The vinyl revival has kept the vintage format of buying music steadily increasing. First, we should untangle a key term — royalties. Royalties are basically the amount paid to any rights-holders when a song or any creation is sold, distributed, used in other media like a commercial or movie , or monetized in any way.
How streaming services determine royalty pay for each artist
Full Stream Ahead
Subscriber Account active since. Free subscriber-exclusive audiobook! Get it now on Libro. Spotify and Apple Music are the two dominant players in the music-streaming market and they might seem the same to many consumers, with similar features and pricing.
3 Types of Streaming Payouts
The disruptive effects of peer-to-peer file sharing had slashed music revenues in half, casting serious doubts over the future of the industry. Ringtones provided a brief earnings bump , but it was the growing popularity of premium streaming services that proved to be the savior of record labels and artists. In short, people showed they were still willing to pay for music. Although most forecasts show streaming services like Spotify and Apple Music contributing an increasingly large share of revenue going forward, recent data from The Trichordist reveals that these services pay out wildly different rates per stream.
Music streaming is now at the very center of the recording industry. At the same time, the music streaming market is becoming exponentially more and more complex. As of , there were over DSPs with streaming capabilities, from regional players and niche services to international giants of Apple, Spotify and alike. So, how do you navigate this complex landscape of the streaming market and maximize your streaming revenue? The music industry is full of opportunities, but what are the platforms you should focus on? How much do different DSPs pay the artists?