Torrentfreak’s Ernesto crunched the artist donation numbers on Jamendo, the awesome Creative-Commons powered free music community:
Of the 423968 users, 1650 have donated something, little under 0.5%. In total, these users were good for 2712 donations adding up to just over $36,000. This translates into an average of little over $10 per donation. The largest donation on Jamendo thus far was 200 Euros ($250) [...] Jamendo currently has close to 10,000 artists (not all of them accept donations), and 648 of those received at least one donation.
(If you doubt Ernesto’s figures, see for yourself). Even factoring in Jamendo’s sharing of advertising revenue with artists, it’s pretty clear that there are not many indie musicians out there supporting themselves through Jamendo donations. It’s hard to draw general conclusions about this future of the music industry as this sample is heavily biased: Jamendo probably attracts more serious music lovers, who donate more than the average music consumer does or would, while there is large volume of utter crap on the site which never had much hope of drawing a profit, deflating the average donation per artist.
Nevertheless, I take this as weak confirmation of my belief that donations will never significantly replace old-media sales as a major pillar of artist profits. As Enernesto points out, a lot of minor and\or independent artists are realistic about this and choose to release their music through Jamendo or similar free channels in order to capture other benefits such as acclaim, merchandise sales and concert attendance. I’m not all that confident about the merchandise-and-concerts model either: there are only so many concerts even a die-hard music lover can go to. Many people have tried to convince me that only a handful of megastar artists were scraping massive profits from music sales anyway, and the inevitable (and largely complete) shift to free media will not affect the living wages of indie artists for whom it has always been a labour of love. I’ll believe it when I see the statistics.
In related news, I was intrigued by the decision of Magnatune, a creative-commons music store, to switch to a pay-what-you want model for their DRM-free all-you-can-eat subscription. I particularly loved the subtle bit of behavioural framing below the text box for the customer’s chosen price. It will be interesting to see how it pans out, although as far as I know Magnatune is not particularly open when it comes to sales figures. I was tempted to sign up myself, until I remembered that the limiting factor on my own Jamendo addiction was not catalogue range or quality, but time and bandwidth.
