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Fan-funded music

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that engages their fans and gets them to donate to their project. This can prove difficult for any artist to create a campaign that does not come off as " shrill and desperate-modern-day pan-handling by entitled go-getters." While fan-funded platforms are accessible for any musician, they have become over-crowded with both artists and anyone with an idea. "For every legitimately exciting pitch there are dozens of musicians, filmmakers and designers pleading for funds to complete ill-conceived projects."
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finance their initial album but then get signed to a record label. Major labels are signing artists with successful fan funded campaigns using the campaigns as a filter before investing in them. Other, more well-known bands have used fan funding to distance themselves from their label contracts and manage their own music. There has yet to be a band that has used fan funding to fully finance their career. In 2001,
259:. Kickstarter is a crowd funding website that has successfully funded everything from films, games, and music to art, design, and technology. Project creators choose a deadline and a minimum goal of funds to raise. If the goal is not reached by the deadline, no funds are collected. The platform is open to backers from anywhere in the world and to creators from the US or the UK. Kickstarter takes a 5% fee and 277:
is successfully met. The site is staffed by people in the music industry and maintains partnerships with major players in the digital and physical music spheres allowing for numerous options to help record, produce, manufacture, market, and distribute artist's music, merchandise, and tickets. The site charges a 15% fee. PledgeMusic operates on two types of artist campaigns,
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a large recording studio that houses oversized equipment. This increase in accessibility that the everyday musician has today has made it possible for artists to record their own albums from their homes. Since there are no restrictions for what artists can ask for, it is not unheard of for artists to inflate the expected costs and then keep the extra money as profit.
366:. Amidst a dissolving relationship with their record label and management team, the band calculated that they would need 5,000 fans to order the album to finance the project. However, they needed the money up-front, before the record was released. They turned to their mailing list and asked fans to pre-order the album in what was later described by the 465:
Running fan-funded campaigns cost bands a large sum of money. They must pay for video production for the video that every campaign has, a producer and an engineer to mix and master their album, and fulfill all of the rewards promised to their fans as well as the shipping on them. Often the money made
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Some claim that artists overestimate the cost of recording an album and dishonestly solicit more money than they need via fan-funding. With advancements in digital technology, recording equipment has become increasingly compact and more affordable. It is no longer a requirement for an artist to need
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to his own fan-funding scheme. Paul set up a tiered donation hierarchy, ranging from the $ 15 Street Busker level, up to the $ 10,000 Woody Guthrie level. Fans received different perks based on the tier at which they donated. The project proved to be highly successful, with total donations exceeding
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platform open to anyone including musicians. Project holders on RocketHub have the option to keep raised proceeds even if the fundraising pledge was not successful. RocketHub is a completely open platform, meaning that anyone can create a fan-funding campaign and there is no screening process before
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Critics also point out that the fan-funded music model has turned bands into marketers and sales personnel. Artists must be able to develop personal marketing strategies in order to get the money to even begin working on their music. Artists must invest much time and effort into creating a campaign
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platform geared specifically toward musicians. Users (pledgers) receive exclusive content in exchange for their contributions to artists fundraising campaigns. PledgeMusic does not retain any ownership or rights to any music created through the platform. Funding transactions occur only after a goal
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was scathing of Marillion's pioneering efforts to continue their career without a label by dealing directly with their fans on the Internet, writing: "They have, they explained, decided to eschew the machinations of the record industry in order to be closer to the people. (One suspects that their
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As a business practice, fan-funded music is not without its criticism. Fan-funded music has gained popularity in the past few years however, money raised through these platforms still is only estimated to make up 1% of the amount spent on albums and tours. Many bands start off with fan funding to
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ArtistShare is documented as being the first fan-funded website for music. The service lets musicians fund their projects utilizing a "fan-funding" model. In exchange for funding on a particular project, contributors receive various benefits. ArtistShare emphasizes on their website that for each
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and similar platforms. The site takes a 4% fee for successful campaigns. For campaigns that fail to raise their target amount, users have the option of either refunding all money to their contributors at no charge or keeping all money raised minus a 9% fee. Unlike similar sites such as
220:, Indiegogo disburses the funds immediately, when the contributions are collected through the user's PayPal accounts. Indiegogo also offers direct credit card payment acceptance through their own portal. Those funds are disbursed up to two weeks after the conclusion of a campaign. 435:
is another group that has seen some success in the way of fan-funded music. In 2004 they offered a "Samurai 100" package, which gave fans the opportunity to secure "guest list for life" status. The package cost £100 and the band raised £10,000 by selling 100 such packages.
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is another important case study in the field of fan-funded music. His 2010 release, The Day After Everything Changed, was funded completely by fan donations. Instead of using a traditional crowd-funding platform, he adapted the online merchandise platform
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and pre-order campaigns. In a pre-order campaign, fans are charged immediately upon pledging. This type of campaign is designed for labels and artists who have already completed a recording, and are looking for a strategic way to pre-sell and market it.
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as "a unique funding campaign". Pre-sales exceeded their 5,000-unit target, reaching about 12,000 pre-sales total. Marillion have since released several other albums based on a fan-funded model, receiving a £360,000 advance for their 15th studio album
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as a means of music distribution and direct contact with fans, which began with setting up a website in 1996 and raising $ 60,000 to help finance a 1997 North American tour. They have also been described by
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Corite collects five percent of the funding fee provided to an artist, and then another five percent of the royalties that are paid by streaming services. The company has raised $ 6.9m from investors.
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is an example of one of the most successful fan-funded music campaigns of all time. On 30 April 2012, Palmer ran a campaign on Kickstarter, with a goal of $ 100,000 to fund her newest studio album,
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project itself. Artists such as Palmer have huge fan bases to appeal to for money, but for the average artist raising that kind of money isn't a reliable method.
1016: 413:$ 100,000. Paul is putting his fan-funding to the test again; he is currently in the midst of fan-funding a new studio album set to release sometime in 2013. 737: 466:
off these projects ends up going to paying the costs of running a successful fan funded campaign. For example, a large portion of the $ 1 million that
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Chaney, D. (2010). "What future for fan-funded labels in the music recording industry? The cases of MyMajorCompany and ArtistShare".
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as "the undisputed pioneers" of the fan-funded music model, beginning with the distribution of their 2001 release
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approach to finance albums or concerts. Artists will pledge an amount, the minimum funding target being
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project, the artist is in no way required to relinquish ownership of copyright, as this model is not a
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3000, and the maximum funding target, €250,000. Artists may also choose if they want to integrate a
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decision occurred round about the time that the record industry decided to shun Marillion)."
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portal that allows users to create a page for their funding campaign, set up an account with
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are considered to be one of the first artists to have truly harnessed the power of the
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the project goes live. The site takes an 8% commission off successful projects.
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The Marillion story and what we can all learn from it - Music 4.5
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option into their funding. The minimum incentive is a download.
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Enables fans to support and engage with artists and creators
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Takes 8% total funds accumulated. No screening process.
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Often described as the most successful and well-known
880:"Musicians and fans join together to get albums made" 616:"When 'Friending' Becomes a Source of Start-Up Funds" 829:"Amanda Palmer: The new Record, Art Book, and Tour" 533:"SlicethePie Unleashes Its First Fan-Funded Album" 309:platform that allowed registered artists to use a 385:Unofficially dubbed the "queen" of Kickstarter, 91:Takes 5% flat fee, Stripe takes additional 3-5% 674:. Music Think Tank. Retrieved 27 November 2012. 117:Can donate profits to charity. International. 1056:"How Much Does Crowd Funding Cost Musicians?" 8: 778: 776: 233:platform, Kickstarter has been featured on 785:"This song was brought to you by ..." 661:. PledgeMusic. Retrieved 26 November 2012. 642:. PledgeMusic. Retrieved 27 November 2012. 582:. ArtistShare. Retrieved 20 November 2012. 38: 552:International Journal of Arts Management 164:Distributes via digital music platforms 1038:"The Good, the Bad and the Crowdfunded" 524: 946:Lindvall, Helienne (21 January 2010). 672:"Musician's guide to Fan-Funded Music" 7: 614:Needleman, Sarah (1 November 2011). 531:Van Buskirk, Eliot (10 March 2008). 489:Comparison of crowd funding services 1017:"The Problem With Fan-Funded Music" 670:Ostrow, Jonathan (16 August 2010). 783:Petridis, Alexis (18 April 2008). 65:First crowdfunding site for music 14: 999:"An Argument Against Fan Funding" 272:PledgeMusic was an international 979:Gareth McLean (13 August 2001). 403:Boston-based singer/songwriter 29:business model for crowdfunding 1036:Sofge, Erik (18 August 2012). 767:"Marillion fans to the rescue" 736:Ingham, Tim (19 August 2019). 1: 470:raised went into funding her 842:Sisario, Ben (5 June 2012). 765:Masters, Tim (11 May 2001). 291:RocketHub is an established 78:Disburses funds immediately 981:"In the realm of pretences" 713:. SellaBand. Archived from 687:. Sellaband. Archived from 1118: 968:. BBC News. 12 July 2012. 685:"How it Works -- Artists" 263:takes an additional 3%. 1042:The Wall Street Journal 815:9 November 2012 at the 620:The Wall Street Journal 341:The British rock band 171:Additional information 657:14 April 2014 at the 374:Happiness Is the Road 906:. 26 September 2012. 1062:. 23 November 2012. 927:on 18 October 2012 848:The New York Times 717:on 23 October 2012 691:on 16 January 2013 433:Electric Eel Shock 417:Electric Eel Shock 240:The New York Times 184:work made for hire 356:music journalist 168: 167: 35:Notable platforms 1109: 1082: 1081: 1070: 1064: 1063: 1052: 1046: 1045: 1033: 1027: 1026: 1013: 1007: 1006: 1003:Music Think Tank 995: 989: 988: 976: 970: 969: 962: 956: 955: 943: 937: 936: 934: 932: 923:. Archived from 914: 908: 907: 896: 890: 889: 885:The Boston Globe 876: 870: 869: 858: 852: 851: 839: 833: 832: 825: 819: 807: 801: 800: 798: 796: 780: 771: 770: 762: 753: 752: 750: 748: 733: 727: 726: 724: 722: 711:"Join SellaBand" 707: 701: 700: 698: 696: 681: 675: 668: 662: 649: 643: 637: 631: 630: 628: 626: 611: 605: 604: 602: 600: 589: 583: 577: 571: 565: 559: 548: 542: 529: 514:Open Music Model 305:Sellaband was a 147:. 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Retrieved 925:the original 920: 912: 903: 900:"Ellis Paul" 894: 883: 874: 865: 862:"Ellis Paul" 856: 847: 837: 823: 805: 793:. Retrieved 789:The Guardian 787: 745:. Retrieved 741: 731: 719:. Retrieved 715:the original 705: 693:. Retrieved 689:the original 679: 666: 647: 635: 623:. Retrieved 619: 609: 597:. Retrieved 593:"Learn More" 587: 575: 563: 555: 551: 546: 536: 527: 504:Free-to-play 464: 460: 456: 447:The Guardian 446: 443: 420: 402: 390: 384: 372: 361: 353:The Guardian 351: 340: 324: 323: 299: 298: 285: 284: 266: 265: 254: 244: 238: 223: 222: 205:social media 189: 188: 175: 174: 143:Currency in 21:crowdfunding 16: 15: 931:30 November 769:. BBC News. 721:30 November 695:27 November 595:. Indiegogo 558:(2): 44-48. 509:Kickstarter 472:Kickstarter 449:journalist 268:PledgeMusic 225:Kickstarter 218:Kickstarter 177:ArtistShare 110:PledgeMusic 84:Kickstarter 58:ArtistShare 1091:Categories 904:Ellis Paul 866:Ellis Paul 625:5 December 580:"About Us" 520:References 405:Ellis Paul 399:Ellis Paul 261:Amazon.com 149:SoundCloud 954:. London. 440:Criticism 343:Marillion 337:Marillion 301:Sellaband 287:RocketHub 191:Indiegogo 136:Sellaband 123:RocketHub 71:Indiegogo 813:Archived 747:28 March 655:Archived 499:Freemium 478:See also 347:Internet 209:Facebook 795:16 June 640:"about" 599:16 June 424:-based 213:Twitter 97:Patreon 42:Website 426:garage 410:Nimbit 325:Corite 201:PayPal 157:Corite 52:Notes 49:Launch 987:. UK. 652:"FAQ" 538:Wired 431:band 429:metal 422:Tokyo 256:Wired 25:music 933:2012 797:2015 749:2022 723:2012 697:2012 627:2011 601:2012 253:and 246:Time 161:2019 140:2006 127:2010 114:2009 101:2013 88:2009 75:2008 62:2000 45:Year 23:for 1060:NPR 1022:NME 368:BBC 251:BBC 235:CNN 19:is 1093:: 1076:. 1058:. 1040:. 1019:. 1001:. 983:. 950:. 902:. 882:. 864:. 846:. 775:^ 757:^ 740:. 618:. 556:12 554:. 535:. 377:. 249:, 243:, 237:, 211:, 186:. 151:. 47:of 1080:. 1044:. 1025:. 1005:. 935:. 888:. 850:. 799:. 751:. 725:. 699:. 629:. 603:. 541:. 315:€ 145:€

Index

crowdfunding
music
business model for crowdfunding
ArtistShare
Indiegogo
Kickstarter
Patreon
PledgeMusic
RocketHub
Sellaband

SoundCloud
Corite
ArtistShare
work made for hire
Indiegogo
crowd funding
PayPal
social media
Facebook
Twitter
Kickstarter
Kickstarter
crowd funding
CNN
The New York Times
Time
BBC
Wired
Amazon.com

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