The CEO of Spotify is worth 2.5 billion, meanwhile, artists are paid next to nothing.

Jeeni Blog

Helping the next generation of talent to build a global fanbase

The CEO of Spotify is worth 2.5 billion, meanwhile, artists are paid next to nothing.

Spotify CEO Daniel Ek has come under fire for claiming that musicians should be “recording and releasing music nonstop to make ends meet.” The CEO of Spotify is worth 2.5 billion, meanwhile, artists are paid next to nothing on the streaming giant. Many major artists have criticized the unfair revenue share, infamously Taylor Swift pulled all her music from the platform demanding better support and pay for musicians in 2014. Since more and more are expressing their views on the unfair treatment of artists on major streaming services.

Pink Floyd said this about Spotify, “those services (Spotify and other streaming services) should fairly pay the artists and creators who make the music at the core of their businesses. For almost all working musicians, it's also a question of economic survival."

Beck said, “What Spotify pays me is not even enough to pay the musicians playing with me or the people working on the discs, It's not working. Something is going to have to give."

Tim Burgess, lead singer of the Charlatans tweeted “So many artists forced to take second jobs, give up flats because they can’t pay their rent all while getting decent numbers of plays on spotify – yet the owner has enough to bid for a premier league team. It just doesn’t seem ethical to me”

Music fans added "That is the state of play in the world, the artist, creators & writers can only go through these global corporates and get paid next to nothing and they get paid the most. It is true with the statement someone said. "Billionaires don't make a billion, they take a billion"

Here at Jeeni we're working hard to do everything opposite to these streaming services, by offering an ethical alternative where artists are supported and treated fairly all while keeping 100% of everything they make on our platform. That's why we have taken to Crowdcube so we can scale up and continue supporting artists and performers. Join our fast-growing family of investors, and grab your rewards as you help us reach our target! Check out our pitch here. https://bit.ly/3BhEeia

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12
Mar

Greetings from Kelli Richards, Jeeni's USA MD

Kelli Richards Greetings from Kelli Richards, Jeeni's USA Managing Director, former A&R Executive EMI Music and an artist superconnector. Mentored by Steve Jobs at Apple, she launched and managed the music and entertainment division, resulting in the birth of global music online, now known as Apple Music. Here she sends greetings for 2021 and an update on her plans and ideas for shaping a path through this, another possibly unusual year. ------------------------------------------------------------------------------------------------------------------- Hi, Greetings! It's our first newsletter of 2021 and I want to wish each of you a happy and healthy 2021! This past year has been a tough one for everyone. I don't know about you but I'm looking forward to a fresh start, exploring new opportunities and renewing my passion for the possible. Be sure to scroll down and read my recent articles which may help you make 2021 the best year ever. Yes, it's possible. Even with the "new normal" we're living in. It's about having the courage to ask for what you want, and the willingness to make changes and adjustments that will support the habits and behaviors that work towards your success not against it. It's about defining what success looks like for you and setting your intentions for the year. It's time to take life off of "pause" and start re-shaping your future. In my work as a trusted advisor, I'm all about working with my clients to transform the quality of their lives. If you need some guidance or support in navigating what's next, reach out and let me know. And, be sure to read the current Client Spotlight article featuring a start-up I've been working with and super excited about, MultiView Media. This platform enables content owners in music and sports to stream historic video content or livestream shows in a multi-camera angle format and has been described as technology that lets the fan be their own director.Stay safe and well,~Kelli The Magic of Asking for What You WantDo you believe you can have virtually anything you want? I do. We all have a magic wand that can help us achieve our desires, but we forget that we do and overlook the power at our disposal to dramatically increase the odds of having what we say we most want in our lives... Client Spotlight: MultiView MediaI'm excited to share that one of the start-ups I've been working with over the past couple of years, Multiview Media, led by founder/CEO Ray Meadham has launched our multi-camera angle streaming platform... Nine Steps to Making Change EasierChange doesn't have to be hard; here are some tips to make it a smoother process... www.jeeni.com www.kellirichards.com

04
Jun

A $0.003 reward?! We’re Twitching at the thought!

Twitch has always been popular amongst the gaming community. It was created initially in 2011 as a platform for gamers to use in order to live stream as well as broadcast live Esports events and competitions and has since retained on average 15million daily users. With so much more of our time spent online due to the Covid-19 pandemic, Twitch has expanded in regard to what they broadcast and live stream: talk shows are growing in popularity as well as live streamed music to name but a couple. As the date for the resumption of normality approaches and with it the reopening of concert halls and live shows, one can speculate as to what will happen to those artists that have decided to make use of these live streaming platforms as a source of income. Twitch users reportedly spend three times as much time on the platform as on Sportify and YouTube so the potential for it to be a very lucrative platform for music makers and artists is what has been looked into by Will Page, an economist who runs Tarzan Economics. He worked alongside various teams in order to understand how live streaming and live music may co-exist in the future. “Live streaming won’t go away when live music returns.” -Will Page In 2002, one of the first music streaming services Rhapsody, offered a $9.99 monthly price which is the same as what we see today for similar music streaming services. What is provided is also pretty much the same as what was offered in 2002; fans remain largely disconnected from their favourite artists, they are unable to offer direct compensation to creators, and ‘cross-usage’ occurs frequently as a listener is often subscribed to multiple platforms. “None of the on-demand streaming services that have since sprung up enable immediate engagement, this is a relic of the music industry of old.” -Will Page User engagement is something that both Twitch and Jeeni offer, and not only does it allow the fans to be more involved with the artists they love, but it allows the artists to be fairly compensated, a huge issue which is now being petitioned against by the Broken Record Campaign. See our last blog post for more information and ways that you can support the campaign. According to Will Page, the typical music streaming model has approached the way in which artist are compensated in one way: “the platform aggregates all the streaming data and revenues from a specific market and product over a specific time period, divides an artist’s share by that sum, and allocates revenues proportionately. Get 1% of all the streams, and you’ll get 1% of all the money. This has spurred much debate within the industry, as heavy streamers are effectively subsidised by light streamers, or as Quartz controversially put it: Your Spotify and Apple Music subscriptions pay artists you never listen to.” In essence, the modelling simply just isn’t fair, and neither rewards the artists or their fans for supporting them. The way in which Twitch brings in money, however, varies across three methods similar to Jeeni: Creator Channel Subscriptions, Bits allow users to support creators directly on the service, and advertising. Will Page made a comparison between creator earnings on Twitch, which average at $0.15 per-hour-per-user, with that of global streaming services at which the rate per-stream is set at roughly $0.003. By taking the $0.003 per stream and multiplying by 17 (assuming a song lasts 3 minutes this equates to an hour of listening time), then applying an average 20% royalty rate, this results in a creator’s “revenue-per-hour listened” at just $0.01. My jaw dropped, did yours? Twitch has proved it can monetise over 10 times better than music streaming, however this only applies to creators’ most loyal fans that tune in on a regular basis. "If you keep the full $100 of each true fan, then you need only 1,000 of them to earn $100,000 per year." -Kevin Kelly, The Technium, 2008 Do you want to spend hours watching your favourite gamer and at the same time, fairly compensate and reward them for their time and effort? Well of course. What Twitch does for gamers, we want to do for music makers and artists here at Jeeni. Look out Twitch, we’ll meet you at the finish line.

10
Jun

Facing the Broken Music Industry.

By Adam Cowherd @ AmplifyX.com Did you know that artists take home only 12% of the $43 billion spent on music annually, according to Citigroup? [1] The hip-hop artist Russ put it perfectly when he said, “The music business isn’t set up for the artists to get rich. It’s set up for everyone else to get rich off the artists.” [2] If you start looking deeper into the music industry, one of the first things you’ll discover is how broken it is. Artists are the nucleus of the business, but somehow they’re the individuals left with no ownership of their Intellectual Property (IP), inhibited creative freedom, and only a sliver of the earnings. There are so many entities involved in the value chain of music that it has created a convoluted industry structure that lacks equality and transparency. When we break down the mechanics of the music industry, we see just how many hands are in the pot: record labels, managers, producers, booking agents, and streaming platforms. A report by Ernst & Young highlighted the post-tax payouts of streaming revenue and identified that record labels are taking nearly 75% of the payout. [3] Why are artists today signing with record labels? Signed artists have fans. They do not have a majority of royalties, ownership of their masters, or creative freedom. Artists have historically been enticed to join record labels as a way to grow their popularity, because major labels can provide global brand recognition. But the music industry is in the business of making a profit — not in the business of freebies. The artist’s growth may be guaranteed, but not their wealth. Take Thirty Seconds to Mars for instance: after multiple platinum records, they were still millions of dollars in debt to their label. [4] This is a result of the artist being forced to pay the label back for cash advances. Although advances may seem extremely alluring, many don’t realize how hard these loans will be to recoup from their small slice of royalties. Artists thriving off of their album sales are the exception, not the rule. This recognizable gap in income has inspired a large number of artists to start challenging the status quo of record label contracts. Artists today have more tools and resources to build their career — and wealth — independently. Traditional services formerly tied to record labels, like recording, distribution, and promotion, are becoming commodified. Also, modern artists have a wide range of social media platforms to engage listeners on, from Instagram to TikTok to Triller. Artists can grow their fame and find new fans on their own terms—retaining their rights and independence. Evaluating the industry today, music spending is at an all-time high. Goldman Sachs predicts we will have over 1.1 billion people on paid streaming platforms by 2030, generating over $130 billion in music industry revenue. [5] By pursuing alternative ways to release music, artists can take a larger cut of the profits while retaining ownership of their IP and a majority of royalties. The industry is projected to experience massive growth over the next decade. Artists should reap the rewards.

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