Development of the Role of the Record Label

Initial Years and the Rise of Record Labels

In the late 19th and early 20th centuries, record labels started as simple manufacturers of phonographic records.
The labels were essentially printing and distribution companies, initially playing no role in the artist’s creative process.
With increasing demand for recorded music, labels started signing exclusive contracts with artists, effectively becoming intermediaries between artists and the market.

By the mid-20th century, labels began taking more active roles in the creative process, investing in artists’ development and promoting their music.
Some labels became known for particular music genres or ‘sounds’, shaping regional and national music trends.
The late 20th century saw the rise of major labels that dominated the global market, including EMI, Sony, Warner, and Universal.

Today, labels handle artist development, recording, distribution, promotion, and financial management.
The ‘digital revolution’ has significantly changed how labels operate. Digital platforms have become vital for distributing and promoting music.
The role of major labels has been challenged by independent labels and self-releasing artists.
The future of record labels may lie in becoming more service-oriented, offering flexible deals to retain artists.

Record label: A company that publishes and promotes music.
Exclusive contract: An agreement between an artist and a label that restricts the artist to releasing music under that label.
Music genre: A style or category of music.
Artist development: The process of supporting an artist’s growth, creatively and commercially.
Independent label: A record label operating without the funding of major labels.
Self-releasing artist: An artist who publishes and promotes their own music independently of a label.