Traxfly Launches Performance-Based Digital Music Distribution Pricing Plan for Artists and Musicians

Traxfly, a digital music aggregator and distribution company, has announced the launch of its new performance-based pricing plan. The new system dynamically adjusts an artist's distribution cost based on how often their music is streamed. As a result, there are no annual or monthly fees.
TORONTO - Nov. 9, 2021 - PRLog -- Traxfly was born out of the collaboration of music industry professionals that include artists, producers, managers, and label owners, at all different levels.

One of the main drivers was a financial model of digital music distribution costs that are sustainable for artists at all stages in their careers.

While streaming platforms are an excellent tool for artists to bring their music in front of an audience, the rate paid to artists by these platforms is notoriously low. Spotify, for example, is reported to pay most artists between $.003 and $.005 for each stream.

"The stark reality is that only a tiny percentage of artists make a substantial amount of money from streaming. The vast majority make very little, or it costs them hard-earned money to have their music on these platforms," said Thomas Wahl, a co-founder of Traxfly.

Traxfly has examined the actual financial performance of many artists using a variety of digital music aggregators and found many instances that are not in the artists financial best interest:
  • A Reggae band with gross earnings of $2,392.91, payments to the aggregator of $1,773.59, resulting in a net of only $319.32 in 9 years.
  • A Blues band that over four years earned only $50 but paid their aggregator $190.
  • A record label that paid an annual fee plus substantial extras for ten of their bands, resulting in a net loss for seven artists.
  • A major act with two million-plus monthly listeners on Spotify received an advance from an aggregator in exchange for a reduced share of streaming revenues, resulting in reduced overall earnings.
  • Many artists paying annual fees plus add-on costs without breaking even and continually paying yearly renewal fees.
Thomas Wahl commented: "I have had the opportunity to speak to many Traxfly members. In addition, I have been a customer of numerous aggregators over the years as a label owner and band manager, and the story constantly repeats itself. Unless you have a substantial number of streams, you make very little, or worse, it costs you to have your music heard."

The Traxfly Flexplan includes access to all features on Traxfly, including music distribution, social media management, Bio Links, and link tracking.

The artists' revenue share on the plan ranges from 70 to 95%, and the user has the option to switch to any of the other Traxfly plans, including custom plans for labels, associations and, other organizations.

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Ridley Lucas

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