

How Merch Companies Help Artists Thrive
Aug 20, 2025
Tersha Willis, Co-founder and CEO of terrible*, shares her innovative insights on the merchandise landscape. With experience in private equity and fashion, she emphasizes the artist-first approach to merch. The discussion dives into strategies for turning fan support into sustainable income, the importance of data-driven campaigns, and the contrast between online and live sales. Tersha also highlights the power of pre-orders and direct-to-fan strategies that can transform merch into a key element of an artist's long-term success.
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Merch As A Tech-Enabled Business
- Terrible builds a merch operating system to automate logistics, production notes, inventory and accounting.
- Automation lets them focus on creative, high-quality products that sustain artists' careers.
How Merch Companies Capture Value
- Typical merch deals vary widely: 10% gross to 50% of profits or large gross splits.
- Merch companies can capture margins at manufacturing, logistics, payment processing and account fees.
Audit Costs And Price For Break-Even
- Negotiate merch deals and audit costs before signing; know unit costs and margins.
- Aim to break even after ~30% stock sold and price products to ensure profit after fees.