Alternative payment models in the music streaming market: A comparative approach based on stream-level data

François Moreau, Patrik Wikström, Ola Haampland and Rune Johannessen
Additional contact information
Patrik Wikström: QUT - Queensland University of Technology [Brisbane]
Ola Haampland: Inland Norway University of Applied Sciences - Høgskolen i Innlandet
Rune Johannessen: Inland Norway University of Applied Sciences - Høgskolen i Innlandet

Post-Print from HAL

Abstract: Music streaming platforms' models for sharing revenues with content providers have been the subject of intense debate for nearly a decade. The dominating model involves pooling platform revenues and allocating these funds to songs based on a song's share of the total number of platform streams. Since this model has several controversial consequences, alternative models have been proposed. This paper uses a novel approach to assess the two most discussed modelsthe "user-centric" and the "artist-centric". Our approach relies on a unique data set of 154,505 streaming platform users (890 million streams) and simulates how a large-scale implementation of these models may reallocate revenues across different songs and rightsholders. We disentangle the static effects of a transition to a "user-centric" or an "artist-centric" model across each of six different song characteristics. We then compare the results of the two models. We show that contrary to its objective, an artist-centric payment system does not significantly improve remuneration to professional artists while the user-centric payment system would generate more significant changes in revenue reallocation, mainly at the expense of Rap & Hip-hop songs, superstars and new releases. Finally, we analyze the positions of the various stakeholders with regard to each of them.

Keywords: Streaming; User-centric; Music industry (search for similar items in EconPapers)
Date: 2024-09
New Economics Papers: this item is included in nep-cul and nep-mac
Note: View the original document on HAL open archive server: https://hal.science/hal-04679366v1
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in Information Economics and Policy, 2024, 68, pp.101103. ⟨10.1016/j.infoecopol.2024.101103⟩

Downloads: (external link)
https://hal.science/hal-04679366v1/document (application/pdf)

Related works:
Journal Article: Alternative payment models in the music streaming market: A comparative approach based on stream-level data (2024)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-04679366

DOI: 10.1016/j.infoecopol.2024.101103

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().