Friday, June 21, 2013

Jay-Z Covers Billboard Magazine + Reason Why His Samsung Album Sales Won't Count On The Music Chart

Jay-Z's got 99 problems and the Billboard chart is one, lol. The rapper announced his new album, "Magna Carta Holy Grail," will be released July 7, but it will go out to 1 million Samsung users on July 4 for free after a deal with Samsung mobile. This development is going to affect his position on the billboard chart because the deal with Samsung is not counted as a sale.

In a letter posted on Billboard's WEBSITE on Friday, editorial director Bill Werde says it won't count the downloads because Samsung ultimately isn't selling the album on its phones. He adds that it wasn't easy turning down Jay-Z's request to include the downloads on the Billboard chart.
Read the excerpt from the cover story below....
“It is in this spirit that I say it wasn't as simple as you might think to turn down Jay-Z when he requested that we count the million albums that Samsung “bought” as part of a much larger brand partnership, to give away to Samsung customers.  

True, nothing was actually for sale — Samsung users will download a Jay-branded app for free and get the album for free a few days later after engaging with some Jay-Z content. The passionate and articulate argument by Jay’s team that something was for sale and Samsung bought it also doesn't mesh with precedent.  
Retailers doing one-way deals is a fact of life in the music business. When Best Buy committed to and paid upfront for 600,000 copies of Guns N’ Roses’ “Chinese Democracy” in 2008, those albums didn't count as sales not until music fans actually bought them. 
Had Jay-Z and Samsung charged $3.49 our minimum pricing threshold for a new release to count on our charts for either the app or the album, the U.S. sales would have registered. And ultimately, that’s the rub: The ever-visionary Jay-Z pulled the nifty coup of getting paid as if he had a platinum album before one fan bought a single copy. (He may have done even better than that — artists generally get paid a royalty percentage of wholesale. 
If Jay keeps every penny of Samsung’s $5 purchase price, he’d be more than doubling the typical superstar rate. But in the context of this promotion, nothing is actually for sale.  

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