Home 9 Apps & Devices 9 How Much Does Spotify Pay Per Stream [2024]

How Much Does Spotify Pay Per Stream [2024]

by | Nov 13, 2023

Streaming platforms have completely changed the way music is sold. It’s now essential for artists to upload their music for streaming. In 2019, digital streams made up almost 80% of all music sales worldwide, and this number keeps increasing. That’s great, but as an artist, you’re probably wondering how much money you can make from streaming. So, the question is, how much does Spotify, one of the leading platforms, pay for each stream?

5 Most Popular Music Streaming Services

Based on the information provided by Business Insider, here are the top music streaming services: 

1. Amazon Music Unlimited: Amazon Music Unlimited works great with Alexa and is available at a discounted price for Prime members.

2. Spotify: Spotify has a large collection of songs, a free plan with ads, and works on many different devices. Also read How to Make Money from Podcast on Spotify.

spotify

3. Apple Music: Apple Music is designed for Apple products but also has apps for various platforms, including Android.

Apple Music

4. Tidal: Tidal is available on multiple devices and offers music videos and high-quality audio formats like MQA.

5. YouTube Music: YouTube Music has a nice selection of songs and works well with other Google apps and services, like Google Assistant.

YouTube Music

How Spotify Pays Artists?

When people listen to your music on Spotify, whether they pay for a Premium plan or use the free version with ads, money is generated. 

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This money is divided into two parts: recording royalties and publishing royalties.

  • Recording royalties go to the owner of the recording rights, usually the record label or distributor. 
  • Publishing royalties are paid to songwriters and composers and are usually given to publishers or collecting societies.

Spotify doesn’t directly pay artists and songwriters. Instead, they collect the overall revenue and give about 70% of it to the rightsholders. The rightsholders then distribute the money according to their agreements with each party involved, which can vary for each artist. This includes earnings from both Premium users and advertising from free users.

The royalties are typically processed on a monthly basis, but the timing can depend on the specific deals with your record label or distributor. Once Spotify pays the rightsholders, they don’t have control over how the payments are further distributed.

Spotify calculates royalties based on a streamshare model, which means the share of streams an artist or rightsholder receives from the total streams on the platform. This is determined by counting the number of times your songs are streamed and then dividing the royalty pool among artists and rightsholders based on their share of the streams.

The amount of money you receive from streamshare depends on factors like the total number of streams, the subscription plan of the listener, and the agreements you have with your rights holders. The per-stream rate can vary and is influenced by factors such as the country where the streams come from and how Spotify generates its revenue.

How Much Does Spotify Pay Per Stream?

How Spotify Pays Artists?

Spotify’s payment system is based on a complicated formula that considers different things. The amount paid for each song played is not the same and can be different. On average, Spotify pays artists approximately $0.003 to $0.005 for each song played. 

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How Much Does Spotify Pay Per 1000 Stream?

Spotify keeps the exact payment figures a secret and doesn’t follow a fixed per-stream model. However, some distributors have conducted studies using data from their clients to estimate average rates. One such study by iGroove analyzed data from around 133 countries.

According to iGroove’s 2022 study, Spotify pays an average of $0.003 to $0.005 per stream. This means that 1,000 Spotify streams would earn you approximately $3 to $5. It’s important to note that the payment can vary depending on the country where the streams originate. The study found that the top-paying countries per stream were Iceland ($6), Switzerland ($5.6), Finland ($5.6), the United Kingdom ($5.5), and Norway ($5.4).

It’s worth emphasizing that there isn’t a fixed per-stream rate, and Spotify doesn’t show any intention to change its payment model. Therefore, other services like iGroove share their insights on this matter.

Factors That Affect How Much Spotify Pays for Songs

Several things can influence the amount of money artists receive for their songs on Spotify. Knowing these factors can help artists make smart choices to earn more money. Let’s look at them in detail:

1. Where Listeners Are

The location of the people listening to the music plays a big part in how much artists get paid. Spotify pays different rates depending on the country or region where the streams come from. In countries where people pay higher subscription fees, artists generally earn more.

2. Type of Subscriber

Spotify has both free and paid subscription options. The type of subscription a listener has affects how much artists earn. Premium subscribers, who pay a monthly fee, generate more revenue for artists compared to free users.

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3. Length of Streams

The length of a song also affects the payment. Generally, longer songs earn slightly more per stream because they keep listeners engaged for a longer time.

4. Total Number of Streams

The total number of times a song is streamed over time impacts an artist’s earnings. Artists with a large fan base and more streams tend to make more money from Spotify.

5. Ownership of Content

Spotify pays royalties to rights holders, which can include artists, record labels, or distributors. Artists who own the rights to their music directly receive a larger share of the revenue compared to those who are signed to a record label.

The PPS (Pay Per Stream) of 133 Countries in Comparison

Here is the full list of all 133 countries we have gathered from iGroove. For each country, you can see the payment per million streams and how much you would earn from that. 

CountryPPS (Pay Per Stream)Per Million Streams
Iceland0.0067205466656,720.55
Switzerland0.0056593559535,659.36
Finland0.0056024754555,602.48
United Kingdom0.0055883346395,588.33
Norway0.0054528309665,452.83
Ireland0.0052188858975,218.89
Denmark0.0051805404065,180.54
South Korea0.0049601806294,960.18
Sweden0.0049279948374,927.99
Liechtenstein0.0048374419224,837.44
Luxembourg0.0042650068814,265.01
New Zealand0.0042345776504,234.58
United States0.0040905808114,090.58
Monaco0.0040072600354,007.26
Netherlands0.0039820362243,982.04
Australia0.0037926864233,792.69
Germany0.0035815447473,581.54
Austria0.0035310297153,531.03
Japan0.0033383159033,338.32
Belgium0.0033004788203,300.48
Israel0.0032923313843,292.33
Andorra0.0032612730473,261.27
France0.0031323081293,132.31
Canada0.0029553551182,955.36
Estonia0.0027828215322,782.82
Hong Kong0.0026922637502,692.26
Cyprus0.0025372091342,537.21
Singapore0.0025075363422,507.54
Malta0.0022956687142,295.67
Italy0.0022384417772,238.44
United Arab Emirates0.0022058967262,205.90
Czech Republic0.0021845496802,184.55
Spain0.0020846599432,084.66
Lithuania0.0019843875051,984.39
Hungary0.0019815288761,981.53
Slovakia0.0019389060571,938.91
Kuwait0.0019243629771,924.36
Latvia0.0018668847701,866.88
Uruguay0.0018662279051,866.23
Macao0.0018446479941,844.65
Qatar0.0018275136371,827.51
Greece0.0017633115281,763.31
Costa Rica0.0017572435121,757.24
Panama0.0016924976121,692.50
Dominican
Republic
0.0016843568781,684.36
Portugal0.0016630082861,663.01
South Africa0.0016386788661,638.68
Oman0.0016311561221,631.16
Lebanon0.0016098496981,609.85
Romania0.0015956500131,595.65
Taiwan0.0015755413721,575.54
Maldives0.0015665347411,566.53
Bulgaria0.0015456969231,545.70
Bahrain0.0014837556211,483.76
Brazil0.0014300039961,430.00
Curaçao0.0013932917301,393.29
Poland0.0013839550771,383.96
Ecuador0.0013631085951,363.11
El Salvador0.0013088460301,308.85
Croatia0.0013043781821,304.38
Honduras0.0012477426051,247.74
Saudi Arabia0.0012281450741,228.15
Nicaragua0.0012012797781,201.28
Slovenia0.0011859795681,185.98
Mozambique0.0011792304861,179.23
Chile0.0011697137131,169.71
Brunei0.0011598645331,159.86
Thailand0.0011485065911,148.51
Mexico0.0011460581191,146.06
Vietnam0.0011256773261,125.68
Malaysia0.0010784412281,078.44
Guatemala0.0010396207321,039.62
Jordan0.0010013836541,001.38
Egypt0.000914291189914.29
Palestine0.000910030399910.03
Georgia0.000901949360901.95
Serbia0.000884788175884.79
Namibia0.000883649587883.65
Mauritania0.000870295864870.30
Peru0.000869565713869.57
Ukraine0.000863877374
Tunisia0.000628968978628.97
Algeria0.000628723125628.72
Fiji0.000600090786600.09
Azerbaijan0.000599217679599.22
Albania0.000582277898582.28
Belize0.000575759634575.76
Kenya0.000574922730574.92
Tanzania0.000574851409574.85
Indonesia0.000566541816566.54
Uganda0.000549421411549.42
Pakistan0.000544101766544.10
Cambodia0.000540556464540.56
Mauritius0.000538797513538.80
Botswana0.000537324839537.32
Senegal0.000525482416525.48
Kyrgyzstan0.000449929675449.93
Côte d’Ivoire0.000439394037439.39
Turkey0.000418031834418.032
Uzbekistan0.000417325344417.33
Zimbabwe0.000404133895404.13
Nigeria0.000398074205398.07
Bangladesh0.000355267410355.27
Swaziland0.000299050086299.05
Bhutan0.000287683527287.68
Rwanda0.000286348660286.35
Nepal0.000269796298269.80
Iraq0.000184539397184.54

Conclusion

Now that you know how much Spotify pays per stream, feel free to ask any other questions you have about Spotify payments in the comments. We will do our best to respond as soon as possible.

FAQ

How much does Spotify pay for 1 million streams?

According to what was mentioned in the article, Spotify pays artists around $0.003 to $0.005 for each song played. This implies that earning from 1,000 Spotify streams would amount to approximately $3 to $5. Therefore, for 1 million streams, an artist would receive approximately $3,000 to $5,000.

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