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(Source Last.Fm FAQ)Scrobbling a song means that when you listen to it, the name of the song is sent to Last.fm and added to your music profile.
............ you can scrobble songs you listen to on your computer or iPod automatically....... Songs you listen to will also appear on your Last.fm profile page for others to see.
iLike says:
How do you build your artist database?
We build our artist database based on information provided from various sources. Here's a bunch of information if you want to learn how it works:
1) Users contribute data about an artist and their discography through the iLike Sidebar
When users play music on their computer, we use that data to grow a worldwide discography based on what real people are listening to....
We see lots of different misspellings for the same artist. We have some algorithms to correct this, we have improvements in the pipeline to make this better, and at some point we will ask our userbase to help us catch more miss-spellings. For now, if you look at a page with a miss-spelled artist or song, it won't have proper photos or clips, because we didn't match it up to the real artist/song.
If your ID3 tags are wrong it's creating a mess.
Especially free downloads on Myspace are often mistagged by artists. Some forget their last name - even if this is a part of their official artist name. Some add !, . - although these signs are not part of the official artist name.
One example: Marianne + Matt - well I do know it's Marianne Dissard & Matt Mitchell - when I downloaded their song on Myspace it was tagged as "Marianne + Matt" - now there are some name variations pages on Last.Fm for them.
If you visit the Marianne & Michael page, some other musicians appear I wouldn't want to get mixed up with if I was a really good French singer :-)
Most listeners don't pay attention and just scrobble their music the way it is tagged by artists/labels - this is creating a mess.
Every information about you as an artist is important and helps to find and discover you on the Internet. Pay attention that you use your correct artist and song names.

Mp3 files offer the option to create tags. These tags will show the additional informations in mp3 players like winamp or iTunes. For example you can add not only the artist name, album name and track name but also the year or the genre. Many music communities use a technology to send mp3 tag informations to online server so you or other can see the stats of the mp3s you listend too. If you don't tag this mp3 right, you will have wrong titled mp3 tags and therefore the information in online communities will not contain proper artist names for example. That's why correct mp3 tags are VERY important for you, because only if a piece of music can be identified with an artist, chances are that people recommending your tracks or even send them to others will not end up in a Chinese whisper game... And you guys may know that spreading the word is the best way to sell stuff.