Thursday, October 9, 2008

Ang ‘PAYO’ ni lo‘LA’ (My Grandmother's Advice)

Imagine this – a record label representative would go to a radio station, hands over the CD sampler of a new record to the DJ and says, “Maybe you can get me some airtime for this new talent.”

The CD in the plastic jewel box, is wrapped in a thin cardboard sheet with the name of the artist and the title of the soon-to-be-a-hit track. Mr. DJ would bring it close to his ear, shakes it a bit and hears that rattling sound of what it seems like sheets of paper – money.

“This is going to be a good hit this year,” the jock replies, without even bothering to listen to the song. Minutes later, the song made it on air. A week after, it’s on the station’s chart list.

The label rep moves on station after station doing practically the same thing. Maybe a few different creative approaches but the mission hasn’t changed. Two weeks after that, the song’s a big hit nationwide. But the song sucks.

This is a modern version using a CD sampler instead of the vinyl. But this was how it was in the 1960's.


Have you ever wondered why there are songs that are really annoying yet still made it to the charts? Guess what? There are some transactions in the music business that doesn’t require documentation such as receipts. All it takes is a healthy business relationship and an exchange of confident and assuring words.

If you still don’t get what I’m driving at here, let me spill it for you. While you, a songwriter, are writing an intellectual song believing that it can change the face of the music industry as we know it, there are those who are doing things to disprove your faith. These things they do are what is termed as payola.

Wikipedia defines payola as the illegal practice of payment or other inducement by record companies for the broadcast of recordings on music radio, in which the song is presented as being part of the normal day's broadcast.

It’s a crime. Everybody knows that. It’s like bribing your child’s grade school teacher some favors – financial or otherwise – so your kid can pass in class. That’s sick.

If a song was believed to be a hit, why do labels need to bribe for it? Oh yes of course… they have competitors and they are doing the same thing. If you can’t beat them, join them.

There are other means of exercising payola dealings. At some point in the music business history, labels hired third party entities – someone that has a good relationship with media and can set up a promotional program for them. These are called independent record promoters. They are, for a time referred to as “indies” (not to be confused with indie labels).

The presence of these people allows them to exercise payola without having any trace of the crime. There will be no documents and receipts. Every transaction is now slid off into the hands of the indie.

Payolas don’t have to be monetary. It could also come in the form of exchange deals. A radio station would give airtime in exchange of concert tickets, funding for a concert of the artist, etc.

Allow me to share accounts from people whom I’ve met in the music industry that had worked with and for the industry:

Case#1:

A friend of mine once worked for a major record label as sales executive for Visayas and Mindanao. One time, when I had the opportunity to visit him in his studio, we had a long and interesting exchange of stories.

He confided that giving each radio station P15,000 a month just to get a new track on regular airplay was part of his job (of course this job scope isn’t printed in his deliverables).

This was in the late 90’s. How many stations were in the VisMin region? These “money grease” are bound to be reflected against the artists’ royalty paychecks later.

Case#2:

There’s one band manager I know in Manila who said she was paying P35,000 to each radio station to get a track spinning on air. She also claimed that other managers managing indie bands are doing the same. This was between 2004 and 2005.

Case#3:

A friend of mine who used to be in a popular band confessed that these facts I mentioned above are true. He was with a band signed under a major record company. The band was very successful. The good thing was that he didn’t favor the business practices behind it. He was a witness to these crimes. It's just unfortunate that these crimes have no proof of billing.

Case#4:

The Big Four (Sony BMG, Warner, Universal, and EMI) are, ironically, the primary culprits. Why not? They practically own 60% of the entire broadcast network in the U.S. Below are some links about these cases:

EMI Settle Payola Allegations
EMI Agrees to Fine to Resolve Payola Case
Universal Music Settles Payola Probe

The good news is that there are moves to resolve these issues. But will it really end?

It’s ironic that the giants in the entertainment industry is going after other opportunists such as vendors of pirated CDs, Napster (the old-Napster case), iTunes, etc. Isn't it that they want to bring a song to the peak of its success?

It’s ironic that labels turn out unhappy with the effects of their success, isn't it?

It's like they want to rape the system but they don't want to be raped. As I said, there are no evidences - a rape case is brought to court without papers, only witnesses.

And let’s face it, when an attractive lady gets out of her house, she may not be in control of her fate anymore.


I personally don’t like this system. But it exists. You can’t see and feel it but you know that it’s happening. It’s sickening. I’m posting this not to discourage artists but to bring awareness to one of the greedy pursuits that are breathing through the system.

Ang ‘PAYO’ ni lo‘LA’? Just hope that the emergence of indie labels, self-music-publishing, and the internet will change all that. I’m sure there are better options in our hands just waiting to be uncovered. Perhaps, it is already happening as we speak.




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