Digital Music Distributors Compared

We’re aware of the fact that we’re a small company compared to some of our competitors, but our cost to bands is also smaller than most of them. All of our major competitors make a charge for either uploading or hosting your tracks, subscription fees, renewal fees, charges for ISRC codes, different charges based on how many outlets you want your music to appear in, the ways they find of hiding new charges are as innovative as they are various.

We don’t charge you anything until you start making money. Uploading is free, hosting is free, picking different stores is free, in fact everything is free until you sell your first track, at which point we’ll take 10% of the revenue that comes back. You get to keep 90% of everything we make by working together. Ours isn’t the lowest percentage rate in the market: CDbaby offer 91% to their clients, but their upfront charges mean that not only do you have to get your credit card out of your wallet and pay them before you can hope to see any return from selling your music, but you’re also worse off with them than us until you sell more than ten thousand units. The same is true of Tunecore and Musicadium, and the Orchard never get close, as they take 30% of sales revenue for themselves AND charge you $90 up front.

Here’s a little table showing what you’d pay up front to distribute 2 albums over two years through some of the big distro sites (Musicadium deal in AUD, which I’ve converted at today’s rate of 1.549 to the USD).

Music Distribution Companies Compared

And here’s another detailing the income you’d get from various levels of sales, again based on distributing 2 albums over 2 years to all the stores RouteNote deals with, with an average per track income of $0.65, which is what you get back from iTunes.

RouteNote is awesome

As you get up to the 5k mark, Tunecore begin to pull ahead, it’s all pretty even around 10,000 and there are undeniable differences in the revenue earned when you get up towards to 30k sales mark, but we’re cheaper all the way up there, and the money will only ever flow one way – to you – if you deal with us.

So why are we better than our competitors? For artists starting out on their own, who want to be in control of their own destinies until they can prove the worth of their music, who don’t want to spend up-front money, and who aren’t realistically looking for sales of thirty thousand records in the first year or two, we are cheaper, quicker and much more interested in the success of our artists, because we’re smaller and our own success is that much more closely linked to that of our musical partners (read some of our testimonials!).

We had a response from Musicadium about this post – querying the way we’d worked out the fees mentioned. Here’s how it works out, based on the figures here in their agreement:

2 x upload fee to more than 3 stores = 2 x $99 = $198

2 x barcode (UPC) generation = 2 x $39 = $78

2 x annual renewal fee = 2 x $20 = $40

198 + 78 + 40 = 316

$316AUD / 1.549 = $204.00USD

Although the exchange rate has probably changed by now…

January 2009: Sales Statistics Finalised

It’s been another record breaking month for sales as RouteNote.com grows from strength to strength. 

Sales statistics for January 2009 have now been finalised, so be sure to check in on how your music is doing!

A big thank you to all account holders for your continued support and patience whilst we continue to close deals and develop the website. 

Signed, 

The RouteNote Team

Japans Internet Music Market Saw Healthy Growth in Q3

Japan’s Internet music market saw healthy growth in the third quarter of this year but a collapse in the once-mighty ringtone market led to mixed results for the cell phone sector of the country’s digital music industry, according to figures released on Friday.

Total downloads over the Internet and on cell phones totalled 118 million during the July to September period, down 3 percent compared to the same three months of 2007, while revenues grew 11 percent to ¥22 billion, the Recording Industry Association of Japan (RIAJ) said. The group collects data from most of Japan’s major music publishers.

Growth was strong in the Internet download portion of the market where downloads jumped 30 percent to 10.6 million and revenue surged 49 percent to ¥2.3 billion. The relatively new music video download market more than doubled in size but was still small at 391,000 downloads.

RouteNote 2.0 Has Launched

Here at RouteNote there have been a lot of changes made in the last few days. You will probably have noticed this once you logged onto the home page.

On the RouteNote home page you will first notice the background changes. Here at RouteNote we have tried to make the site a little less boring than before, thus a bit of colour around the place. Additionally, on the home page you will now see the video player, which will showcase the latest programming from RNTV, which is recorded here in Redruth in our recording studio Black and White. RNTV plans on showing some of the best bands from the South West of England and beyond. Every month new shows will be hitting the front page and our YouTube channel.

The other key addition to the home page is the coverflow video section. This coverflow style was made popular by iTunes, and here at RouteNote it is a great way for us to show some of our best artists. Every month we will be featuring more and more new artists in this section.

In the coming months you will see a lot of changes and additions to the RouteNote service. If you have any suggestions on what you would like to see on RouteNote or if you would like to feature in a video session, then please get in contact.

RouteNote: August Royalties Are Finalised and In Your Profiles!

August was our first full month for downloads and sales. The majority of our sales have come from the all dominant iTunes, but we are looking to push more through eMusic and more. Here at RouteNote we are very happy with the progress of our site and services, and it would be great if you could help and spread the word.

Today, we are announcing that we have finalised all downloads and sales from all stores for all artists. Please check out your sales and earnings history to see how much you have made!

Thanks,

RouteNote Team

New On The RouteNote Blog!

Here on the RouteNote blog you will soon be seeing a lot more information about the general state and happenings within the digital music space. Look out for acquisitions, analysis and more news inside your favourite music sites. We want to not just keep all our artists informed about where they should be placing themselves in the market, but also let everyone know what sites to use or not use.

Album Upload Tool is Now Online

Here at RouteNote we have been trying to improve our service for our artists. We have received a lot of feedback and now we are starting to rollout some changes. First big improvement is our new Album Upload Tool. The Album Upload Tool allows all our artists to not have to upload 1 track at a time like before. Now artists can set their entire Album to upload and then hit the upload button and come back to the computer when it is finished.

The RouteNote team really hopes you enjoy this new tool and if you have any suggestions for upgrades or new tools in the future, please just drop us an email.

Whats Happening At RouteNote?

I thought it was about time that we sent everyone an update of what is happening here at RouteNote.

RouteNote is on the rise and every month more and more artists have been signing up to use our service. Music from these artists has already headed to our retail partners so stay tuned, because in the coming weeks you will see them online.

On the RouteNote blog we have added a few sections to our sidebar, just to let every know that you can now find all our videos on our YouTube Channel. Additionally, you can get in contact with us either via our Myspace or Twitter.

Additions: we are currently in talks to possibly add some more retail partners (so check back for that), and we are going to be adding some marketing tools to artist profiles, so they are able to spread the word about their band right across the internet. If there are any marketing tools you would like to see added to the service, please drop us an email and let us know.

RouteNote Uploading Music Issue

Currently, we seem to be having an issue with our Upload Audio section for some of our users. We are frantically trying to fix the issue and it should be fixed in the next few hours. Please note that this issue is not happening to all users and is not happening only when you upload an Mp3 or Wav. Please try the upload service and if you have any issue, please drop us a quick email with the problems.