In a recent interview with USnews.com, Fame House founder and CEO Michael Fiebach discussed the success of the experimental Pretty Lights/BitTorrent collaboration that garnered the artist thousands of new fans by giving away his music for free. Fame House and BitTorrent bundled four of Pretty Lights’ songs with a video of his 2011 Bonnaroo Music Festival performance. From there, BitTorrent promoted the item to over 130 million users.
“In terms of the value of 80,000 new fans,” says Fiebach, “there’s a sliding scale there in terms of different types of fans in different geographic areas. But I can tell you that [the experiment] significantly grew his E-mail list, and each person on that E-mail list is a potential purchaser of something. So if you’re going to say the average click-through rate in an E-mail is 10 percent, that means you just got about 8,000 new people who are going to buy something at some point. The value of that in a year? That might be $80,000 a year, $100,000 a year. It might be much more than that.”
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