From Communities to Cult Brands

The modern consumer is no longer willing to sit in “listen only” mode. Instead they desire to participate in a way that allows them to connect, collaborate, and feel a sense of ownership in brands they trust. Going forward, brands that have the ability to leverage physical and digital space simultaneously to create connections amongst their consumer base will have a competitive advantage. We're on a journey to explore this new landscape for music by building Phlote into a first-of-its-kind music brand that offers the millions of musicians who are outside the music industry looking in, the ability to participate in a brand new way.

But how did we arrive at this point? Let's take a step back to see how we got here.

In the past, brands held a significant advantage. A limited number of distribution channels meant brands could easily capture the audience's attention through advertising. The communication path was one-way → from brand to consumer. This model worked for years, allowing consumer brands to relentlessly pepper us with ads until brand recognition was seared into our conscious.

Then, the arrival of the internet changed things. Attention was now scattered, making it more difficult and expensive for brands to reach their audience. To adapt, many brands deployed targeted ads and began to espouse metrics like customer acquisition costs (CAC) and lifetime value (LTV) to benchmark their effectiveness.

The emergence of social media marked the next phase. Forward thinking brands recognized the value of engaging in a conversation with their audience, transforming communication into a two-way street. Social media platforms facilitated this transition, giving consumers a new voice to contribute to and steer brand conversations.

Today, the most progressive brands are leaning into the trend started on social by focusing their efforts on building communities. No longer is enough to have a two-way dialogue with the consumer. Now, it's about enabling consumers to talk to and connect with each another with brands playing a central role in fostering these connections. The benefit to the consumer is the comfort that comes from knowing that their among like-minded peers. Brands benefit from the halo effect that comes with curating spaces that facilitate connection.

The next generation of brands will not only bring people together, but will bring them together to do something. The focus shifts from, "I'm here to [meet] others," to, "I’m here to [create] with others."

The best brands will provide a digital platform for their global audience to come together, connect, AND collaborate, using the internet to connect people across geography and reinforcing those “digital” connections with physical experiences. To date, we have not seen a brand execute this playbook, but we will.

The goal is to create opportunities for members to meet, collaborate, and create together. Experiences will be designed to be memorialized through the creation of physical or digital products, allowing the consumer to participate in a new way and leading brands to become more bottoms-up and emergent.

For Phlote, the live recording session is our natural way to bring our community of musicians together to connect, and collaborate. Our digital home, Phlote.xyz, allows our global network to grow and participate. Our product becomes a generative art practice that sets the stage for serendipity to happen.

With this model is place, our focus is on providing members of Phlote with the tools and resources they need to create at the highest level. Unlike a traditional label, we are not asking how we make hit. We’re focused more squarely on how to help members of Team Phlote become better artists.

As we look at the landscape today, the most exciting brands are those that are building communities digitally, reinforcing those bonds through collaborative events, and transforming members of their community in the process. We’re excited to be at the forefront of this new era.

Interested in joining a next generation music brand?

Apply to join us on Team Phlote.

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