Spotify Gives Podcasters Perks That Will Make Independent Music Artists Very Jealous

Three years ago, Spotify became a music distributor – announcing that it would allow independent artists to upload music directly to its service, without the need for a third-party aggregator.

Next, Spotify acquired a minority stake in Distrokid (which it still owns), while also opening up its distribution function so artists can upload to all main streaming services, via the Spotify platform.

This surprise separation from the music industry middleman made some senior label and distribution executives uncomfortable. Independent artists, however, were generally thrilled – and free to dream that a more direct relationship with fans on Spotify could lead to two particularly lavish perks:

  • (1) Could artists soon be able to download their fan base contact data – including an email list – directly from Spotify? ;
  • (2) Could artists soon be charging their super-fans a monthly subscription, right on Spotify, to access their premium content?

Alas, none of these things happened. Spotify dropped its plans to become a music distributor just ten months after announcing it.

Today (August 24), however, Spotify To launched these two exact benefits for independent creators on its platform in the United States.

Unfortunately, they are not available for musical artists. They are only available to podcasters.

This was made possible because Spotify owns the distribution mechanism between podcast listeners and the podcasts themselves. The name of this distribution mechanic is Anchor, the download and podcasting services platform that SPOT acquired in the first quarter of 2019.

Starting today in the US, podcasters can use Anchor to bill fans directly for a subscription between $ 0.49 per month and $ 150 per month.

Spotify will not factor in this subscription price (minus payment processing fees) until 2023, when the company announces its intention to implement a 5% commission on subscription revenue.

Announcing the launch of the new podcast subscription today on the Spotify blog, the company said, “We have long believed that creators should have a variety of options at their fingertips when it comes to deciding how to monetize. their work.

“That’s why, as more creators now publish their content on Spotify, we’ve started rolling out tools that fuel those choices: from best ad models to direct listeners monetization. “

Spotify’s public launch of monetized subscription podcasts follows a beta test of the feature by the company on more than 100 podcasts earlier this year.

Spotify claims that this test convincingly proved that podcasts “across genres and styles of content have a huge opportunity to build paid subscriber bases.”

Creators in the US can now mark podcast episodes as Subscriber Only in Anchor before posting them to Spotify and other platforms.

These creators can choose from 20 different monthly pricing options.

In addition, according to Spotify – and this could cause the biggest leap of envy among independent music artists – Spotify has also introduced the ability for podcast creators in the United States to “download a mailing list from contact for their subscribers so that they can engage more with their subscriber bases and provide even more benefits ”.

Spotify explained on its blog today: “We believe that offering subscriber-only content on Spotify, where it can be discovered by our user base of 365 million monthly listeners, will allow a greater portion of this content to gain audiences and build real connections with them.

“This is also why we provide creators with contact information for their subscribers: We understand that creators want to take ownership of their relationships with listeners, and we intend to strengthen that. “

“That’s why we provide creators with their subscribers’ contact information: we understand that creators want to take ownership of their relationship with listeners, and we intend to strengthen that. “

Spotify Blog

Spotify has announced plans to expand podcast subscriptions to creators in other countries outside of the United States “very soon.” Until then, starting September 15, international listeners will be able to access (that is, pay for) subscriber-only content.

Spotify generated total revenue of 2.33 billion euros in the second quarter (three months to end of June), up 23% year-on-year.Music trade around the world

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