05-06 Tools Radium One 07-08 Campaigns Kasabian, CNBLUE, Madonna, Tic Tacs 09-11 Behind The Campaign Anitta FEBRUARY 11 2015 sandboxMUSIC MARKETING FOR THE DIGITAL ERA ISSUE 126 PATRON SAINTS DIGITAL MUSIC’S FUNDING REVOLUTION COVERFEATURE PATRON SAINTS DIGITAL MUSIC’S FUNDING REVOLUTION Alternative funding models for artists have been growing since the last century, but in the last few years they have reached a fascinating point of maturity. Patreon and Drip.fm blur the lines between crowd-funding and fanclub, changing the release calendar and waving the flag for exclusives. Now the major labels are tentatively entering this space; but wider moves by YouTube in regards to how artists sign up as partners could blow a hole through this market. We speak to those deeply involved here about what could happen next and how everyone should be preparing themselves. he Medici happiness”, Anthony Privitelli. family and “Some creators post every day, every TPope Julius week or at least have a schedule of posting,” are, in all likelihood, he explains. “Most of those types of creators names rarely use the ‘monthly’ campaign where patrons discussed around will be charged one time at the end of every the digital music month.” marketing table. He adds, “The other campaign is ‘per That could creation’. This allows the freedom for be about the creator not to worry about releasing to change, anything since their patrons will only get however, charged if they do release something new.” because the last Kina Grannis , who had 337 backers on two years have fans to back musicians and other artists to Patreon at time of writing, says that the seen a sharp rise create a stream of smaller works, rather than charm of the platform lies in its flexibility. in Medici-style one big project. “ I’ve been doing videos every patronage in digital Initially, Patreon was centred on video, Monday for the last year and a music, led by the with patrons pledging a fee for each video an half, so I kind of fit it to work with logically titled Patreon, artist created. But is has since expanded to my schedule ,” she says. “The beauty a website that blends allow patrons to pledge for the rather more of Patreon is that it’s flexible like that. If Pledge Music-esque vague “new piece of work”, with creators you want to make one video/painting/ support for artists with a following one of two models, according to comic a year, there’s no reason you can’t do subscription model, allowing the company’s “manager of community it that way.” 2 | sandbox | ISSUE 126 | 11.02.15 COVERFEATURE Drip it like it’s hot: Drip.fm, than with Patreon – subscribing to a label’s labels and community subs Drip will typically give you all their new releases, for example – but the language Drip uses still has echoes of Patreon’s focus on patronage. Drip claims on its website that fans subscribe to “directly support creators they love”, while the company’s CEO and co-founder Sam Valenti talks of “a relationship that is different than a traditional purchasing experience”. “We’ve seen some wild examples of updates, including in-person meet ups, live video hangouts, physical giveaways, unreleased tracks and stems for remixing,” he adds. “Christopher Willits [an American musician and multimedia artist, who has a personal Drip] offered his fans the ability to hold screenings for his new film to members, which resulted in events on both coasts of the US and as far as Tokyo, Sporting a similar line in what we might company’s website. Many Patreon acts, as There is also, she adds, a financial logic Barcelona and Bucharest.” call the personal subscription business a result, offer backers thanks in their videos, to pledging per month. “Everyone has is Drip.fm , billed as “a network of the personal Skype calls and so on. different economies and for most people Indies have long world’s best creators and their biggest “There isn’t a secret recipe for ‘type of it’s more possible and logical to portion seen the benefi ts… fans”, where consumers can subscribe content’ that works best on Patreon,” out the donation than to give a certain to individual labels and artists to receive says Privitelli. “We see it every day that amount in one shot,” she says. Both Drip.fm and Patreon have enjoyed monthly rewards. The two services the only ingredient you need is a In the case of Drip.fm, the rewards for some notable early successes: Drip’s label share similar ideas about community loyal community; a community subscribing are generally more substantial clients include renowned indie labels like and ongoing patronage, but Drip.fm was that finds true value in your Domino, Ninja Tune and Sub Pop , while initially more centred on labels whereas work.” Patreon announced in November that Patreon has always been concentrated on This feeling of community helps to it was now paying out $1m a month to the individual artist. (Drip.fm now features explain why backers on Patreon support creators, a milestone the company said both labels and individuals, however.) The artists for the long term, according to “confirms a massive cultural shift that we two services also differ slightly in what singer/songwriter Julia Westlin , who all felt but had trouble describing”. they offer patrons. had 82 patrons on the service at time of “The public is demanding to pay Backers on Patreon may be rewarded for writing. “To support long term, you feel creators,” Patreon explained in a blog. their money in various tangible ways (MP3s, a part of something ongoing, to have “As the cost of consuming digital media gifts, private concerts etc.). But the emphasis something to look forward to,” she says. drops to zero, the masses are beginning is firmly on the “warm fuzzy feeling that “I think this is what most of the supporters to visualise the peril on the road ahead accompanies believing in someone enough want. We all want to feel a part of what for creatives, and now they’re doing to become a patron”, according to the we believe in.” something about it.” 3 | sandbox | ISSUE 126 | 11.02.15 COVERFEATURE This might seem a little weight around if users don’t overenthusiastic: from piracy to general behave in the way YouTube would disinterest about streaming rates, there perhaps like. is considerable evidence that the general This, however, is a possible concern for public doesn’t care that much about the future, with Privitelli explaining that paying creators. But Patreon’s success, the team “is solely focused on improving with more than 125k people becoming Patreon” rather than worrying about patrons in just 18 months, does suggest competitors. What’s more, when faced that some devoted consumers do, at least, with the blatant ambition and genuine want to help their favourite musicians. goodwill of a service like Patreon , such worries seem rather nitpicky. … and now the majors “There should no longer be ‘starving are moving tentatively artists’,” Privitelli concludes, contemplating what he sees as the artificial divide between The question now is how far this personal penniless artist and record label artist that subscription model can go. RCA-signed Patreon can help to bridge. “If you have 20 a cappella group Pentatonix may be on fans, that means something.” :) Patreon – they have 3,085 patrons giving $19K a video – but the vast majority of musicians on the platform are unsigned. model to artists with fanbases that are individual subscription mode, allowing Similarly, while Drip.fm does feature smaller – but not necessarily less devoted creators who fulfil certain criteria to JULIA WESTLIN ON WHAT some major indie labels in Domino – than the superstars. And that gives it a set up paid channels with monthly and Sub Pop – as well as cult band vast potential userbase. subscription fees. The language YouTube They Might Be Giants – there are used when it launched the feature in May WORKS ON PATREON no major labels or superstar acts. Could YouTube’s new T&Cs 2013 should also ring bells: the initiative Whether this could change in the future kill off patronage channels? was billed as “new ways to support great is an interesting question. Valenti says content on YouTube”, with the company that Drip is “purely focused on creators The elephant in the room here is adding in a blog: “We look forward to who create enthusiastic communities and YouTube. Patreon was created by Jack seeing how this great community of not beholden any particular size or genre”, Conte of YouTube stars Pomplamoose creators moves ahead with a new way while Privitelli says he hopes there are no and has long been portrayed in the to reach the fan communities that made limits to the Patreon model. But it is hard media as a better-paying alternative their channels a hit.” to imagine a major label inspiring the same to the video-sharing site. Talking to YouTube, for the moment, doesn’t kind of blind, buy-everything-it-releases cult AllThingsDigital in August 2013, Conte appear to be aggressively pushing paid devotion that a Drip subscription requires. revealed that he had 835 fans backing channels. Should it choose to, though, From my own experience and from what I have seen on Superstar acts do, of course, inspire precisely him on Patreon, generating $6,153 for the impact on a service like Patreon could Patreon, the ones who have great success put a lot of work into such fidelity; but their existing fan clubs every video he posted on YouTube; this be profound, especially considering the what they do.