Music Industry Revenue Streams: The Advent of Spotify and Music Streaming Services | Berklee Online

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In this video, Berklee Online instructor John Kellogg discusses the business model and growth of Spotify. He explains recent developments including renegotiation of Spotify’s agreements with record labels regarding their share in streaming revenue. He also discusses the concept of making deals directly with independent artists. As streaming increasingly becomes the standard for music consumption and the independent route increasingly becomes viable for artists, Spotify will remain a fascinating and important subject in the music business.
About John Kellogg:
John Kellogg is an entertainment attorney, who has represented some of the biggest names in R&B, including the O’Jays, Levert, members of Bad Boy Records, and more. He is also the Program Director for Berklee Online’s Music Business master’s program, for which he authored the Music Business Revenue Streams course. He’s a former Chair of the Music Business department at Berklee College of Music and a former vocalist for Cameo.
About Berklee Online:
Berklee Online is the continuing education division of Berklee College of Music, delivering online access to Berklee's acclaimed curriculum from anywhere in the world, offering online courses, certificate programs, and degree programs. Contact an Academic Advisor today:
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Music Business Revenue Streams | 360° Deal | 360-Degree Deal | Berklee | Berklee Online | Music Business | John Kellogg | Cameo | Robbie Williams | The O’Jays | Levert | Bad Boy Records | Spotify | Streaming | Business Models | Major Record Labels | Independent Record Labels | Independent Artists | Chance the Rapper

[@SolarHeavy]

Being 100% independent with a verified spotify artist page has paid my rent for years now. It's the future of music.

[@tesarxct]

Even still???

[@seand67]

I still purchase physical forms of music. No streaming for me. Streaming is nothing but renting music, whereas I own my music and still support the artists!

[@musicvibes6104]

You are one of the few

[@beau9956]

I used to run a panel shop (mostly working with smash repair, insurance work, some private and custom work as well) and I ran that for 6 years, very successfully while always aiming to run at 30% profit. If any business is running at 30% profit, they are doing pretty damn well.

[@hedgefundguy]

The 30% is only gross profit.

[@Hassan_Omer]

I think sreaming services should only be allowed to run advertisements or previews of the artists tracks and link these tracks to artists personal websites where the user can go and buy the song. If Streaming services only exist to do that this mean the artist will benefit a lot more than what they are getting right now. The streaming services will get paid for running those advertisements or releasing an exclusive track.
Artists will need their own capable e-commerce website which is not difficult to make these days.
But i think it's also depends on the mindset of the artists, major of us want to reach millions of people for that we go to streaming services even knowing that their payment model is not justified, this approach strengthens these businesses who take advantage of artists.

[@omnijack]

Always great to learn from John Kellogg. Be sure to find his talk on "You have to Work It to Make It"

[@andrehawkins4245]

U have to sell your soul to make it..really sell your soul to the devil or u want make big money

[@kerrif6414]

Forgive me if you’ve covered this elsewhere but I still don’t understand whether/how the artists are making more or less money with streaming? It would seem they are getting the shortest end of this stick unless they are going direct and then still Spotify has most the leverage because of its growing subscriber base.

[@ChekuL8er]

To me.. fuck spotify. Less than $2.50 for 284 streams. How does that sound to you?

[@sereroserera367]

Indie artists make more money no matter what because they pretty much forgo the label's cut.

[@bobdrums]

Interesting thoughts! I'd like to know in this world of streaming services, which pays the artist best? With the new Apple One streaming bundle it makes financial sense for myself to pay for that but at the same time as a musician I want to use the streaming service that best benefits their artists.

[@estudioarparota]

back to the "single" hits era

[@skythemusic]

Thanks.

[@alliancequatre3484]

If i download a song on any blogging website and stream it with Spotify or Apple music streaming application, will it count for royality ? Please

[@maeo1630]

Hello what kind of marketing strategy could a singer do please? Thanks

[@mechajaraxxus3510]

if you want to hear him breathe, press 2 or 5

[@rabissenseicomprende7994]

Interesting stuff

[@Kinglouikey]

What is the best distribution service

[@Berklee_Online]

CD baby is great!

[@michaeljoseph258]

I enjoy Spotify

[@rabissenseicomprende7994]

Tech n9ne