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Hey, have you ever wondered how much Spotify pays artists per stream
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The answer might surprise you. Or, you know what? Probably not. You probably kind of already have a good idea of how much Spotify pays artists
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which is not very much. But in this video, we're going to dive into the specifics of what exactly Spotify pays you
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and what are some things you can do to maximize how much you get paid per stream
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First off, hi, I'm Regan Ram with Orpheus Audio Academy. helping you make better music and grow your fan base online
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So to understand how much you get paid per stream, we first have to understand how Spotify pays out artist period
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because there's not a set answer. It fluctuates per artist and how many streams they're getting
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And this is because Spotify pays out artists from a general pie of available funds to pay artists
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So Spotify makes money from subscriptions and from ads. So the more people that sign up for Spotify premium and pay for Spotify premium
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the more companies and businesses that pay Spotify in order to put ads on their platform
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then the more money that Spotify has. So some of that has to go to overhead costs
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but the rest is then available to distribute to artists. So then what percentage of that pie do you get
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Well, the percentage that you get of that pie depends on how many of the available streams
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in a certain period. for example, like a month that you own
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So for example, if there are a million streams in a month, a million available streams in a month
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and you had 100,000 streams, 100,000 of that million streams, then you have 10% of the streams
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That means you would get 10% of the pie. Now, it's not quite that straightforward
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because it also depends on where the streams are coming from in the world
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So different countries, streams are worth more than others. And there's a lot of other little factors that go into it
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But bottom line, if you aren't getting very many streams, then you're going to get a smaller portion of the pie and your payout for stream is going to be lower
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But if you're getting a big portion of the streams, then you're going to be getting paid a lot more and have a higher payout per stream
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So that said, if we average it out, the average artist gets paid between 0.003 cents and 0.005 cents per stream
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So in common language that basically a third of a penny to half a penny per stream on average for artists Now I looked at my personal data see how this works out for me
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And I've gotten paid about $28.41 and from Spotify all time. And I've also gotten about 9,000 streams from Spotify
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So doing some simple math there, I'm getting paid about 0.0031 cents per stream
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So basically less than a third of a penny per stream. That's pretty tiny. Failure
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So I definitely need to get to work on growing my streams. And I found a really good strategy that actually works
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And I have basically no streams before I started doing this. But I've actually found a way to get my music on playlist so I can start increasing my streams
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I just haven't spent a lot of time actually working this strategy
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So that's something I'm hoping to do in the coming months. And we'll see how that goes
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And I'll be sharing my journey on this channel as well. But that's not what we're talking about in this video
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So let's quickly look at some real world numbers for how much money
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how many streams you need based on what your income goals are for Spotify
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So let's assume you're actively working Spotify. And it's a part of your regular strategies
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So you're gaining streams. You're actually growing your Spotify following. Then let's say, let's cut those numbers in half the average
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So right, so 0.003.05. Let's just go right in the middle and say you're getting 0.004 cents per share
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stream, then say if you wanted to earn a dollar from Spotify, then you need 250 streams
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Now, what if you wanted to earn $1,000? If you want to earn $1,000, that's then 250,000 streams
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And so that's kind of a good baseline date. You want to get, if you want to be making $1,000 a month from Spotify, then shoot for getting 250,000 streams a month
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And that might sound like a lot, but again, doing some simple math, what if you have 50, 50 songs on
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Spotify, each of them, you've gotten them on different playlists and they're all bringing in streams
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Well, if you have 50 songs, then you'd only need an extra 5,000 streams per month per song
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to get to that 250,000 mark where you're making $1,000 a month from Spotify, which isn't bad
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That's basically pretty close to minimum wage. Speaking of which, if you did want to make a minimum wage from Spotify, how many streams
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would you need to get a month? As of 2020 the federal minimum wage in the U is per hour If you working a full job then minimum wage comes out to be about a little over a year or a month So that means you would need roughly streams a month
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on Spotify to hit minimum wage. That's only slightly more than what we were talking about previously
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Now, I could go on and on about all the different kind of milestones you can hit, or you can just
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check out my free Spotify income calculator in the description below. This is a handy calculator
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where you can put in your streams and it will spit out different income numbers for you
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and how many streams you need to get in order to hit certain income goals. So how does Spotify stack
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up against other streaming platforms when it comes to how much you can make per stream? Well
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other streaming platforms like Napster, Title, Apple Music, Google Play, Music, Deezer, these all
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actually pay out more per stream. You might think maybe Spotify isn't worth it and you should be spending
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more of your time on these other streaming platforms. And maybe that's true. Maybe you should, you know
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put in some time on these other platforms. But something to keep in mind is that Spotify is the largest
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platform out there and it is great for discovery. So my approach to Spotify is not really looking at it as a
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means of making a full-time income. It's more of a means to creating fans and getting discovered
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Or in the marketing world, it would be called like lead generation. I definitely think it's still
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worth it to put the majority of your time into Spotify because that's where most people are
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And you can still make some money, especially if you're releasing frequent songs. So how can you make
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Spotify worth your time? Well, number one, I would say release frequently. So if you want to win at the
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streaming game, you've got to release a lot of music because, again, that really cuts down on the
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number of streams you need to get per song if you're releasing a lot of songs, right? People can only
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listen to a song so many times in a row before they get tired of it. So if you keep putting out new
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music, that's a way of kind of exponentially growing your stream. Now, second of all, you want to
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think of Spotify basically like a social media platform. So you want to be in your Spotify artists
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updating your profile frequently. So that could mean creating a playlist or adding to a playlist
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That could be updating your artist pick This is where you can feature a song or a playlist at the top of your profile for people to check out your fans and your listeners to check out Also just updating your pictures and updating your bio
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and also including something in your bio about how they can go and get free music from you
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or something that, where they can go to give you their email address. Because once you get
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these people on your email address, now you can contact them at any time. So if you're having a
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merch sale, you have now turned people, gotten people from Spotify into your ecosystem where you can
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promote new music to them. You can promote new merch to them or any sales you have going on. So again
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you're using Spotify as a lead generation platform that also pays you at the same time, which is really
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great. Now, a third thing you want to do to really maximize Spotify is to be actively working it
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And so that means reaching out to playlists and getting your music on more playlists so you can
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expand your reach, expand your followers, and just grow your stream account overall. Now, if you don't know
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there's three types of Spotify playlist, but only one of them can you actually directly influence
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whether or not you get your music onto that playlist, editorial playlist, kind of, but it's the
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user generator generated playlist that are the ones that you can actually actively seek out and get
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your music on. And I put together a free guide that walks you through how to do this, how you can
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identify user playlists and how you can actually get your music on these
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playlists to explode your streams and this is what I've been doing I've only gotten my
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music on I only I've been doing it for about a month and I've gotten my music on a couple
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of playlists and it's really grown my streams really quickly so if that's
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something that you're interested in you really want to grow your Spotify streams and I highly recommend you grab my free guide in the description below I will walk you
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through that process now if you found this video helpful feel free to drop a like
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and be sure to subscribe if you don't want to miss out and any new videos I release on this channel about how to grow your music fanbase
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Question of the video, what is your favorite streaming platform for growing your fan base
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Let me know in the comments below. Otherwise, have an awesome day and I'll see you in a future video
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Bye. All right, let's get to the recording now. I got to redo this because I'll record it earlier, but a video camera wasn't recording
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So now I've got to do it again now. Aluminium
