Blackdot: Building An Automatic Tattooing Device And Online Marketplace Company In Over A $3 Billion Market

By Amit Chowdhry • Jan 2, 2024

Blackdot is a company that uses new technologies to drive a positive path forward for the art, artists, and people for whom the body is a canvas to tell their stories. And by creating the world’s first automatic tattooing device and providing an online tattoo art marketplace, Blackdot offers tattoo seekers unmatched self-expression through its replicable studio-based tattoo platform. Pulse 2.0 interviewed Blackdot founder and CEO Joel Pennington to learn more about the company.

Joel Pennington’s Background

What is Pennington’s background? Pennington said:

“I’ve had sojourners in tech, winemaking, and specialty coffee. Those varied experiences all played a role in the vision and formation of my latest venture: Blackdot.”

“My career started in telecom, focusing on the development and rollout of high-speed internet. I founded ClearAccess in 2005. We had a hosted offering that enabled internet service provider’s technical support teams to remotely manage residential home networks (which helped reduce at-home support visits). In 2010, Inc. 500 ranked us as the #1 fastest-growing company in the telecommunications industry. In 2012, we were acquired by Cisco Systems on investor-friendly terms.”

“As part of the acquisition, I relocated to Austin, Texas, and purchased a property that had a neglected micro vineyard. I enrolled in Texas Tech’s two-year winemaking certification program and gained competency in wine production and viticulture. Winemaking was orthogonal to what I was doing in telecom. It allowed me to exercise new mental muscles.”

“In late 2013, I incorporated Slow Turtle and focused on offering custom wines to interesting establishments (e.g., wine bars, resorts). Slow Turtle was a part-time project, but I learned quite a bit in a relatively short amount of time. For example, how to provide a differentiated offering in a saturated market and how to manage a consumer-facing brand.”

“This is the highly abbreviated version of my background. My parents and upbringing were rather untraditional, which is probably an understatement. I’ve been fortunate to have a diverse and rich set of life experiences: living in multiple countries, recording a rock album, van life, founding a successful VC-backed startup, making better-than-average wine, tackling specialty coffee, and building the company I was born to build–Blackdot.”

“In 2020, I teamed up with Noah Charney, Pulitzer Prize finalist and art history professor, to produce a full-length, three-part book entitled Blackdot: The Road to the Tattoo Revolution. I’ve made the eBook version free to read for anyone who would like to better understand my background, along with Blackdot’s pursuit of technological firsts and cutting-edge artists. The eBook can be found here.”

Formation Of Blackdot

How did the idea for Blackdot come together?

“My Slow Turtle custom wine venture had enhanced my interest in the world of specialty beverages, and I wanted to go further, but without the alcohol component. In 2017, I had an opportunity to lead Customer Development activities at a Bay Area coffee tech start-up called Bellwether, which had an innovative hardware-software-cloud solution to centralize the art of coffee roasting. The fact that I knew wine inside and out meant I could transition easily to the world of coffee. I was versed in discussions of aroma, complexity, body, and flavor. The two beverages have some common tenets and road maps.”

“The following year, I started thinking about what I wanted to build next. Coffee is cool, but I wanted to do something cooler. I needed to pursue something big, something transformative that I’d be eager to tackle every morning. I had been exposed to tattoo culture through the work that I was doing with Bellwether, so that was in play.”

“I clearly recall when the idea for Blackdot materialized–the eureka moment if you will. It happened on the sky bridge at the San Diego airport. I had been thinking about market trends. What was happening with Gen Y and Gen Z? What are they into? What are they buying? Coffee, sure, but what else? What did they have in common? Where did their disposable income go? How were they expressing themselves? Which passions and purchases did the cool coffee drinkers I’d met wear on their sleeves? Halfway up the escalator, a vision of my coffee roaster friend’s tattoos leapt to the forefront of my train of thought. I said to my traveling companion, ‘Tattoos. What about an automatic tattoo device that could make beautiful tattoos?’ That was the moment Blackdot was born.”

“Bellwether used a system of sourcing roasting profiles (i.e., roasting recipes) from top roasters, uploading them to the cloud and making them available to their next-generation roasters. This process enabled baristas without specialized training to bring the roasts to life. Combining hardware, software and cloud to centralize the art of coffee roasting, I took a page out of the Bellwether playbook to centralize the art of tattoo. At first, the concept was to place automated tattoo devices in existing tattoo studios. However, this quickly shifted as the maintenance requirements, training process and the possibility of operator error were complicated and too risky. Instead, my team and I wanted to be associated with a different type of tattoo experience overall, one where Blackdot could completely reinvent and govern the experience from start to finish and make its studios the only places where the tattoo devices would operate.”

Favorite Memory

What has been your favorite memory working for the company so far? Pennington reflected:

I’m a longtime supporter of the rock group The Smashing Pumpkins. Over the past 31 years, I’ve been to 30 shows across three continents. Since founding Blackdot, I’ve been interested in offering a Blackdot x Smashing Pumpkins tattoo collection. But to do something official with the band would require a thumbs-up from many people, from band members to managers, publicists, and beyond. Complicated, yes, but it lingered in my mind, as it would tick so many boxes for me personally, as a lifelong fan (and now the father of a fan, as my oldest daughter is also into the Pumpkins).”

“In early 2023, I contacted the artist behind the Pumpkins’ 1995 majestic double-album Mellon Collie and the Infinite Sadness directly–John Craig. I sent an email to John via his website, introducing myself and Blackdot and asking about the possibility of licensing some of his art. Shortly thereafter, I received an enthusiastic reply from John! While he has a vast back catalog of imagery, we agreed to begin by licensing images from the Mellon Collie package. The intellectual property had always remained with John, so this was a one-stop way to license Pumpkins-linked images. I was certain that the Blackdot device could perfectly convey the images onto the skin.”

“My inner fandom stirred me to get the iconic Star Nymph figure (from the album’s cover) tattooed on my forearm. She looks amazing–the details in her face and hands are unreal. It is a remarkable transference of the original image into the medium of ink-on-skin.”

“The tattoo represents the culmination of my path: Pumpkins fan since my youth, founder of Blackdot, building a relationship with the band’s drummer (Jimmy Chamberlin), entering into a collaboration with John Craig, and now being the first to get an officially licensed tattoo in high definition.”

Core Products

What are the company’s core products and features? Pennington explained:

“By combining hardware, software, and cloud technology, Blackdot allows artists the world over to have their designs executed as tattoos with a new level of precision and predictability. Blackdot is the first automatic tattooing device and online marketplace of its kind, making art that was previously out of reach as a tattoo now accessible. The platform delivers an unmatched opportunity for intricate self-expression with minimal discomfort.

Foundational new technology offers extreme precision and minimal discomfort

Blackdot’s device uses a small number of concealed test dots to “learn” the client’s skin characteristics. The test dots are compared against Blackdot’s skin database to determine which settings (number of punctures and puncture depth) will yield the perfect black dot for that client’s preferred tattoo location. Paired with a dedication to top-tier customer service, the result is a fast, accurate tattooing experience with minimal discomfort.

Artists control supply, access new revenue, and marketplace

Artists who collaborate with Blackdot can control the supply of their work, allowing for limited edition collections—as well as one-of-one designs—to be offered. Tattoo designs are stored in a secure cloud that can be accessed at any Blackdot Studio, and the company utilizes blockchain technology to track tattoo execution. Each time an artist’s design is used they earn a royalty from it. Blackdot is fundamentally redefining what is possible for the tattooing industry, establishing new practices and revenue streams to shift a paradigm that too often trades time for money to the detriment of many artists.”

Top artists Tyler Hobbs, Omer Tunc, and John Craig kick off Blackdot

At launch, Blackdot is offering custom tattoos from its first Blackdot Certified Artist (BCA), Tyler Hobbs, a breakout generative art star and NFT pioneer. Blackdot will also offer limited edition collections from renowned Turkish tattoo artist Omer Tunca and limited release art from John Craig, the visual artist behind the iconic cover art for The Smashing Pumpkins’ diamond double-album—Mellon Collie and the Infinite Sadness. Tattoo seekers can apply for these designs on Blackdot’s website.”

Significant Milestones

What have been some of Blackdot’s most significant milestones? Pennington cited:

“On October 12th, Blackdot officially launched out of stealth, unveiling its patented automated tattooing platform and opening up bookings for the first Blackdot tattoos at its flagship studio in Austin, Texas.”

“Additionally, Blackdot added Tyler Hobbs, a breakout generative art star and NFT pioneer, as the first artist to take part in the Blackdot Certified Artist (BCA) and announced that it will be offering limited edition collections from renowned Turkish tattoo artist Omer Tunca and limited release art from John Craig, the visual artist behind the iconic cover art for The Smashing Pumpkins’ diamond double-album—Mellon Collie and the Infinite Sadness.”

Total Addressable Market

What total addressable market (TAM) size is the company pursuing? Pennington pointed out that the forecasted size of the tattoo market is $3.9 billion. And Pennington assessed:

“The US tattoo market is currently valued at $1.6B and the global tattoo market is expected to reach $3.9B by 2030. Forecasted industry growth (CARG) is 9.9%. Tattoo is often cited as one of the most recession-proof industries, alongside funeral homes and healthcare (Sources: Fortune Business Insights 2023, IBISWorld 2023)

– 46% – Nearly half of the under 40 population in the US has one or more tattoos

Few Americans purchase only one tattoo. Almost 70% who choose to tattoo have multiple tattoos.

This unprecedented growth is being driven by younger generations (Gen Y & Z) that are acquiring more tattoos at a faster rate than at any other time in recorded history according to a recent Pew Research study (Source: Statista 2017 & 2021, YPulse Poll 2022, Blackdot Tattoo Market Analytics 2023)

– 40 million – The untapped portion of the market considering a tattoo but holding back for one or more reasons

Fear of the pain associated with traditional tattooing, limited design options, concern with the appearance of the end result, and intimidation of the typical tattoo studio can hold people back from getting a tattoo.

Blackdot’s unique approach addresses these concerns, finally opening up tattoo as an option for this significant population segment (Source: Statista Survey 2017, 2020 US Census)

Differentiation From The Competition

What differentiates the company from its competition? Pennington affirmed:

“Blackdot is creating something entirely new and revolutionary within the tattoo industry.  There are no other companies offering tattoos in an automated fashion.”

Funding

After asking Pennington about the company’s funding information, he revealed:

“Blackdot is VC-backed and has raised $4.6 million prior to the company’s launch.

Blackdot is currently accepting applications to invest from friendly angel and institutional investors. Prospective investors are encouraged to complete an application to invest on Blackdot’s website.

Future Company Goals

What are some of the company’s future company goals? Pennington concluded:

“Blackdot’s flagship Studio is located in Austin, Texas. The Company plans to open additional Studios in key locations (evaluating LA, NYC, Las Vegas, Miami, London, Berlin, and other draw cities).”

“The company will also expand its Blackdot Certified Artist (BCA) program so that tattoo seekers have many options for custom tattoos.  In parallel, Blackdot will continue licensing designs from renowned artists, public figures, and compatible brands so that tattoo seekers can have unparalleled design choices.”