Artists benefit from partner deals Spotify

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Posted 21 Dec 2011 — by
Category Pay outs, Spotify

A week ago ago I posted a CBbaby statement that was handed to me by the band Finn Silver

I was puzzled by the unit prices for streams of the same song. Three different amount could be explained for,  the tiers Free, Unlimited and Premium, but eight different rates?

Digital Distributor Songport was kind enough to disclose that this can be accounted for by the deals Spotify has with telco’s and ISP’s like Telia in Sweden, Virgin in the UK and KPN in The Netherlands.

The good news is that these partner deals may have a positive effect on the payments per stream. Customers of  the partners get Spotify Premium for free, but they probably are not using Spotify as much as the ones who pay for it with their own money. Every month  part of the revenue from the specific partner is split by the number of streams by their customers, so artists get more per stream. Sometimes over $0.01. See the statement below.

 

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