1: Divide the total revenue by the total number of streams to get X.
2: Pay X * the number of total streams of an individual rights holder to that rights holder.
This has several flaws out of which 1 seems really unfair to the artists:
"The method assumes that the people who stream much bring much revenue to Spotify."
The problem is easily explained through a real example. I'm a subsrciber and so is my mother. I easily listen to music 5+ times as much as she does but I don't generate any more revenue for Spotify. But still the artists I listen to get 5+ times as much as royalties from Spotify based on my listening compared to what the artists she is listening get based on her listening. I really feel this is not fair in any way.
My suggestion is to change the royalty distribution method into:
1: Keep track of the revenues by user / account.
2: Keep track of streams by user / account.
3: Divide the revenue by a user by the number of streams by that user to get X.
4: Pay X * the number of total streams of an individual rights holder by that user to that rights holder.
Your idea has been submitted a while ago but unfortunately hasn't gathered enough kudos (50 per year). In order to keep an overview of the active & recent ideas in this forum, we will close this idea for now. However this does not mean that your idea has been declined by Spotify.
If you still feel strongly about your request, we encourage you to post your idea in a little different form again! Maybe now is the right time to receive the support of our community for your suggestion! ;)
Do you have any further questions on how the idea exchange is managed? Just click here!