Download

If your album or track is bought as a download, the audio files are transferred to the buyer’s device (e.g. mobile, tablet, computer). Songs can be consumed indefinitely. Artist and label receive a one-time payment for the download.

 

Streaming/Subscription

The consumer subscribes to a streaming platform (e.g. Spotify), pays a monthly fee and gains access to the music files on the platform. Artist and label receive a share of the platform’s earnings for each stream. Free of charge streaming platforms are financed via advertising.

 

How is the share of streaming revenues calculated?

Calculation of the share for artist and label vary considerably and depend on the streaming platform as well as customer behavior.

 

Example A:

• The streaming platform receives a monthly revenue of EUR 5,000.00
• During this month a total of 100,000 tracks were streamed
• 10 % of those streams originated from Rebeat, i.e. 10,000 streamed tracks
• Rebeat receives therefore 10% of the total revenue, i.e. EUR 500.00
  This amount is distributed amongst 10,000 streamed tracks
• Artist/Label receives therefore EUR 0.05 per stream

 

Example B:

• The streaming platform receives a monthly revenue of EUR 5,000.00
• During this month a total of 120,000 tracks were streamed
• 3 % of those streams originated from Rebeat, i.e. 3,600 streamed tracks
• Rebeat receives therefore 3% of the total revenue, i.e. EUR 150.00
  This amount is distributed amongst 3,600 streamed tracks

• Artist/Label receives therefore EUR 0.041 per stream

 

Example C:

• The streaming platform receives a monthly revenue of EUR 7,000.00
• During this month a total of 300,000 tracks were streamed
• 1 % of those streams originated from Rebeat, i.e. 3,000 streamed tracks
• Rebeat receives therefore 1% of the total revenue, i.e. EUR 70.00
  This amount is distributed amongst 3,000 streamed tracks
• Artist/Label receives therefore EUR 0.023 per stream

 

 

Related Topics

Accounting / Statements