#the more i read about this stuff the more i consider staying indie forever#anyway apple music & deezer > spotify#i’ve heard that bandcamp is good too
@jinspiracy re your tags because they reminded me of more stuff I had to say:
Bandcamp all the way! Bandcamp is more like an Etsy store for music than it is a streaming site, so what you pay for the album goes entirely to the artist (usually about 83% of it, after money transfer fees and Bandcamp’s hosting fees, etc. are paid. Which is still really good, compared to the fractional amount other streaming sites pay).
Apple is slightly better than Spotify, yes. When Spotify got themselves into a PR nightmare by publicly telling artists that they should just “release more music” when they were complaining in the middle of a pandemic, about how their songs are paid about $0.0004 per stream on Spotify (I know, ew), Apple decided to toot the publicity horn and declare that actually, they pay artists 1 cent per stream, or were planning on doing it anyway. I don’t know if that’s true yet, because Spotify has a habit of being disastrous at PR and drawing all the criticism to themselves, but I do know that Apple Music pays a little better than Spotify. YouTube’s payout is the worst one ($0.00012)
(These are all early 2020 numbers though, I don’t have the latest ones)
Deezer has talked about how they have tried for years to implement a user-centric streaming model, which is different from the current model popular in streaming, the ‘pro-rata’ model.
For anyone not in the know, the user-centric model is where artists are paid per stream. You have a fixed base rate which just gets multiplied by the number of streams. If you had a cent per stream and 5 million streams, you would get paid 0.01 x 5,000,000 = 50,000 for it.
You would think this is how it works, right? It seems so logical! But that’s not how streaming works, at least in the music world.
Instead, when you pay for Spotify premium, all the money that comes in, the $10 every premium user pays, gets put into this large pot. Now, if you’re Ed Sheeran with a billion streams, and the total number of streams accumulated by every listener on Spotify in total in that month was 5 billion, then Ed Sheeran had 1/5 of all the streams on Spotify that month.
In the pro-rata model, this means that Ed Sheeran gets 1/5 of all the revenue collected on Spotify. (Ed’s an example, these are not real figures, but 2-5 billion is the ballpark for total Spotify streams)
You think to yourself, this is a little different, but maybe it’s okay? What could be the problem with this?
The problem is that artist with 5 million listeners now.
In this model, 5 million is not an absolute number to be multiplied by, it is a fraction of 5 billion.
5,000,000 / 5,000,000,000 = 1/1000. Your multiplier is suddenly 0.001. What the fuck.
Now, this too is a bit of a simplification, truth be told, but then these companies don’t reveal their workings. What we do know is that there are more factors that play in: what location a musician’s listeners are in, whether they are free or premium users (free users count for less, so the multiplier for their free streams is lower: sucks for you if your fans are poorer), and we don’t know what the base multiplier for all of these is (i.e., “how much” a single stream is worth. Musicians unions worldwide (see: MU in the UK, UMAW globally, but based in the US) are fighting to have this amount set at no less than 1 cent per stream).
5 million monthly streams is still a lot of streams! It should make you a moderately successful artist, when combined with physical sales, other things like sponsorships, roles and appearances, and to an extent, touring (separate post but in summary: most artists lose money touring. Little Simz, very successful, recently had to cancel a North American tour because she admitted there simply wasn’t the money to do it. She has 2.5 million monthly listeners and is one of the fastest rising musicians in the UK right now).
5 million streams should make you able to live off your music alone. The Beatles have 26 million monthly Spotify streams.
Instead, as a recording UK-based cellist with 5.5 million monthly listeners pointed out, it nets you £12 a month. (I’m so sorry but I cannot find the tweet. It is from around July 2020 but I don’t remember her name…)
If you’re in a group, you have to split that three or fourways. Labels and managers take a cut. By god, do labels take a Cut. Fontaines D.C., one of the biggest independent bands in the world right now, talked about how it was for them when they were getting big in Dublin a few years ago. They would each work the door at their shows, surprising fans who would be like, “you’re in the band! You shouldn’t have to do this”, but as they said, the €50 in hand from working the doors was more than what streaming would’ve made them in the month (then split that amongst 5 band members)…
So we’ve established, pro-rata model bad. Pro-rata model disastrous. For a music fan, it means the money you pay isn’t even going to the artists you like, you’re mostly paying for top musicians you don’t listen to. Easier to buy albums you will listen to a million times once (there’s also chat about how offline albums are more eco-friendly than streaming from servers halfway across the world, a million times).
Deezer has tried to change to a user-centric model, but they keep getting blocked by record labels, from whom they need to license the music to be available on streaming platforms. Why? The big 3 record labels (Sony, Universal, Warner) all have stakes in streaming companies, and anything that pays the companies more and artists less benefits them more… it’s a tangled, complicated web. It’ll almost make you think we’re no better than when bands were complaining in the 80s about record deals that took away 80% of their money (still happening btw!)
But yeah, sorry for such a long reply. You’re absolutely right, Bandcamp/ purchasing albums/mp3s >>> streaming.
There are a few newer streaming companies that are aligned with these musical campaigns for fair pay, campaigns like Broken Record and Fix Streaming. Sites like Sonstream and Resonate.is are following different models and paying their artists better, although they’re still growing, so check them out if you’d like to.