Living off your music is a crucial step in the life of a professional musician. The arrival of the Internet and digital technology has revolutionized the music industry. Today, any artist can get started and record at a lower cost. Independent musicians can thrive thanks to a multitude of ways to monetize their music. We will explore some accessible revenue streams.
Sale of Physical Products
Probably one of the first ways to monetize music that comes to mind for any musician.
Direct Sales
For a long time, and even today, the CD remains the easiest item to sell after a concert! Selling CDs offers fairly attractive profitability (provided the recording and mastering of the album didn’t cost you too much).
However, don’t invest in a large quantity of CDs. More and more households no longer have a CD player. Even vehicles are no longer equipped with CD players. This means the format is destined for certain disappearance in the (very?) near future. It’s clearly not the future of music.
Some music genres have brought vinyl back into fashion. This vintage format has become a unique item for collectors and fans. Be cautious, as vinyl production involves high manufacturing costs that need to be recouped. The growing consumer demand has also overwhelmed the few companies capable of producing them.
Forget Retail Sales and Consignment
Forget about selling through stores or a third-party company that might place your physical product in shops. This was still feasible 10 years ago. But today, almost no store will take albums to put on their shelves. Simply because CDs no longer sell. CD sections have vanished from stores. The few copies still visible are the latest releases from artists signed to major labels. Independents no longer have a place in these sections. At best, these stores might offer consignment sales. This is not a good solution. Managing consignment requires significant organization. It’s essential to keep track of the stock you’ve left, know when and to whom you entrusted it, identify the person handling it on-site, visit the store regularly to check if any copies have been sold, and, if so, secure payment. Forget about managing it over the phone! Staff turnover is frequent in these structures, and you’ll struggle to speak to someone aware of your situation. If you opt for this system, implement masterful organization, or it’s highly likely your CDs are already lost, perhaps sold at best, but there’s a good chance you won’t see a single cent from those sales!
Mail Order or Online Sales
Selling your albums online or via mail order is relatively easy to set up. It works well if you’re launching a new album! Offer a PayPal payment option through a newsletter and social media, or use another payment platform integrated into your website. If you don’t have a website, you can use third-party platforms like Bandcamp. Of course, this still involves the physical CD format, so it’s clearly not the future.
Merchandising
If you have the opportunity to sell some merchandise, go for it! It doesn’t take much. Many online platforms can handle the production and shipping of personalized clothing and items for you. You just need to come up with a design, upload it online, and select a few items to offer for sale. You don’t need to pay anything upfront, as personalized products are made on demand. These platforms take a percentage of each sale.
If you want to offer merchandise for your concerts, that’s a different story. You’ll need to make an upfront budget investment, and you might not recoup it. Simply placing your logo in the center of a garment won’t sell! A successful product of this kind needs to be visually appealing or tied to a specific theme. As mentioned earlier, vinyl is, in a way, a form of merchandise aimed at a particular type of fan.
Some streaming platforms and social media offer merchandise stores integrated into an artist’s page. On Spotify, the program is called Spotify for Artists. It allows you to sell merchandise directly from your official page.
Digital Products
Digital Sales
We’ve discussed physical sales, but there are also digital sales made on platforms like iTunes, Amazon Music, Google Play, etc. To make your album or EP available on these platforms, you need to go through a digital distributor like Tunecore or CD Baby.
A digital distributor is a company whose goal is to make artists’ work available for a fee. These distributors have agreements with the largest online music platforms.
However, digital sales are becoming increasingly rare. They were a good alternative to physical sales a few years ago, representing nearly equivalent numbers. According to a 2019 study published by INSEE, they are now far less popular and continue to decline each year. Fewer and fewer people buy tracks on iTunes. Do you still do it yourself? Probably not! Like most music fans, you’ve likely switched to a streaming platform.
Streaming
The digital distributors mentioned earlier will also place your album on streaming platforms like Deezer, Qobuz, or Spotify.
The decline in digital sales is tied to a shift in listening habits. Many of us have opted for streaming on Spotify or Apple Music, either for free or with an online subscription.
Many artists long resisted streaming, refusing to put their albums on these platforms. It’s true that per-stream revenue is far lower than digital track sales. But that resistance is over! All artists now have their music on streaming platforms. The revenue hasn’t improved and remains negligible, but streaming platforms have become the primary place for music consumption. Artists can no longer ignore them.
Streaming revenue is pitiful. A 2021 study by the German institute Statista, based on 2020 streams, estimated earnings at around €0.008 to €0.0015 per stream.
Playlists
The key to success on streaming platforms is getting featured on playlists. Some playlists are algorithmic, meaning they’re created and updated by artificial intelligence based on specific criteria. Others are editorial, meaning they’re curated by a human. These are the playlists musicians care about, as a person can choose to include your track.
Understanding Platform Algorithms
Like YouTube or Google, streaming platforms have algorithms. No one truly knows how they work. We can’t explain why a video ranks first on YouTube. We know factors like views, likes, comments, watch time, and posting frequency over a given period affect visibility. But no one knows which factor carries the most weight. Streaming platforms have their own algorithms that you need to try to analyze. Many artists say that regularly releasing singles signals you’re an active musician. Apparently, this is an important factor for platforms. Many artists now prefer to release a single every couple of months rather than an album every 2 or 3 years. They typically drop a single every 2 months and then compile them into an album.
Note that there are dozens of platforms, and not all are available in every country. Pandora is often mentioned in the U.S., but it’s not available in Europe. If you have access to listening or website/social media visit statistics, focus primarily on platforms in the countries where your audience is most represented.
Licensing Services
Licensing refers to placing music tracks with companies seeking songs for specific projects: documentaries, films, video games, compilations, etc.
Some companies have catalogs of tracks they make available for a fee. Check out Epidemic Sound, Soundstripe, or Premiumbeat.
Video game giant Ubisoft frequently uses licensing services to include music in its games. In such cases, Ubisoft contacts a digital distributor to identify tracks that match the vibe of an upcoming game. For example, CDBaby placed 13 tracks from its catalog in the game Far Cry 6. The process is explained here.
Live Performances
Physical Concerts
Every artist and band dreams of performing on stage. But it’s not always easy to secure dates and string them together over a year. By concerts, we mean all types of performances at events like festivals, parties, balls, etc.
With Your Band
If your band is well-known, finding dates can be straightforward. We all know bands that have been around for decades, touring festivals every summer. They have a distinct style and identity that clearly defines them.
Depending on the type of music you play, it can be challenging to book multiple dates because some genres attract smaller crowds and are less represented. For example, jazz is typically only featured at dedicated festivals, venues, or events. For a new quartet, securing initial gigs can be tough.
When starting out, it’s wise to have multiple musical formations to accumulate dates. It’s also useful to have a single formation adaptable to any event. Not all organizers can afford to pay a six-person band. So consider offering scaled-down versions with 2 or 3 musicians. Many musicians have at least one or two formations of 2 or 3 people. These are easier to pitch for smaller gigs.
As a Contributing Artist
You can apply to a music production to contribute to a project’s development as a whole. If selected, you’ll participate in setting up the project and then perform during one or more tours. The compensation covers both rehearsals and performances. These productions can last a few months or even over a year if the project is successful.
Private Performances
Private gigs and concerts are dates where your fans aren’t invited. These include performances for companies, individuals (weddings, birthdays, etc.), or paid-entry events (trade shows, fairs, etc.).
Your act needs to be suited for these events. For a wedding, the couple and their guests often have specific music preferences. You need to be willing to meet their requests, which isn’t always easy for some musicians. It’s similar for corporate events, which often call for calm performances to accompany guests during a lunch break.
Some events are organized by event agencies. You’ll need to reach out to them and draw attention to what you offer. Of course, before contacting them, ensure you have the right materials: a press kit, videos, photos, etc.
Word-of-mouth works incredibly well for these types of events. If your performance satisfies the audience, it’s highly likely you’ll be contacted again by some attendees or the agency that hired you. During the gig, don’t hesitate to chat with guests who approach you, and always carry a few business cards.
Live Streaming
Here, we’re referring to live streaming platforms like YouTube or Twitch. Some musicians make a living from performances offered exclusively online or combine web and physical performances. The Neko Light Orchestra performs concerts across France centered on cinematic themes. But it also has a Twitch channel where rehearsals and concerts are streamed. Or take violinist Justine Griffin, who does live looping sessions on her Twitch channel.
We’ve published a guide on streaming, divided into several articles:
- Why and how to get started with live streaming as a musician?
- Which streaming platform for a musician?
- What equipment to start streaming?
Other Services
Recordings
Some studios and producers seek musicians for recordings. They often have their go-to people and work with the same musicians. But you can send an email to pitch your skills. It works! Especially if you play multiple instruments or a lesser-known one like the hurdy-gurdy, Stroh violin, bouzouki, etc.
Compositions and Arrangements
There are platforms connecting companies with artists for composing music or beats. They offer a catalog of artists, from musicians to sound engineers, to produce a track. These include general freelancing platforms as well as those specialized in music production.
Substituting for a Musician
Filling in for another musician relies on word-of-mouth! You need to network with other musicians as much as possible. Often, it’s up to the absent musician to find a replacement! A drummer is best positioned to find another drummer, as they know others through different bands, conservatories, etc. They know which profile fits the band’s style and who can step in. So, most of the time, if a musician is unavailable for a gig, they’re asked to find a replacement or suggest one or two names to contact!
Sharing Your Knowledge
Music Lessons
As a musician, you can offer private lessons. This steps a bit outside the performance realm, but you likely went through this stage to become a musician. There’s no shame in teaching music. In the electric violin world, most well-known violinists offer private lessons, either in-person or remotely. Some have even developed unique techniques and become references!
Masterclasses and Conferences
If you’re recognized in your field, you may be invited to give masterclasses at conservatories or for special events. Many think this isn’t feasible, but plenty of conservatories are open to guest interventions for their students.
If you speak English, you can offer these abroad. From experience, we know masterclasses are common in Europe at schools, conservatories, and even specialized stores. Conferences are also frequent in the U.S., often spanning several days and focusing on learning string instruments. They’re aimed at students, professionals, and teachers. These are ideal places to network!
Writing a Book
If you’re an expert in a specific area, you might consider publishing a book on the topic. Many violinists have created books and methods on improvisation, bowing, effects, etc.
However, finding a publisher is a real challenge. And unfortunately, the pay is quite slim. Typically, an author earns a few euros per book sold, sometimes just one euro. Since the publisher takes on all the risk of printing and distributing your book, they keep the lion’s share of the sale price. It’s a bit like releasing and distributing a record through a label. Unless you’re an international star, a publisher won’t commission you to write a book for a fee. The other option is self-publishing through an online printer. They’ll print books on demand and take a commission.
Royalties
In France
If you’re registered with SACEM, you earn revenue when your music is played at an event, on TV, or on the radio, for example. SACEM collects authors’ rights from broadcasters and redistributes them to registered authors or those it represents through partnerships with foreign entities. SACEM also manages online copyright for platforms it has agreements with. Every month or quarter, it receives a list of tracks played, identifies works belonging to its members, claims them from the platforms, and redistributes the revenue. The process is detailed here.
There are other types of royalties, like the SDRM royalty, managed by the Société pour l’Administration du Droit de Reproduction Mécanique, which is paid when pressing records, for instance. For each reproduction of a work on a physical medium, if the work is registered with SACEM, you pay an SDRM royalty that’s then redistributed to the work’s authors.
Abroad
Organizations like SACEM are called PROs, or Performing Rights Organizations. Each manages rights in its territory for its members and foreign entities representing other artists with whom it has agreements. Some examples include PRS for Music in the UK, GEMA in Germany, or ASCAP in the U.S.
If one of your tracks is played in the U.S., a chain of processes kicks in to reach SACEM, which then pays you your dues. It varies by country, as royalties and applicable laws differ.
Some of our violinist friends use independent organizations like SoundExchange or SongTrust to manage international royalties. Often, this is because the membership cost of their country’s PRO is much higher than what these independent entities charge.
Without registering with one of these organizations (PRO or otherwise), you lose revenue from international plays. Maybe in Germany, GEMA has noted a play of one of your tracks and set aside some royalties. But if no one claims them, they’ll never reach your pocket!
The Importance of Registration
Many musicians take registering with SACEM lightly. Know that if you contributed to a track, you must be listed as a co-author to receive royalties. Proper documentation of a track is critical so each PRO can accurately identify contributors and compensate them.
Monetization
Of Your YouTube Channel
If your YouTube channel is eligible for monetization, you can earn some revenue through ad plays. Nowadays, eligibility requires meeting certain criteria: a minimum number of subscribers and watch hours.
As a musician, if your channel features covers of famous songs, the revenue generated is split between you and the entities managing the song’s rights. It’s great for gaining exposure, as people search for well-known tracks, but it means less money for you. If you only play original compositions, all the revenue is yours. However, you’ll need to find ways to maximize views on those videos.
It’s worth noting that this model is losing steam. Many music YouTubers who exclusively did covers have abandoned their channels because revenue has drastically dropped. Currently, YouTube’s business model leans more toward descriptive content: tutorials, unboxings, product comparisons, etc.
Royalties from Other Channels
When a video is monetized, YouTube inserts ads. Part of the royalties from these ads goes to the video’s creators, including the video editor and identified composers. This means if one of your tracks is used in a YouTube video, you earn a small amount per view.
Typically, for a track to be identifiable by YouTube, it needs to be registered through a digital distributor (TuneCore, CD Baby, etc.). The distributor makes your albums available on sales and streaming platforms and submits your tracks to YouTube. They collect YouTube royalties, take their cut, and pass the rest to you. Like streaming, you need thousands of views to earn more than a few euros!
Sponsorship
Some musicians have started YouTube or Twitch channels. Once they reach a certain level, they become influencers in their niche. Even though the music niche is small, brands may contact them to promote products. In such cases, a partnership is set up between the brand and the influencer, usually involving payment for promotion. This is called sponsored content.
Sponsorship can also come from your fans, who might donate monthly to support your content creation. This is the principle behind Patreon or donations on Twitch.
Endorsement
We hesitated to include this, as endorsements generally don’t offer payment, except in rare cases. Some highly recognized instrumentalists have exclusive contracts with brands that include compensation. Obviously, this only happens with music giants and only if you’re a top name in the field. Generally, endorsements offer perks but no payment.
Affiliation
If you have a YouTube channel or blog, you can try affiliate marketing. This digital marketing system allows a third-party site to promote its products or services on other sites, offering a commission when a sale is made. It’s well-known among YouTubers, who often use Amazon affiliate links. You’ll frequently see affiliate links in YouTube video descriptions.
The process is simple! The online retailer generates a link with a unique code identifying you as the link’s owner. You place this link in your video description. If someone clicks it and buys something, you earn a commission based on the purchase value. Note that you need to drive significant traffic to earn substantial amounts.
It works if you promote a product you genuinely like and know. If you recommend products you don’t like—and you probably have good reasons for that—you risk disappointing your audience. Stay focused on what satisfies you and what you use professionally. For a musician, think instruments, strings, music accessories, effect pedals, etc.
There’s no need to hide affiliation either! If you get into affiliate marketing, be upfront about it! Everyone knows affiliate links exist, and there’s no shame in using them. Your viewers or listeners are fans. Most are thrilled to learn you use a specific software for recording music. It’s often a common question in comments. By sharing affiliate links, you answer their questions, establish yourself as a reference in the field, and your choices matter to them. If you earn a few euros while sharing your expertise, what’s the problem?
Grants, Subsidies, and Donations
From Institutions
There are many subsidies a musician can apply for certain projects. There are European, national, and regional grants, as well as scholarships. They’re numerous, and you’d be foolish not to apply! You often need to prepare a solid project proposal. If accepted, you’ll receive payment and/or funding support for the project. Grant areas are vast. Some regions support musicians developing new projects tied to themes like regional languages or ecology, while others fund events like festivals.
There are also calls for projects. In these cases, you propose a project fitting a specific theme. If accepted, it’ll likely get publicity, offering visibility and potentially new opportunities. You’ll be paid to carry out the project.
From Individuals
Your fans, and even strangers discovering you, might donate to help you create new songs and videos. This is the principle behind Patreon, where fans subscribe monthly to support your music production. It’s also the basis for streamers on platforms like Twitch, who receive donations and offer channel subscriptions in exchange for content.
Sources and images: Insee, Statista, Unsplash – Simon Noh, 20 minutes, SACEM, ASCAP
