How to Earn Money from your Music

Written By Samantha Daly

You make music and you’re good at it. So naturally you want to monetise your music and build a business out of it. Fortunately there is a wide range of ways to earn from your music with which you can build a diverse set of passive and active income streams. 

Let’s dive in! 

Streaming

One of the more obvious ways to monetize your music is to officially release it on streaming platforms such as Spotify and Apple Music. Generally speaking, the more your music is streamed, the more you make on these apps.

While it’s certainly a numbers game, and a somewhat competitive environment with the latest figures stating 100,000 songs being uploaded on a daily basis, streaming has its place in the portfolio of income streams.

Best Practices for Music Streaming in 2024

  1. Optimize Metadata: Ensure your music has accurate and detailed metadata (title, artist name, album, genre, etc.) to improve discoverability.

  2. Leverage Analytics: Use streaming platforms' analytics tools to understand your audience and tailor your marketing efforts.

Useful Links and Resources

Social Media

Did you know that social media companies buy licenses from companies such as PRS?

This means there is the potential for you to earn from the usage of your music on user-generated content such as Instagram Reels and TikTok. More on that later.

Best Practices for Music Licensing on Social Media in 2024

  1. Understand Licensing Agreements: Familiarize yourself with the licensing agreements of platforms like Instagram, TikTok, and YouTube. These platforms have specific terms for using music in user-generated content.

  2. Register with Performance Rights Organizations (PROs): Ensure your music is registered with organizations like PRS for Music, ASCAP, or BMI3. This will help you collect royalties whenever your music is used on social media.

  3. Monitor Usage: Use tools provided by PROs to monitor where and how your music is being used. This can help you track earnings and ensure proper licensing.

  4. Engage with Fans: Actively engage with fans who use your music in their content. This can help build a community and encourage more usage of your music.

  5. Collaborate with Influencers: Partner with social media influencers to promote your music and increase its usage in user-generated content.

Useful Links and Resources

E-Commerce

Products such as Shopify, WooCommerce, and even Bandcamp are great ways to set up a web store for your music products and sell directly to your audience.

Whether that be as a digital release, physical media, or band merchandise, e-commerce is one of the most financially rewarding ways you can monetize on a per-fan basis.

Best Practices for E-Commerce in 2024

  1. Choose the Right Platform: Select a platform that suits your needs, whether it's Shopify, WooCommerce, or Bandcamp. Each platform has its strengths, so choose one that aligns with your goals.

  2. Create a User-Friendly Store: Ensure your online store is easy to navigate, with clear product descriptions and high-quality images.

  3. Optimize for Mobile: With more people shopping on their phones, make sure your store is mobile-friendly.

  4. Offer Multiple Payment Options: Provide various payment methods to cater to different customer preferences.

  5. Utilize SEO: Implement search engine optimization (SEO) strategies to increase your store's visibility and attract more visitors.

  6. Engage with Your Audience: Use social media and email marketing to promote your store and engage with your fans.

  7. Offer Exclusive Content: Provide special offers, limited editions, and exclusive content to incentivize purchases.

  8. Analyze and Adapt: Regularly review your sales data and customer feedback to make informed decisions and improve your store.

Useful Links and Resources

Merchandise

Whether at the merch table, from your own website, or a third-party provider, selling branded merchandise can have the halo effect of sales and marketing at the same time. When you sell a t-shirt, not only have you made some money, but the brand awareness gained by your fans wearing it can help move the needle and solidify your brand presence.

Best Practices for Selling Merchandise in 2024

  1. Design Quality: Ensure your merchandise is of high quality to reflect well on your brand. Poor quality items can damage your reputation.

  2. Diverse Product Range: Offer a variety of items such as t-shirts, hoodies, posters, vinyl records, and limited-edition items to cater to different fan preferences.

  3. Exclusive Items: Create exclusive merchandise that is only available at certain events or through your website to create a sense of urgency and exclusivity.

  4. Engage with Fans: Use social media to engage with fans and gather feedback on what types of merchandise they would like to see.

  5. Promote at Shows: Have a well-stocked merch table at your live shows and events. This is a great way to sell directly to your audience.

  6. Utilize Print-on-Demand Services: Use services like Printful or Printify to avoid the need for inventory management and upfront costs.

  7. Offer Bundles: Create merchandise bundles that offer a discount when fans buy multiple items together.

  8. Track Sales and Trends: Use analytics tools to track which items are selling well and adjust your inventory accordingly.

Useful Links and Resources

Membership

Patreon and similar platforms continue to normalize the concept of digital patronage in the form of subscriptions. Such platforms provide artists a means of creating fan clubs for their closest followers, offering behind-the-scenes insights and exclusive content in return for an ongoing monthly payment, often divided into a set of tiers with varying rewards.

Best Practices for Membership Platforms in 2024

  1. Create Compelling Tiers: Offer a range of subscription tiers with varying rewards. This can include exclusive content, early access to new releases, behind-the-scenes footage, and personalized merchandise.

  2. Engage Regularly: Maintain regular communication with your patrons. Provide frequent updates, exclusive content, and personal messages to keep them engaged and feeling valued.

  3. Promote Your Membership: Use your social media channels, website, and live shows to promote your Patreon or similar membership platform.

  4. Offer Value: Ensure that each tier provides significant value to your patrons. Make them feel that their support is appreciated and worthwhile.

  5. Use Analytics: Utilize the analytics tools provided by platforms like Patreon to understand your audience and tailor your offerings to their preferences.

  6. Involve Your Fans: Engage with your fans and involve them in the creative process. This can include polls, Q&A sessions, and exclusive previews of new projects.

Useful Links and Resources

Live Streaming

Whether that be on YouTube, Twitch, or more DIY solutions, live streaming is a great way to create engaging experiences for fans, giving them a sense of closeness that can only be achieved in a real-time setting. Such platforms also offer ways to enrich and earn more from your content, namely in special thanks rewards, gifting of subs to other fans, and various rewards.

Best Practices for Live Streaming in 2024

  1. Choose the Right Platform: Select the platform that best suits your needs, whether it's YouTube, Twitch, or another service. Each platform offers unique features and audience engagement tools.

  2. Quality Matters: Invest in good quality audio and video equipment to ensure a professional live stream. Poor quality can detract from the viewer experience.

  3. Engage in Real-Time: Interact with your audience through live chat, Q&A sessions, and shout-outs. Make your fans feel involved and appreciated.

  4. Monetize Your Stream: Utilize the monetization features offered by platforms, such as Super Chat on YouTube, subscriptions on Twitch, and virtual gifts.

  5. Consistency is Key: Schedule regular live streams to keep your audience engaged and coming back for more.

  6. Promote Your Streams: Use social media and email marketing to promote your live streams and attract more viewers.

  7. Create Exclusive Content: Offer exclusive live stream content for subscribers or patrons as an added incentive.

  8. Analyze Performance: Use the analytics tools provided by streaming platforms to track viewer engagement and adjust your strategy accordingly.

Useful Links and Resources

Gigs

Live performances, whether that be you performing your original music or others performing yours, are all opportunities to earn. Putting on shows is a great way to build your artist profile, connect with fans, and monetise your music.

Performing live allows you to create an experience around your music that can’t be had just streaming or listening at home. This makes it a great opportunity to create a unique product and sell to your audience. Beyond that, you can monetise after the fact by selling merch and other items at the tail end of the show.

Best Practices for Gigs in 2024

  1. Plan and Promote: Plan your gigs well in advance and promote them through social media, email marketing, and local media.

  2. Engage with Your Audience: Interact with your audience during the performance and make them feel part of the experience.

  3. Quality Matters: Ensure your live performance are of high quality. Invest in good sound equipment and practice thoroughly.

  4. Sell Merchandise: Set up a merch table at your gigs to sell t-shirts, posters, CDs, and other items. Make sure it's well-organized and staffed.

  5. Network with Venues and Other Artists: Build relationships with venue owners and other artists. This can lead to more gig opportunities and collaborations.

  6. Capture the Moment: Record your performances and use the footage to promote future gigs and create content for your social media channels.

  7. Follow Up: After the gig, follow up with attendees through email or social media to thank them and keep them engaged.

Useful Links and Resources

Licensing / Sync

Sync is an industry term that refers to music being used to score some visual media such as films, ads, games, etc. A good “sync” can really move the needle of an artist’s career, not only because of the cultural injection it provides, but as a means of earning too.

Sync can provide active and passive income for artists, meaning you can get paid an upfront fee for licensing your music to someone as well as recurring revenue from the streaming and performance royalties that result from the increased exposure of the song.

Best Practices for Licensing and Sync in 2024

  1. Register Your Music: Ensure your music is registered with performance rights organizations (PROs) like ASCAP, BMI, or PRS. This will help you collect royalties whenever your music is used.

  2. Submit to Music Libraries: Submit your music to sync licensing libraries like Audio Network, Epidemic Sound, and Musicbed. These libraries help place your music in TV shows, films, ads, and games.

  3. Create High-Quality Tracks: Ensure your tracks are high quality and suitable for sync. This includes clean recordings and professional mastering.

  4. Build Relationships: Network with music supervisors and sync agents. Building relationships with these key players can increase your chances of landing sync deals.

  5. Keep Your Music Updated: Regularly update your music library with new tracks to keep it fresh and relevant.

  6. Use Metadata: Add detailed metadata to your tracks, including genre, mood, tempo, and instrumentation, to make it easier for music supervisors to find and use your music.

  7. Diversify Your Portfolio: Create a diverse portfolio of music that can fit various media contexts, from commercials to films and TV shows.

Useful Links and Resources

TikTok

Did you know that you earn every time your song is used in the creation of a video on TikTok? This is in stark contrast to other platforms where you get paid on a consumption basis. This means that your fans can help you earn by syncing your music to their content.

Best Practices for TikTok in 2024

  1. Create Engaging Content: Make short, catchy videos that resonate with TikTok's audience. Trends and challenges are great ways to increase engagement.

  2. Use Hashtags: Use popular hashtags to increase the visibility of your videos and reach a larger audience.

  3. Collaborate with Influencers: Partner with TikTok influencers to promote your music and encourage user-generated content.

  4. Leverage TikTok’s Algorithm: Post consistently and engage with your audience to leverage TikTok’s algorithm, which favors active and engaging content.

  5. Monitor Analytics: Use TikTok’s analytics tools to track the performance of your videos and understand your audience.

Useful Links and Resources

Brand Deals / Partnerships

When it’s a good fit, collaborating with brands can be a vital component when it comes to earning from your artistry. When working with companies, they are borrowing your cultural capital, so it makes sense to be mindful of who you work with and make sure you get compensated fairly. Don’t take a deal just because you had an offer. Instead, work on building a trusting relationship and thinking long term about your goals and their outcomes.

Best Practices for Brand Deals in 2024

  1. Research Brands: Ensure the brands you partner with align with your values and audience.

  2. Negotiate Fair Compensation: Don’t be afraid to negotiate to ensure you’re getting fair compensation for your work.

  3. Create Authentic Content: Collaborate on campaigns that feel authentic to your brand and resonate with your audience.

  4. Build Long-term Relationships: Focus on building long-term partnerships rather than one-off deals.

  5. Leverage Social Media: Use your social media platforms to promote the brand partnership effectively.

Useful Links and Resources

YouTube

Not only does YouTube offer an ad share model, but they have also unlocked features in recent times where fans can subscribe in monthly payments and give thanks via donations. Beyond that, YouTube is another place where your music can earn when used in other people’s content. Some call this a form of “micro sync”. The sheer reach and accessibility of content on YouTube also makes it one of the best top-of-funnel marketing channels, where you can direct traffic to all manner of revenue sources.

Best Practices for YouTube in 2024

  1. Optimize Your Channel: Ensure your channel is well-organized with high-quality thumbnails, consistent branding, and complete descriptions.

  2. Engage with Your Audience: Respond to comments, host live Q&A sessions, and create community posts to keep your audience engaged.

  3. Leverage YouTube Features: Use features like Super Chat, channel memberships, and merch shelf to monetize your channel.

  4. Create High-Quality Content: Invest in good equipment and editing software to produce professional-looking videos.

  5. Use SEO: Optimize your video titles, descriptions, and tags to improve discoverability.

  6. Promote Across Platforms: Share your YouTube videos on your social media channels to drive traffic.

Useful Links and Resources

Performance Royalties

Assuming you’re the writer and rights holder of your songs, you can earn money when people perform your music in a public setting. This encompasses many settings including retail businesses, venues, festivals, radio, broadcast, streaming, and much more. The popularity of your music will largely determine how much you earn here, but single events such as a good sync placement can really make a difference as we discussed in the sync section of this article.

Best Practices for Collecting Performance Royalties in 2024

  1. Register with PROs: Ensure your music is registered with performance rights organizations like ASCAP, BMI, or PRS. This will help you collect royalties for public performances.

  2. Submit Setlists: If you perform live, make sure to submit your setlists to PROs so they can track and pay royalties for your performances.

  3. Track Airplay: Use tracking services to monitor when and where your music is played on radio and streaming platforms.

  4. Collaborate with Venues: Work with venues to ensure they report performances of your music to PROs.

  5. Regularly Update Your Catalogue: Keep your music catalogue up to date with PROs to ensure you receive accurate royalty payments.

Useful Links and Resources





Samantha Daly
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