which licensing models do you make the most/least amount of income??

[PolarSounds]

You might want to keep looking. As I type., there are full length songs on P5 for $1. It is a race to the bottom and some are being overly optimistic. It’s a good time to up your game and move to higher ground.

I’m seeing that too. How is that possible when the minimum price is 15$ for music and 2$ for sfx?

[ovation]

I forgot to mention that while P5, which I mentioned in the last post, is a self-pricing site, but you also have set price marketplaces / micro-stocks like AJ with a standard license of $19 and no possibility of performance royalties. In fact, the low end micro-stock market is really driving things down.

Market saturation is a reality we have to accept. We can’t wish it away with optimism. Many composers are feeding into it in high number, especially from Eastern Europe and places like the Ukraine and Russia. Those regions are actually able to earn good livings from low rate RF and PRF because their cost of living is amazingly low. The average yearly salary in the Ukraine is perhaps $2,400 USD, and that’s the most generous estimate I’ve seen. Yes, the comma is in the right place and there is no third zero. Two thousand, four hundred a year. Some composers from the region have told me that they earn a good living just from the aforementioned AJ selling $19 standard micro-stock licenses. And their music is good, not lame at all. Here in the US, a person would starve to death. This is real and it is what we’re up against.

I’m not a newbie in that I’ve been involved since the mid-80’s as a composer and I recruited composers for a library (I did not own) that has since gone out of business. I’ve watched many go out of business in more recent years. In fact, several libraries are being acquired by micro-stocks and others are now distributing through them. The whole reason why many composers are diversifying is market saturation and the existence of numerous competing business models where each new model gets cheaper. Subscription models under micro-stocks could very well be where the low end lands. That means very little $ for composers. And there are licensing services like SongFreedom now offering major label artist music on $60 to $200 licenses.

A few years ago, this issue was brought up and I heard nothing except disbelief and criticism. Today, I read a comment from one to the biggest critics of the “race to the bottom” theory recite nearly word for word what he criticized a few years ago. Unfortunately, this still isn’t the bottom.

[ovation]

* I’m seeing that too. How is that possible when the minimum price is 15$ for music and 2$ for sfx?

I have no idea except to say that P5 must not be doing due diligence on their rates.

[MichaelL]

I’m not a newbie in that I’ve been involved since the mid-80’s as a composer and I recruited composers for a library (I did not own) that has since gone out of business. I’ve watched many go out of business in more recent years. In fact, several libraries are being acquired by micro-stocks and others are now distributing through them.

Absolutely true. Almost identical experience (except longer). I know of at least one PMA library distributing through micro-stocks.

It’s a good time to up your game and move to higher ground.

…or different ground altogether. I went to law school.

Edit: When I left my practice, a few years ago to do music again, I had no idea how much the business had changed — not for the better.
Forget snobby arguements about quality and business models. What’s happening is simply supply and demand economics, combined with a new generation of consumers that think music should be free.

[MichaelL]

Just a a few questions, though. Where is “higher ground” and how do we get there?

There are more and more conservatory-trained composers joining RF libraries every day, along with an influx of “major market” media composers — people who previously scoffed at the idea. Why? Because it’s saturated up on higher ground too and everyone needs to make money wherever, and however, they can.

Technology has changed the game forever. It no longer takes years of training and expensive tools to create music that is adequate for the marketplace. It’s less of a race to the bottom than a seismic shift to a new normal, with limited exceptions.

When I started to compose for libraries, I literally knew the other two composers in my city. Now, Im sure there is a thousand, if not thousands!

[abellboy]

I have a question about “spreading” my music among the libraries as Mark_Petrie suggests earlier in the thread. If you have a song on one site and they price it at, say, $64, and you know another site has an average of $23, do sell the track for the same price on both sites regardless?

[Mark_Petrie]

I have a question about “spreading” my music among the libraries as Mark_Petrie suggests earlier in the thread. If you have a song on one site and they price it at, say, $64, and you know another site has an average of $23, do sell the track for the same price on both sites regardless?

I didn’t mean to take the same tracks and upload them to a bunch of RF sites. What I was getting at was that it’s ideal to spread music out amongst all the different categories of libraries.

Here are those categories again – this is a combo of majorising’s and my post:

1. Non Exclusive – Sync fees plus back end

2. Non Exclusive back end only (gratis licenses)

3. Exclusive – Sync fees plus back end (Higher End libraries)
3a: exclusive, well paid upfront buy-out (like $800 – $2000 per track)
3b: exclusive, no money upfront, 50% (or more if you’re lucky) share of licensing.
a very rare ‘c’ as well: some upfront money and a share of the licensing.

4. Exclusive back end only (gratis deals)

5. Non Exclusive Royalty Free

6. Exclusive Royalty Free

7. Performance Free

[Art Munson]

Thanks Mark_Petrie, very clear and helpful.

[mojorising]

Thought I would bump this topic up. I have one RF library telling me if I go completely performance free with my new tracks I’ll make way more sales on his site. But I have the option. Anyone else been given that option and what do you think? So far I have continued to register my songs. On this site though you can just click a button to only see “100% royalty free direct license” tracks so clearly his clients mainly do that. Though I have seen a few sales even with them being PRO songs.

[mojorising]

One more question regarding the NE gratis model. Have you found most libraries in this model to mainly sell to 2nd tier obscure cable shows? I have a few songs with Mibe and they won’t accept any tracks that are in JP so I’m trying to chose between the two libraries. M is a bit smaller so I suppose that might be a plus. but I have gotten lots of JP placements over the past 4 years. mostly really low paying cable stuff snd it has slowed down a bit since they went EX. I would personally never do an EX for only gratis stuff.

[MichaelL]

On this site though you can just click a button to only see “100% royalty free direct license” tracks so clearly his clients mainly do that.

Are you referring to PT?

[mojorising]

no its a German company with initials ST but its spelled as one word. you familiar?

[MichaelL]

no its a German company with initials ST but its spelled as one word. you familiar?

I think I know who you mean. I’m not with them.

Thanks.

[mojorising]

I still haven’t been able to bring myself to take his advice and go completely performance free but its tempting. Is that something you have tried or would try? Kind of scraping from the bottom at that point but I am learning thats the only way I will see lots of sales on this site.

I’m mainly taking everyones advice on here and trying to diversify. send my tracks to a few NE gratis places (JP). A few NE companies that get sync fees although they are much more sporadic. And I just recently started with RF. So far I’m with P5, ST and another UK one. But I haven’t found a really great RF site yet. P5 is cool and i’ve seen a few sales but its so over saturated.

I do have a few tracks with a big EX. from the UK that is connected to APM. This company (S) is EX in perpetuity so I”m a bit nervous to send any more tracks to them until I see some placements. So far I haven’t had much luck with any EX companies. But I also don’t think I have found any really good ones like you guys have mentioned on here who will actually pay up front for your tracks. That I would love, but so far haven’t come across any libraries like that.

I’m wondering if there are any composers that have found just a couple EX great libraries and only send their stuff there and have seem some added success? You would think those companies breathe a little more value in to your music since it can’t be bought anywhere else. But for me that just hasn’t worked out yet so for now I”m sticking with the diversifying all models approach. But when I talk to the CEO at S (the UK apm associated one) he tells me we are forever devaluing our music by sending to these RF and NEs. But he also won’t turn around and pay me up front for my tracks.

[Jerry]

@MojoRising

Don’t do the performance free thing with ST or anybody else man.. Just don’t. It’s 100% bad for composers.

[Author]

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