Let’s admit it that we all once wished to become a singer in our lives. It just feels great to see how the world enjoys dancing on the rhythms and finding themselves in the lyrics. Over time, Music has become a language for our soul, which also makes us listen to it more and more.
But have you ever thought about how much money your favorite artists make by becoming a part of your playlist on repeat? They win your heart and make millions with one single hit track.
Yes, that’s right. The music industry is expanding rapidly. With the invention of the digital world, it has made things easier for anyone now to show off their talent, record a track and release it online. If the world likes it, you are going to get famous and rich. If not then maybe try again without being disappointed.
A few years ago, musicians used to rely heavily on the contract they had with record labels, which still applies if the artist wants to give some rights to a third party studio. Now as the streaming sites are becoming popular, singers prefer to come on board as independent while they also write and compose the songs themselves.
The money game begins with apps like Spotify or Apple Music. These streaming platforms are consumer friendly. With minimal monthly subscription fees, they give you the opportunity to listen to whatever you want online. Buying a label, on the other hand, might feel good to a die-hard fan, but it’s just getting irrelevant.
So if an artist writes a hit song and it appears in the top playlists of these streaming platforms, the total amount that an artist makes depends on the duration of his dominance in the chart list and the number of streams a song garners.
On Spotify, a hit song gathers around 5 million plays while a blockbuster hit can go beyond 7 million. They pay around $0.006 to $0.0084 per stream to the holder of music rights, which when multiplied with the millions of plays can end up to $400,000 for a good song.
In a much recent example, Taylor Swift earned between $280,000 and $390,000 for her song “Shake It Off” that had 46.3 million streams reportedly. While another calculation for an average musician shows that 1 million plays on Spotify would make around $7,000 in total.
Moving on to Royalties, most of the musicians can only get a fee from radio stations if they have written the song themselves. In the US, the FM/AM broadcasters only pay royalties to the songwriters despite radio shows being considered as a public performance. Even artists like Britney Spears, Rihanna or Adele gets zero cents whenever you listen to their songs on the radio.
Songs like Poker Face or Rolling in The Deep have made $500,000 per year as royalty. But the good thing about royalty is that classic hits like All I Want For Christmas Is You by Mariah Carey still earns her 60 million dollars every year, mostly because of how it is still the best Christmas song out there.
The real pump, however, comes from performing live around the world as you not only enjoy the world singing with you but each second of the performance would fill your bank accounts more than your expectations. Depending upon your popularity, a good concert will bring 50k to 100k dollars for a single night and if your song is too popular across countries or states then performing it on a tour can bring as much as 5 million dollars easily.
Money automatically comes in once your face becomes a value for brands to consider as well. The world starts to pay you for coming to events and selling your merchandise, which is basically bonus cash for musicians. In fact, the wind of social media alone can support musicians for a lifetime.
In the end, it all comes down to how hard you work for that one song and make people fall in love with it. There are instances where songs got more popularity than the artists themselves so even if you are not famous, you have a chance for as long as you are talented.