TuneCore Artists Close In On Earning One Billion Dollars In Revenue

When TuneCore launched in 2006, our mission was simple and clear: to help independent artists sell their music online, without sacrificing sales revenue or giving up their rights. At that time, there was only a fraction of the digital platforms by which artists can have their music streamed, downloaded and discovered in 2017. iTunes ruled, Amazon was cracking into the market, and artists that created music outside of the label system needed a way to get it distributed.

Since then, TuneCore has gone on to grow as a company exponentially in terms of what we offer artists in the way of features and services – and independent artists have acquired more and more power when it comes to controlling and advancing their careers. Services like Music Publishing Administration, Fan Reviews, Professional Mastering, YouTube Sound Recording revenue collection and others have made TuneCore a staple in the indie community across all genres.

All the while, whether they continued grinding it out DIY-style, got signed to a label, or achieved mainstream success, TuneCore Artists carried on receiving 100% of their sales revenue using our platform.

Today, we’re excited to announce that TuneCore is approaching the $1 BILLION mark of revenue earned by artists from their download sales and streams!

That’s one billion as in the number one, and NINE zeros after it. These are McDonald’s-esque numbers, people. Dr. Evil-from-Austin-Powers-ransom-request numbers, even. No matter the non-music-related monetary figure reference: we think it’s a pretty big deal.

Collectively, that money helped artists do things like:

  • Eat
  • Pay rent
  • Record more projects
  • Create and sell merch
  • Sign up for Publishing Administration
  • Build PR and radio campaign plans
  • Afford new equipment and gear
  • Go on tour

Maybe you’re reading this as a TuneCore Artist who just joined or hasn’t seen tons of money from their release since distributing and you’re thinking, “Wait, what? Me?” Yes, you. As you hustle and write and record and tour to build a fanbase, and focus on earning more revenue from your music, the money you’ve earned so far – whether you’re still working on that first dollar, or you’ve out the other side as a superstar – contributes to a major figure that would have baffled music industry pundits over ten years ago.

Your contribution to this major milestone, no matter what the size, plays an undeniable role in the further expansion of independent music and supports the idea that artists can do it their way and still get paid.

To celebrate, for a limited time you can join the Tunecore Artists already in the ‘Billion Dollar Club’ by distributing a FREE SINGLE using the promo code BILLION at check out (offer expires 7/2/17).

Distribute your free single today!

As we count down to the big earning moment, join us for the journey by following us on Twitter, Facebook and Instagram where you can get in on the fun. And be sure to follow our official TuneCore Spotify playlist!

New Music Friday: May 19, 2017

TuneCore Artists are releasing tons of new music every day. Each week we check out the new TuneCore releases and choose a few at random to feature on the blog.

Is your hit next?

Follow Music Made Me – a Spotify playlist that’s updated every Friday with new releases from TuneCore Artists – stream it below!


You And Me Today (Acoustic)
Kelly McGrath

Singer/Songwriter, Country


Nerds By Nature (The Remixes)
Pegboard Nerds

Dance, Electronic


I Heard It Through the Grapevine
Joe Alterman

Jazz, R&B/Soul


Bodyguard
The I.L.Y.’s
Rock


No Moment But Now
Wendy Colonna

Singer/Songwriter, Folk


The Realness
The Pheels

R&B/Soul, Alternative


The Blame
Sam Grow

Country


Voodoo Love
Red Rosamond

Alternative, Pop


Better Places (feat. NVDES)
Pierce Fulton

Electronic, Alternative


Working Title
Mt. Eddy

Alternative


Dreams > Dollars
Maggie Rose

Pop, Country


Orion
David Archuleta

Pop, Singer/Songwriter


Faze Me
Anya Marina 

Singer/Songwriter, Pop


Bimmer
Ishmael Raps

Hip Hop/Rap


AmeriBLAKKK
F.Y.I.

Hip Hop/Rap, R&B/Soul


Oh No
Hannah & Maggie

Folk, Pop


Passionfruit
Noora

Pop, R&B/Soul


Anymore
The Pains of Being Pure at Heart

Alternative, Rock


History
Tyler Barham

Country


May I Have This Dance (feat. Chance the Rapper) [Remix]

Francis and the Lights

Pop, Hip Hop/Rap


Dat’s My Bae

Ball Greezy

Hip Hop/Rap, Soul/R&B


Back to the Nights
Ben Rue

Country


State Trooper
Chris Kasper

Singer/Songwriter, Folk


Transitions
Fame On Fire

Rock, Pop

The Artist & Record Label Relationship – A Look At the Standard “Record Deal” [Part 2]

[Editors NoteThis is a guest blog written by Justin M. Jacobson, Esq. It’s the second in a two-part series on the Artist/Record Label Relationship – read Part 1 here. Justin is an entertainment and media attorney for The Jacobson Firm, P.C. in New York City. He also runs Label 55 and teaches music business at the Institute of Audio Research.]

 

We will continue from our prior installment on “The Artist & Record Label Relationship.” We will now explore some additional contract clauses included in most recording agreements as well as a few negotiation tactics for these clauses.

Once the artist and distributor agree on the advances and what constitutes “delivery” to satisfy an artist’s commitment, the negotiation of the actual royalty rate earned for each sale is next.

ROYALTIES – (1.) Artist shall accrue to your royalty account, in accordance with the provisions of this Agreement, as described below; provided, however, no royalties shall be due and payable to you until such time as all Advances have been recouped by or repaid to Label. Royalties shall be computed by applying the applicable royalty percentage rate specified below to the applicable “Royalty Base Price” in respect of the “Net Sales of Records” described in this paragraph. Label shall pay to Artist all-in royalties (i.e., inclusive of producer and artist royalties). The term “Net Sales of Record” shall mean all gross income actually paid to Label in connection with its exploitation of such Album less all expenses (excluding overhead only) paid or incurred by Label in connection with the exploitation, manufacture, sale, advertising, promotion and marketing of such Album.

(2.) (a) The royalty rate (the “Basic U.S. Rate”) in respect of Net Sales of Records of the Album made hereunder made during the respective Contract Periods specified above and sold by Label through Normal Retail Channels in the United States (“USNRC Net Sales”) shall be as follows:

(b) The royalty rate (the “Escalated U.S. Rate”) in respect of USNRC Net Sales of each Album recorded pursuant to your Recording Commitment in excess of the following number of units, shall be the applicable rate set forth below rather than the otherwise applicable Basic U.S. Rate:

As the above clause mentions, the royalty that an artist earns for the sale of their music is calculated as a percentage of either the “Published Price to Dealer (PPD)” or the “Suggested Retail List Price (SRLP).” The “SRLP” is the approximate price charged by the retailer, such as Wal-Mart; while, the “PPD” is the approximate price that distributors charge to the retailers (wholesale unit price). It is prudent for an artist to attempt to negotiate for the highest possible royalty rate they could receive, as the higher the rate, the sooner they recoup the amounts advanced and the sooner the artist will begin receiving funds again.

In addition to agreeing upon the royalty rate and what the rate is based on (“PPD” or “SRLP”), similar to the clauses above, an artist can create royalty rate “escalators” based on album sales. As described above, when an artist sells 500,000 units (R.I.A.A. certified gold) or 1,000,000 units (R.I.A.A. certified platinum), the royalty rate escalates or “rises.” This increases the royalty rate that the artist is entitled to. An artist should also be cognizant of whether the royalty rate escalators are “prospective” or “retroactive.” A “prospective” escalator is one that only applies to sales going forward after a specified sales level is reached. This means that the artist’s royalty rate only is increased for any albums sold after they reach the listed sales level, for example, unit 500,001 is paid at the higher royalty rate. Conversely, and what is the ideal scenario for the artist, is “retroactive” escalation.

This means that once the artist reaches a specified sales level (i.e. 500,000 copy sold), the royalty rate is increased to the higher rate for all the albums sold prior (1-499,999 copies sold) as well as those going forward (500,001+ copies sold). An artist should also be aware that any “free goods” or albums given away for “promotional use” do not count as royalty bearing sales as no royalty or money is earned in these instances.

As in the example listed above, most royalties are considered “all-in.” This means that the artist is responsible for paying the producer of the track from the amounts they receive from the label. For example, if the artist is entitled to a 15% royalty rate from the label and the artist entered into a production arrangement with the producer providing him with a 3% royalty rate, the artist must provide the producer with the 3% royalty from the royalty the artist is entitled to. Thus, the 15% royalty rate paid to the artist by the label is split with the artist receiving 12% after the artist pays the producer their 3% royalty from these funds.

Once the royalty rate is set, the examination of the “reserve against returns” clause is necessary.

Reserve Against Returns – Label shall have the right to establish, during each semi-annual accounting period, a royalty reserve against anticipated returns and credits, of up to twenty- five (25%) percent of the royalty earnings associated with the units of each Record reported as distributed to its customers in that period. Each royalty reserve shall be liquidated equally and in full over the four (4) semi-annual accounting periods following the accounting period during which the applicable reserve is originally established.

While the above clause has begun to become obsolete in most instances, it is still important to examine and understand. The “reserve against returns” specifically applies to any physical record music as there is currently no way to “return” a digital downloaded MP3. This means that the label shall “reserve” or set aside a specified portion of the royalties the musician would otherwise be entitled to in case of any “returns” or “credits.”

For instance, in the example above, the label shall reserve twenty- five percent of the royalties the artist is entitled to in case any retailers must provide any refunds to its customer, which the label must in turn refund to the retailer. After a specified period of time, the “reserve” funds are “liquidated,” thereby, releasing the royalties to the artist. The frequency of “liquidation” is determined in the contract. As the above clause states, the reserves will be liquidated in “four” accountings, meaning every semi-annual accounting period. An artist should try to negotiate for a lower reserve percentage as well as a more frequent liquidation to earn as much of their royalties as quickly as they can.

Finally, one more clause that is included in many recording agreements is one that addresses the artist’s non-musical obligations, such as publicity and marketing for the released album.

Publicity – As Label reasonably requests, Artist shall appear for photography, poster, cover art, and the like, under the direction of Label or Label’s designees and to appear for interviews with representatives of the media and Label’s publicity personnel, at Label’s expense. As Label reasonably requests, Artist shall perform for the recording of brief audio, visual, and/or audiovisual spoken-word recorded messages and fan greetings suitable for use on and in connection with digital products and services and/or digital media platforms (e.g., Internet and wireless). In addition, as Label reasonably requests, Artist shall perform audiovisual works (e.g., so-called “B-roll” and “behind-the-scenes” footage) suitable for use on and in connection with Records embodying the Artist’s performances.

As the clause above outlines, the artist has to make themselves available for any public appearance, audio or audio-visual fan greeting or other audio-visual work as requested by the label. This is fairly common and in most instances, the artist will not receive any additional compensation for these services. However, an artist should try to negotiate for some of their expenses to be covered, such as transportation and/or meals, especially if the artist is required to travel further than a specified distance from the musician’s home.

Overall, the artist and label relationship is one of the most important ones and the next step in an artist’s quest for stardom. Since these agreements typically span many years and many albums, it is prudent that an artist fully understand the contract they are signing and ensuring they enter into an arrangement that works for them as this could be the document that makes or breaks an artist’s entire musical career.

This article is not intended as legal advice, as an attorney specializing in the field should be consulted. Some of the clauses have been condensed and/or edited for content purposes, so none of these clauses should be used verbatim nor do they act as any form of legal advice or counseling. We are also aware of the importance of streaming recordings; but, we will need to leave that for another day.

Wednesday Video Diversion: April 12, 2017

Whoa…on this day 17 long, long years ago, members of the legendary heavy metal group Metallica filed a lawsuit against Napster, – who are now our friends and partners! – Yale, USC and Indiana University for copyright infringement. This was a big first step in the fight against piracy, and it was a lot to get through. Thank goodness for streaming, right?! Anyhow, with that fun fact in mind for the day, enjoy this line-up of awesome TuneCore Artist music videos which are provided to further distract you from whatever work you had hoped to accomplish:

 

High Waisted, “Party in the Back”

The Shondes, “Everything Good”

Linda May Han Oh, “Footfall”

Aaron Goodvin, “Lonely Drum”

Moosh & Twist, “All of a Sudden”

Tsyphur Zalan, “Spinal Bolt”

Lions Lions, “Between Us”

Samsara Blues Experiment, “Into the Black”

AirLands, “SpaceShips”

How Open Mics Can Open Doors in Your Local Music Scene

[Editors Note: This is a guest blog post written by Mason Hoberg. Mason is a freelance writer who covers music-related topics and is a regular contributor to Equipboard.]

 

A hard truth of the world is that it’s never what you know. Rather, it’s almost always who you know. It doesn’t matter how skilled you are, or how much time you’ve put into honing your writing or performing talents. If you can’t make valuable connections in your local music scene, odds are you’re going to have an incredibly difficult time in making any significant process in your career as a musician.

With that being said, there are a variety of different ways that you can open doors for yourself. This article is going to focus on open mics, and since this is the exclusive focus of the article we can get into the nitty gritty of how you can use them to help start your career as a musician.

1. Friends Talk To Friends Talk to Friends (Etc.)

If you’re looking for a talented musician, who are the first people you’re going to ask? Odds are, most of you are going to talk to friends who either are musicians or who are in contact with people in the local music scene.

Now believe it or not, the best way to take advantage of this, (aside from showing up and playing at least competently, obviously), is to always be professional and kind to those around you. Just about any band in the world would rather have a nice and dependable member than one who’s a jerk and causes the band problems.

Never talk down to your fellow performers, and for the love of God, don’t heckle. If you’re a musician who heckles your peers, get up right now and go look in a mirror. And then smash your face into it. The scars you gain from doing so will definitely add an element of mystique to your next performance. (Note: TuneCore is not liable for any heckler who smashes his/her face into a mirror. Even if it is kind of funny).

2. Networking With Other Musicians

While word of mouth is a powerful ally, it’s just as important to actually make connections with your fellow musicians. Imagine this scenario: You’re looking for a place to play gigs and you see a local gigging musician at an open mic night (which believe it or not, a lot of them do actually show up there to work on new songs or just to stay in practice with performing). You two get to talking and you mention that you’ve been having a hard time finding gigs, and then you ask if he/she would be able to recommend any venue owners who are pleasant to work with. Now you have a focused list of venue owners who host live music, and an idea of how it is to work with them. You can also ask about how the crowds were in different venues throughout town, giving you an idea as to which venues you should work on based on your genre.

While doing this once is helpful, doing it a dozen times is probably going to give you a pretty comprehensive list of the venues in the area, the type of music that works best in them, and how these venue owners treat their musicians. This is incredibly valuable information to have, because one of the most important parts of putting on a good show is finding a venue that works well for your music.

3. It Shows You What Type Of Music Is Best Received In The Area

Something many musicians don’t think about is how their audiences are going to react to the music they play, and not in regards to its quality. Rather, what is the demographic of listeners in your area like? Do they prefer metal? Soft acoustic music? Country? Folk? Do you have an idea of what these percentages are like?

While open mics are going to give you pretty skewed results due to the fact that most of the people who attend are likely to be more interested in acoustic music, odds are the overall reactions are still going to be at least somewhat representative. For example, if the crowd present likes Garth Brooks covers odds are that there will at least be some venues in town where country is well received.

Likewise, if the crowd loses their mind over a particularly inspired “Good Riddance (Time of Your Life)” cover for example, you can be pretty sure that there will be areas where Green Day will go over well.

4. You Get To Learn A Variety Of Approaches To Working A Crowd

Working a crowd is an art, and just like any other art there are a variety of different ways to approach it. Learning to time jokes well, figuring out how to introduce a song, and learning how to build a set-list are all fundamental skills for a musician.

While practice is important, so is being exposed to a variety of different approaches. You always want to be learning and trying new things, and there’s no better way to think up a new approach than to see what others are doing. Odds are they’ll do at least one thing that you never do that goes over well, and if they happen to be really bad at working a crowd, you get a few lessons in what not to do.

Wrapping It All Up

Being a musician requires a collection of several different skills, and open mics are a good place to hone them – aside from being an awesome place to make the connections that you’ll need to advance your career. They’re not always pretty, and the musicians who attend them may not always be the most pleasant to listen to, but there are a variety of things to learn and a huge population of musicians to network with.

Is Posting Covers on YouTube the BEST Use Of Your Time?

By Carlos Castillo

d lot of music biz teachers will tell you that you should commit time to releasing cover songs on YouTube because you’ll get all kinds of organic growth and attention.

This is a proven strategy that has been working for several years. But, especially now that so many musicians are applying it, I’m not sure it’s all that it’s cracked up to be anymore. And it’s not as simple as picking songs you like and recording your own versions.

It’s true that YouTube is the 2nd largest search engine. Which means that if you post songs that people are ALREADY looking for, you can show up in those searches. So your Lady Gaga covers might get some traction. But your Journey covers probably won’t.

In order to REALLY make that strategy work, what you have to do is cover POPULAR songs as soon as they are released. I’m talking the DAY they are released or within a few days at most.

Remember when Adele released “Hello” and everybody and their cousin covered it on YouTube?

The problem there is that you put yourself in a situation with a LOT of competition…

…AND you’re playing someone else’s songs.

So if your goal is to build an audience for your ORIGINAL music, before you put any more time into YouTube covers you should try something different.

Just trust me…

And follow my instructions exactly for a 7-day Facebook Live challenge.

Here are the rules:

Each day go on Facebook Live and play one of YOUR songs.

Don’t do it from your fan page. Do it from your personal profile. More people will see it that way.

Before you hit “Go Live” add a link to your squeeze page in the video description.

Mention 3 different calls-to-action during the broadcast:

1: “Please turn on my live notifications.”
2: “Please share this video or invite people to join.”
3: “Please subscribe to my email list.”

That’s it.

I promise that if you do that for 7 days in a row, you will not only get MORE subscribers and engagement out of it than your last attempt at a YouTube cover, you’ll do it playing your own songs.

For extra credit try it out on other platforms where you can broadcast live like: Periscope, Twitter, Instagram, & YouTube.

Not only will it help you identify which social media platforms are the most responsive for YOUR original music, you can also repurpose the videos as blog posts for your own website and put them into rotation as content that sends traffic there!


For more actionable advice, tips, and Musicpreneur wisdom, click here to join the Schwilly Family Musicians Community.

Carlos Castillo is a Musicpreneur, Artist Business Developer, International Road-Tripper, Lap Steel Player, and Captain of the Schwilly Family Musicians. Find him at Schwilly Family Musicians, or on Twitter at @CaptainSchwilly