Crucially, fans are even able to share in a percentage of profits...
NEW YORK, NY (PRWEB) October 05, 2015
TapTape, a new startup that lets music fans invest in the record deals of their favorite artists, announced today the launch of their public beta. The site provides funding for influential artists and labels, with supporters rewarded not only when campaigns are successfully completed, but also based on the subsequent success of their artists across a variety of metrics. Crucially, fans are even able to share in a percentage of profits, which can be re-invested or redeemed for merchandise.
Originally developed at MIT, TapTape previously won the Creative Arts Prize in the MIT 100K, as well as the SXSW 2015 MBA Business Plan Competition, and has secured an initial investment from Lyor Cohen, the former head of Def Jam and Warner Music labels, and co-founder of 300 Entertainment. Unlike other crowdfunding models, TapTape is a curated platform that works with established or up-and-coming artists. The first to launch with the company, Bay Area-based K Theory, has built a fast-growing fanbase of 100K Facebook and 70K Soundcloud followers on the strength of their live performances and widely-circulated remixes.
TapTape’s launch comes at a critical turning point for the music industry. Increased participation and new competition in the streaming market has emboldened rights-holders, as global recorded music revenues are beginning to rebound. Meanwhile, direct-to-fan platforms are surging, with music crowdfunding set to hit $1.5 billion dollars in 2015, according to industry research firm Massolution.
Into this climate, TapTape is introducing the first fan funding solution for artists and labels who wish to avoid the “patronage” or “charity” models of existing crowdfunding sites. “We believe in artists that see their fans as an essential part of the team,” says Christopher Nolte, Co-Founder and CEO. “Especially these early supporters and trendsetters, whose advocacy is so critical to establishing successful careers.”
By uniting artists and fans together as stakeholders in the success of a project, TapTape promises to deliver an entirely new funding and marketing experience to a music industry hungry for innovation.
TapTape is the first funding platform to let music fans invest in the record deals of their favorite artists, allowing them to share in the success of projects they support. The company was founded by musicians and business hackers with a passion for solving music industry problems, and aims to create meaningful connections and financial stability by giving fans the opportunity to be invested in what they love.
CEO Christopher Nolte is an MIT MBA graduate who spent several years in management consulting, advising music and tech clients including the Recording Academy. His co-founder Jared van Fleet began his career recording and touring with well-known indie bands (e.g., Beirut, Voxtrot) before becoming one of the first employees at online media marketplace startup Pond5, which he helped scale to over 100 employees and $61MM in financing.