Streaming platforms like Spotify have revolutionized the way we consume music, making millions of songs instantly available with the touch of a button. This has also dramatically changed the way that artists are financially rewarded for their work.
How much does Spotify pay for 1 million streams?
On average, an artist can expect to make $4,000 for every one million streams they receive on Spotify. This amount could reach as high as $8,000, or drop to $1,000 depending on certain factors such as the location of the listeners, and their subscription details.
The amount of money that Spotify and other popular streaming platforms such as Apple Music and YouTube Music pay their artists per stream is a topic that divides opinion.
Some argue that the likes of Spotify should increase artist pay dramatically, while others make the point that the playing field has been evened compared to previous decades when only artists with record deals could make a share of the money.
How Much Does Spotify Pay for 1 Million Streams?
The amount that Spotify pays its artists for 1 million streams differs depending on a variety of factors. The amount could be anything from $1,000 to $8,000, which is a considerable difference. On average, the artist should receive around $4,00 from Spotify after rewatching 1 million streams.
Figuring out exactly how much you will be paid for 1 million streams on Spotify is impossible. This is because specific variables impact how much you receive for one stream.
Firstly, it’s important to understand how Spotify decides how much the artists get paid. Spotify is a “pro-rata” platform, which simply means that the amount of money paid to artists is dependent on the following variables:
- The total revenue from Spotify streams
- The pre-agreed total payout from the revenue
- How many streams the platform receives
- How many streams the individual artist receives on the platform
This means that rather than there being a set-in-stone amount that each artist receives from 1 million streams, the amount changes depending on the categories that the individual streams are placed in.
For example, a stream from a certain country may be worth more or less money than another. Also, a stream from a subscriber to one of Spotify’s paid subscriptions, like Spotify Premium, will be worth more than one from a user of the basic free version.
Without knowing the details of the demographics of an artist’s streams on Spotify, it’s impossible to accurately predict how much they would earn from 1 million streams. We can, however, estimate the range that the amount will be in, which is where the $1,000 to $8,000 prediction comes from.
Is There a Spotify Stream Pay Calculator?
There are many useful calculator tools available online to get an idea of how much you can expect to earn from certain numbers of streams on Spotify and other popular streaming platforms.
As I mentioned earlier, this number may not be accurate because of Spotify’s pro-rate business model, which many artists have been critical of in the past.
Although there is no official streaming pay calculator from Spotify, there are several reputable options out there that you can use. This is one of the most popular options available.
You can type in the number of streams that your music has had on Spotify, or predict how many you will receive. The calculator will then future out the average amount that an artist is likely to be paid for that number of streams.
It’s also worth typing in the number of streams you have on other streaming platforms, such as Apple Music, Tidal, YouTube Music, and Amazon Music. If you’re active on all of these platforms, you can increase the amount that you can be paid from your music streams considerably.
Artists that establish a large fanbase and have a consistent number of monthly listeners on Spotify can earn money to support their work, but due to the unreliability of the payment amounts it’s a good idea to combine this income stream will selling merchandise or performing live.
Check out this YouTube video that shows how to sell your music on Spotify.
How Does Spotify Pay Artists?
Spotify doesn’t pay an artist directly, but rather pays the distributor with whom the artist released their music. The distributor then takes their cut, if this is part of the agreement, and the rest is paid to the artist.
Artists can’t get their music on Spotify without using a distributor or record label of some sort. Companies like DistroKid or TuneCore are amongst the most popular distributors for unsigned or independent artists.
Some distributors may pay the artist their share of their royalties every month, while others may do so quarterly or annually. This will be established in the agreement that the artist signs when they first join with the distributor.
If you haven’t yet chosen a distributor to release your music with, I’d highly recommend reading all of the information and reviews you can find on each option. There are some great distributors out there for artists to choose from, but there will certainly be some that better suit your requirements.
Here’s a breakdown of some of the most popular distributors and what they offer artists:
| Distributor | Pricing | Commission | Notable Features |
| Distro Kid | $20 per year | None | Unlimited uploads |
| Tune Core | $30 for the first year, $50 after | None | Excellent analytic reports |
| CD Baby | $19 per year | None | |
| Ditto | $5 per single and $20 per album | 9% commission | Excellent analytic reports |
| AWAL | None (Must be accepted to become a member) | 15% | Excellent analytic reports |
As you can see, there are some significant differences in the pricing and commission rates of the different distributors. It’s also worth looking into the amount of time it takes for your music to be uploaded, and how often you will be paid royalties from streaming platforms.
You can always change the distributor that you work with once your membership has expired if you feel that another would suit you better than the one you chose originally.
How Much Does Tidal Pay for 1 Million Streams?
Tidal may not be as popular as Spotify or Apple Music, but it is the streaming platform that pays its artists the most.
Tidal pays, on average, $0.013 per stream, which means that for every 1 million streams, the artists could receive $13,000. This is considerably more than the amount the artist will earn from Spotify for the same number of streams.
There’s a strong argument food Tidal is the most artist-focused streaming platform, which makes sense as influential rapper Jay-Z had a prominent role in shaping it. One of the key selling points for Tidal is that it has exclusive rights to a lot of content that other major streaming platforms don’t offer.
Tidal’s commitment to ensuring that artists get a fairer financial reward for the streams their music receives has been commended by many in the industry, Unlike Spotify, which pays 70% of its revenue to artists, Tidal pays them 100%.
The future of artists on Tidal also looks promising.
The platform is set to introduce services that will allow artists to sell merchandise, tickets to shows, and NFTS to maximize their income.
How to Grow on Spotify
For the modern artist, being active online is arguably the most integral aspect of growth. There is a variety of social media platforms out there that can be used to grow your audience, and this will in turn help you to grow on Spotify.
Platforms like YouTube, Instagram, and TikTok are great for sharing your music through videos. If your content on these platforms gets a lot of views, you can then redirect the viewers to your Spotify page and build your audience that way.
Another way to grow on Spotify is by being included in playlists. Spotify is considered the king of music playlists, and there are thousands to submit your music to, which can help you gain exposure to a wider audience.
The key to building your audience on Spotify is by using all of the social media platforms available to artists to funnel new listeners into your Spotify page so that they can enjoy your music.
Related Questions
Is Spotify for Artists free?
Spotify for Artists is a specialized profile that allows artists to claim their music, access analytics, and view other information about their music. Is it completely free, and is very easy to sign up to.
Can two people share a Spotify account?
Spotify announced in 2020 that it would be creating a new membership, called Spotify Premium Duo. This subscription allows two people who live in the same household to have Premium accounts for $12.99 per month.
Does Spotify charge artists for uploading music?
Artists don’t pay any fees to Spotify for uploading their music, but they may have to pay their distribution company. In some cases, the distribution company will take a commission from the artists’ royalties instead.
