Making a Living : 'True Fans' article

Angstrom · Post by **Angstrom** » Wed Mar 05, 2008 2:07 pm

http://www.kk.org/thetechnium/archives/ ... e_fans.php

A True Fan is defined as someone who will purchase anything and everything you produce. They will drive 200 miles to see you sing. They will buy the super deluxe re-issued hi-res box set of your stuff even though they have the low-res version.

Assume conservatively that your 'True Fans' will each spend one day's wages per year in support of what you do. That "one-day-wage" is an average, because of course your truest fans will spend a lot more than that. Let's peg that per diem each True Fan spends at $100 per year. If you have 1,000 fans that sums up to $100,000 per year, which minus some modest expenses, is a living for most folks.

logic_user99 · Post by **logic_user99** » Wed Mar 05, 2008 2:10 pm

That is scary stuff. However, if I had some super-fannage that was spending up to 100k on my creations each year...well, needless to say I wouldn't be complaining.

It is mad the lengths that some people go to. Going to see every single show on a tour...gig tickets (face value) are pricing higher and higher, even for a reasonable 'low key' band. Scary.

Angstrom · Post by **Angstrom** » Wed Mar 05, 2008 2:32 pm

yes, but if you look at the numbers without the frighteners:
in UK pounds that would mean a fan who is a low level earner, on £15k a year spends £40 (a year) on your products.

£40 x 1000 fans = £40,000.

I would think that you don't have to get an army of gimps following you to the toilet for that minimal outlay (£40). I would imagine that would break down something like :
£4.99 'discount scheme' (IE : fan club subs) with access to download 'out-takes', etc.
Gig revenues : £10 .
T-shirts and other peripheral merch: £15 ,
music sales : £10

it is at least do-able, or aimable for. Where other musical career paths are so nebulous and difficult to factor.

b0unce · Post by **b0unce** » Wed Mar 05, 2008 2:34 pm

do artists get any tax-breaks in the UK ?

Angstrom · Post by **Angstrom** » Wed Mar 05, 2008 2:39 pm

I don't think we do.
I know they used to in Eire, but I heard they were going to phase it out (weren't they?)

I practice 'creative accountancy' anyway, so they can all go fuck themselves. Ever since I realised why my dentist went to so many 'conferences' in Hawaii, Thailand ..etc. All tax write-offs.
I never go anywhere or do anything now without it being deducted.

The thing that artists generally don't know is how to work the system like a normal business person would.

b0unce · Post by **b0unce** » Wed Mar 05, 2008 2:44 pm

Angstrom wrote:I don' think that we do. I know they used to in Eire, but I heard they were going to phase it out weren't they?

there was talk about it, but there was public uproar. Which I think surprised them, given the apparent greedy voting majority we have since 'the celtic tiger' came on the scene. Still, with hateful cunts like Bono/U2 abusing the system I guess they wanted a piece of that pie. Not that they'd get it, the cunts moved their offices to holland to avoid paying taxes in their own god damn country. Paying taxes in holland is totally at odds with the geo-political shite Bono is so known for espousing.

Angstrom wrote: I practice 'creative accountancy' anyway, so they can all go fuck themselves. Ever since I realised why my dentist went to so many 'conferences' in Hawaii, Thailand ..etc. All tax write-offs.
I never go anywhere or do anything now without it being deducted.

The thing that artists generally don't know is how to work the system like a normal business person would.

good for you, you've got to be creative.

gjm · Post by **gjm** » Wed Mar 05, 2008 5:51 pm

Angstrom wrote:yes, but if you look at the numbers without the frighteners:
in UK pounds that would mean a fan who is a low level earner, on £15k a year spends £40 (a year) on your products.

£40 x 1000 fans = £40,000.

I would think that you don't have to get an army of gimps following you to the toilet for that minimal outlay (£40). I would imagine that would break down something like :
£4.99 'discount scheme' (IE : fan club subs) with access to download 'out-takes', etc.
Gig revenues : £10 .
T-shirts and other peripheral merch: £15 ,
music sales : £10

it is at least do-able, or aimable for. Where other musical career paths are so nebulous and difficult to factor.

I love numbers. Doing this type of exercise is such a great way to break things down into smaller managable steps. It also helps you to pin point areas where you can be more 'creative' than others with the tax man. It can also help define some of the smaller 'projects' that can contribute to your income generating activities. I am not a performing artist, but as a private music teacher I never-the-less have a small handful of faithful followers. Not only do they buy my time, but because of the on going positive relationship that I have with them I know that they would buy T-Shirts and my own original music. It is in a sense a fan base. The numbers are very small but I know I could at least twice a year have them part with some cash for things that they would be happy to own. The concept of 'add-on' sales is always something that should be considered at some point in building your income machines.

These sorts of exercises in numbers are a healthy part of building a business plan. Time is the other part. I am always making the comparison on a numbers basis between what I could be earning if I got a job in the field of my formal qualifications and my music. I have broken it down to an hourly rate over the year and the perks that go with both types of activities. The numbers always fall on the side of music. These numbers also make it easy for my family and friends to accept my choices to do what I do. I always have little spreadsheets on the go as well to track progress. I love numbers.

globalgoon · Post by **globalgoon** » Wed Mar 05, 2008 6:08 pm

"$100,000 a living for most folks"

WFT?!

I get by on about 6000UKP($12000) a year!!! no debts, just living creatively.

beats me · Post by **beats me** » Wed Mar 05, 2008 6:14 pm

That's a vastly simplistic (but appealing) statement. It makes it sound like you can just sit at home and sell mp3s on the internet and maybe do a few shows a year. Just to come up with $100 worth of product to sell per fan each year would take a large up front investment when you consider all the other hands in the cookie jar.

Angstrom · Post by **Angstrom** » Wed Mar 05, 2008 6:32 pm

If we merge yours and globalgoons comments though we can see that you don;t really need that many products if you don't need $100k.
I agree, that is over the top, but if we divide both the living costs and product income in half it all seems a little more reasonable and easier to achieve. Divide again if you feel you can survive on less (I can). that means you need to put out $25 (£12.50) worth of music, merch and live performances in a year to return a gross income of 12,500. Costs will probably account for about 4k of that. taking you to a net £8,500 ($17,000)

- and as the point is about cutting out the middle man the 'hands in the cookie jar' are significantly less these days.
Making t-shirts is not very hard, neither is getting a website set up with a members area and auth only downloads (OK, well thats not hard for me)

well, it's a lot easier than it was 10 or 15 years ago.

it's a pleasant thought anyway
and reachable goals are more workable toward for me that the seemingly unreachable ones.

why do I suddenly feel like I am in a pyramid scheme?

d*cease · Post by **d*cease** » Wed Mar 05, 2008 6:55 pm

Angstrom, i can't even begin to tell you how up my alley that article is. +1...pyramid scheme or not.

thanks mate.

ethios4 · Post by **ethios4** » Wed Mar 05, 2008 8:38 pm

Very interesting. Thanks!