5 Ways To Actually Make Money As An Independent Musician In 2020 (Even During A Global Pandemic)

You love making music and in order to keep moving forward, you need to create a sustainable income.

So how do musicians make money from their music? It’s something a lot of independent artists were struggling to do even before the pandemic hit, and now there may be even more hurdles to overcome - but we’ve got answers!

The main reason why most musicians aren’t able to make a living from their music is simply that they aren’t making offers.

They don’t have clarity on what offers they could be making and are probably hoping that someday something magical will happen and they will be able to make money with their music. 

The real world doesn’t work that way.

What you need to do is figure out what your fans want and give it to them in a way that contributes to their quality of life. You can’t make sales if you’re not making offers.

This is why you should focus on creating value for your fans.

This is where you really begin to monetize your fanbase and make a sustainable income.

I’d like to introduce you to a simple system that will help you to earn a real living from your music:

1. The Value Ladder

The Value Ladder is a business concept that refers to how you structure the value of your products and offers as your fans get more involved.

Having a Value Ladder in place is how you monetize your music so you can make a profitable and sustainable living. 

As you reach new people who support your music and nurture these relationships, your fans move up through the Value Ladder and are willing to invest more in your career. 

Your Value Ladder offers might look like this:

FREE ? $10 ? $50 ? $200 ? $1K ? $5K ? $10K

At the very bottom of your value ladder is where you can create free content and offers.

This initial step is about attracting new fans and forming a connection with them.

They can follow you on social media or sign up for your mailing list, and you can offer them free value right from the start. That way, you make a memorable impact. 

When fans move up the Value Ladder, they qualify themselves for special opportunities and offers.

This is where you really start to generate an income with your music.

Fans go from casual listeners to lifetime supporters as they move up.

There is always room to test, tweak and revise your offers, but taking action is the first step.

Be creative and remember that it’s about producing more value as your fans become more committed to your success. 

EXAMPLES:

Free - Conversation

• New song

Free - Contest

• Win 4 tickets + Meet & Greet

$7 - LOW TICKET OFFER

• “Free + Shipping”
• Exclusive Merchandise:
• Autographed Picture
• Fridge Magnet
• Stickers
• Guitar pick
• Handwritten note
• Pop socket
• Bracelet
• Temporary tattoos

$60 - MERCH BUNDLE

• T-Shirt
• Hat
• Poster
• 1 VIP meet & greet to a show (or virtual session)
• Exclusive digital content
• Acoustic song
• New song
• Demo
• Sweatshirt
• Drawstring backpack
• Sunglasses
• Lighters

$10/MONTH - EXCLUSIVE GROUP

• 1 year access to Exclusive Group
• Exclusive Merchandise
• T-Shirt
• Signed Poster
• VIP Platinum Pass
• private monthly livestreams
• automatic VIP meet & greets

$1K - PRIVATE HOUSE CONCERT

• You travel to your fan
• Play private show for your fan and their friends and family

$5K - WEEKEND RETREAT

• 10 people
• Come to studio & hang out
• Participate in a music video
• Have an adventure
• Includes Airbnb & meals (you cook for them / with them)

$10K - ULTIMATE EXPERIENCE

• Go on a 2 week adventure w/ the artist
• Cruise Ship getaway
• Ayahuasca trip
• Luxury trip in Bali

Here’s what that Value Ladder might look like visually…

2. Private House Concerts

One of your high-ticket offers on your value ladder might be ‘Private House Concerts’.

This is a show where you travel to a fan’s home to play a private concert for them, their family, and friends. It’s a great way of connecting with your fans on a deep and personal level. You get to spend quality time with your fans and show them how grateful you are for their support.

Bonus: It’s a great way of generating a lot more money than you would for a regular gig.

Private house concerts can generate $5K+ per show.

There are two main ways you can offer these types of shows:

1. FLAT RATE

You can charge a flat rate for a house concert. The value will depend on a few factors: Are you a solo artist or full band? How far are you traveling? What costs do you need to cover (hotel, travel, band members, sound system etc.)?

Weigh all the factors and decide on a flat rate that seems fair for you and your host - this could be anything between $1K-$5K.

2. DONATIONS

The second way of making money from a house concert is by taking donations from everyone who attends.

A typical suggested donation amount might range from $10-$30.

If 100 people show up and the average tip donation is $20, you’ve made $2,000 in one night.

If you have CDs and merch, let your audience know! House concert shows often feel much more personal and you can connect with the audience much easier than at a regular gig.

Make your show personal. Be authentic. If you connect with your audience, they will be much more likely to donate and buy your CDs and merchandise.

If 50 people were to buy 1 CD each for $10, that’s an extra $500. (A nice touch is to ask if they’d like you to sign their CD and/or take a photograph with you!)

**Please make sure you are following all of the current local COVID-19 guidelines for shows and attendee numbers.

3. Patreon

Patreon is a site that allows you to collect a monthly membership in order to connect directly and build community with your most engaged fans.

You can customize membership tiers for your fans to choose how they would like to support you, with each membership level offering extra content and benefits.

Offer perks like access to your unreleased music, early looks at new content, behind-the-scenes footage and exclusive livestreams.

Some notable artists using Patreon include: Ben Folds, Kimbra, Eli Lev

Let’s say you had 100 fans paying $10/month…you’d be making $1,000 per month to do the thing you love most in the world. How awesome is that? And it’s totally attainable!

4. Livestreaming / Virtual Shows

Steady income for the majority of musicians comes from live gigs and touring.

However, the consequences of COVID-19 have halted all live music events and a lot of musicians and independent artists have suddenly been left with no work and no income.

For one of our clients, The BellRays, the sole method of income has been touring and gigging since 1999.

During the pandemic they began putting on weekly livestreams on their Facebook Page and were making $1,000 a week in tips and donations.

They were able to do this because they had a deep, personal connection with their fanbase.

Some artists have found success through putting on private livestreams with a set ticket price and tip jar.

Get creative and think outside of the box. How can you make your virtual gig engaging, refreshing, and entertaining to your fans?

5. CDs

With the rise of streaming and digital music sales, there’s a lot of debate over whether CDs are outdated in 2020.

Do people even buy CDs anymore?

The answer is YES.

Sure, the physical CD market isn’t what it used to be. But if you put your music in front of the right people, you’ll be surprised at how many want to support you and buy a CD regardless of whether they have a CD player or not.

Michael Walker, founder of Modern Musician and keyboardist of Paradise Fears went from living out of his car to selling 24,000 albums in 6 months with his band by Tour Hacking.

Still don’t believe me? Find out out how they did it in Michael’s Free Tour Hacking Workshop.

It’s actually a really exciting time to be an independent musician. As creatives, we’re forced to innovate and adapt when huge changes take place and shake up our realities.

Instead of waiting for something magical to happen, it’s time to take control of your career, harness your talent and learn how to make money from your incredible music.