In order to earn DJ points you must be DJing! You'll get one DJ point every time someone in the crowd 'awesomes' a song that you are playing. If someone clicks the lame button while you are playing you won't lose points but your song might get skipped. You can use these points to unlock new avatars. Just remember, your DJ points aren't permanent until your song is over, so you won't be able to unlock that new look until the next DJ is playing.