Kevin Smith at panel "The Business of Kevin Smith" (Katie Lemon/Neon Tommy)

Actor, writer, director (and the list goes on) Kevin Smith claimed “getting into the eye of the needle of Hollywood is particularly hard for a fat man.” But even after his hard-earned success in Hollywood, Smith wanted more. In the SXSW panel “The Business of Kevin Smith,” the famous self-proclaimed “fat man” discussed how podcasting revitalized his career.

Smith said that after seeing the famous Richard Linklater film, “Slacker,” at age 21 he know he wanted to work in film. In his mid-twenties he directed and acted in the famous “Clerks” and “Mallrats.” After years of being “Silent Bob” he moved into the bromance genre with “Zack and Miri Make a Porno.”

But Smith eventually got burned out on the bromance and decided to move into podcasting, which for him turned out to be extremely lucrative. Smith and his producing partner Scott Mosier started “SModcast,” publishing podcasts weekly where they discuss current events and conduct interviews with celebs, friends, family and anyone who had an interesting story. After finding a following through podcasts, Smith took his business on the road to perform live podcasts in front of audiences.

So what’s the secret to Smith’s success? He developed a business model which he calls “direct to fan marketing,” built on the following principles:

Give away free content

People claim there is "no money in free," but Smith begs to differ. There may not be money right away, but once you express interest and foster loyalty in fans, people will eventually be willing to pay for content. After years of offering free podcasts with commercials, Smith started offering a commercial-free, high definition version of the podcast for loyal subscribers. Smith said his model echoes that of Radiohead, who released an album with a suggested donation price – some people paid 99 cents, while others contributed hundreds of dollars.

Connect with fans

“You have to throw out the rule ‘you have to spend money to make money,’” said Smith. “That rule irritates me.”

Smith claimed that extravagant and expensive marketing campaigns waste money reaching out to audiences that may not be interested anyway. Campaigns become more expensive than making the film itself. Instead, Smith plays to his focused, specific audience – hence the name "direct to fan marketing."

Create products fans want and let them share

Know what your audience wants to see and hear. Listen to them and create the content they demand.

According to Smith, at the end of the day, everything is about serving the fans. His model not only saves money but allows for a more interactive audience experience. Now we’ll see if the major studios and marketing firms catch on to his secret to success.

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