The platform changed the way we listen to music and how creatives earn a living. But a burning question remains: how much do artists make on Spotify?

Let’s break down Spotify’s royalty system, learn how artists get paid, compare streaming alternatives, and see how Print on Demand fits into all this (hint: it can seriously help boost artists’ income). This guide will equip you with valuable insights to choose the perfect platform to showcase your music and beyond!

Spotify streams can greatly improve your music career

Spotify doesn’t sign royalty agreements directly with the artists but with their distributors or record labels, who often take a cut from the profit.

Whenever a song is streamed or performed, the copyright owner (often a composer, author, or artist) receives streaming royalties – fees paid throughout the copyright term, typically lasting 70 years.

The payment frequency also depends on the contract, although streaming payouts are usually distributed monthly. 

So, how does Spotify pay artists for their work? Spotify pays the rights-holders, and then the labels, distributors, or publishers (for songwriters) pay the artists accordingly. An independent artist must have a contract with a music distributor before signing up for Spotify for Artists. Subscription-based services like DistroKid, Ditto, and TuneCore allow almost anyone to stream their music on Spotify or other streaming platforms.

How much does Spotify pay per stream?

Spotify pays artists an estimated $0.003 to $0.005 per stream. The exact amount varies based on factors like the listener’s country, subscription tier (free or premium), and specific agreements between the artists and labels or distributors.

Since April 2024, Spotify only pays artists once they’ve reached at least 1,000 streams in the last 12 months. In other words, you can earn about $3,000 to $5,000 in royalties for one million streams.

Spotify uses a pro-rata payment model, distributing royalties to rights holders based on their share of total monthly streams. Artists get paid on Spotify according to their agreements with those rights holders.

Use an online streaming royalties calculator to estimate how much Spotify and Apple Music pay artists.

How much do artists make on Spotify?

Spotify uses a pro-rata model that pools all ad and subscription revenue for the month, keeps 30%, and distributes the remaining 70% to artists based on their share of total streams. 

Based on this and the estimated average per-stream payout, here’s how much Taylor Swift and other artists have made for lead and featured tracks: 

• Taylor Swift – 85+ billion lead streams – over $328 million
• Drake – 77+ billion lead streams – over $304 million
• Bad Bunny – 72+ billion lead streams – over $288 million
• The Weeknd – 58+ billion lead streams – over $230 million
• Ed Sheeran – 48+ billion lead streams – over $193 million

While Spotify revenue is directly tied to listens, success stories abound for lesser-known artists as well. In fact, according to Spotify’s insights, many artists who had an amazing year financially weren’t even that big. Like Ellie Goulding said, anything could happen (in the world of Spotify streams).

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Spotify streaming royalties 101

Types of royalties

There are two kinds of royalties on Spotify based on who receives them: 

• Recording royalties are usually paid to distributors or record labels when they’re the licensors or rights holders of the artists’ songs.
• Publishing royalties are for composers, paid to societies or publishers, who receive them from Spotify according to where the song is played.

How to calculate Spotify royalties

According to Spotify, its music streaming service pays rights-holders a net revenue from what’s earned through advertising and Spotify Premium listeners. 

This amount is calculated by deducting taxes, payment processing, billing fees, and sales commissions from the total earnings.

Spotify then divides the artist’s monthly streams by the total streams on the platform. This streamshare calculation is used instead of an absolute per-play or per-stream rate. 

The amounts will differ depending on the regions where the songs are listened to, how many streams there are by free account and paid subscription holders, and the number of ads displayed.

Alternative ways to make money as an artist

While “How much does Spotify pay per stream?” is a common question, there’s more to a music career than just streaming revenue. Even before you have a massive following, explore income streams beyond live shows and new releases. 

The music industry offers a variety of ways to monetize your passion while building your audience.

Selling Spotify merch

Spotify-Shopify integration and social media promotion open Spotify merch sales for artists. Print-on-demand platforms (like Printify) make it easy – our network does the printing and shipping, freeing artists to focus on new releases.

Blogging

Create and monetize a blog on WordPress, your website, or a similar platform. Promote your content and connect with fans on Spotify through your artist profile. 

A blog brings organic traffic and increases exposure, especially if you include links to your artist page from various streaming services. Partner with advertisers that align with your image, or use it as a platform to promote and sell your merch.

Teaching

Teach your fan base about the music industry through videos, tutorials, instructional blog posts, conferences, and chats. Combine these strategies and offer courses on recording music, alongside singing, playing, and production techniques and how-tos.

Use platforms like Nebula,  Patreon, or Skillshare and plugins such as LearnDash,  LearnPress, or Sensei to organize and monetize the lessons.

Earn as an artist with Printify

Sign up for Printify to create and sell merch to increase your income.

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Spotify vs other streaming platforms

Consider the platform’s popularity when looking for the best streaming platform to make money in the music industry. After all, the more users there are, the more chances to get your music streamed and make more money.

Let’s compare some of Spotify’s pros, cons, and subscription plans with other streaming services.

Spotify

Spotify’s pros make it one of the best options for developing a music career – a solid audience with a discovery algorithm that allows new artists to gain recognition. They pay royalties at an industry standard and charge users reasonable subscription fees.

Monthly subscription plans

• Premium Individual – $10.99.
• Premium Duo – $14.99 for two accounts living at the same address.
• Premium Family – $16.99 up to six accounts living at the same address.
• Premium Student – $5.99.

Apple Music

Apple’s music subscription service combines streaming with offline listening. Apple Music for Artists offers exclusive resources such as spatial audio and Logic Pro, plus marketing and analytics. 

Music royalties are calculated according to streamshare and vary depending on the listeners’ location and subscription plan. The Apple Music pay-per-stream amount ranges from $0.007-$0.01.

Monthly subscription plans

• Individual – $10.99.
• Family – $16.99 up to six profiles.

Tidal

Tidal is a premium music streaming service owned by Block Inc. that guarantees top-quality sound and recognition for behind-the-scenes song contributors.

Music business superstars, including Alicia Keys, Daft Punk, Madonna, Jay-Z, Beyoncé, Rihanna, and Nicki Minaj, own shares of the service, promoting artist support and promising more money and album sales.

The pay-per-stream amount for Tidal is around $0.011, making it one of the best-paying options for artists.

Monthly subscription plans

• Free 30-day trial.
• HiFi individual – $9.99.
• HiFi family – $14.99 up to six profiles.
• HiFi plus individual – $19.99.
• HiFi plus family – $29.99 up to six profiles.
• Student – 50% discount.
• Military – 40% discount.

Qobuz

This digital streaming platform is less known than Spotify but may offer other advantages for audiophiles and artists aiming at sophisticated niches using the latest HiFi-compatible equipment. 

Qobuz brands itself as a premium service and invests in quality, being one of the first to stream high-quality 24-bit FLAC audio up to 192kHz. In addition to conventional steaming, its subscribers can access curated original editorial content.

Qobuz has an unclear pricing structure and is on the expensive side. Its official website displays the same price for many plans, with extra costs added after subscribing. 

The pay-per-stream amount for Qobuz is undisclosed. In 2018, Qobuz paid around $0.043 per stream, boasting its status as one of the better-paying streaming services.

Monthly subscriptions

• Studio Solo – $10.83. 
• Studio Duo – $17.99.
• Studio Family – from $17.99.
• Sublime Solo – $15.
• Sublime Duo – $17.99.
• Sublime Family –  from $17.99.

Tips to gain more streams on Spotify

• Market yourself.
  Use all available channels – social media, YouTube, and your own website to make your songs known. Use every Spotify marketing tool, including the Spotify Ad Studio.

• Find the right distributor.
  Look for the best distributors who charge less fees, offer more resources, and publish your music on more platforms. DistroKid and TuneCore, for example, are favorites of many artists.
• Grow your Spotify audience organically.
  Avoid services selling fake streams and followers via bots, which could result in penalties or permanent banishment from Spotify.
• Claim a verified Spotify for Artists profile.
  This adds customization options like a profile picture and bio, releases, and show information. Verified artists have detailed analytics and promotional tools and can submit their songs to Spotify’s editorial playlists. 
• Use Spotify pre-release campaigns.
  Get your new songs on your followers’ radar and increase the probability of Spotify’s algorithm adding them to lists such as Discover Weekly.
• Pitch your work to the official Spotify playlists.
  If accepted by Spotify’s curators, they’ll be shown to millions of listeners worldwide. Be sure to submit one track at a time through a computer. The song should be unreleased and submitted seven days before the release date.
• Create your own playlists.
  Make some Spotify playlists with only your songs and a few featuring other artists’ works to get more listeners.
• Submit your songs to independent curator’s playlists.
  Also, partner with independent artists to create collaborative playlists. Find independent curators on platforms like Musosoup, Soundplate, and SubmitHub.
• Release music regularly.
  Creating new pieces may be challenging. Maintain a regular flow of new releases by recording covers, acoustic versions, or remixes to keep you in the loop.

FAQ

Spotify streams can greatly improve your music career

You’ve learned how artists make money on Spotify and how it compares with other music streaming services. 

We also covered how streaming platforms pay artists and the best strategies to gain more streams – Spotify offers plenty of opportunities. Plus, you know how to make more money with art and multiply revenue sources by adding POD merch to your channel.

We wish you a fulfilling and profitable artistic journey!

Make it happen today!

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With the highest market share of all global music streaming services, Spotify is an excellent platform with a large earnings potential. But how do you use Spotify to start making money online?

This article uncovers valuable tips on how to make money on Spotify, from streaming and monetizing playlists to selling your own custom merch.

Spotify’s payment system explained

Spotify’s payment system operates on a pro-rata model. The platform pools all monthly revenue and distributes 70% of its net revenue to rights holders based on the artist’s share of total streams.

Payouts vary greatly by region. The amount an artist earns also depends on whether their listeners use Spotify for free or pay premium subscription fees, generating more revenue.

Artists can use online calculators to estimate their Spotify royalties, but generally, expect to earn between $0.003 and $0.005 per stream.

How to make money on Spotify

Spotify offers various ways for artists to earn money beyond streaming. From selling merch to monetizing podcasts and playlists, these strategies will help diversify your income. 

Here are six effective ways to make money on Spotify beyond streams.

1. Sell your own merch

Selling your own merchandise is an underrated option for making money on Spotify. With the accessibility, impact, and popularity of eCommerce, selling custom-branded products takes about as much effort as managing a social media profile.

Merchandising is one of the few ways to monetize your content by offering physical products while enhancing your brand’s visibility. Whether you’re creating custom-printed t-shirts for an album release, print-on-demand hoodies for a tour, or customized mugs to promote your Spotify podcast merch, Printify has you covered.

Printify is a no-risk POD platform that’s perfect for creating custom clothing and other accessories for your Spotify merch.  Apply your designs to high-quality products, and our global network of Print Providers will produce and ship them straight to your customers.

With over 1,300 products in our Catalog and a beginner-friendly Product Creator, Printify offers artists free resources to create and sell their merch through a variety of popular online sales channels with no minimum order requirements.

2. Gain streams with a verified account

To become a legitimate Spotify artist and get paid through Spotify streams, you must complete a verification process and create a Spotify for Artists account. With it, you can:

• Receive a verification checkmark.
  Your account receives a badge to let listeners know you’re official.
  
• Customize your public profile.
  Edit your profile image, artist description, page layout, and promotional releases.
  
• Access performance analytics.
  Track your streaming data to see how your music is performing across the platform.
  
• Follow new promotional tools.
  Be the first to receive updates about new artist features and helpful in-app resources.
  
• Pitch the Spotify editorial team.
  Submit your new music to a team of playlist curators.

Create a top-notch artist profile

• Upload quality profile images with the recommended sizing.
  Avatar image – 750x750px.
  Banner art – 2660x1140px.
  Album art –  1:1 square, 640x640px.
  
• Publish a bio with a unique tone of voice.
  In under 1,500 characters, define your vision or artistic motivation and include links to relevant playlists, pinned artists, and related albums.
  
• Attach other media channels.
  Edit the About tab on your artist page to link your other profiles like Instagram, Twitter, Facebook, and Wikipedia. Stay on top of the Spotify algorithm by keeping your page and social media platforms active and up-to-date.

Target your streaming audience

The Spotify pay-per-stream system isn’t a fixed metric – it varies based on several factors. Streams from listeners in countries with higher subscription costs, like the U.S. and the U.K., typically generate higher royalties than those from regions with lower subscription rates. 

The system also varies between listeners with a free account and premium users, with paid subscribers contributing more per stream than those on the free, ad-supported tier.

To maximize your earnings, promote your Spotify music globally but prioritize reaching listeners in regions where payouts are higher. This approach improves revenue while still growing your overall fanbase across various markets.

Prepare a Spotify pre-release campaign

Promote new releases well in advance to gain more organic streams. Schedule release dates and send listeners a Spotify presale link for tours, merch, and campaigns through social media or email.

Submit your music to Spotify playlist curators a couple of weeks before release. Collaborate with influencers to enhance visibility, and bundle your pre-save campaign with exclusive offers like signed merch or early ticket sales to incentivize engagement.

These strategies help build anticipation and maximize streams on release day.

3. Create and monetize Spotify playlists

Curating playlists is one of the most effective ways to showcase your music taste while earning money. Many Spotify curators review new songs from independent artists and get paid for their feedback.

If you’re wondering how to get paid to listen to music on Spotify, become a playlist curator. It’s especially lucrative when you build a playlist with a high follower count.

To monetize curated playlists, join music review sites like SubmitHub and Playlist Push, which pay users to review music.

• A Spotify playlist curator on PlaylistPush can earn between $1.25 and $15 per song review, depending on follower count and engagement​.
• SubmitHub pays similar amounts, typically ranging from $0.50 to $12 per review.

As your playlist grows in Spotify followers and active listeners, you can charge artists or labels for song placements, with typical earnings of $50 or more per track. 

Grow an active listener base to increase playlist value

For playlists to become popular, creators must find a niche and offer genuine recommendations of their favorite tunes and favorite artists to like-minded fans. Building a solid following takes time and effort before monetization is possible. These tips can help you gain more listeners: 

• Run social media ad campaigns on Facebook, Instagram, and TikTok targeting your ideal audience.
• Promote through social media accounts and market your content with creative, engaging posts. Use platforms like Facebook, Instagram, and Spotify Ad Studio for targeted ad campaigns.
• Submit your playlists to popular music review sites to attract attention and expand your audience.
• Share on Reddit forums and YouTube to advertise your Spotify curated playlists.

Building expertise is essential if you plan to become a reviewer for specific music genres. The more you commit, the more your name is recognizable as a trusted authority in that genre.

Steps to create your first playlist

Follow the steps below to start creating your popular Spotify playlist:

1. Pick a niche, genre, and theme to create playlists that are distinct and engaging.
2. Optimize the playlist description with relevant SEO-friendly keywords.
3. Create original artwork and fill your Spotify playlist with 50-100 songs.
4. Grow your listener base by promoting your playlist on various social media channels.
5. Reach out to artists and manage song submissions and placements to start monetization.

4. Sell concert tickets to a live show

What better way to gain popularity on a streaming service than by bringing your music and online listeners to a live stage? 

While digital music streaming services help artists find fans all over the world, it’s also possible to use Spotify to propel your new music career by promoting your gig at the local venue.

Spotify integrates with ticket sales websites like Ticketmaster and Eventbrite, letting listeners buy tickets to live events straight from the artist’s page. With the in-app Discovery section and promotional campaigns, artists can make more money by promoting their concerts.

5. Try podcasting

An increasingly popular way to make money on Spotify is podcasting. The best part? You don’t need to be signed to a record label or an established company to earn podcast revenue on Spotify.

Spotify is one of the few streaming services that provide monetization benefits for podcasting, including fan-support tools and integrated ad programs. Although the platform doesn’t offer royalties for podcast episodes, there are multiple ways to monetize as people listen to your content, such as with ads and sponsorships.

6. Expand to other music streaming platforms

While Spotify remains a leading platform, expanding to other streaming services increases your reach and income potential. Let’s look at four Spotify alternatives to host your tracks and discover other ways to get paid.

1. Apple Music

With over 100 million songs in its catalog, Apple Music has a long-standing reputation with a similar quality stream as Spotify and a comparable monthly subscription. Artists on Apple Music are paid $6-$10 on average per 1,000 streams, depending on the listener’s country.

2. Tidal

With a library of 90 million CD-quality songs, Tidal’s high-fidelity subscription has one of the finest resolution streams at a comparably higher sampling frequency than other platforms. Tidal’s active artist community offers background information, interviews, and music credits.

3. Amazon Music

The giant retail platform is a good middle ground for cost-effectiveness and overall stream volume. Amazon Music delivers a comprehensive recommendation algorithm that adapts to users’ listening habits and pays around $4 per 1,000 streams.

4. Deezer

While still a relatively smaller platform, Deezer is a well-rounded media service with over 90 million songs, providing high-fidelity streaming in addition to podcasts, audiobooks, and radio. With a great algorithm, compatibility, and lyrics function, Deezer pays artists close to $6 per 1,000 streams.

How to design and sell custom merch on Spotify with Printify

Start making money on Spotify with custom merch using a print-on-demand service that delivers hundreds of high-quality products at competitive prices.

Printify provides a revenue opportunity for artists and businesses who wish to expand their brand with apparel and accessories. With no upfront investment and no inventory, artists can link their online store on their Spotify profile and start selling custom band merch to fans worldwide.

Create your own merch and sell online with Printify in a few simple steps:

1. Create a Printify account for free.
2. Choose products from our Catalog.
3. Add designs using the Product Creator.
4. Integrate merchandise through a sales channel.
5. List and promote merch while Printify takes care of printing and shipping.

FAQ

Conclusion

In this article, we explored how to earn money from a Spotify playlist and other methods, from merchandise sales to podcasting. 

Here’s a quick recap on how to earn with Spotify:

• Create personalized merch to complement your music branding.
• Get more streams by optimizing your Spotify profile and finding your target audience.
• Monetize Spotify playlists through submission reviews.
• Start selling tickets to your live shows.
• Try podcasting with Spotify to unlock other unique monetization strategies.
• Expand to other streaming services with additional features and earning benefits.

With endless opportunities to grow in the music industry, we support independent artists and entrepreneurs to find unique ways to make money and build their brands. Partner with Printify to sell custom merch and reach sky-high profits doing what you love most.

How to make money on Spotify?

Over 456 million active users worldwide use Spotify to stream, discover, and share music and podcasts every month.

In addition, if approached strategically, it’s also an excellent way for artists and podcasters to earn additional income.

How to sell merch on spotify in 8 easy steps

First, set up a Shopify store – anyone can do it without much effort.

Our article on how to sell on Shopify provides all the information you need to launch a successful online store.

• How to pick a Shopify plan
• Getting a domain name
• Naming a store
• Choosing a theme
• Navigating the Shopify admin panel

Then, move on to these next steps.

Why should artists sell merch on Spotify?

Let’s say a successful creator earns $0.005 per stream. To make $90, they’ll need 18,000 people to listen to their song. If they sell Spotify merch with Printify, they only need to sell five t-shirts to earn the same amount.

A quick breakdown of how it works:

• An artist sold a t-shirt for $30
• Then paid $12 for its production
• Profit: $18

Tips and tricks for increasing Spotify merch sales

While any artist can sell merch on Spotify, not everyone succeeds. Spotify did a Fan Study to find out how artists can attract the attention of their existing and potential fans. Here’s what they discovered.

Why choose Printify for your Spotify merch?

Printify’s got everything you need to sell merch on Spotify with less effort.