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Report: Musicians Receive 12% of Music Industry Revenue

Discussion in 'Article Discussion' started by Melody Bot, Aug 8, 2018.

  1. Melody Bot

    Your friendly little forum bot. Staff Member

    This article has been imported from for discussion. All of the forum rules still apply.

    According to a new report from Citigroup, the music industry made $43 billion in revenue in 2017 while only 12% of that actually went to the artists.

    Artists’ share of music revenues is small. In 2017, artists captured just 12% of music revenue with most of the value leakage driven by the costs of running a myriad of distribution platforms — AM/FM radio, satellite radio, Internet distributors — augmented by the costs (and profits) of the record labels.

    The proportion captured by artists is, however, on the rise (it was just 7% of industry revenues in 2000). The bulk of the improvement is not driven by the growth in music subscription services. Rather, it’s driven by the strength in the concert business.

    Mr. Serotonin likes this.
  2. Mr. Serotonin

    I'm still staring down the sun Prestigious

    not v tight
    backbynewyears likes this.
  3. This seems ridiculously low (and probably is), but this also makes me want to hear comparable stats from other industries. Stuff like, in the restaurant industry, how much of the money goes to the cooks?
  4. Mr. Serotonin

    I'm still staring down the sun Prestigious

    I don't know if that's the same...
    bradsonemanband likes this.
  5. paythetab

    Chorus.FM Album Reviewer (Adam Grundy) Supporter

    I wonder what the current formula is for a semi-standard new contract for a new band (i.e. Lovelytheband) vs. Established band (i.e. Thrice)? It's no wonder why there are more music lawyers than there are staff working at some of these labels these days...It's a shame that the people making the art don't benefit more, financially.
    skogsraet and ramomcferno like this.
  6. Orville


    I am unaware exactly as a whole for the restaurant industry as its very multi faceted, and I’m sure fast food has a lower percent than fine dining which requires alot more bodies. But from my experiences on a business to business basis that ive worked at actual restaurants, its generally between 20-25% to employees.

    Then to break that down further it’s about another 25% in product costs, So the business has already spent 50% or more of earnings before utilities, rent, property tax, and unexpected costs. The profit margin is most times not the lions share of the pie in the culinary industry, cause all this is also kinda best case scenario.
    Chase Tremaine likes this.
  7. I don't either, it just makes me curious. Like, obviously the musicians can't be getting 100% of the revenue, so I'm just wondering how that looks in other industries
    Mr. Serotonin likes this.
  8. SuNDaYSTaR


    My guess is that it would vary by type of restaurant. I can't imagine that a line cook is getting the same share of revenue than a chef who is actually responsible for designing entire menus.
  9. Serenity Now

    deliver us from e-mail Supporter

    Props to making it thru 15 pages on mobile. I tapped out after 2.
    skogsraet and Mr. Serotonin like this.
  10. paythetab

    Chorus.FM Album Reviewer (Adam Grundy) Supporter

    Haha, yeah whatever happened to "Cliff's Notes" versions of these hefty reads? Still, pretty interesting (yet depressing) look at the current state of the music industry.