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Ah yes, it’s that time of the year again. The weather turns colder, we take time from our schedules to get together with friends and family, and of course, we celebrate the music that we stole this year and tell the world all about it with Spotify Wrapped!
I’ll be the asshole who reminds you that all those sweet tunes you played this year generated fuck all in monies for the artists you love. Sure, I know you buy t-shirts from all of the bands that you listen to, and you buy vinyl, and you go would love to some shows but the kids are so busy with school and it’s hard to make time, y’know?
I know, slugger, it’s hard out there to find your Dad Rock dreams.
Yes, I am going to filet Spotify and their year-end extravaganza of bullshit, but you, dear Spotify user, are not my target today. Although, I do hope that you’ll see from your own stats just how shitty the system really is.
The above image is my wife’s Spotify Wrapped for 2023. For our purposes here, it doesn't matter to me what she listened to, but how much she listened to.
According to Spotify’s own stats, which are very hard for you to view on your own with any degree of transparency, Kimmy listened to 6,482 minutes of music. Spotify is the exclusive way that my wife actively listens to music. So, it’s fair to say that if she listened to music that she chose to listen to in 2023, it was via Spotify.
Based on the data Spotify gave Kimmy for her 2023 Spotify Wrapped “celebration”, we can not only tell how many songs she listened to, but we can also figure out just how much of her subscription fees actually went to pay the artists that she is listening to.
The average song length on Spotify in 2023 is 3:17. Let’s use that as our average timestamp for Kimmy’s chosen jams. If we take her total listening time of 6,482 minutes and divide that by the average song length of 3:17, you end up with something around 1994 total songs for the year that she played.
For easy math, let’s just call it 2000 songs. I’ll give Spotify a few songs of cushion here just because I am a swell guy.
Spotify pays an artist just $.0003 per stream of a song. Yeah, just three tenths of one cent. To qualify for payment, a song must be played for more than thirty seconds. Spotify also uses this same thirty second rule when compiling Spotify Wrapped data. So, we know that artists were being paid for all of Kimmy’s Wrapped songs. The question now is how much of what she paid to Spotify went back to the artists.
2000 songs x $.003 = $6.00
Yep, for an entire year of listening, Spotify paid ALL of the artists that Kimmy listened to in 2023 just six measly dollars.
In turn, Kimmy paid Spotify $16.95 a month for a Spotify family plan. So, Kimmy’s annual payout to Spotify looks like this:
$16.95/month x 12 months = $203.40
$203.40 - Annual streaming costs
$6.00 - Paid to artists
$197.40 - Paid to Spotify
After spending more than $200 this year on music, less than 3% of what Kimmy paid to Spotify actually went back to the artists that she loves. It’s nothing short of criminal. Off the backs of just one family, Spotify pocketed nearly $200 in profits after paying paltry royalties to the artists that drive their app. It is easy to see why Spotify posted a $68 Million profit in the third quarter of 2023 alone.
At present, Kimmy, and our daughter Hannah are the two family members using that plan. Let’s just say for the sake of argument that all four members of my family were using Spotify as our primary mode of listening and we all listened at the same rate that Kimmy does. That would make our numbers look something like this for our family of four.
8000 songs x $0.003 = $24.00
$203.40 - Annual Streaming Costs
$24.00 - Paid to artists
$179.40 - Paid to Spotify
As you can see, even with a family of four, the lions share of the subscriptions fees collected by Spotify never make it back to the artists making the music.
After looking at the numbers for a single user and a family of four, I began to wonder just how much music would a family need to listen to for Spotify to lose money. The answer, is a fuck ton of it.
$16.95/month ÷ $0.003/song = 5,650 Songs
For a user or family to put Spotify at break even status would require 5,650 plays per month. Spotify’s family plan will allow you to add up to a total of six separate users. Even with six different users on a plan, it would mean each user spinning more than 940 songs per month to add up to the $16.95 being paid to Spotify each month.
While I will not bore you with more math, 940 songs at Spotify’s average length adds up to roughly 51 hours of music per month, for each of the six users. You, and I and Spotify all know that no one is listening to that much music.
You might be sitting there, dear reader, and thinking, “I listen to 50 hours of music a month!” Maybe you do, but I sincerely doubt it unless it’s a part of your job or you’re an OTR driver. And even if you did, your family is not listening to a collective 300 hours a month. It’s obvious that Spotify is going to come out the victor here and artists will continue to lose.
The next question if your family does listen to 300 hours of music is why you think you should be able to consume that much art for so little money, but that’s a question for a different day.
I loathe being the sad sack who shits on people celebrating what they’ve listened to this year. Music should be a celebration and we should want to share it. But sharing it from a platform that exploits artists and its own users ruins the experience and its ruining music.
Spotify is killing music as we know it and that is not an exaggeration. As artists are paid less and less, our concerts become more expensive, the quality of the work drops, seemingly successful musicians are forced to leave the industry or only work at their craft part time. As such our culture shrivels inward ever so slightly.
Share you stats. Tell the world about your Wrapped 2023. But know what you are sharing, and more importantly what you are paying, and what you are NOT paying for. Your dollars spent on Spotify help to propagate a culture where music is valueless and technology is king.
In 2024 when you begin tell me about what music you listened to, perhaps you would be better off to tell me about the music you invested in.
Cheers,
Matty C
I think it's a little weird to only focus on Spotify. Kinda just seems like you're following another trend. If ANY of the streaming services were better [as in: not just 3/100ths of cent per stream more], everyone would just leave Spotify — or just consider it a bonus because the bulk of their money comes from a different streaming service (and therefor wouldn't have much to complain about in the first place). But... this isn't the case because they're ALL like this. Singling one out is kinda sus.
YouTube = $0.001 - $0.003
Spotify = $0.003 - $0.005
Apple Music = $0.006 - $0.008
Tidal = $0.0125 - $0.015
Amazon Music = $0.004 - $0.007
Deezer = $0.005 - $0.007
Napster = $0.019 - $0.021
Napster has the highest earning potential, but I never hear people urging artists to get fans to listen there. But even then, it's a difference of <drum roll, please> $0.016... not even a quarter of a cent. Sooo... what makes Spotify so much worse?
I'm of two minds on this. First, there is absolutely no question that artists (musicians, writers, etc.) deserve to be paid more/fairly for their work. And you're also right that Web 2.0 infected society with a sense of entitlement.
Where I think a lot of the hot takes get it wrong is the assumption that if Spotify (or wherever) disappeared, that we'd all go back to buying physical media. We wouldn't. You and I might, but we're outliers in the grand scheme of things. In my teens/20's, most of my income went to records and shows, but even that represented only a fraction of what I was listening to. The rest either came from the radio or mixtapes I traded with friends. It's that latter part that Spotify & co. have replaced for most people. For Gen Z, being digitally native has meant they really don't know anything else. They still make mixtapes for one another, they just call them playlists now.
I don't have a pat answer here. I wish I did. In the absence of systemic change, I think the best path is to use streaming as one of many discovery tools, but rely more on recommendations from friends or communities like this one. When it comes time to buy, do it either directly from the artist, somewhere like Bandcamp (for now??), or your locally owned store. If your favorite band comes through town, get a ticket!