Wednesday, September 28, 2022

How Much Does Apple Music Pay For 1 Million Streams

How Much Is Apple Music Apple Music Cost And Plans

How Much Does Apple Music Pay Per Stream, Per 1000 & for 1 Million Streams

Apple Music started in 2015 and became a better alternative to iTunes.

But what makes these two services different? Lets take a look.

The major difference is that iTunes is a place where you buy music, movies, TV shows and many more. iTunes has gained immense popularity because it allows you to purchase individual songs, not the whole album. Prices may vary: songs are available at one of three price points: 69 cents, 99 cents and $1.29. Most albums are priced at $9.99.

But the truth is, you still have to spend money on iTunes when you want to listen to new music. To solve this problem Apple Music was created. Their monthly subscription could be a better deal as you have access to almost all music of all artists ever created. But we will write more about this later in this article.

Now its time for reasons why you should buy a premium subscription of Apple Music. Lets get started!

In this article:

  • How to Start Listening to Music on Apple Music?
  • Streaming Services Open Up About Artist Payouts Seeking To Win Credibility And Subscribers

    Apple Music said it pays 52% of its subscription revenue to record labels.

    Apple Music told artists it pays a penny per stream, according to a letter viewed by The Wall Street Journal.

    The disclosure, made in a letter to artists delivered Friday via the services artist dashboard and sent to labels and publishers, reflects music-streaming services increasing efforts to show they are artist-friendly.Apple Inc.s AAPL -0.01% move can be seen as a riposte to Spotify Technology SA, which last month shared some details of how it pays the music industry for streams on its platform.

    Apples penny-per-stream payment structurewhich music-industry experts say can dip loweris roughly double what Spotify, the worlds largest music-streaming service, pays music-rights holders per stream. Spotify pays an average of about one-third to one-half penny per stream, though its larger user base generates many more streams. Apples payments come out of monthly subscription revenue from users.

    How do you think the power dynamic between artists and streaming giants might shift, if at all? Join the conversation below.

    Artists, managers and lawyers, still reeling from the loss of touring revenue during the pandemic, have been calling for higher payouts from music streaming, which has grown rapidly in the past year. Many fans have joined the push to raise artists compensation.

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    Write to Anne Steele at

    Scammers Know Your Pressure Points

    At the beginning, many musicians simply dont have that many streams and listeners. The scammers know this and claim to have the end-all solution to the problem, all the while keeping only their own profit in mind. Its how they get musicians to accept offers that they should know from the beginning not to be legitimate. Most of the time, these scammers unfortunately only do genuine marketing for their own business.

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    No Nfts Without Cryptocurrency

    In order to set up or buy an NFT, you have to have a crypto wallet meaning a place to save your cryptocurrency. After that you will need to buy some Ether and put it in your wallet. A large number of NFTs are sold in Ethers and stored on the corresponding Ethereum blockchain. Finally, you will have to register at one of the market places for NFTs and connect it with your wallet.

    You need NFTs not only as a buyer but also as a seller, since you have to pay a so-called gas fee to mint an NFT.

    When You Analyze The Money You Can Earn From Music Streaming Youll Find Its Difficult To Earn Enough To Support Yourself As An Artist But Streaming Is Valuable As A Gateway To Discovery And Other Means Of Monetizing Your Fan Base How Much Does Streaming Pay

    This Is How Much Top Music Streaming Services Really Pay ...

    Every so often theres a dramatic industry headline about how little streaming pays artists and songwriters artists like Pharrell lamenting they received a pittance for their millions of streams. I also regularly hear from independent artists who tell me that streaming just doesnt pay: I used to pay some bills with my income from CD or download sales, the common story goes, but I cant even buy a cup of coffee from my streaming royalties.

    That got me curious to know, How much does streaming pay me as an independent artist?

    So I decided to do some research. To get the answer, I logged onto the CD Baby dashboard for my own personal account and looked at the recent history of payments Ive received from the various streaming companies. I documented what I found in this short video:

    First, a few words of caution: These results are for my music. Your mileage may vary. However, most independent artists royalty streams are probably in the same ballpark. Additionally, these are gross payment numbers, so these payments are before CD Baby takes its nine percent administrative fee. This is what Spotify and Apple Music and Amazon pay to CD Baby or to your record label or wherever your payments are submitted.

    Heres what my music earns through streaming:

    What does that average out to when you take all the payments and all streams? My music ended up averaging 0.33¢ per stream. That means 1,000 listens of my music pays out $3.30.

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    Disappointed With Spotify Heres What To Do Instead

    I remember the days when I was selling vinyl to a distributor and getting a return of £3 a record.

    At that rate Id only need to sell 1,000 records to make more than Id make with a million streams on Spotify.

    Its insane.

    100,000 streams only nets you $400.

    If you told your mom that youd had 100,000 streams on Spotify, shed be popping open the champagne thinking you had become a star.

    And thats because not even 15 years ago, 100,000 sales of a single or album would have made you a lot of money depending on your label deal, of course.

    But it certainly would have opened the door to a lot more opportunity and cash.

    Rather than being disappointed with the way things are now, theres a huge lesson that we can learn from this data.

    Spotify is a great place to be discovered, and its certainly worth releasing on there and building up your profile.

    Dont get me wrong, there are artists making a fortune on there, but most people will struggle to get a thousand plays on a track.

    South Korea And Uk Are The Frontrunners

    The clear frontrunner is South Korea with a PPS three times as high as that of the UK sitting second place. The reason for this is that there is no free option for Spotify in Korea, only premium subscriptions. Thus, it becomes clear what immense influence the free tier has on the PPS and also why Apple Music, for instance, pays so much more per stream than Spotify does. Other than the UK, the top ranks are exclusively made up of European countries, primarily from Northern Europe, as well as Switzerland, Ireland, and the microstates Monaco and Liechtenstein.

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    Shortcuts Lead To A Dead End

    As an artist, you want as big of a reach as possible and a solid fanbase preferably now. But a music career is a marathon, not a sprint. There are hardly any artists who became stars completely out of nowhere. Just because youve never heard of an artist before, that doesnt mean that they havent worked for years to get to this point. Patience is not only a virtue but a must. There are so few shortcuts in the music industry that dont lead you down a dead-end road.

    Apple Music Insights: Royalties

    How Much Is 1 Billion Spotify, Apple & Tidal Streams Worth

    We believe in the value of music and paying creators fairly for their work. Since we launched the iTunes Store in 2003, we have helped millions of artists and songwriters make a living from music. As the discussion about streaming royalties continues, we believe it is important to share our values. We believe in paying every creator the same rate, that a play has a value, and that creators should never have to pay for featuring.

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    High Barriers For Buyers And Artists

    Hardly a day goes by without news of million-dollar sales or superstars launching their own NFTs. But is art really whats on the forefront here or is it all just about the collectors value and thus also the speculation? Are NFTs truly valuable or does their value only come from people thinking theyre valuable, at least at the moment? Whats growing here a bubble that will soon burst or a genuine, sustainable source of income for musicians?

    Lets first get to the main stumbling blocks: For anyone who hasnt been dealing with cryptocurrencies for a long time, its not that easy to set up and sell NFTs. So, theres a risk that artists are getting into some technology that they dont completely understand. Even more problematic, however, are the challenges for the buyers. Few people have Ether in their crypto wallet and are hanging out in NFT marketplaces. Do you know someone who owns NFTs? Exactly. It will take years before they can truly establish themselves within the greater population.

    How Are The Streaming Payouts Calculated

    The basic payout calculation is quite simple: streaming platforms typically have a set payout rate per stream, multiplied by the number of streams.

    For example, Spotify pays about $0.0033 per stream. While Spotify hasnt officially disclosed it, the per-stream payout should be directly affected by its payout rate. Suppose you have an album that has generated 1,500,000 streams on the platform, the payout would be something like:

    In this example, $0.0033 is likely generated from Spotifys payout rate, which not all streaming platforms openly disclose. The payout rate and setup from one streaming platform to others may be drastically different, hence the inconsistency of the payout throughout different platforms.

    For example, Apple has officially disclosed that they have a 52% payout rate. This means if Apple made $1 million in revenue, they would distribute $520k to the artists according to their stream count and other factors like streaming location and the type of users who stream the music.

    But the actual amount that you receive may be less than the estimate above. There are many other variables like the streaming location and subscription type that may affect the actual payouts that the artists receive.

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    All Streams Are Not Treated Equally

    How much Spotify and Apple Music pay for a stream varies on many factors.

    There are around 800 different pay rates for each stream on Spotify. Some of the variables include:

    • Country/Territory of the listener
    • Subscription plan level
    • Promotional stream
    • Distributor / label negotiated rate

    Were focusing on the last point here. But Ill get to that in a minute. First let me break down the most obvious points:

    How Can I Get My Music On Spotify

    Nipsey Hussle Reveals How Much Artists Are Paid for 1M Streams

    cottonbroPexels

    Getting your music on Spotify may seem difficult at first, but its really cheap and simple. Spotify have experimented with a free Upload feature on and off over the years, but its never come to fruition.

    Presently, you have two options:

    • Option one, is that you are working with a record label, who is doing all the publishing and distribution on your behalf. If thats the case, getting your music on major streaming platforms should be absolutely no issue.
    • Option two using a distribution service. Aggregate services, also known as digital distribution services, companies like Distrokid, Ditto and TuneCore let you upload your music to streaming services for a fee.

    Choosing the best distribution service for you can be a difficult process. Heres our guide to the best distribution services around to help you decide which is best.

    Most of these services offer a yearly membership plan, with unlimited uploads. But some take commission, and each service has different advantages/disadvantages over the next.

    Its important to take a look into each company and decide which one works best for you.

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    Indie Instead Of Major

    Nevertheless, more and more artists are either staying on the independent route or leaving the major labels. Were not just talking about smaller artists either, but also an increasing number of those that any major label would jump at the opportunity to sign. What drives established artists to leave the cemented structures and financial resources of major labels to work with a distributor instead?

    At iGroove, you have the additional benefit of being able to request an advance payment, just like you can at a major label but again, without being forced to make a long-term commitment.

    Additionally, you can request advances for older releases, for which major labels often apply a flatrate that is much too low a compensation. Furthermore, at iGroove you can get a reliable projection of your future revenues. This gives you the ability to plan your next steps and make better business decisions as an artist.

    Apple Music Reveals How Much It Pays Artists Per Stream

    How much do artists make while you rock out to their songs? Apple revealed the answer.

    The rise of streaming has changed the music industry. Instead of record labels and artists making larger sums of money when people buy their new album, they make pennies when people stream a song.

    The argument comes down to whether streaming actually works out better for the music industry in the long run. It’s obviously better for consumers, but if labels and artists aren’t making any money, there won’t be an industry to create music.

    More often than not, we don’t actually hear about how much services like Apple Music and Spotify pay artists. It’s like some big secret happening around us. We know our plays are paying the artists and labels, but how much is a mystery.

    Apple has revealed a bit about how much it pays artists in a letter discovered by The Wall Street Journal.

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    Why There Has Been A Fluctuation In Apple Music Pay Per Stream

    In 2018, there was a drastic fall in Apple Music pay per stream at a rate of 0.00495. According to Trichordist, the decrease was due to Apples move to expand its brand into other new regions. During the expansion period, it had introduced a 90-day free subscription offer. This offer is what made it lose some significant amount of money because the free accounts created within the free 90-day subscription had not yet translated to full paid subscribers.

    However, the low moments that Apple experienced during the 90 days free subscriptions were for an excellent course. After its expansion and getting new paid subscribers, it has been able to stabilize its per-stream rate moving from 0.00495 per-stream rates to 0.0675, which is closer to where it was at 0.00783 per play before the expansion plan came in place. It is confident that this figure is bound to rise even higher soon.

    What Are The Most Popular Streaming Services In 2021

    How Much Money I Was Paid For 8 Million Streams on Spotify & Apple Music

    In 2021, the following the are most popular streaming services for listening to music, comedy, and podcasts all around the world:

    • Amazon Music
    • Sirius XM
    • iHeartRadio

    According to Statista.com, Apple Music is the most popular streaming platform with 49.5 million users on the platform every month. As a close second place, Spotify has roughly 47.7 million users each month.

    The same report noted that Pandora brings in an impressive 35.8 million users, while SoundCloud is a close fourth with 34.2 million monthly users. What is notable here is that SoundCloud is one of the fastest-growing platforms, doubling the number of monthly users from previous years.

    Whereas Apple, Spotify, Pandora and SoundCloud are used exclusively for audio streaming, YouTube is extremely popular for streaming music videos, songs, podcasts, and more. Amazingly, YouTube can draw as many as 2 billion monthly users listening to music, watching TV, or going down rabbit holes watching video after video on obscure subjects.

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    Are Nfts Changing The Music Industry

    Non-Fungible Tokens, short NFT, seem to be all anyone ever talks about at the moment from the art scene to the music industry. iGroove Magazine has closely monitored this trend, but wanted to observe its development first instead of jumping on the bandwagon right away. Since the hype seems to persist, we show you in this posts what NFTs mean to musicians. We will start off by explaining the basics. But if you already have a good grasp on the subject, you can just skip the first part and continue reading below.

    Pandora Continues To Struggle

    Back in 2018, despite having the second-highest amount of total users in the US, Pandora paid artists $0.0011 per play. By 2019, the digital radio service slightly increased that rate to $0.00134. The company has now settled at paying artists $0.00133 on Pandora Premium. Artists will now need 1,106,767 total plays on Pandora Premium just to earn $1,472.

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    New Kids On The Block

    Social media has long since outgrown its fad stage and is now a common digital thread connecting people across the world. While Facebook rapidly jumped into the top 20 by 2007, other social media infused brands took longer to grow into internet giants.

    By 2018, Twitter, Snapchat, and Facebooks umbrella of platforms were all in the top 20, and you can see a more detailed and up-to-date breakdown of the social media universe here.

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