New Money in the Music Streaming Business

More Play, Less Pay?

New Money in the Music Streaming Business
September 23, 2015 Revenues from subscription streaming services for music in the U.S. accounted for 27% of music sales across all formats in 2014, surpassing CD sales for the first time. Although streaming services are making more money, the per-stream royalty rate paid to artists is dropping, as consumers with a fixed-rate subscription have access to an unlimited number of streams. Check out our infographic to learn how much artists are really earning from the top streaming services.
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Daniel | 09.23.15 @ 17:05
Seems like a resurgence of music subscription services, some of us will remember the old music clubs this is like the modern version.
Britt | 09.23.15 @ 17:05
Lots of really cool information in this article.
Sarah | 09.23.15 @ 17:06
Never really gave that much thought. Very interesting.
Steffanie | 09.23.15 @ 17:07
Wow that's an amazing breakdown. Good thing those artists make big bucks with concerts and other avenues.
STOKES | 09.23.15 @ 17:07
As much as I want to support the artists who make the music, I love streaming services. It's better than the drivel on the radio, but isn't the same songs over and over.
Bobbie | 09.23.15 @ 17:10
I'll stick with the free plans. I can't wrap my head around paying money to listen to music as long as there is good old FM radio.
Beverly | 09.23.15 @ 17:10
Unfortunately, the artist is always on the short end of the stick when it comes to making money whether it's for streaming, sales, or concerts. I think that's why those that are in for the money, rather than the love of the music, aren't around for very long.
Heather | 09.23.15 @ 17:16
I either listen to music through XM or Pandora. I do think that artists should earn more per play then they do. Stations make money off of advertisers and if they are playing what people want to hear they should pay it forward to the people creating the music.
Erin | 09.23.15 @ 17:17
Wow, seems like the artists should be getting revenue every time their music is played, not just an upfront payout.
Jackie | 09.23.15 @ 17:22
I'll stick to the FM radio. In this economy there are many more important things to spend my money on than streaming music.
Alec | 09.23.15 @ 17:26
They don't earn much per play but I assume it adds up. I prefer to stream free.. I can't justify paying for something I can get free, legally.
Chrisitna | 09.23.15 @ 17:27
I love Spotify! It's pretty awesome :)
Carla | 09.23.15 @ 17:29
I have a hard time paying for streaming when the radio is still free. Although with ads taking over more time than the music, I may consider it soon.
Sara | 09.23.15 @ 17:31
I never really use any sort of real subscription. I use free pandora when I listen to music.
Angie | 09.23.15 @ 17:32
Though, there a few artists who have really made it big in the music industry, they have to fork over a huge chunk of their earnings to everybody who has to get their piece of the pie. Some are very savvy and maximize their earnings and the notoriety they've earned to pull in additional earnings.
Elaine | 09.23.15 @ 17:33
Wow, I knew the label got a lot of the money but come on. The artist should get more than this.
irene | 09.23.15 @ 17:33
I've never been that into streaming music but when I do it's through amazon which is free with my prime membership anyway.
Clarissa | 09.23.15 @ 17:36
This is good information to know. I never realized how little artists make off of theses music sites. Pandora is my favorite!
trish | 09.23.15 @ 17:40
It is nice to stream music as opposed to listening to the radio when they tend to play the same 10 songs...
Rychana | 09.23.15 @ 17:42
I use Pandora and I love it. I haven't bought a cd in years.
Christina | 09.23.15 @ 17:44
I use the free plans, or good old FM radio.
Nancy | 09.23.15 @ 17:52
With the whole Taylor/Spotify situation I knew that artists didn't make the big bucks through streaming but they do get exposure for the tours and albums.
George | 09.23.15 @ 17:54
I usually use Pandora or Spotify. Good info, like how it's broken down.
gracie | 09.23.15 @ 18:05
Streaming does make it much easier to store and have all of your favorites at your fingertips!
Meredith L | 09.23.15 @ 18:08
I've tried Pandora, Rhapsody and Spotify. Of the 3, I liked Pandora the best when I owned my deli and needed commercial-free music to play throughout the day. It was cost effective and the selection was pretty good.
Ron | 09.23.15 @ 18:17
The audience and the performer has to adjust to a brave new market. As a consumer, I use and love Spotify. They have troves of my favorite artists and my tastes are underground metal, rap, folk, country, etc. I was a Spotify Premium member for some time, but unexpected costs cut it back to free for now. Soon, I will be back to autodrafted Spotify consumption, but even the free version is great. I put it on discover and look for new talent I have never heard before.
Kyle | 09.23.15 @ 18:27
I never thought much about this
Blake | 09.23.15 @ 19:03
I use the free version of Spotify but I used to use Pandora. I can live with some commercials as long as I can pick what kind of music the service plays for me.
Kamie | 09.23.15 @ 19:03
Anymore, if you are an artist, you have to ask yourself if you are doing it for the money or passion. Because the money is no longer like it used to be.
Tina | 09.23.15 @ 19:17
Interesting to see the breakdown of artist revenue from these various sites
Ambar | 09.23.15 @ 20:07
I had no idea it worked like that.
Gina | 09.23.15 @ 20:20
Wow, some of these comments make me so sad. I use both Spotify Premium and Sirius to find new music, but always pay for an album once I find something I like. I believe in supporting the artists.
Wanda Langley | 09.23.15 @ 20:54
I myself prefer the streaming method because of all the ads on the radio. I can listen to the ones that I want to hear.
Leah | 09.23.15 @ 20:59
Never crossed my mind. Good information
Kaila tubbs | 09.23.15 @ 21:00
I mostly use Amazon Prime's music since I already pay for prime to get the 2 day shipping. Interesting to see the break down on the other ones though.
Kathryn | 09.23.15 @ 21:14
I never really thought into how this worked, very interesting.
Courtney | 09.23.15 @ 21:43
Very interesting. Lots of sweet info on this page
Jo Ann | 09.23.15 @ 21:44
It is terrible that artist get so little revenue from their music. They work hard to attain fame and wind up getting the short end of the stick . I guess they should unionize and get better deals or go on strike.
Owen | 09.23.15 @ 21:57
Apple Music. I like it more than the others and its $10.00
Amanda | 10.04.15 @ 17:38
It's crazy to see how little the musicians actually get.
$commenter.renderDisplayableName() | 11.30.20 @ 01:20