Louis CK accepts poor pay in exchange for total control over his show. The show is a success.
He then sells a comedy video for $5 on his website. While the video can be pirated because of no DRM, he makes 1 million + in less than 2 weeks.
Now, he's selling tickets to his tour on his website, where every seat in every city is $45.
Eliot Van Buskirk of Evolver.fm wrote an article for Hypebot about why the music industry should take a hint from this innovative and business savvy comedian. Here's what he said.
Keep control. Whether you’re a start-up company or a start-up band, the Lesson of Louis is that it pays off to keep creative control over the things you are making, because otherwise they get watered down, corners get cut, and competing visions cloud the direction. Steve Jobs would agree.
Simple deals. As complex as our globalized, interconnected, real-time, distracted-by-the-totality-of-human-knowledge-and-activity-at-all-times world is — or perhaps because it’s so complex — Louis proved that a simple deal can be more attractive. No bundling, no fees, no muss, no fuss: Selling an easily understood unit of something for a flat price (not even using that tired old trick of making every price end in .99) seems to be the way to go. Not $4.99. $5.
No fees. According to Gawker, Louis’ decision to sell tickets to his upcoming tour directly without going through Ticketmaster or anything else, has “infuriated” ticket sellers. Who cares?
Making my shows affordable has always been my goal but two things have always worked against that,” writes Louis. “High ticket charges and ticket re-sellers marking up the prices. Some ticketing services charge more than 40 percent over the ticket price and, ironically, the lower I’ve made my ticket prices, the more scalpers have bought them up, so the more fans have paid for a lot of my tickets. By selling the tickets exclusively on my site, I’ve cut the ticket charges way down and absorbed them into the ticket price. To buy a ticket, you join nothing. Just use your credit card and buy the damn thing. Opt in to the email list if you want, and you’ll only get emails from me.
Note that this direct sales thing lets Louis get your email address — because you trust him. Meanwhile, if you sell music through iTunes or many other platforms, you don’t get the email address of your fans, and perhaps even worse, someone else does.
Own the relationship. Louis is in charge of selling Louis to Louis fans. That’s it. He owns the whole thing, from the television show (which he edits), to the taped live special, to the tour. That means he can keep his people happy, and it makes us trust him even more.