Leading the Future of Music Distribution: An Exclusive Interview with STEM’s Leadership

 
 

The music industry is evolving faster than ever, and at the forefront of this transformation is STEM, a distribution company committed to empowering artists with innovative tools, transparent data, and creative autonomy. In this exclusive interview Kristin Graziani, President, and Seth Farber, General Manager, share their insights into the ever-changing landscape of music distribution, offering a behind-the-scenes look at how they’re helping artists navigate their careers while retaining ownership and control over their work. With a focus on innovation and adaptability, STEM is shaping the future of artist development and distribution in a fiercely competitive market.

From trends in AI-driven marketing to the importance of aligning with the right distribution partner, this conversation dives deep into the challenges and opportunities facing artists today. Discover how STEM stays ahead of the curve by leveraging technology, fostering strong relationships, and maintaining a steadfast commitment to supporting independent musicians. Whether you’re an artist seeking guidance or simply curious about the inner workings of the industry, this interviews offers valuable takeaways and a glimpse into what’s next for music distribution in 2025 and beyond.


LEG: What inspired you to pursue a career in the music industry, and how did your journey lead you to your current role at STEM?

Kristin: My entry point to the industry is unconventional. I spent the first half of my career in the tech space building out revenue teams and client experience teams. However, my free time has always been spent watching live music - from as early as I was let out of the house. I had the pleasure of working with Stem as a client and had friends within my network that were early champions of the business. I joined Milana about a year and half after the business was started to further define the artist experience and offering, build out what is now our A&R team and further refine Stem's position in the market. After 8 years in the business of artist distribution I look back at my journey to get here and it all makes sense.

Seth:  Like many in the business I started as a musician, but didn't have the appetite to pursue a career in performance. I jumped at the chance to study Music Business at NYU, and take full advantage of attending college in New York City. I interned at major record companies by day, and went to shows at night, somehow finding time to go to classes inbetween.  The internships led to my first job at Clive Davis' J Records, where I assisted SVP A&R/Marketing and Octone Records Founder James Diener.  From there I moved to Island Records, and eventually got a call from my old internship bosses Adam Lowenberg & Justin Shukat to join them at Larry Mestel's newly founded Primary Wave Music. During my 11 years at Primary Wave I developed a friendship with, and admiration for, Stem's Co-Founder & CEO Milana Lewis. I was interested in Stem's disruptive & progressive reputation, so when Milana told me she was expanding the business, I expressed interest. Milana introduced me to Kristin and we hit it off pretty quickly.  They hired me as their first East Coast employee.  

 

LEG: As General Manager and President, what are your primary objectives in leading STEM and shaping its future?

Kristin: As Stem's president I spend my time thinking about the future of our distribution offering, ensuring that we remain competitive within the ever changing and increasingly competitive distribution space. A part of that is ensuring we have world class people and creating an environment that sets those experts up to do their best work for our artists. 

Seth: We strive to create an environment where artists can have their cake and eat it too.  That means allowing artists to maintain their ownership & creative autonomy, while fueling their development with best-in-class knowledge and resources.  And of course, doing it at a cost that is equitable for all.   

images courtesy of: @stem

 

LEG: What trends are you seeing in music distribution, and how is STEM adapting to stay ahead in such a competitive space?

Kristin: There has been increased demand for distribution deals from artists at various stages of their career. Brand new entrants have thereby entered the distribution space to try to get a piece of the ever expanding pie. And old players (majors) are either working to further retro fit their offering to provide better distribution packages / they are also continuing to acquire indie distributors to capture more of the distribution pie through inorganic means. It is really important for Stem to continue to evolve our offering as well to meet the demand of artists looking for distribution deals. In some cases, this means getting creative with deal mechanics. It might also means understanding what new creative services and marketing functions are needed and making sure we can deliver on those either in house or through our partner network (with folks like Lakeside!). And it certainly means making sure we are staying in lockstep with the platforms like Spotify and Apple who are experimenting with new features and ways for artists to further grow and nurture their fanbases.

Seth: Well the space is more saturated than ever, and major-owned third party distributors are using their pockets to squeeze the vice on the indies. For us, that means leaning on the features of our business that major-owned distributors can't: clean and user-friendly tech, experimental marketing and embrace of new platforms, and data transparency.  

 

LEG: What advice would you offer to developing artists seeking the right music distribution partner? Are there any common misconceptions that you think artists should be aware of?

Kristin: A few simple questions that could serve as food for thought for developing artist at they select their label or distributor are: What exactly do I need at this stage? Am I paying for too robust of a service offering or perhaps im not paying enough to get the services that are necessary for this moment in my career? Does my team understand my vision (you can't expect a distributor to dream up the creative vision for you)? But are they the right team to amplify it, carry it forward, and promote accordingly? Am I aligned with both my lawyer and my manager on what the optimal deal structure looks like for me? Do I REALLY understand the mechanics of this deal in depth, specifically the length of the deal (are there X years post recoupment, what is the best case /worst case recoupment timeline) and how much money will the label or distributor make on this if i make XYZ on this record.

Seth: This is a relationships business, so look for a team that is genuinely excited about you, and has the bandwidth to work with you. I think artists often make the mistake of becoming a small fish in a large pond.  

 

LEG: What projects are you excited about coming up in 2025 and beyond?

Kristin: We have a number of really exciting projects coming up early next year: including nightly, fly by midnight, shy Glizzy. Music from Julia Michaels and bbno$. I guess I'm most excited by the music we are gearing up to put out.

Seth: A few that come to mind are Julia Michaels and Charlotte Lawrence.  We're thrilled that Julia has partnered with us for her journey into independence.  It's clear from her new music that creative freedom has taken her brilliance to a whole new level.  Charlotte is a multi-talented star with a particularly sophisticated songwriting perspective.  

images courtesy of: @stem

 

LEG: LANY and the band Lawrence have been two very successful independent artist success stories over the past two years. Can you tell us about your partnership with Lakeside Entertainment Group and the benefit of having a trusted label services partner as the industry continues to evolve.

Seth: Dan and his team at Lakeside embody everything we hope for in an artist development partner.  Lakeside works its ass off to deliver results, and they see the playing field in multiple dimensions.  There is a real strategy and intention to how Dan works.  He is beyond tenacious, and incredibly resourceful.  Needless to say its been a thrill having Lakeside shepard our artists into some of the most impressive independent artist development stories in recent memory.  

Pictured Left to Right:

Jake Goss, Tom Poleman (President of iHeart Programming), Paul Klein, Dan Pearson (CEO or Lakeside Entertainment Group)

Pictured Left to Right:

Clyde Lawrence, Jake Goss, Gracie Lawrence, Paul Klein, Dan Pearson

LEG: What do you consider your biggest career accomplishment? What do you consider your biggest professional failure?  How did you learn from the failure and overcome that challenge at the time?  

Seth: I've been lucky enough to have some exciting wins over the years, but in the context of Stem, I'm particularly proud of the team we've built, and the home-grown executives we've developed.  On the failure side, we've lost some awesome artists and songs to competitors with deeper pockets.  We're in the middle of a multi-step strategy to bolster retention and we are feeling great about it going into '25.  

 

LEG: AI is transforming industries worldwide. How is STEM leveraging AI to enhance music distribution and support artists? Have there been any unexpected challenges or insights along the way?

Seth:  It's here and there's no avoiding it.  There will be plenty of rights management issues to work out.  But, I'm personally excited about a few AI marketing tools that I've seen on the content creation side that I suspect can enhance the potential for virality without completely sacrificing creative integrity.  


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