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home about/contact Digital Audio Insider is David Harrell's blog about the economics of music and other digital content. I write from the perspective of a musican who has self-released four albums with the indie rock band the Layaways. My personal website has links to my LinkedIn and Google+ pages and you can send e-mail to david [at] thelayaways [dot] com. Support If you enjoy this site, please consider downloading a Layaways track or album from iTunes, Amazon MP3, Bandcamp, or eMusic. CDs are available from CD Baby and Amazon. links music/media/tech: Analog Industries Ars Technica AppleInsider Brad Sucks Blog Broken Record Digital Music News Duke Listens Future of Music Coalition Blog Hypebot LA Times Technology Blog The ListeNerd Medialoper Mediashift MP3 Insider Music Ally Music Machinery Music Think Tank MusicTank The Music Void New Music Strategies Online Fandom Pakman's Blog RAIN Rough Type RoughlyDrafted Swindleeeee TuneTuzer Virtual Economics economics/markets: The Big Picture Core Economics Freakonomics The Long Tail Marginal Revolution The Undercover Economist mp3/music: 17 Dots 3hive Fingertips Shake Your Fist Sounds Like the 80s Unleash the Love archives January 2006 February 2006 March 2006 April 2006 May 2006 June 2006 July 2006 August 2006 September 2006 October 2006 November 2006 December 2006 January 2007 February 2007 March 2007 April 2007 May 2007 June 2007 July 2007 August 2007 September 2007 October 2007 November 2007 December 2007 January 2008 February 2008 March 2008 April 2008 May 2008 June 2008 July 2008 August 2008 September 2008 October 2008 November 2008 December 2008 January 2009 February 2009 March 2009 April 2009 May 2009 June 2009 July 2009 August 2009 September 2009 October 2009 November 2009 December 2009 January 2010 February 2010 March 2010 April 2010 May 2010 June 2010 July 2010 September 2010 October 2010 November 2010 December 2010 January 2011 February 2011 March 2011 April 2011 May 2011 June 2011 July 2011 August 2011 September 2011 October 2011 November 2011 December 2011 January 2012 February 2012 April 2012 May 2012 June 2012 August 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 June 2013 August 2013 February 2014 March 2014 September 2014 December 2014 March 2015 October 2015 November 2015 December 2015 October 2016 May 2017 |
May 16, 2017 From Russia With Loveby David Harrell Better late than never -- we just received 4 cents in our CD Baby account for 42 streams on Yandex in June and December of 2015. Labels: streaming royalties, Yandex link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet October 26, 2016 That'll Cost You Extraby David Harrell This isn't a new phenomenon -- I noted several such cases in this post from 2007 -- but Slate highlights some examples where you'll pay more for the digital version of books and music releases than the physical item: Imagine, for a moment, that you want to buy The Complete Works of Primo Levi edited by talented translator Ann Goldstein. If you were to buy a new version of the hardcover collection on Amazon, the price is $58.40. If, however, you decided that rather than adorning your shelves with Levi, you wanted to download it to your e-reader, saving yourself paper and time, you would need to pay $59.49. It would cost you more not to physically own the books.link 0 comments e-mail listen to the Layaways on Spotify Follow @digitalaudio Tweet December 11, 2015 Friday Fun: More Cowbellby David Harrell Via my bandmate Porter -- someone at Monoprice had some fun with the description of this item: Handheld Cow Bell - 7-1/2-inch - Black Labels: Friday Fun link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet December 10, 2015 From the Band to the Fanby David Harrell Wilco is doing something I haven't seen from a well-known act before -- selling its used gear directly to its fans/the general public via an online store. It appears to be a success. Since launching the store on November 30th, the band has sold more than $100k in music gear and memorabilia, selling nearly item it offered for sale. That's not pure profit, of course, as they had to purchase all of that gear at some point, perhaps for as much or more than what they're selling it for. But in an e-mail discussion with some musician friends, an interesting question was raised -- is some of this gear selling at a premium over its base market value as equipment, due to the association with Wilco? While the prices for some of the vintage guitars seem in line with standard going rates, one knowledgeable friend (who has assembled plenty of "partscaster" guitars) observed, "When you pay $750 for a partscaster of unknown origin parts, you're definitely just buying 'Pat Sansone's guitar' for that price." Yet neither of us had a problem with it. After all, if an instrument can command a premium price due to its association with a particular musician, why shouldn't that musician realize it? It's certainly better than a third party purchasing the gear and then selling it at a markup. As my friend noted, "People want to feel connections to their musical heroes, and I'm betting every one of those buyers is totally psyched." I don't know if Wilco planned this as a one-time event or if it will be an ongoing venture, but given the band's success with it, I'm wondering if other acts will emulate the idea and open their gear stores. If so, will they have similar success? Or is Wilco a somewhat unique act, with a devoted audience that is more likely to seek a connection by buying its gear? link 0 comments e-mail listen to the Layaways on Spotify Follow @digitalaudio Tweet November 17, 2015 Spotify Per-Stream Payments for July 2015by David Harrell As the music-streaming service takes pains to point out, Spotify doesn't pay a set per-stream amount to labels and artists, as its business model is based on a revenue share, not a set streaming royalty. Yet that revenue share does, on a monthly basis, convert to a number for each stream. (And it appears that Spotify might have a fixed minimum rate in some countries.) The following numbers are culled from reports from CD Baby, my digital distributor, and have been adjusted to account for the 9% commission it charges. I received the following per-stream amounts for plays of my self-released music in the Spotify catalog during the month of July: US: .68 cents, .67875 cents, .17 centsFor the US, it seems obvious that the two larger amounts represent streams from premium subscribers, while the smaller number is from subscribers to the free ad-supported service. The difference between the two numbers is small enough that I attribute it to rounding/truncation of very small numbers in the CD Baby report, but I opted not to average these numbers and am including both for sake of completeness. Ditto for the two different numbers for streams in Sweden. To put the above numbers in context, the average amount I've received for all Spotify streams since August 2009 (from all countries and subscriptions levels) is .4301 cents per stream. It's also worth noting that the major label groups have ownership stakes in Spotify and may well have negotiated different (i.e. better) revenue share arrangments for their catalogs. Finally, these numbers don't include the smaller payments from Spotify to publishers/composers via performance rights organizations such as BMI and ASCAP. Labels: Spotify, streaming royalties link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet October 19, 2015 Confirmed: Apple Music is Paying Two Tenths of a Cent for Streams by Trial Subscribersby David Harrell After this summer's backlash over Apple's plan to NOT pay royalties for Apple Music streams by trial subscribers, the company announced it would pay a per-stream royalty of 0.2 cents for such plays. Our first Apple Music royalties just appeared in our CD Baby account and I can confirm that, for the month of August, Apple paid a per-stream royalty of exactly 0.2 cents. No indication yet on what we'll receive for streams by paying subscribers. Labels: Apple Music, iTunes, streaming royalties link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet March 16, 2015 Beats Music Beats Spotifyby David Harrell In terms of subscribers and market share, Beats Music (acquired by Apple as part of its purchase of Beats in May of last year) is way behind Spotify. But there's one area where Beats Music appears to be ahead -- the per-stream payout to artists/labels. The first payouts from Beats Music just appeared in my CD Baby account. After adjusting for CD Baby's commission, for December 2014, we received 1.801 cents per stream. For comparison, our per-stream payout from Spotify averages out to 0.428 cents for the past few years: On its support site, Beats states that its payout rate will higher than that of other streaming services as, unlike Spotify, it has no free option: We pay higher royalties than the other services because we are a paid subscription-only service (in other words, we have no free version of our service that we have to subsidize).The payouts we've received from Spotify have varied greatly, as some are coming from premium subscribers and some from free subscribers. For the latter, the payout amount is based on a share of advertising revenue and is very small. However, our initial payout from Beats included two rates -- approximately 1.926 cents for some streams and 1.300 cents for others. My only guess here is that the higher rate is for listens by monthly subscribers who pay $9.99 a month (or $119.88 a year) and the lower rate for listens from annual subscribers who pay $99.99 a year, though the payout difference is greater than the pricing differential for the two plans. Labels: Apple, Beats Music, Spotify, streaming royalties link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet December 10, 2014 Free Holiday Music from the Layawaysby David Harrell My apologies for the light blogging in 2014 -- you can expect more frequent updates in 2015! If you're in the mood for some holiday music, "Maybe Next Year" from my band the Layaways is available for free download from NoiseTrade: You can also stream the album at Spotify. Labels: holiday music, The Layaways link 0 comments e-mail listen to the Layaways on SpotifyFollow @digitalaudio Tweet More Digital Audio Insider: Older Posts |
Subscribe: RSS Feed Add this blog to Del.icio.us, Digg, or Furl. Follow David Harrell on Google+. The Digital Audio Insider Twitter feed: Digital music jobs: Looking to hire? Looking for a job? Check out the digital audio insider job board. Popular Posts A Long Tail Experiment By the Numbers: Using Last.fm Statistics to Quantify Audience Devotion Lala.com Owes Me Sixty Cents An Interview with Jonathan Segel of Camper Van Beethoven Price Elasticity of Demand for McCartney Sony and eMusic: What I Missed The Digital Pricing Conundrum series: Part One Part Two Part Three Part Four THE LAYAWAYS Out Now -- "Maybe Next Year" -- The New Holiday Album: "This is a sweet treat, deliciously musical without being overbaked for mass media consumption." -- Hyperbolium "Perfect listening to accompany whatever holiday preparations you may be making today." -- Bag of Songs O Christmas Tree - free mp3 lyrics and song details Away In A Manger - free mp3 Download from eMusic, iTunes, Amazon MP3, or Bandcamp. Listen to free streams at Last.fm. "...about as melodic and hooky as indie pop can get." -- Absolute Powerpop "Their laid-back, '60s era sounds are absolutely delightening." -- 3hive "...melodic, garage-influenced shoegaze." -- RCRD LBL Where The Conversation Ends - free mp3 January - free mp3 Keep It To Yourself - free mp3 Download from eMusic, iTunes, Amazon MP3, or CD Baby, stream it at Last.fm or Napster. "The Layaways make fine indie pop. Hushed vocals interweave with understated buzzing guitars. The whole LP is a revelation from the start." -- Lost Music "Catchy Guided by Voices-like rockers who lay it on sweetly and sincerely, just like Lionel Richie." -- WRUV Radio Silence - free mp3 lyrics and song details The Long Night - free mp3 Download from eMusic, Amazon MP3, or iTunes, stream it at Last.fm, Napster, or Rhapsody. "These are songs that you want to take home with you, curl up with, hold them close -- and pray that they are still with you when you wake up." -- The Big Takeover Let Me In - free mp3 Ocean Blue - free mp3 Download from eMusic, Amazon MP3, or iTunes, stream it at Last.fm, Napster, or Rhapsody. More Layaways downloads: the layaways website |