DIY Artists: How to Make Money Making Music

The Ultimate Revenue Checklist for Musicians

By Ryan DiLello of DIY Musician Blog

Looking for ways to earn more money from your music? The most successful artists manage multiple revenue streams to get the most out of their work.

In this article, we’ll provide you with a comprehensive revenue checklist — from ensuring you’re capturing all the royalties you’re owed to effectively monetizing your fan base.

KEY TAKEAWAYS

The most successful artists create multiple revenue streams: From streaming to live performance and fan clubs, it takes a dynamic mix.
Collect every royalty you’re owed: One of the main ways artists lose out on money is not collecting all the royalties they’re generating. Set up the services and registrations needed to collect streaming, mechanical, performance, digital performance, and micro-sync royalties.
Develop a unique revenue strategy: The tips below lay out key revenue streams to consider, but it’s up to you to take stock of your fan base, analyze your activity as an artist, and strategize to meet your goals and engage your fans.

1. Release your music

First, release your music to over 150 platforms worldwide with CD Baby. That will make your music available on all major streaming platforms like Spotify and Apple Music — as well as social media platforms that drive discovery like Instagram and TikTok.

Then follow our guide to reaching 1,000 streams on Spotify to start earning from your music.

Checklist:

Release your music to over 150 platforms with CD Baby
Engage your audience with a comprehensive release campaign
Build to 1,000 streams to unlock monetization on Spotify

2. Collect all the royalties you’re owed

As fans begin streaming your music, you’ll begin to generate royalties — compensatory payments you’re owed for the use of your music. There are six main types of royalties and most artists only collect one! Make sure you’re collecting all six.

Checklist:

Opt into CD Baby’s Social Video Monetization service to collect micro-sync royalties from social platforms like Instagram, TikTok, and YouTube
Add CDB Boost to your release to collect mechanical royalties from The Mechanical Licensing Collective and digital performance royalties from SoundExchange
Register with a Performing Rights Organization (ASCAP, BMI, SESAC) to collect performance royalties

3. Sell physical media and merchandise to your fans

Give your fans a way to support you beyond the streams by offering your releases in physical formats. According to the latest RIAA report, physical media saw significant growth year-over-year with vinyl sales up 18% and CD’s up nearly 60%. Tapes and CDs are the cheapest options, while vinyl provides a premium experience.

Layer in additional merch items like stickers, t-shirts, and hats to round out your inventory. Then, learn how to create a sales strategy with our guide to merch.

Checklist:

Design and order physical media and merch in support of your latest release
Promote your merch/media across channels with high quality imagery
Create an email sign-up list to capture emails from online orders and in-person
Add your merch directly or via link to your artist profiles across social media and streaming platforms (where possible)

+Read more: "The Royalty Registration Checklist"

4. Play live shows

Live performances are both an excellent revenue stream and powerful tool for fan acquisition. They also give you opportunities to connect with other artists and their audiences. The key is booking the right shows at the right time.

Think of live shows in three main categories: headlining shows, opening or support slots, and guaranteed-rate shows:

Headlining shows have the greatest earning potential — and you can leverage strong ticket sales for new opportunities — but they also require the most work and require spacing out.

Opening or support slots put you in front of another artist’s audience, making them great opportunities for exposure and networking without carrying the full promotional burden — but they typically pay less.

Guaranteed-rate shows pay you a set fee regardless of ticket sales, but can be less targeted for fan acquisition (i.e. many guaranteed-rate shows are background music gigs or college shows).

If you aren’t performing live yet, follow our guide to booking your first show.

Checklist:

Evaluate your schedule for the right mix of headline, support, and guaranteed shows — then book accordingly
Always capture content from shows to use to promote the next one. Hire a photographer/videographer or bring your own camera and lend it to a friend
Document performance from every show to share with promoters and booking agents

5. Build recurring revenue from a fan club

It’s a misconception that only major artists can earn revenue from “superfans.” Even if you’re starting out, watch for signs that you’ve reached the critical mass or momentum needed to support a small fan club.

That might mean consistently strong engagement on social media, growing turnout to shows, organic press coverage, and more. Then, poll your fans (over email, social media, or in person) about what sort of fan club structure and offers they might be interested in.

You can further gauge interest by offering one-off bonus content like secret tracks and live recordings, exclusive merch access, ticket presales, and more.

Checklist:

Start building an email list as soon as possible to reach fans directly
Look for signs of critical mass/momentum such as repeat buyers, strong engagement on social media, or consistent demand for a core audience
Identify what your most engaged fans would pay to access
Experiment with a few initial paid offerings (exclusive merch, secret track, small shows, etc.)

Start earning more from your music

Now that you’ve learned the essential revenue streams to strategize around, you’re ready to plan your next moves. But you don’t need to tackle everything at once.

Start by making sure your music is distributed on the right platforms and you’re collecting the royalties you’re owed with CD Baby. Sign up for a free account today and pay once per release to get your music on over 150 platforms worldwide. Get Started today.