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Before we get into that, let’s take a little walk down memory lane.
HISTORY
The year is 2006. The music industry is several years into the crippling
age of illegal downloading among fans online. Physical sales are
continuing to plummet, major labels are downsizing their budgets,
and music strategists are still scrambling to reconcile for years of
refusing to adapt to a total digital shift.
So now that you know that signing up with TuneCore is your one-way
ticket to getting all of your music on digital platforms, let’s break down
what you’re probably most concerned with: revenue.
DOWNLOADS
Downloaded files were the first format of digital music that fans could
purchase. They’re still very much available and help many artists pay
their rent each month. Each store that sells digital downloads has its
own pay-out to artists. For the sake of example, let’s take a look at
iTunes and U.S. dollars:
One digital single on iTunes = $0.99
Apple/iTunes receives = $0.29
Artist receives = $0.70
TuneCore receives = $0
In this example, in order to earn a profit, the store takes about 30%;
the artist earns about 70%; if the artist is distributing via TuneCore,
they keep that full 70% – some other digital distributors take a
commission, but you can read about our pricing here.
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STREAMS
If you’re less familiar with streaming, it essentially means listeners can
play your music from a digital library accessible at their fingertips
without having to actually download any files. Music streaming has
evolved and will likely continue to as its popularity soars, but in
general, you’re likely to encounter two different types of streaming
revenues:
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30/8/2020 Selling Your Music Online: How To Make Money From Your Music
WHY DISTRIBUTE?
It’s still totally valid for artists who are just starting out in their music
careers to say, “Well if there are free platforms available, why not just
focus on those and share those links to fans, bloggers, and others I’m
pitching my tunes to?”
The biggest reason you should be digitally distributing your music to
all major streaming platforms and digital stores: access. Withholding
music from listeners who prefer Spotify or Apple Music over
Soundcloud doesn’t stand to benefit independent artists who are
hoping to build their fan base. Whether it’s the user experience of the
app or just habit, music fans can be stubborn about how they choose
to consume – and with so many options available, why shouldn’t they
be? By choosing to make your releases available across the board,
you’re making it easier to show them off to a wider audience – whether
it’s promoting links online or bumping into a potential new fan in real
life.
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