SpotiWHY? Are Subscription Music Services A Sustainable Business Model?
MUST READ: Subscription music and streaming services have been everywhere lately especially Spotify - a service that many either love or hate. We've covering Spotify’s controversy with artist payments and labels pulling out in protest. Artist Zoe Keating posted on Spotify's fairness to indie artists and music’s niche economy. It's clear that the way people consume content is moving towards streaming and subscription services instead of ownership, and on Music Think Tank, Frank Woodworth has written an essay that tries to answer 4 key questions about the shift:
1) What is the revenue potential for subscription music services?
2) What are the most likely rates per stream?
3) How much money can an artist expect to make from subscription music?
4) Is a compulsory rate a sustainable business model?
“Spotify has been both the most visible and the most vilified of the new companies.”