Implement fairer royalty distribution method / function

Based on this http://www.spotifyartists.com/spotify-explained/ the current distribution method is basically:

 

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 2 seem really unfair to the artists:

 

1: The shorter the song the more streams it can get therefore this penalizes long songs that usually already are a niche category.

2: The method assumes that the people who stream much bring much revenue.

 

The problem with 1 is especially with classical music where the "songs" can easily be 10+ minutes long. When compared to a radio hit that are usually really short, always under 4 minutes, this just doesn't seem fair to the long songs. The paying customer uses the same amount of time to use Spotify but generates far less royalties to "her/his" artists.

 

The problem with 2 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 to Spotify. But the artist I listen to get 5+ times as much as royalties from Spotify. I really feel this is not fair.

 

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.

 

This would fix problem 2 completely and would fix problem 1 at least partially since most people have the tendency of listening more or less similar music and the really long songs are usually limited to only a few music genres.

Updated: 2016-01-30

Hello!

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! 😉

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Status: Inactive Idea
0 Likes
Comments
Community Legend
Status changed to: Duplicate

Hello, thank you for your idea.

There is a very similar idea to yours posted here. Please join in the discussion and add your views. You may also want to add your thoughts to the following, slightly related, ideas:

https://community.spotify.com/t5/Spotify-Ideas/Pay-artists-per-played-minute-rather-than-per-stream/...

https://community.spotify.com/t5/Spotify-Ideas/Artist-Payment-Pay-by-listener-and-not-by-amount-of-p...

 

Roadie

Hi FredJ,

 

I tried to search for similar ideas before posting my own but failed find any.

 

The first one

 

https://community.spotify.com/t5/Spotify-Ideas/Pay-artists-per-played-minute-rather-than-per-stream/...

 

is actually trying to tackle the same probles as my 1: The shorter the song the more streams it can get therefore this penalizes long songs that usually already are a niche category.

 

so I understand not wanting to have an almost double idea. I gave kudos to that and commented. But the second one

 

https://community.spotify.com/t5/Spotify-Ideas/Artist-Payment-Pay-by-listener-and-not-by-amount-of-p...

 

is nowhere near the same idea as my idea:

 

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.

 

since it doesn't even try to fix the same problem. So I'm asking that you change the status from dublicate idea to something else. Or I could just post a new idea without the part 1.

 

Edit. I actually think that it's just better for me to post a new idea here https://community.spotify.com/t5/Spotify-Ideas/Distribute-the-royalties-based-on-the-amount-of-reven...

 

Community Legend

I agree that the links I provided do not all of them talk about this topic in the same way or with the same approach as you do. However, it is mainly the first link out of the three that I feel is similar to your idea. Ideas that are similar (not identical) are better kept in one and the same thread. If there are too many threads discussing/suggesting similar changes, they may not each gain enough attention to get implemented at all - keeping them gathered may (or may not) increase attention.

 

Roadie

Sorry I totally missed the first link. That is very close to my idea. But since it was considered to be more of a question instead of an idea I can't give it kudos. So I feel my new idea should be kept "alive".

 

PS. Thanks for the quick reply!

Community Legend

Hi @Maetco . Thanks for your feedback. I agree with your point of view, and will re-set a status to this topic. Sorry for the inconvenience! I blame it on bad research on my part. 🙂

Community Legend
Status changed to: New Idea
 
Rock Star 28
Rock Star 28
Status changed to: Inactive Idea
Updated: 2016-01-30

Hello!

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!