do with their spare time. When it comes to being successful, however, there is no substitute for the knowledge that one can acquire through reading. For this reason, I have decided to list a few key books that can make a huge impact in the life of a budding music entrepreneur. No matter how many years have passed since Margaret McNamara founded RIF in 1966, reading is and always will be fundamental for anyone who wishes to be a success at anything.

One of the best books to help someone really define their dream and what they really want to do with their life is Put Your Dream To The Test by John C. Maxwell. Maxwell has written several books, most of which are on leadership, and he is considered an expert in the field of success. Put Your Dream To The Test, however, is a little different. It helps one understand the difference between a dream and wishful thinking. It will also help one gain more focus and gives practical steps to take to REALLY make one’s dream come true.

Another book that was a life-changer for me was The Slight Edge by Jeff Olson. After reading this book, I was suddenly able to see exactly what decisions I was making that were keeping me from achieving my goals. After reading it, at least when I made decisions that moved me further away from my goals; I knew exactly what I was doing. It will remove all the excuses one may have as to why they’ve not been successful. Ultimately, life is about the choices we make. No book illustrates this more than The Slight Edge.

One of the books we are reading at Full Sail for my Entertainment Business Finance class this month is Robert Kiyosaki's Rich Dad Poor Dad. I was really glad to see this book used as a textbook, as it contains some of the most important concepts about money that one could possibly learn. This was one of the first books I read when I started my Amway business, and will forever be grateful to Kiyosaki for sharing his knowledge. His illustration of the cashflow quadrant was one of the most influential things I learned when I started as a network marketer. There’s a great YouTube video that briefly illustrates the concept, but this is only a brief summary. There is no substitute for the wealth of knowledge that can be found in the actual book. True success cannot be found in shortcuts, so get the book!

Finally, instead of one book, I recommend the entire works of one particular author by the name of Og Mandino. While Og passed away in 1996, he left behind a legacy of books that will truly change one’s life on a spiritual level. He is a storyteller at heart, so his books are not only inspiring but entertaining as well. I have read every book he has ever penned, some two or three times. His thought process on creating a life of intention and purpose is something that no self-respecting entrepreneur can do without.

As I continue through my life’s journey, I continue to collect more and more books. Although I have recommended a few here, there are many more out there that are just waiting to be discovered. One thing I know for sure, reading is one of the best things you can do to improve your chances of success in anything. In fact, when it comes to success, reading truly is fundamental. So pick up a book next time you have the urge to turn on the TV. Your future you will thank you.

Your Own Mind Is The Key To Your Success

Whether I am functioning in my current job as a sales trainer working with new sales reps, or at the studio working with the artists who record with us at SadSon Music Group, my goal is to always empower them with the knowledge to help them be successful. The one thing I have done in my life that has made all the difference is reading every book on self-development and success that I could get my hands on. I read Napoleon Hill’s Think and Grow Rich and Master Key to Riches; Jeff Olson’s Slight Edge; Dale Carnegie’s How To Win Friends and Influence People; John Maxwell’s Put Your Dream To The Test; and many, many more. But reading a book, while extremely enriching and important, is a time-consuming process. So in my work with my sales reps and my music artists, I am always on the lookout for media that expresses a lot of the ideas that I have read in those books in a shortened form. One such piece of media is a video I came across of Napoleon Hill. It is a video of him explaining what he learned from steel magnate Andrew Carnegie over 100 years ago, and is just as relevant today as it was then. Hill shares how it is true that what ever the mind can conceive, and believe, the mind can achieve.

As brilliant as Hill is however, this is an old video. When working with the youth of today, it’s important to find ways to grab their attention and show them something that they can relate to. For that reason, I was thrilled to find this video montage of Will Smith speaking about the power of the Universe and the power of one’s mind. It’s several Will Smith interviews combined together in one video, showing the brilliance of his thought process. He gives some truths in this video that are so profound, that I find myself watching it over and over again. To enrich anyone reading this blog post, I now share this video with you.

One of my favorite quotes from Smith is when he talks about his “ridiculous and sickening” work ethic and how no matter how talented you are, you will never be successful if you don’t spend hours and hours every day working on your craft. He speaks of his treadmill thought process and how it sets him apart from others. “I’m not afraid to die on a treadmill. You might have more talent than me, you might be smarter than me, but if we get on a treadmill together, there’s two things [that could happen]. Your getting off first, or I’m going to die. It’s really that simple.” Simply put, Smith is saying that he will succeed because he is willing to work as hard as he needs to in order to create the life he desires, or he’ll die trying. It’s a powerful thought process to know that one can create anything they desire if they simply believe they can and are willing to do the work (pay the price) to make it happen. Like I always say to everyone, life is about choices. If you don’t like your life, make different choices. Will Smith clearly understands this, and I hope those reading this blog post now understand it as well. 

The RIAA Isn't The Only Game In Town

In addition to the Recording Industry Association of American (RIAA), the International Federation of the Phonographic Industry (IFPI) is a wealth of information for anyone following a career in the music industry. One of the best sources of information that the IFPI offers is the Digital Music Report. Every year, the IFPI compiles data from numerous sources in order to provide an accurate picture of the trends happening in the music industry’s digital market. One of the reasons I especially enjoy the IFPI’s site is that it is an international, global association. While the RIAA covers legal protection and rights of music labels and publishers in the United States, the IFPI looks at the global trends in the music industry. In the current Digital Music Report, one can find information regarding the use of digital content (access or ownership), bundling music for the mass market, news about what artists and publishers can do to protect online content, and strategies that other countries are implementing to protect and market their music. The report contains well-written, thorough articles as well as a myriad of statistics on music sales, consumer trends, and other marketing data that will assist any self-respecting music entrepreneur in expanding their brand and growing their business. They also have a report archive where the .pdf file of previous yearly Digital Music Reports can be downloaded, which allows anyone in the music industry to study the trends and changes that have been occurring since the digital age of music began.

In the 2012 Digital Music Report (which covers the trends and data from 2011), the chairman of the IFPI, Placido Domingo, writes about “A digital world that rewards artist and creators.” He speaks of the challenges artists and creators have in the digital world in remaining profitable and protecting their content, just as they were and are able to do with physical content. The IFPI is attempting to create partnerships between governments, legislators, and Internet partners to ensure that we continue to develop “…an environment in which the public can enjoy the benefits from a successful digital music sector”. Only by working together will we be able to create this ideal environment.

The Pharmaceutical Properties Of Music Can Make The World Awesome

I often say, “Music is my drug.” All of my life, it has been the one common thread that I could turn to and always find comfort…or inspiration…or excitement. Music is able to bring out the vast array of emotions in me, whatever those may be. It brings color to an otherwise very monotone and desaturated life. It is for this reason that my passion, my dream, is to help artists share their music with as many people as possible. Music inspires, it heals, and most of all, it unites. We are brought together as a result of the love of a particular song and how it makes us feel. Music allows us to share emotions that we would otherwise be unable to articulate. In his TED talk, Music is medicine, music is sanity, Robert Gupta shares how music actually caused a “profound change” in a schizophrenic student of his named Nathaniel. When Gupta started playing his violin, Nathaniel, who was full of manic rage, was transformed into a state of “understanding, a quiet curiosity, and grace”. One thing I learned when I was a mental health therapist was that schizophrenia is a very difficult disorder to treat. There are few, if any, drugs that are actually effective without serious and undesirable side effects. Music, however, has no side effects. Yet it has the power to change our brainwaves and thus, focus our mind in ways we likely never thought possible. Here, for your own inspiration, is Gupta’s TED Talk:

The effect that music has on the brain is complex. One of the things I have studied in my journey as a life coach is a technique called brainwave entrainment, or brainwave synchronization. Use of this technique can have a deep and profound impact. The specific sounds used in brainwave entrainment can allow for deeper thought, deeper relaxation, increased focus, and increased creativity. All this without a pharmaceutical "drug" in one's system. Some say that it’s like an out-of-body experience at times. Here is a short video from Steven Halpern that briefly explains how brainwave entrainment works:

This just goes to show that all types of musical sounds can elicit different kinds of feelings and emotions. It can reduce pain, elevate mood, and truly has the power to change the mind. Music is a better drug than anything a pharmaceutical company can create. It is because of this powerful connection that everything I am working towards has to do with sharing music, promoting music, and supporting the artists who create music. I thank God every day that I found a way to live my passion. One of the most profoundly inspiring videos I’ve seen recently is from Kid President on YouTube. He asks the simple question, “What will you create that will make the world awesome?” Watch Kid President’s video here and ask yourself the same question. Music and coaching artists to effectively create and share their music is my contribution to making the world awesome. What’s yours?