How To Mismanage Your Community The EMusic Way

Since 2005, I’ve been a loyal member of eMusic, a monthly music subscription service. What initially attracted me to eMusic was their terrific catalog of DRM-free indie music from bands like Mogwai, Mates of State, Spoon, and Pretty Girls Make Graves. And the subscription rate was a great value.

However, in the past couple of years, eMusic clearly started to shift its emphasis toward competing with iTunes. They started to bring in more major labels and subtly raised the subscription fees. At first it sounded like a good idea…who wouldn’t want to have access to some White Stripes and Foo Fighters along with their New Pornographers and Metric? But as eMusic transitioned, the member forums started to show signs of discontent. Then last month eMusic completed a deal with Universal Music Group to add several thousand new tracks from mainstream artists. That’s when things took a turn toward the ugly side.

Nowhere has the ugly become more obvious than on eMusic’s member forums. Here are five things eMusic is doing that you can’t afford to do if you want a thriving member community:

1. Not address issues raised by members
You don’t have to dig very far to see just how pissed members are with eMusic. Here’s a sample of post titles from the forums:

  • Have credit, can’t download; lousy customer service
  • Well, it ain’t an improved service we’re paying for…
  • Goodbye emusic
  • Money taken but no credit.
  • How to destroy customer loyalty

Want to know how many times a rep from eMusic responded to these particular posts? Zip. Zero. Zilch. Review the forum and you’ll see that most of the interaction is members consoling other members and lamenting how things have changed for the worse. When it comes to actually addressing the issues raised by members, eMusic most often chooses the silent but deadly route.

Here’s a better way: Hopefully, it’s crystal clear. Deal with your members’ issues as openly and quickly as possible. Yes, sometimes an instant response isn’t the appropriate thing to do (particularly where investigation or research is necessary), but people will tolerate bad news a lot better when they’re treated like intelligent adults.

2. Speak mainly in PR-ese
When someone from eMusic does bother to communicate with members, its usually their VP of Corporate Communications, Cathy Nevins. I don’t know Ms. Nevins but what I can tell by her background and her interactions on the forums is that she clearly doesn’t understand the differences of PR, customer service, and community management. Find any post or response she writes and it oozes with PR-ese, rarely addressing the actual issue and sometimes providing misinformation. Case in point is this question regarding a change in service: http://www.emusic.com/messageboard/viewTopic.html?topicId=263393#1487316. After Cathy does offer a response, notice how many subscribers call her out on offering a less-than-truthful explanation. There’s also an interesting related conversation going on at non-affiliated emusers.org.

Here’s a better way: Talk to your members like they’re people you give a damn about. Be specific as often as possible. Apologize for screwing up. If you feel the overwhelming urge to spin and micromanage a situation, you need to nip that in the bud. Communities of passionate members are built around relationships of respect and honesty. PR-ese isn’t part of that equation.

3. Allow VPs to run the community
I hope my criticism of Ms. Nevins isn’t seen as personal. It’s not. (In some ways, I do feel bad for her. It’s horribly apparent that she’s in way over her head, perhaps even close to burnout.) But what I find curious is that eMusic puts the responsibility of interacting with paying members in the hands of a VP whose background is public relations. Know what this tells me? That eMusic executive management doesn’t really know what the hell it’s doing, and definitely doesn’t know how to maintain an online community.

Want further proof that this company has a deaf ear toward online interaction? All posts at eMusic’s blog, 17 dots, written by their CEO, Adam Klein, have the comment function disabled (though notice all other posts have no problems with comments). And yet more proof is on their Twitter account where they mostly RT and respond to positive tweets, but ignore respectfully critical questions, issues, and comments.

If eMusic really understood the importance of a positive, thriving community, they’d realize that talking with their members – even if they are pissed off members – would help. It would also be a good idea to hire a community manager immediately who knew how to communicate openly with people, listen with empathy, and calm tensions by providing needed information (on the other hand, the lack of a true community manager and the impact on eMusic’s member satisfaction isn’t a new issue).

Here’s a better way: Nothing against VPs or execs managing communities, but often they’re not in the right place to do it well. It’s vital to maintain their buy-in and keep them involved when necessary. However, managing a community is work that takes focus and a wide variety of skillsets. If your online community is foundering, hire an experienced community management professional.

4. Allow critical issues to escalate
By not immediately and adequately dealing with those tensions expressed by members who felt cheated and ignored, eMusic lost their shot at quelling the criticism. These issues didn’t just arise overnight…they were slowly percolating over the last several months. One could almost argue it started last summer during a particularly significant subscription rate hike when eMusic added Sony to their catalog.

Here’s a better way: It’s a no-brainer but it’s so easy to let problems snowball until they turn into full out avalanches. Then, it takes a herculean effort to dig your company out of the pileup. Don’t let the avalanche occur. Build an issue escalation plan that includes a clearly defined process for what to do when a significant issue arises within the community. Know who will handle the situation, the timeframe for handling it, and the various communication points for response.

5. Treat your longtime members with lack of respect
For what it’s worth, I’m probably leaving eMusic after five years of membership. I can’t say how much I appreciate what eMusic did to expand my musical horizons. But like many members who’ve been with the service for years, I’ve hit my breaking point. It finally came when indie labels like Matador exposed eMusic’s new terms that seem to benefit the big media conglomerates over the companies that made eMusic great once upon a time.

One of the most reasoned responses came from fellow longtime member EVDebs:

Much of the anger expressed at 17dots and elsewhere flows from the rampant dishonesty that has marked emusic’s communication strategy regarding this price increase and the seeming contempt with which you have treated your longtime subscribers. You have made it much, much harder for yourselves to make a convincing argument that this price increase was anything but a result of your questionable decision to focus on bringing major labels on board. The problem with any strategy built on lies is that even the truth ends up sounding like a lie once everyone has caught on to the fact that you’ve been lying.

Here’s a better way: Your longtime members are the ones who likely saw your community through the tough times and probably evangelized your brand to spread the good word-of-mouth. Why in the world would you kick them to the curb, even if the focus of your community changes? Don’t be arrogant enough to think you can just go and get more members like they grow on some kind of magical tree. Instead of pushing them further away, draw them closer to your community and business. They contributed to your success. Thank them accordingly.

image credit: Crawdaddy! Magazine

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I have been a member since 2006. Since then the price was never raised for me a single time (even though there were a couple of increases for new subcribers). Also with the change to a monetary system I get a bonus to compensate. Some inflation happened in the five years but I still get my 50 tracks for €16.99. I actually don't understand what all the fuss is about. But maybe I was just lucky and they treat other long time customers differently.

Tom, thanks for sharing your experience. Based on my own personal experience - as well as the experiences of others in the community - your's is somewhat unique. Consider yourself fortunate that eMusic never raised your monthly subscription rates (happened at least twice for me). And on average, I lost around 5 downloads per month with the shift to a monetary system (even with their loyalty bonuses).

As long as the value is there for you, I hope you continue to enjoy eMusic. I just know that for me, the value no longer substantiated the monthly subscription fees.

Whoa! This sounds like a complete nightmare. Given your account, Chris...it sounds like there are several issues and they just haven't really thought through the best way to engage with the community about all of this. I think honesty is always the best policy. The legalese you're getting is indicative of a directive to go into "crisis management" mode and the person you're referring to is doing just that, in the way that she knows how to do it. I'm with you that it doesn't work when you're talking social communications. the approach needs to be different and they need a real plan for diffusing this situation. I'd love to be in a position to offer them some paid advice because they certainly need it. Geez, what a mess.

Thanks for bringing your experienced eye to the issue, Angela. As David and I talked about above, I think there are a couple of ways to see what's happening here. If managing customer expectations is important, then yes it's quite a mess. But what if a business doesn't really care about this? Or perhaps more pointedly, what if the business sees the rants (no matter how even-handed and rational) as minor to their business goals? Business suicide...maybe. But what if the individuals who are expressing these criticisms are seen as liabilities rather than assets who are important to long-term objectives?

Guess my point is that it's a mess only depending on which side you're standing. Not everyone places importance on effective online community management and communication. All of which is why I felt it important to write about eMusic as a case study for those online communities who actively want to create a valuable experience for each member. Hopefully, they can avoid a mess of their own.

Chris you've made some really valid points. What I must like about your post is that you've not just expressed your disappointment with eMusic, but you've offered some great suggestions as to where they went wrong and how they can learn from it for the future.

Bottom line is that even if a CM (or whoever is in charge of the community with regard to community relations) does not know the answer to the issue, or even know how to respond, acknowledgment of the member's concern is paramount.

Really glad you added your thoughts, Sue. It seemed a golden opportunity to look at a negative situation and offer some positive guidance for others. Not sure if the folks at eMusic will heed the advice, but hopefully someone in a Community Management role can learn from this.

Chris, I share your disappointment with what's happened to eMusic.

Would you give any credence to the idea that they are actually trying to shed long-time customers like you and me (I've been a subscriber since 2003)?

From a customer service and community-building perspective that's madness of course, but if they're trying to maximise their revenue per customer before a sale they probably don't want someone like me sticking around. I'm currently paying £9.58 per month and in order to give me the same number of downloads that I had before, they are subsidising my account by adding £17.72 each month. That must be killing them.

I suppose what I'm asking is whether you think this is just down to mismanagement or whether there's an element of indifference too? In your experience, are there companies out there who would do something that crazy?

David, I've given this plenty of thought over the past couple of days and I think we've arrived at the same possible conclusion: we older members are negatively impacting their bottom line. Rather than seen as a strong element to the brand, we're really just a cost. At first, I shook my head and said that was just cynicism talking. Older members were what got them to this point in their business...why would they disregard them so freely? Unfortunately, there's nothing new about putting profit before people so really nothing crazy going on here.

I'll classify this as both mismanagement and indifference...but it also depends largely on what the company's goal is. If it's to shed the past and rebrand as something else, then the eMusic management appears to be succeeding. They'll move on with a different customer focus. Will they succeed as a business with an objective like this? I can't say.

I think like many of the older faithful, I want to be wrong. I really do. But I've heard nothing - publicly or privately from eMusic (and I know they've read this post) that encourages me to draw any other conclusion than the one you offer. If the desire is to shed long-time customers, I'll give the folks at eMusic an A+ for effort.

I've suspected for a few years that eMusic themselves couldn't see a way to continue growing without getting the major labels on board - particularly after they lost the one big advantage they had with no DRM - so perhaps this was inevitable.

From what Beggars, Matador and Domino have said publicly they seem to feel that eMusic were alienating them quite deliberately, so I suppose it shouldn't be a surprise that they would seek to alienate a percentage of their troublesome customers too.

It just feels like such a waste of a passionate, engaged community.

Anyway, thanks for sharing your thoughts on it Chris.

I wonder if they're monitoring mentions of their name and if they'll see this post? And if so, will they respond? Based on what you've written above, I bet they won't. Isn't it amazing to see companies self-destruct when there are so many opportunities for them to make things right?

Deirdre, you really have to look no further than their Twitter profile (@emusic) to know they don't bother to address issues. And it's not because they don't monitor...it's just they either don't know how to interact online or choose not to. It's sad and I'd love to give them another chance but it'll take an awful lot to earn this member back.

There's more than one case study here showing online communities how they can avoid this situation.

Thanks for your analysis of the ugly scene over at eMusic. I've been a member since 2003, maintaining my membership primarily for the ability to redownload purchased tracks. Alas, I got into the habit of using my credits but postponing the download step when I was traveling or using a mobile device. The policy change resulted in loss of hundreds of never downloaded tracks. Dumb move on my part, I know.

I actually got a more-or-less personal response to my complaints in correspondence with a CSR... but only after I asked him not to insult my intelligence by feeding me the "our download policy hasn't changed" doublespeak.

Lanora, I just think it's poor form that 1) they've tried to pass this off as an unchanged policy 2) they didn't have the integrity to at least give long-standing members a head's up that something was going to change.

The more I think about this and interact with fellow longtime members, the more I think I see what's happening: look for eMusic to sell in 2011 to a larger media entity who wants to get into Apple's game (think Microsoft, for instance). Why care about your members if there's a bigger short-term payoff in the near future. It's idle speculation, but I won't be surprised to be correct.

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