{"id":86719,"date":"2021-07-20T14:00:00","date_gmt":"2021-07-20T13:00:00","guid":{"rendered":"https:\/\/routenote.com\/blog\/?p=86719"},"modified":"2021-07-20T13:16:41","modified_gmt":"2021-07-20T12:16:41","slug":"peloton-is-the-second-best-streaming-service-for-paying-artists","status":"publish","type":"post","link":"https:\/\/routenote.com\/blog\/peloton-is-the-second-best-streaming-service-for-paying-artists\/","title":{"rendered":"Peloton is the second-best streaming service for paying artists"},"content":{"rendered":"\n<p><em>Image credit: <a href=\"https:\/\/www.onepeloton.com\/\">Peloton<\/a><\/em><\/p>\n\n\n\n<h4><span style=\"color: #3366FF\">It may come as a surprise but the top two streaming services for paying artists are Facebook and Peloton.<\/span><\/h4>\n\n\n\n<p>In recent months the discussion around streaming payouts has been ramping up, the <a href=\"https:\/\/routenote.com\/blog\/music-streaming-inquiry-uk\/\" target=\"_blank\" rel=\"noreferrer noopener\">UK even had an inquiry into how much streaming services pay artists, which has lead to calls for a \u201ccomplete reset\u201d<\/a> in how payouts work. Spotify has also been under scrutiny in regards to how much they pay artists and how it works, this led to the streaming giant releasing <a href=\"https:\/\/routenote.com\/blog\/spotify-unveils-loud-and-clear-a-detailed-guide-to-its-royalty-payment-system\/\" target=\"_blank\" rel=\"noreferrer noopener\">\u2018Loud &amp; Clear\u2019<\/a> a website dedicated to making their payout process more transparent.\u00a0<\/p>\n\n\n\n<p>The rate which streaming services payout varies between platforms, and surprisingly the two that payout the highest per stream are Facebook and <a href=\"https:\/\/routenote.com\/blog\/peloton-partner-with-beyonce-for-homecoming-themed-workouts\/\" target=\"_blank\" rel=\"noreferrer noopener\">Peloton<\/a>. <a href=\"https:\/\/routenote.com\/blog\/peloton-made-almost-1-billion-in-a-year-what-do-artists-see\/\" target=\"_blank\" rel=\"noreferrer noopener\">Peloton<\/a> is the most surprising, paying out 3.1 cents per stream, beating <a href=\"https:\/\/routenote.com\/blog\/streaming-exclusives-spotify-and-apple-exploring\/\" target=\"_blank\" rel=\"noreferrer noopener\">Spotify<\/a>,<a href=\"https:\/\/routenote.com\/blog\/tiktok-free-spotify-premium-offer\/\" target=\"_blank\" rel=\"noreferrer noopener\"> Apple Music<\/a>, and <a href=\"https:\/\/routenote.com\/blog\/spotify-vs-tidal\/\" target=\"_blank\" rel=\"noreferrer noopener\">Tidal<\/a>. However, it is worth noting that their payout has decreased over the years, in 2017 they paid 5 cents per stream, and in 2018 they paid 4 cents.\u00a0<\/p>\n\n\n\n<p>Peloton, although paying higher rates has a significantly smaller catalog of music, with over 1 million fully licensed tracks. This is no doubt because the product is an indoor cycling bike first, and a music player second. The smaller may also be due to the cost of licensing music, something the company has been in hot water for. They were <a href=\"https:\/\/routenote.com\/blog\/music-publishers-sued-this-fitness-company-and-now-pelotons-fighting-back\/\" target=\"_blank\" rel=\"noreferrer noopener\">sued by the National Music Publishers Association (NMPA) for a whopping $150 million dollars <\/a>for using tracks by Drake, Lady Gaga, and more.\u00a0<\/p>\n\n\n\n<p>As you\u2019d expect music is a core part of the Peloton experience with many classes having you cycle to a beat, or used for motivation. Peloton explains: \u201cMembers consistently rank the music we provide as one of their favorite aspects of the Peloton experience.\u201d<\/p>\n\n\n\n<p>They also said in one of their 2019 quarterly reports that: \u201cOur subscription cost of revenue generally increased each quarter as a result of increases in music royalties, streaming, and platform costs.\u201d&nbsp;<\/p>\n\n\n\n<p>The question still remains though, how does Peloton manage to pay significantly more than established streaming services? A recent statement from the company explains: \u201cWith respect to musical compositions, in addition to obtaining publishing rights, we generally need to obtain separate public performance rights.\u201d It\u2019s these public performance rights that generate the higher per-stream payout rate. In addition to this Peloton also has deals with BMI, GlobalMusic Rights, and SESAC.&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>It may come as a surprise but the top two streaming services for paying artists are Facebook and Peloton. <\/p>\n","protected":false},"author":23,"featured_media":86721,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[13,1,11109],"tags":[27833,28,1038,27834,10770,27836,27835],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v18.4.1 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Peloton is the second-best streaming service for paying artists - RouteNote Blog<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/routenote.com\/blog\/peloton-is-the-second-best-streaming-service-for-paying-artists\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Peloton is the second-best streaming service for paying artists - 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