This Label Earns Almost 80% Of Revenue From Spotify - hypebot

« Successfully Crowdfunding Classical Music | Main | Denial Of A Digital Lifestyle: Living The Life Of An Ostrich (With Your Head In The Sand) »

Comments

Feed You can follow this conversation by subscribing to the comment feed for this post.

Teardropcity

What "major musical style that traversed the world" did England invent?

Nelson

80 percent of $0.00340000 is still mico pennies.

A Facebook User

"According to Swedish pop label Hybris, over the course of the last six months – the same six months for which many recording artists aren’t seeing royalties yet – Spotify’s current payouts to the label for a 2005 hit single have eclipsed what it made selling the song on CD, back when it was a top ten radio hit."

What is the correlation between CD sales and Singles Sales?

Why are you going back to 2005?

"The label’s revenue per play from Spotify has tripled in the past year."

What are those numbers?

Eliot, the number we are really missing is in the years before Spotify what was the gross revenue for music sales.

In other words does Spotify now have 80% of a $20 million dollar industry, but before they existed it was a $50 million dollar industry. in other words have they brought value to the business or merely decimated revenue to gain market share?

Without that information, your entire article is worthless. So go home, do your homework and let us know what you find out.

Pete

what does he make????? seriously, if you want to have any credibility, you should tell us some figures like this.

fuck spotify. and fuck this website for obsessing about it at the expense of real progress in the industry.

Chris Duncan

Please read this article I wrote a few months ago, which contains figures from the label spoken about in this blog post. It may surprise you.

http://www.hypebot.com/hypebot/2012/04/indie-artist-makes-a-killing-from-streaming-yep-you-heard-right.html

PS. The Swedish music business is growing.

Spotidj

Chris, your article says $20,000 but it is even better. I have found the original Börsen article. The revenue in that month was 200,000 Swedish kronor = 28,910 U.S. dollars!!

daznez

@ TearDropCity - are you fucking mad?
The Beatles/ Stones/ Who - invented guitar pop
That should be enough,
but i'll also add Punk,
and Acid House/ Dance/ Drum and Bass/ Dubstep etc.

And all art is derivative of something else, so yes they were all influenced from somewhere else too.

Tit.

Kerrymuzzey

I think this sort of article is a bit misleading in the way the language often used in politics is misleading. "Label earns 80% of its revenue from Spotify" doesn't mean anything really, unless you say what its annual revenue is. If it's an indie, maybe the guy does it on the side and makes $5k/year from it, so 80% of that $5k is what comes from Spotify. The headline alone, not to mention the article itself, implies that there is huge money being made here. This article could be made better by wrapping it in the proper context: how much does this label make annually, how much of that comes from sales and how much of that comes from Spotify streaming revenue.

Clyde Smith

Besides the fact that Eliot will probably never even see these comments, the thing everybody including Eliot is missing is that the situation in Sweden related to Spotify is unlike any other nation in the world and is unlikely to ever be like any other nation in the world:

Look at this article from last fall which is pulling info bites from a survey done in Sweden:

http://paidcontent.org/2011/11/17/419-big-in-sweden-spotify-crazy-youngsters-are-bellwether-for-music-biz/

“Amongst those aged 16 to 25 years, almost 9 out of 10 (85%) are on Spotify and half (55%) listen daily.”

"In Sweden, Spotify usage is even running ahead of use of community sites, IM, blog reading and game playing."

This may be the future of streaming music but I don't think Spotify will have the worldwide dominance it has in Sweden.

And, yeah, I'd like all the other stats you guys ask for but you know what the other problem is, in a blogging context nobody makes enough money to do all the work you want them to do.

The people that have all the stats you want are mostly consulting big corporations and companies hoping to be big corporations. Or you have to pay hundreds of dollars for the research reports.

And we all know that people commenting on blogs aren't spending money on research. The people that spend that money don't comment on blogs unless they're defending their own company or trying to build their own consulting brand.

~end of rant~

Spotidj

Here in The Netherlands Spotify has 1.6 million users. That's 10 % of the population. It took 2 years to reach this market share.

We may not reach the same percentages as Sweden, but streaming is still growing fast. We are getting close. iTunes sales versus streams are now 1 : 200 a business insider told me.

Robbie Fields

My last Spotify accounting for NL shows net income of $ 0.29, so I think "free" is still triumphant in your country.

As my label has not even seen a Spotify accounting for the last 3 accounting cycles, I'd say there's trouble brewing between Spotify and certain aggregators.

Even the notoriously under-reporting YouTube managed to best Spotify by 50% in the USA, looking at their respective last months of reporting.

Spotidj

Could be, but my aggregator Zimbalam pays the same rate regardless if it is a free or paid user. $0.005 at the time.

Which aggregator do you use?

The 1 iTunes sale : 200 Spotify streams is for Top50 music BTW. My source is responsible for the top lists.

The comments to this entry are closed.






SEARCH HYPEBOT

Musician & Music Industry Resources