In the past, it was quite easy to calculate how much you were making from a sale. It was pretty clear how much he would get per CD or vinyl record sold and, along with the downloads. It was predictable how much he would earn per song. But in the age of streaming, the whole story has gotten a lot more complicated. While there are various figures on the web for how much Spotify pays downstream, there is no set amount. I have collected and analyzed some data to give you a detailed view of how much does Spotify pay for 1 million streams.
Relating To How Much Does Spotify Pay for 1 Million Streams:
How much does Spotify pay for 1 million streams?
As mentioned, there is no single amount Spotify pays downstream, but countless different ones. This depends on many factors, but mainly on the country the broadcast is coming from. And whether the listener has a free or premium subscription.
If we compare 18 of the top 20 music markets in the world according to IFPI (China and South Korea are not on the list because Spotify is not available there), we see that the values vary a lot. The payment for one million streams varies between USD 850 in Argentina and USD 5,479 in Norway. On average, you get $ 3,222 per million streams across the top 18 music markets.
What causes fluctuations in streaming payments?
One of the most important factors is the price of the subscription. In India, for example, a subscription to Spotify Premium costs only a fraction of what you pay in Denmark. While a premium subscription in Denmark costs the equivalent of USD 15.65. A premium user in India only needs to pay USD 1.60 per month. Additionally, ad revenue varies between markets and of course varies from month to month in each individual market. At the same time, the number of premium subscriptions and the number of streams generated by listeners each month varies. In short, the numbers are constantly changing, as does the pay for artists.
This means that it depends not only on the changes in your personal broadcast numbers. But also on how the “market” changes in general. If the number of your streams decreases but the total number of streams drops evenly you still earn the same amount. Void win the same amount for 5,000 streams on PSP (Pay per Stream) of 0.001 and for a single stream on PSP of 5 USD.
How much does Spotify downstream pay?
Spotify retains 30% of all revenue generated. Of the remaining 70% some are paid for by songwriters and songwriters and the rest goes through a label or distribution to song rights holders.
From the remaining percentage calculated how many streams there were in total and how high the percentage is for each artist.
You see for example that you get almost nine times the amount paid for the same number of streams in Morocco, Tunisia, or Algeria for one million streams in Iceland. Assuming you had the same number of streams in each of the 79 countries, this would give you a PPS of 0.00203111. So for a million streams, you’d get 2,389.58 USD, which is roughly the same as Uruguay or Spain. Many European countries such as Italy, Greece, Portugal, the Czech Republic, Hungary or Poland are below this average, in some cases even significantly. But even in English-speaking countries the figures differ enormously. While you get $ 4,912 per million streams in the UK or even $ 4,977 in New Zealand, the figure is $ 3,964 in Australia, only about $ 3,525 in the US, and even $ 2,738 in Canada.
How was the article? Before you go, I hope that the above article how much does Spotify pay for 1 million streams will be helpful and informational for you. If you have experience with streaming music add your tips in the comments section.