Musicians Receive 12 Percent Of The $43 Billion The Music Industry Make
A new report reveals that music industry pays musicians poorly and that most of their income comes from touring
A new report has revealed that musicians are poorly paid in the music industry, with artists receiving just 12% of the money the music industry makes overall.
The report called ‘Putting the Band Back Together’ by Citigroup, says that despite listeners in the US spending over $20 billion a year on music – that’s more than ever before – and revenues totalling in excess of $43 billion a year, musicians themselves are only receiving $5 billion of that figure.
The report says this is down to two reasons: musicians are touring more in the digital age and consumers are opting to “rent” music rather than buy it via streaming services.
The report says: “The music industry is in the midst of two profound changes. First, consumers are increasingly opting to rent — rather than buy — music. Second, the demise of physical music has prompted artists to tour more often, driving significant growth in concerts and festivals.”
Speaking to Rolling Stone, Jason Bazinet, one of the authors of the report, said the figure was “amazingly low” and that the figure revealed “an unbelievable amount of leakage.”
He said: “When you end up tracing all the dollars, around 10 percent of it is captured by the artist. That’s amazingly low.”
He added that for young artists who “don’t even understand the gory details of the music industry” the situation was particularly bad: “[They’re] not going to make that much money. There’s an unbelievable amount of leakage throughout the whole business.”
Read more at https://www.nme.com/news/music/musicians-receive-just-12-per-cent-money-music-industry-makes-2364261#vsCJ0dCRKjDLp26I.99