Want to know How Much Spotify Pay Per Stream 2022, Spotify is certainly considered one of the most streamed and famous music sites in the world today. As of 2020 alone, the platform counted over 24 billion of revenues that have been paid to its content creators (rights holders) with more than 366 million users.
Spotify is a streaming platform that hosts hundreds of thousands of songs, podcasts, mixtapes, and many more. It has enabled many artists, producers as well as songwriters to cash in from their creativity.
With the advent of “Spotify For Artist”, this option has been given Creators the ability to pitch their songs for playlisting, the capacity to edit your Spotify profile photo in addition to the biography and cover art on their Spotify profile, the ability to sell your event tickets and also Spotify tips, stats to keep your music journey moving.
Here are few questions that many do keep asking:
- How much does Spotify pay for a stream?
- How much does Spotify pay for 1,000 streams?
- How much does Spotify pay for 100,000 streams?
- How much does Spotify pay for one million streams?
Why Choose Spotify
Today, streaming has become one of the biggest sources of revenue to many artists as well as the music industry, many artists still doubt that they can cash out from their streams. Well, if you haven’t gotten your music to Spotify yet you might have been missing out
Right now, Spotify is improving its service, setting to cover more territories, and ultimately, attracting more listeners and advertisers. Streaming has now covered 50% of revenue generation in the music industry today, so it’s important to know how much you can earn from your streams.
Spotify is one of the platforms that is growing revenue fast, as, In 2019, Spotify accounted for about 20% of all recorded music revenue, as less than 15% in 2017.
Well, many still keep asking how much Spotify always pays for every stream to an artist when his or her song is streamed, on a search you will possibly come across many different articles displaying figures of how much Spotify pays per stream.
More About Spotify
In reality, Spotify does not have a set down figure on how much Spotify pays per stream.
On Spotify, artists’ royalties are calculated based on many factors, the monthly total revenues the platform generated from advertisement and subscriptions, the total number of streams as well as the territory the artist is based.
The platform uses these three things to be able to strike out how much a Right holder should be earning per stream on that particular month.
But remember revenue and streams may increase or decreases monthly which causes the platform not to have a fixed paid value per stream on Spotify.
From my research, consultations, and as a marketer over the years I got to understand better how revenues are shared on Spotify and beyond, so, in this article, I’m going to make it simple and clear.
So, let’s Dive in:
How much does Spotify pay per stream?
Well, going more into how much Spotify pays per stream, one should expect to earn between $0.004 – $0.0054 per stream.
Wondering why this figure? Spotify has been paying artists on this margin for over a year now, but averagely set $0.003 as the average pool per stream.
After Spotify calculate their monthly subscriptions and advertisement revenue as well as the total number of streams generated on that given month, this will finally determine the pay per stream, they simply multiplied it by the total number of streams you got in that particular month.
How much does Spotify pay for 1,000 streams?
Guessing what to earn from your 1,000 Spotify streams? Well, for every 1,000 streams one should expect to earn between $4 – $5.4 with an average pool of $3.
This calculation is taken based on the payment made over the period, so it may change with time. The Spotify platform does not have much difference from the music streaming sites such as: Apple Music, Deezer, Audiomack, Boomplay, etc.
They all do things similar just as they all build to generate revenue for rights holders and help showcase their talent to the world.
How much does Spotify pay for 100,000 streams?
For every 100,000 streams, a right holder is expected to be earning around $400 – $540 with an average earning pool of $300. Do remember Spotify does not have pay-per-stream percent so payment figures might not be consistent.
Spotify is one of the places that develop and generates revenue for artists such that growth on Spotify is faster and easier, even getting discovered simpler than other services.
How much does Spotify pay for 1,000,000 streams?
To hit a million milestone has never been easy as you think, it’s the beginning to success. A right holder will earn between $4,000 – $5,400 for every million streams on Spotify.
Well, only a few musicians achieved this figure those with large followers as well as getting featured on a playlist makes it easy to claim such numbers. Only 870 Artists earned over $1,000,000 in 2020.
On the other hand, is a bit easier in getting streams higher than other platforms due to its large number of users giving your music the chance to meet a wide range of listeners.
Source: Spotify
The Streaming Numbers in Context section of the site focuses on global figures for the sake of simplicity, but one useful indicator for how local stream counts stack up is to check out your local Spotify Chart.
You’ll find that the number of streams it takes to chart in different territories around the world can vary quite a bit. For example, what it takes to chart in Malaysia and Bulgaria can look pretty different from Australia and Mexico.
Also, through Spotify for Artists, artists can view the geographic breakdown of their listeners (by city and by country) in the Audience tab of their dashboard.
Spotify Official Website
There are two sources Spotify generates revenues from which are, from Spotify Premium subscribers as well as from advertisement on Spotify’s free tier. Two-third of this money is paid out to rights holders. As of 2020, alone Spotify pays $5 billion to its right holders.
A rights holder’s earnings are calculated based on their streams here on Spotify. This money is not divied up based on a fixed amount per stream, because Premium subscribers do not pay per stream, they pay a subscription fee to gain access.
Why The Equal Streams But Different Earnings
Calculation of Spotify streaming royalty generation is a bit complicated because of various factors. Just because listeners does not pay per stream, so it’s hard to factor out the exact figure of per stream rate
For example, if two artists with exact same number of streams will show different earnings this always happens because of many factors, such as the tier most of the streams came from (free or subscription). The country the streams came from (different subscription fees), and the total number of streams in a given market.
How Many Spotify Streams Equal $100?
100 x $0.004 = 25,000 Streams
You will need 25,000 to 35,000 streams to earn $100
How Many Spotify Streams Equal $1,000?
Well, to earn $1,000 thinking about how many streams you will need on Spotify?
Here is some simple math:
1,000 x $0.004 = 250,000 streams
One will need about 250,000 to 350,000 streams to earn $1,000
Spotify History Line
You need to get 250,000 streams on Spotify in order to make a $1,000.
184,500 Artists earned over $1,000 revenue in 2020
13,400 Artists earned over $50,000 revenue in 2020
7,800 Artists earned over $100,000 revenue in 2020
870 Artists earned over $1,000,000 revenue in 2020
207,000 songs got more than a million streams
Over 100 songs hits a Billion streams
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