Bandcamp: The Business Model
posted July 23, 2010 # 0 Comments
I have been lauding the greatness of Bandcamp for awhile now. I stand by my love of the service they provide - particularly because it powers a lot of my releases in the digital distribution realm. Check that, it handles all of them and gives me nice stats along the way.
Now they've announced their official business model - you know, in which they actually make a case for having Bandcamp make some money off of all that they provide. The short of it is that they get 15% of each transition until you reach $5,000 in sales, in which they drop down to 10% per transaction. I think anytime a company goes from giving away everything for free to starting to take a little bit for themselves you're going to have some backlash but they've proven that the service they provide is not something you can get anywhere else, they deserve the percentage for the platform they've developed.
Any thoughts on this? Anyone raging against the notion of them taking a little off the top? I'm curious if anyone finds fault with this or if everyone accepts it as a sensible move.
Now they've announced their official business model - you know, in which they actually make a case for having Bandcamp make some money off of all that they provide. The short of it is that they get 15% of each transition until you reach $5,000 in sales, in which they drop down to 10% per transaction. I think anytime a company goes from giving away everything for free to starting to take a little bit for themselves you're going to have some backlash but they've proven that the service they provide is not something you can get anywhere else, they deserve the percentage for the platform they've developed.
Any thoughts on this? Anyone raging against the notion of them taking a little off the top? I'm curious if anyone finds fault with this or if everyone accepts it as a sensible move.

