Bandcamp Decoded: An Indie Musician's Best (and Most Profitable) Friend

Enter Bandcamp, a service that allows musicians to price and sell their work as they see fit, in whatever digital format they choose. This user-defined pricing scheme puts a great deal of control in the hands of artists, albeit at the cost of a profit percentage that goes to the site. In essence, a user's sales fund the service's operations, which in turn aim to help market and sell the musician better. It's a trade-off that has proven to be a powerful tool for accomplished musicians such as Sufjan Stevens and Amanda Palmer. But Bandcamp can benefit the less established as well -- as long as they're willing to accept the compromise. Read on to see if Bandcamp's innovative business model is your key to freedom from the shackles of iTunes' uniform pricing, or just another shady tactic from the record industry.
What It's All About
Bandcamp offers users a place to host, stream and sell music through personalized home pages. What differentiates it from sites like Myspace is convenience, and the ability to conceivably turn a profit. Bandcamp handles all the nitty gritty, such as server upkeep, file conversion and stat tracking; thus, users can focus on making music, sharing it and promoting themselves. That kind of plug-and-play simplicity is perfect for musicians who are not exactly organized, those who have trouble working their way around the Web, or upstarts who are just looking to sell or share their work.How to Use It
After signing up, you'll be given a Bandcamp URL, which can be linked to a custom address at a later date. You can immediately start uploading your tunes, but, first, let's take a look at how Bandcamp's interface works.Bandcamp's back-end functionality is entirely accessible through a screen-top menu on your homepage. Unlike Myspace, with its confusing hub, Bandcamp takes you immediately to your page after you sign in. Bandcamp's focus on its users' mini-sites, rather than on the entire Bandcamp ecosystem as a whole, helps to personalize the service, while keeping all pertinent utilities only a few clicks away.
The "New Track" link on the menu allows you to upload music through a comprehensive track editor, which prompts you to input artist credits, release dates, copyright information and accompanying artwork for each of your songs. You'll also be able to create albums, and group songs within them, by checking 'Part of an album or EP' and selecting 'New Album' from its accompanying menu. Admittedly, it can take a little time to get used to Bandcamp's system of uploading songs and attaching them to albums, and the lack of batch uploads makes the process of posting an album clunkier than it should be. Still, once uploaded, single songs and albums will appear on your homepage as streamable links along with purchasing options.
You can also use the upload editor to designate whether a track or album is available for free download, purchase or optional donation. (You can even set suggested donation minimums.) The plethora of payment options really opens things up for artists, although it may be difficult to decide how much your own music is worth. We suggest following the price precedents set by iTunes.
Bandcamp requires its users to have a PayPal account for transactions, which means that you'll be paying transaction fees on top of Bandcamp's regular cut of ten to 15-percent. (Bandcamp does offer suggestions to help minimize transaction fees, though.) Additionally, you can generate download codes, which are great if you plan on selling physical copies of your work, but want to let fans download digital copies, as well. If you are planning on selling physical items, such as vinyl or CDs, Bandcamp lets you offer them on your homepage, too.
Bandcamp requires that you upload your songs in lossless formats like .AIFF, .WAV, or FLAC, which are hefty files but retain full sound quality. This shouldn't be a problem for users who export their songs directly from music software programs. (You can always use iTunes for conversion, although your tracks won't gain any audio fidelity.) Uploading lossless files allows Bandcamp to convert songs into an incredibly wide array of compressed formats (from .mp3 to .ogg), which will please even the most anal retentive fans. The site also applies all relevant metadata to each file after it's been uploaded, a godsend for those who don't want to spend time converting tracks and properly identifying them within iTunes. Customizing Your Site

Stats

Power-Ups
One of Bandcamp's most innovative features is its recently introduced "power-up" system, establishing a symbiotic relationship between heavy users and Bandcamp's higher-end features. These are achievements that, once earned, will grant users a variety of incentives. While it means that not every option is available upfront, it's a good compromise between the services Bandcamp provides and its need to remain profitable. These power-ups include increased file size for songs and free download codes (which would come in handy when included with an LP or CD at the merch table).Payment
The biggest concern for anyone using Bandcamp will be payment. Aside from the transaction fees that PayPal requires, Bandcamp will claim 15-percent of the first $100 of any transaction. This rate is lowered to 10-percent once you sell $5,000, though, and the percentages are taken before the user pays taxes and PayPal fees. If you're going to use Bandcamp, you'll have to find a price that's low enough to make it attractive to consumers, yet high enough to pay the site's commission, to cover PayPal's fees, and to make some cash for yourself. It's a tightrope walk that some may want to avoid altogether by releasing their work for free.





Chili's Waitress Fired Over Facebook Post Insulting 'Stupid Cops'
Forbidden America: Cold War-Era Map Shows No-Go Zones For Soviet Tourists
Billboard Music Awards: Worst Dressed (or Most Daring?) From Past Red Carpets
Man Takes Dump In Background Of Instructional Workout Video
Tenants: Stench of Death Makes St. Louis Complex 'Unlivable'
HSBC Plans 14,000 More Job Cuts
Hands-on with the Samsung Galaxy S 4 running stock Android 4.2
Taylor Swift Q and A: What Does She Splurge on in Las Vegas?
Ricardo Cerezo, Facing Eviction, Finds $4.85 Million Lottery Ticket
Bill Gates regains title of world's richest person as Microsoft stock hits five-year high















Comments
4
Subscribe to commentsMax WillensJan 24th 2011 10:18PM
Great to see a feature on Bandcamp, but I disagree with the following idea.
"We suggest following the pricing precedents set by iTunes."
If you're an unknown artist, the name of the game is getting yourself as much exposure as humanly possible, and the iTunes pricing structure - 99 cents a song - actually significantly inhibits that.
The best pricing option that Bandcamp offers, and one not discussed in this article, is the option of trading songs for e-mail addresses. That gives you the option of maintaining contact with people who may simply be passing through.
Live UnsignedJan 26th 2011 3:18PM
@Max Willens Totally agree - we've often blogged about using free music to build an audience. Its a lot easier to make a living when you have a fanbase. This is the post:
http://www.liveunsigned.com/blog/2010/10/how-to-use-free-music-to-grow-your-fanbase/
Jake TJan 28th 2011 2:11PM
imho, bandcamp has it's niche, namely distributing music online for payment or not, down to an almost perfect science.
Unlike iTunes, the user isn't required to install crapware.
Unlike iTunes, the artist can set the pricing
Unlike iTunes, there's no DRM
Unlike iTunes, the user can choose the file format they want and pay accordingly.
I think Bandcamp is one of the few sites that truly understands the new media they're working in and caters to it accordingly. The only thing I think they're missing (and perhaps they have it, but few artists have implemented it) is a solid API that allows artists to embed Bandcamp elements on their own site, rather than sending the user to a DIFFERENT site, which is a little jarring.
Overall, they get a A- (whereas iTunes gets a D+).
SaschaJan 30th 2011 2:17PM
"No one is saying just give things away and don’t get anything back, use free to gain attention and open channels of communication, then you can think about making money. Its very hard to make money from an audience you don’t have."
- from that article Live Unsigned mentioned.
That pretty much sums it up for me. Thanks for sharing!
http://minimelodies.bandcamp.com