This article will reveal to musicians how musicians can make money from music streaming.


In 2018, the global music market was said to reached it’s fourth year of growth.

It is estimated that over $19 billion dollars was generated in revenue. And music streaming alone accounted for half of that amount, overseeing almost 255 million paid users worldwide.

What Is Music Streaming?

Music streaming is the means by which internet users listen to millions of music, via a web or mobile app, without having to download and store them as files in their media storage.

History Of Music Streaming.

It all began in 2001, when peer to peer file sharing system, Napster, was created.

And in 2006, 2 Swedish gentlemen, Daniel EK and Martin Lotentzonz founded Spotify.

Consequently, today about 68% of people consuming music on the internet, are using one streaming service or another.

How Streaming Platforms Make Their Money.

Before you ever understand how musicians make money from music streaming, you must first of all understand how the platforms who offer streaming services make money.

Because, it is that money they use to pay their artiste.

Currently, there are more than 150 streaming platforms on the web. And they all have a wide range of different features.

Apple iTunes and Spotify takes the lead. And below are the two known ways they use to generate their revenues.

1. Paid Subscriptions.

Users have a wide variety of subscriptions ranging from monthly to yearly basis.

Though most of these platforms offer free usage, the free users are combatted with Ads, which are intended to drive them towards upgrading their free packages to a premium one.

2. Adverts.

Ads is a short word for AdSense. Advertisers in a bid to get exposure, pay lots of money to this streaming platforms who plays these Ads every now and then to their teeming users, especially the free ones.

Playlists on streaming stores are also paid adverts.

How Musicians Make Money From Music Streaming.

Both Spotify and Apple Music claims that they use 70% of the revenue from paid subscriptions and adverts, to pay record labels and independent artiste, whose music are being streamed on their platforms.

They make payment based on the total number of streams each artiste is getting using a formula they call Pro-Rata model.

For instance, if $1 million is generated in revenue, and a particular artiste account for 1% of all the streams, then he or she is going to receive $100,000 in royalties.

But most artiste are not conversant with this formula.

Thus, they Vogue for a fairer and more User-Centric model, that will allow artiste receive payment; based on which artiste each user is using their subscription fee to listen to the most.

Some upcoming platforms are buying into the latter formula, and this might pressurize the bigger platforms to follow suite.

In other words, artiste are trying to pressurize streaming platforms into imitating features; that will have them being paid without much algorithms.

For instance, they want artiste to receive payment once the song ia being listened to by a subscriber for 30 seconds.

This technique therefore, makes more musician begining their songs with a chorus; intended to grab a listeners attention.

How To Get Your Music On Streaming Platforms.

Spotify alone estimates that over 40,000 tracks are uploaded to their platforms every single day.

And over 4 million tracks have not been streamed, even for once, ever since they were uploaded to their platforms.

Therefore, getting your music into streaming platforms will never be worth it if you’re not getting the streams that will generate the money.

And because of this, we have over 20 lenghty mp3 lessons on our music advisory website, that will take you through the step by step process of getting your music to digital stores. And above all, how to get the streams that will help you make so much money from your music.

Follow this link to learn more and subscribe to our music advisory website, and gain immediate access to these mp3 lessons.

Once you are done subscribing, we will then help you do all those things, in case you lack the chance to study and practice those lessons.

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Last modified: February 20, 2022



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