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View Full Version : Do artists get anything from Spotify?



benjamin
07-26-2011, 01:51 PM
Does anyone know how the relationship between artists and Spotify works, if any? Do labels get any type of cut of the advertising or membership fees? Or should they just be happy with increased exposure? I'm not sure how their revenue model works. Anyone have a clue?

djnoyze
07-26-2011, 02:06 PM
10-4... Spotify pays, but I'm more unsure about the accounting and accountability... The key with spotify is to get people to play your stuff often...

I use Tunecore and here is their FAQ about Spotify:

How much do I get paid for streams?

Spotify has deals with necessary rightsholders in all of its launch countries. Together with them, Spotify has agreed upon a royalty based on how frequently your music is played. Each stream earns you a share of Spotify's advertising revenue. The actual amount varies and depends on the ratio of advertising revenue and your percentage of the total number of streams at Spotify in a given month.

How much do I get paid for downloads?

If someone buys your music a la carte in Spotify, TuneCore pays you USD $0.70/EUR 0.70/GBP 0.49 per track.

If someone buys your music as part of a bundle, TuneCore pays you based upon Spotify's calculations for the prorated share of all monthly bundle purchases.

Does Spotify give away any songs/streams as promotional?
No, all plays are reported and paid for.

benjamin
07-26-2011, 02:09 PM
10-4... Spotify pays, but I'm more unsure about the accounting and accountability... The key with spotify is to get people to play your stuff often...

I use Tunecore and here is their FAQ about Spotify:

How much do I get paid for streams?

Spotify has deals with necessary rightsholders in all of its launch countries. Together with them, Spotify has agreed upon a royalty based on how frequently your music is played. Each stream earns you a share of Spotify's advertising revenue. The actual amount varies and depends on the ratio of advertising revenue and your percentage of the total number of streams at Spotify in a given month.

How much do I get paid for downloads?

If someone buys your music a la carte in Spotify, TuneCore pays you USD $0.70/EUR €0.70/GBP 0.49 per track.

If someone buys your music as part of a bundle, TuneCore pays you based upon Spotify's calculations for the prorated share of all monthly bundle purchases.

Does Spotify give away any songs/streams as promotional?
No, all plays are reported and paid for.

Rather enlightening. Thanks bro. Was curious how it worked.

mr808
08-03-2011, 10:30 AM
They do... as with any similar service, it's probably something like (no joke) $0.001 per stream. Downloads are more in line with industry norms I'm sure.