By now everyone knows success in the music business today requires incredible creativity and perseverance. The increase in music “piracy” and decline in major label opportunities has given birth to a new generation of start up companies. All these companies have one goal in mind: to help the independent artist. OK, well that may not be completely true. These companies also hope to turn a profit, which is often a troubling complication for the financially-conscious musician. The consideration of ones return on investment (ROI) is an essential skill in “The New Music Industry”. In this series, we’ll be providing an overview of numerous online music services geared towards helping the independent artists of the world. So be sure to check in every week to stay up-to-date with what’s new, what’s working, and what’s not.
To start things off, we’re going to talk about the importance of funding in “The New Music Industry”. Launching a music career isn’t free unless you’re Justin Bieber and happen to be booted into stardom by someone like Usher. But launching Justin’s career hasn’t been free for those who pay the bills. One of the valuable services that labels provide is the financial backing necessary for not only creating an album, but also marketing that album. Generating revenue to invest in oneself as an artist is difficult, but not impossible. Beg, borrowing and pleading from family and friends is one solution. Slowly but surely saving up capital from small shows and trickling album sales is another. However, the business that we’ll be analyzing today helps artists gain the big bucks all the time.
Slice the Pie is a platform that allows artists to raise funds directly from their fans and independent investors. The process is simple to begin: Create an account, upload three tracks, add some basic info and you’re off! There are, however, a few stages in this fund-raising process that could act as roadblocks towards the end goal. For example, in order to become eligible for a showcase, you must receive 30 reviews on each of your 3 tracks. As a showcased artist you must receive a certain amount of funding over a period of 9 months. (With the end goal being $22,767) Once the funding has been received, the artist can distribute the album via Slice the Pie (who distributes and tracks it through Tunecore). Your “investors” then receive a cut on every sale made.
This platform is a powerful tool for artists with music that is approachable and inherently something fans can believe in. Artists will find this platform valuable if they have a group of supporters who truly believe in their art. The model of recruiting your connections for the financial backing necessary to launch a career is one that has been proven before. This resource allows artists to fundraise in an easily manageable and streamlined way.
Upcoming posts will feature internet radio, social media, gig tools, distribution and other topics. Please send suggestions of companies that you’ve found effective or ineffective, and we’ll be sure to talk about them!