In a week where the stock market is taking an eye-watering battering, a profile of a startup based around a stocks-like concept might seem a bit close to the bone.

But I really like what Dune is working on as a solution for struggling artists in the music industry, and not just those at the start of their career. Establish artists can find life very hard these days, too… so can this help?

– Martin

Can Dune’s ‘stock market’ help save the music industry?

Life is tough for music artists these days.

Streaming revenues are a pittance, and live touring is more expensive to do than ever. Bandcamp can be a good way to sell music and merch, but as small live venues die off, building a fanbase often depends on mastering the capricious whims of social media algorithms.

Heck, even musicians who seem successful can be struggling. One critically acclaimed artist I follow on Instagram was selling a leather jacket that featured in one of his music videos on eBay a few weeks ago, blaming tough times for the sale.

Much of the talk in the music industry in recent times has been around monetising ‘superfans’ - those really keen fans who will happily spend more money to support artists’ careers. But the best way to do this has been elusive to date.

Dune is a startup that thinks it’s found a way. The real stock market might be crashing right now, but Dune wants to be a stock market for artists’ careers.

Love a new artist? Think they’re going to be big? You can pay in for a stake in their career, the price of which is linked to their performance on streaming platforms. As their stream count rises, so does their stake price.

Artists get paid every time anyone buys a stake in them, and every time a stake is sold on to someone else. Dune takes a cut of each transaction.

Meanwhile, artists can connect with their ‘stakeholders’ through Dune, giving them things like ticket pre-sales, or exclusive media or merchandise.

It’s a simple idea, but it just might work. As a lover of new music, there are artists I follow who I would gladly ‘invest in’ using Dune.

For example, BC Camplight features on Dune’s homepage as one of the artists involved.

He will have a new album out this year following the renewal of his deal with the Bella Union record label. His last few albums have seen his career growing in traction, and tracks from his most recent album were a playlist staple on BBC Radio 6 Music through much of 2023.

Whether you want to support him with his career or just want to see his ‘stake’ price rise as new fans discover his music thanks to his new album, Dune is certainly an interesting idea.

The story so far

Dune’s co-founders both have a background as recording studio owners in the Manchester area, and are both called Paul.

When Paul Knowles was priced out of Manchester city centre, he met Paul Bowe, who runs South City Studios in nearby Stockport. South City lists names like Iggy Pop, Elbow, Sam Smith, and Johnny Marr among its clients.

Knowles decided to tell Bowe about his idea for an artist ‘stock market’.

“I thought, why isn't there an investment platform where I can invest in these artists? I can pick up my phone and get an app where I can buy some Google stock or Apple stock. Why can't I buy some stock in Ed Sheeran or Adele?,” Knowles explains.

Knowles and Bowe teamed up on the idea and reached out to senior music industry contacts. Having received positive feedback, they assembled a development team and set to work building the platform.

After two years of work building and onboarding artists, they say they’re now around eight weeks from completion of the product. Following a testing period, they plan to launch it soon.

It’s understandable that artists will want to be involved. Anything that helps them make money and engage with fans is worth trying. Knowles and Bowe say fans’ reactions have been encouraging, too.

“What's been key to it is the simplicity. It's very user friendly, it looks very familiar, it's not convoluted, it's very safe and fair. And as a fan, you can influence the outcome of the numbers by streaming your portfolio aggressively, and that’s quite fun from a gamification point of view,” Bowe says.

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