Artists are no longer choosing to sign with the first record label willing to give them a deal. This is because being an unsigned artist has many benefits in today’s day and age. Signing to a record label in the past meant more money and more opportunities. However, the internet has now created a platform for unsigned talent to make money and create opportunities for themselves.
An unsigned artist can now make more profit staying unsigned because they are able to keep all of their earnings without having to deduct profits to share with record labels. Recording labels give the artist a portion of their profit while keeping the rest, not having a label allows artists to keep most of their money.
Staying unsigned as an artist is plenty more work for the artist and plenty more profit. Labels expect money to be divided amongst many corporate groups within the label leaving less money for the artist. Continuing to stay unsigned can mean more control over the music and more control over the money.
Some well-known artists are now creating their own record labels to avoid the corporate greed of mainstream labels. In most cases, doing this has made the artist more money than they could have made with a major record label. Instead of getting 50 percent of profits from record sales, some unsigned artists are receiving 100 percent of their profit from record sales. Having such a high profit return also means that the artist can sell less records and still make a bigger profit than a mainstream artist.
The internet has put control back into the hands of the musician. The major record labels no longer have the final say when it comes to music. This is great for artists that refuse to compromise the quality of their music and the potential earnings for their work.