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Spotify Pay Per Stream Blog Cover Image

How Much Does Spotify Pay Per Stream? Is The Payout Fair?

audiosorcerer
|
August 14, 2022ย 
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Last Updated on May 24, 2023

Spotify is one of the most popular streaming services available today. It boasts over 422 million users, with over 182 million of those being paying subscribers. Spotify offers a variety of ways to listen to music, from its ad-supported free tier to its premium subscription. But how much does Spotify pay per stream?

The answer is not as simple as you might think. The amount that Spotify pays per stream varies from artist to artist and from song to song. In this blog post, we will explore how Spotify pays per stream and what factors into that payment.

What Is Spotify?

GIF of scrolling through a Spotify playlist.

Spotify is a music streaming service that gives you access to millions of songs and podcasts. You can listen to music for free with ads, or upgrade to Spotify Premium to listen ad-free and get other benefits like higher quality audio and offline listening. You can sign up for Spotify through their website or mobile app.

Spotify has a huge library of content, including well-known artists as well as lesser-known ones. You can create your own playlists or listen from a large selection of pre-made ones. If you want to know what other users are listening to you can simply follow them to find out. If you have a Premium account, you can listen to music offline and download it to your device so you can listen even if you're not connected to the internet.

Out of all the music streaming services in existence today, Spotify is by far the largest and most powerful.

What Is Spotify Free?

Spotify Free, as in the title, offers users a free, ad-supported experience. With Spotify Free, users can listen to any song they want, as long as they don't mind a few ads. Users can also skip ads if they want, but they are limited to doing so six times per hour.

Spotify Free is a great way to enjoy music without having to pay for a subscription. It's also a good way to try out the Spotify service before committing to a paid subscription. If you're thinking about signing up for Spotify, we recommend starting with Spotify Free to see if it's the right fit for you.

What Is Spotify Premium?

Spotify Premium is a paid subscription service that gives users access to additional features not available to free users. These features include ad-free listening, high-quality audio, offline listening, and more. Spotify Premium costs $9.99 per month for an individual account or $14.99 per month for a family plan (up to 6 users).

So why pay for Spotify Premium? For many users, ad-free listening and high-quality audio are worth the monthly price. Plus, the ability to listen offline is a huge plus. If you're a big fan of music, Spotify Premium is definitely worth considering.

How Does Spotify Work?

Picture of a server diagram representing how Spotify servers music to its users.

The Spotify ecosystem works by streaming music from its servers to your device. It first compresses the music so it can be quickly transferred, then decompresses it on your device so you can hear it. This process happens in real-time, so you can start listening to a song almost immediately after you select it. Internet speed will play a role in how quickly this process happens, but the good news is that music doesn't take a lot of bandwidth to stream.

How Much Does Spotify Pay Per Stream?

Picture of several pennies representing how much Spotify pays per stream.

It's no secret that the music streaming industry is growing at a rapid pace. And as the industry continues to grow, so does the question of how much Spotify pays per stream.

Unfortunately, there is no one-size-fits-all answer to this question. The amount that Spotify pays per stream varies depending on a number of factors, including the country where the stream originated, the type of subscription the listener has, and the artist's royalty rate.

That said, we can give you a general idea of how much Spotify pays per stream by looking at the average royalty rates for different countries. For example, in the United States, the average royalty rate is $0.0040 per stream. This means that if 1,000 people in the US streamed a song, the artist would earn a total of $4.

Related Article: BMI Vs ASCAP | Who's The Best Performing Rights Organization?

Can Artists Make A Living Off Spotify?

Picture of a blue guitar case filled with money.

It's no secret that the music industry has been struggling in recent years. With the rise of digital streaming platforms like Spotify, many artists have found it difficult to make a living off their music. So can artists actually make a living off Spotify?

The short answer is: it depends. Spotify pays artists royalties based on the number of streams their songs get. So if an artist's songs are being streamed a lot, they can make a decent amount of money. However, if an artist's songs aren't getting streamed very often, they might not make much money at all.

It's also worth noting that not all artists are on Spotify. Some artists have chosen to boycott the platform because they don't believe it fairly compensates them for their work. So if you're an artist thinking about using Spotify to make money, it's important to do your research and make sure it's the right platform for you.

Do You Get Paid For Fake Spotify Streams?

No, you do not get paid for fake Spotify streams. Any streams that are generated by bots or other automated means are not counted towards artist payments. Spotify has a team of engineers that work to detect and remove fake streams from the system, so they will not impact your payments.

Is Streaming Your Own Music Illegal?

You might find it fascinating to know that it is actually illegal to stream your own music. It is essentially a form of fraud. Every time you stream your music you are generating royalties for yourself. It's unethical to stream your music on repeat to make money for yourself. But don't worry, if you listen to your music in moderation the cops aren't going to come knocking at your door.

Final Thoughts

So, how much does Spotify pay per stream? Well, as you have learned, there are several factors that go into deciding that. It depends on what country the listener is from, what plan they have, and so much more. Though we can only give you examples of what an artist might make, I think we can all agree the payout is super low. Unless you are generating millions to billions of streams, you can't survive completely from Spotify income as an artist.

As the times adapt so will the music industry and music artists. It's all about diversifying your income portfolio and Spotify is just one piece of the puzzle. There is a lot of money to be made out there and more opportunities will come in time.

If you found the information in this article helpful, please consider subscribing to our blog for more music industry tips, news, and advice. Now, go collect those royalties!

"Some of the links within this article are affiliate links. These links are from various companies such as Amazon. This means if you click on any of these links and purchase the item or service, I will receive an affiliate commission. This is at no cost to you and the money gets invested back into Audio Sorcerer LLC."

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